Car buyers can talk interest rates down

 With volumes soaring, car makers are working out customised loan schemes in collaboration with private banks and finance companies offering effective interest rates of 6-7 per cent.

 Thus, car makers like Hyundai Motor India are negotiating the subvention with financiers, especially on their larger selling models, and getting customers the best rates. Others are not far behind and are expected to unveil similar packages in about a month, ahead of the festival season.

 Under the customised schemes, banks and finance companies would cut the direct sales agents out of the loop and route the commission of 3-4 per cent to buyers through automobile companies and their dealers, banking sources said. Car makers, however, refuse to divulge details.