before crunching the numbers, could you tell if I can take a standard car loan from a bank in Qatar? The point here is prohibition on charging interest under the Islamic law. Do you know if car loans are exempt from this prohibition? Can local banks give non-Islamic (i.e. Western-style) loans?
If that's the case, then to figure out the maximum interest costs over the life of the loan all you need to know is the interest rate (we assume it to be fixed, say 4.6%), the term of the loan (eg., 3yr or 5yr) and the initial loan amount. Given all this, a bank then back-solves what your fixed monthly payments should be. You can reduce this max interest costs by making early prepayments, i.e. any payments in addition to your mandatory monthly payments.
before crunching the numbers, could you tell if I can take a standard car loan from a bank in Qatar? The point here is prohibition on charging interest under the Islamic law. Do you know if car loans are exempt from this prohibition? Can local banks give non-Islamic (i.e. Western-style) loans?
If that's the case, then to figure out the maximum interest costs over the life of the loan all you need to know is the interest rate (we assume it to be fixed, say 4.6%), the term of the loan (eg., 3yr or 5yr) and the initial loan amount. Given all this, a bank then back-solves what your fixed monthly payments should be. You can reduce this max interest costs by making early prepayments, i.e. any payments in addition to your mandatory monthly payments.