The Financial Impact of a New Car

So I am normally of the opinion you don't need a car. But since it's a first car. No time like the present! Don't worry too much about the fd liquidity etc. But the budget you've kept is too high( wrt to your savings). Unless you have specific requirements which are only seen in that budget. When I bought my first car in 2015 just after getting placed, it was a means of travel for me to reach back home every weekend. Yes I had to take a loan and yes I was almost living hand to mouth with the education loan and car loan plus rent eating into my salary. Due to the excessive heat at night I would even cool off in the car as well! But, driving back home on the weekend with my favorite songs playing was such a stress buster. Probably taking a bus or train would have been a real pain as well. I haven't changed that car( 5l rupee beater car) nor do I plan to until the govt forces me to scrap it. So yes. In the absence of a 4 wheeler in your family. It is essential ( for the majority of us). I would suggest going for a new Suzuki or Hyundai. Whichever starts at like 4-5 lakhs. On the road shouldn't exceed 6 lakhs( so that it won't financially drain you). I'm also a huge fan of used cars, but being your first car just buy it new. Too much of a hassle to buy used. Hope it helped :)

The right time to buy a car in India is as soon as you can. Biking is extremely dangerous in India. Even an Alto is 10x safer than a bike on Indian roads. Specially if you are coming from a poor / lower middle class family with no safety net, an accidental disability will kill all your potential & family's hope. So get a car, a used car even a used Alto, but move to a car as soon as you can.

In the era of investment people forget to enjoy present. Brother the more you think about future the more you will be depressed at present. Yes fixing your future is important but present is more important. Car is not luxury anymore it became necessity. Spend your time with parents and enjoy your present. I would suggest not to go for very cheap car just for the sake of car you will travel with parents and having a car with good safety is extremely important. If you are debt free now and check all your expenses and how much EMI you can manage then buy accordingly. It is not necessary to have a new car. You can get Honda city under 10 lakh in very good condition and that car would be perfect for you to travel all over places, safe and comfortable for parents and that brand is reliable so in second hand also you will get very good performance and you can hire someone for car inspection.

If you are driving on the highways, get a car right away. 300km away and a bike.. give this up sooner

Can't you get a car around 8L? That might be the ideal option here

Kudos to you. You are in the right direction. Buying a house before 30 is a good achievement. You can invest minimum amount in PPF. Buy a car now. But not a fancy one. Check out Nios, Punch, Swift etc. 7-8 lakh range max. You are right to spend time with your family.

It's great that you're considering your family's needs! Weigh the costs carefully. If a car will enhance your quality of life and you can manage the EMI, it might be worth it. Just ensure you have a financial cushion. Good luck!

you may consider a used car if that is okay with you. Because of high disposable income, people are changing cars frequently & there is a possibility for you to get a good used car at an economical price. you may buy a new one little later.

It’s best to wait a little longer until your finances are more stable, especially since you’re already paying an EMI