It is already not easy for everyone to buy a car in Pakistan and now its more difficult for those who think to buy a car on lease. Because the bank increases the rates of car financing by PKR 10,000. high-interest rate badly effects on the consumers to buy a car on financing.
According to the statement of State Bank of Pakistan during the year of H1-FY2019 car financing down by Rs. 9 billion to Rs. 11.7 billion its shows that the people applying for leasing car is going down because of the high rate of installment. The average amount of per month installment is Rs. 35000 for a car worth Rs. 1.7 million.
The car worth more than 1.7 million have also increased in the amount of installment and interest rate.
Moreover, the average interest rate bank increased from 10.3 percent to 14.4 percent and this is a high amount for the consumer to pay the bank.
