Car Financing Under Islamic Banking

Current Scenario: The auto industry, especially in the United States, is in a downward spiral alright, and no one has a clue what’s in store for this industry. The same trend is noticeable in other parts of the world, including Japan. With the biggest names in the auto world like General Motors, yes GM, and Toyota bleeding non-stop, it is anyone’s guess how long these venerables of the auto industry can hold out against the market elements.Time for Bargains: For the consumers though, especially those on the lookout for a good deal, many bargains are to be had for the asking! This may be the best time to strike the iron i.e. buy a Car! And there is any number of financing options available to bring that dream car of yours into the garage!The Islamic Option: In this article, we shall take a look at the Islamic financing option for purchasing a car. Financing for purchase of cars under Islamic Banking is done under the contract of ‘Murabaha’. Simply speaking, this is a cost plus profit mark up contract.Typically, the Islamic Bank or financial institution would have certain criteria to evaluate your creditworthiness and eligibility for a car loan, having regard to your income either from salary, or business i.e. your occupation, and other sources; your monthly expenditures, statutory payments etc, and finally your net income.Now, suppose after going through the above process, the Bank gives you the good news-that you are indeed eligible for a car loan of USD 25,000.00 that you had asked for, to buy your dream machine. The next step would be to work out the profit mark up of the Bank on the loan amount. Suppose this works out to USD 5,000.00. That means the total cost of this deal, for you, is USD 30,000.00. Of course, the Bank would have factored its profit mark up while calculating your eligibility amount for the car loan. The other variation in the above case would be that the cost of the car is USD 20,000.00 and the profit mark up USD 5,000.00 or less as the case may be.Apart from the above, other details to be worked out include:

Down Payment: Some Banks would require you to make a down payment for the car-that would increase your stake in your dream car, as well as bring down the amount/number of installments payable by you.
Repayment: The loan amount, plus the profit mark up, put together, would be divided into equal number of installments, agreed upon, say, 60 or 72 as the case may be, and you would be required to repay the same within the stipulated time. Some Banks offer a moratorium on repayment, that is, they allow you to start repayments after, say, two or three months after disbursing the loan. Some other Banks also offer to rework the installments after a part of the loan is repaid. Say you have repaid 12 installments. The Bank then works out a new EMI on the balance of the loan amount remaining after payment of the 12 installments. Upon full repayment of the loan, your car becomes really yours!
Add-Ons: In the increasingly competitive environment that the Banking industry is functioning, it is not unusual to get a few add-ons with your car loan – zero balance account, free/concessional insurance for the car, free advisory services in respect of the car loan, as well as other services on offer by the Bank, etc. Do avail of the freebies!
The Delivery!: Assuming that you have already identified your baby, that is your dream car, and the place that you wish to buy at, it is now the turn of the Bank to buy the car from the dealer on your behalf, and have it delivered to you!
Go on and Enjoy your Drive! Of course, there are no free lunches. Please do your due diligence before deciding to take a loan. And don’t forget that seat belt! HAPPY DRIVING!

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How to Find Low Interest Personal Loans For People With Bad Credit

Wondering where to get a personal loan?You have a variety of places where you can get a personal loan.If you’re looking for a personal loan, there are many places you can go. The key is to take your time and compare your offers, so you can find the best rate with the lowest fees.Where to look for a Bad Credit Loan?Fill out one form and receive up to four Bad Credit Loan offers. You can then compare rates and fees and decide which one has the best product for you.Credit unions:Usually credit unions offer Payday Loans at interest rates that are a couple of percentage points below other lenders.Banks:Although it is possible to get a Bad Credit Loan from a bank, many prefer for you to get a credit card simply because that creates a long-term relationship between you and the bank.Advantages:A Bad Credit Loan can have certain advantages. If you do not own a home or do not have much in home equity, a Bad Credit Loan may be your best choice. If you get a Bad Credit Loan that has a fixed rate and term, it forces you to be disciplined and pay the loan off within that timeframe, unlike a credit card which tempts you to continue spending. Also, the interest rate on a Bad Credit Loan is usually lower than that of a credit card (although the credit card’s initial teaser rate may be lower).Disadvantages:When considering a personal loan, be sure to weigh the disadvantages. For example, the interest payments are not tax deductible while the interest on a loan secured with property usually is. Also, rates can easily be higher than 10 percent on a personal loan. Mortgage and home equity loan rates are much lower than that. That means you will end up paying far more interest on a Payday Loan than you would on a home equity loan for the same amount.All that being said, sometimes there is no way around needing a personal loan. If you decide to get one, remember that the rate you get will not be as good as it would be with a secured loan. This makes it is especially important to compare as many offers as possible so you get the best rate available to you and also pay as little in fees as possible.A good way of solving your money problems is through applying for Payday Loans. But of course, a Payday Loan would mean that you are obligated to pay for it every month with your own money. So if you aren’t sure that your salary could handle another kind of payment, then maybe you should think hard before you do apply for a Personal loan. Not only will a Payday Loan limit you of your monthly budget, it could also be troublesome especially if you aren’t prepared with the loans interest rates.It is also best if you have a good knowledge regarding the terms and conditions of Payday Loans. Ask friends and relatives about the lending companies and where to get the lowest interest rates. This kind of knowledge could equip you with enough know how when it comes to applying for your own Personal loan. Be sure and do yourself a favor and find out what and what not to do when it comes to Bad Credit Loans. As the name suggest, Payday Loan can be taken out for any of your personal needs. However, make sure that the reason you are going for this loan is a legitimate one and do not indulge in taking out a loan for silly purposes.For US citizens it is very easy to get a Payday Loan sanctioned by banks, and reputed vendors, who in turn charge a very low and affordable interest rate.A good way of solving your money problems is through applying for Unsecured Cash Advances. But of course, a Personal loan would mean that you are obligated to pay for it every month with your own money. So if you aren’t sure that your salary could handle another kind of payment, then maybe you should think hard before you do apply for a Personal loan. Not only will a Personal loan limit you of your monthly budget, it could also be troublesome especially if you aren’t prepared with the loans interest rates. It is also best if you have a good knowledge regarding the terms and conditions of Bad Credit Loans.Ask friends and relatives about the lending companies and where to get the lowest interest rates. This kind of knowledge could equip you with enough know how when it comes to applying for your own Personal loan. Be sure and do yourself a favor and find out what and what not to do when it comes to Unsecured Cash Advances. As the name suggests, Personal loan can be taken out for any of your personal needs. However, make sure that the reason you are going for this loan is a legitimate one and do not indulge in taking out a loan for silly purposes.For US citizens it is very easy to get a Personal loan sanctioned by banks, and reputed vendors, who in turn charge a very low and affordable interest rate.The biggest benefit of applying for a Personal loan on-line is that you will get an instant approval decision.

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What Is Market Research Why Is It Important to Business Success?

Launching your product? Want to know what the market is all about now? What does the data say about the current market status? Is it a good time for your product to be launched? Will the audiences perceive your product? How different it is from other products? These questions might arise in your mind always. For that there is a solution which is called Market Research.
What is MarketResearch?
It is the process of assessing the market for the launch of new products with conducting a thorough research directly with the consumer. This lets the company to identify its target market and gather statistics and data from the opinions gathered from consumers regarding the product. Market Research are mostly done by the companies itself or through third parties who are experienced in the market research field. A lot of marketing strategies can be used for market research such as surveys, product testing and directly approaching the consumer groups for their opinions regarding the product.
Now the question is What is the need for MarketResearch?
The purpose of doing market research is to assess the market related to the product or service to gather results how the consumers will react to the product. The companies may try to find out what the consumer likes and what not and where does their product stand between these and how to make it better so that the consumer perceives it. They can remodel the product according to that and bring about changes to the actual product so that it fares successfully in the market after its launch.
How is market research done?
MarketResearch requires a lot of strategies and plans to be implemented to bring out fair amount of results for the company. The companies develops variety of steps with proper planning. It gathers information regarding the market and the company must analyze the data that has been collected to look after the relevant data that can be used later on to bring modifications to the product.
What is the use of Market Research results?
The company which is planning to launch its new product must conduct the market research to find out consumers views and also data regarding the product. These data helps the companies bring changes to the new products. If the company thinks that any alterations is required to bring to the product which may result in bringing success to the product right before or after the launch. To catch the consumers eyes the companies use this data and statistics to make sure the product is worth showing interest for and the consumers will be in benefit.What is the Role of GigIndia in MarketResearch?
GigIndia is the ultimate place for finding people for conducting market research because GigIndia specializes in marketing strategies which is helpful for businesses to become successful and get best results in returns as GigIndia has a huge student workforce who can perform the tasks given to them. Apart from that GigIndia plans everything from how to conduct the surveys, provide test samples to the consumers and also gather their thoughts over certain products and they compile all the information regarding the market research programme and sends them to the company to make sure they find it useful in bringing out any changes by the help of these results.
Nowadays market research is one of the most important tools for every business because it ensures you about the market scenario going around nowadays in the market and having consumers thoughts over a product gives you the proper results as what is the good factor and what is the bad factor about the product. So it is always recommended to conduct a market research always before launching a product in the market and for that GigIndia is the best place to work with.

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