Vintage and classic cars have a deep history in India since they have been used by royalties, maharajas and princes long before independence. A few years ago vintage car collection and restoration was limited to the rich and royals who maintained it as a status symbol and a hobby rather than a commercial venture. However, that has changed and today there are clubs such as the Heritage Motoring Club of India (HCMI) and Vintage and Classic Car Club of India (VCCCI) that conduct workshops and spreads awareness on vintage and classic car collection and restoration.
These organisations also serve as a platform to buy and sell these rare collections of cars. Though still limited to rich people in India who know a lot about car mechanics and love these cars, vintage car collection is now mostly done with commercial interests in mind. Though these collectors can’t import or export vintage cars as the Indian government doesn’t allow this activity, there are car enthusiasts with deep pockets ready to buy these rare gems.
However, buying, restoring and maintaining these cars which are mostly found in a dilapidated state is a huge investment. The bigger problem is that you don’t even know whether it will pay off in the future. When you invest in gold, you know that you can sell them and fetch a good price when required, but with these vintage and classic cars finding an interested buyer who is ready to pay the right price is difficult. Today, investing in gold is even easier with digital gold available at online finance supermarkets such as Finserv MARKETS.
What are vintage and classic cars?
Most people use the term vintage and classic interchangeably but there’s a difference between these too when it comes to cars. Vintage cars are those that were manufactured before 1939 or World War II and classic cars are those that are at least 30 years old. Currently, there are only about 7,000 vintage and classic cars in India that have been restored and maintained.
Are vintage and classic cars worth investing?
An industrialist bought his first vintage car in 1979 at Rs.7,000 and the estimated value of his car in 2015 was 15 lakhs. He also has a second car that he bought the same year; it cost him Rs.10,000 and the car’s estimated value was worth Rs.25 lakhs in 2015.
If you are thinking that it was really a large amount of capital appreciation and a huge profit for the collector, think again. We shouldn’t forget that the industrialist spend a lot of money on restoration. Most importantly, he had to regularly maintain and upkeep the vehicle for 36 long years and obviously he required some extra space to store them. Another vintage car collector explains that the cost of restoring a dilapidated vintage car is between 10-20 lakhs.
In one report, Patrick Rollet, the president of the Federation Internationale Des Vehicules Anciens (FIVA), a worldwide federation of classic and vintage automobiles, accepted that there is hardly any money that can be made by investing in vintage cars because the restoration and upkeep is too expensive. Clearly, investing in vintage cars is a bad investment idea. A better alternative to this is to invest in gold through an innovative system called digital gold.
Benefits of digital gold
When you invest in gold at a physical store, you have to worry about storage, theft or being duped with below grade gold. When you buy digital gold at Finserv MARKETS, you don’t have to worry about gold quality, purity and safety. If you want to make the best investment for your future, invest in gold using digital gold.
When a company issues a digital gold, it has to do so against reserves of gold held by the company. In case, you want to redeem digital gold into physical gold, you can do that anytime.
Why invest in digital gold?
You get 99.5% pure 24 karat gold.
No amalgamation and making charges.
Sell the gold anytime you like with a few clicks and receive the money directly to your bank account.
Buy in small increments; as little as Rs.100.
No large investments required unlike buying physical gold.
Accumulate pure gold for your child’s marriage and see your wealth grow steadily.
No risk of damage or theft.
No tension about storage or paying additional charges in a bank locker.
Time and again gold investments have stood the test of time even since ancient history. Nothing can beat the intrinsic value and wealth creation power of gold. And today gold has become an easy source of cheap credit when you need money as gold loans are readily available through NBFCs and banks. Gold has a special place in our hearts because of its cultural significance in our lives.
“Finserv MARKETS, from the house of Bajaj Finserv, is an exclusive online supermarket for all your personal and financial needs. We understand that every individual is different and thus when you plan to achieve your life goals or shop for the gadget of your dreams, we believe in helping you Make it Happen in a few simple clicks. Simple and fast loan application processes, seamless, hassle-free claim-settlements, no cost EMIs, 4 hours product delivery and numerous other benefits. Loans, Insurance, Investment and an exclusive EMI store, all under one roof – anytime, anywhere”!