I had heard of elephants which get lured into eating sugar cane in deep forests where a deep pit is covered with bamboo shoots and sugar cane’s so that elephants come to eat it and fall into the pit. Once the elephant is caught like this, it lands up doing hard labour in the jungle, lifting wood,rocks or move over to temples, zoo’s….
This operation is called Khedda operation where elephant falls into the pit. The reason am remembering this is for the offer given by a private bank for its customer.
Upfront it looks quite nice and simple – you get 2 Lakhs INR without questions and you repay in small EMI…
Loan (In Rs) : 200000
EMI(In Rs): 6520
Some back of hand calculations..
What you get as loan : 2 Lakhs
Amt paid by you at end of 4 years : 312960 [ 6520 x 48]
The excess money paid as interest to bank : 112960 INR
Thats a whooping 56.48%!!!
So before you fall for this khedda operation, think – infact you can deposit this amount like a EMI for that period and enjoy your own money but the young ones fad theme is ‘we live now’, in that case welcome to the operation!