Andhra Bank is a medium-sized public sector bank, with a network of 2000+ branches, 15 extension counters, 38 satellite offices and 1563 automated teller machines. The products and services provided by the bank mainly categorised into businesses of Retail, Corporate, NRI, MSME, and Agricultural industries. Under the Retail Business, the bank offers deposits, loans, cards, DMAT services, insurance, and mutual funds to individual customers. Under the Corporate Business, the bank offers loans & advances, project appraisals, and loan syndication. Under the NRI business segment, the bank offers Deposit schemes, loans, remittance services, and investment services to the non-resident Indians. To know more, follow some simple steps given below to get best car loan interest rate.
|Interest Rate||9.45% p.a. for new car loans and 12.15% p.a. for used car loans.|
|Processing fee||Rs. 1,000 - Rs. 25,000|
|Loan Tenure||Up to 7 years|
|Pre Closure charges||1% on the outstanding balance at the time of prepayment.|
|Guarantor Requirement||No, however, a third-party co-applicant is accepted by the bank while the hypothecation of vehicle purchased serves as security.|
Andhra Bank is one of the prominent Public Sector Banks in the country. With heavy presence in south India, specially in the state of Andhra Pradesh and Telangana, the bank provides a wide range of banking services and financial products across sectors such as Retail, Corporate, NRI, MSME and Agriculture. In the loan portfolio for the Retail sector, Andhra Bank extends loans for Housing, Education, Personal needs along with Vehicle loans for both two wheelers and cars.
Car loans are provided at pleasing interest rates and attractive terms. Financing options are available for both new and used cars.
Car loan is provided to all income groups with a wide tenure to choose from. With a maximum financing of up to 85% of the loan amount, your dream of owning a car is burden proof. The bank provides car loans up to Rs.50 lacs, helping you to procure a car of your choice without worrying about the quantum of finance.
The loan amount is determined on the basis where the maximum permissible car loan EMI should not exceed 60% of net salary of the applicant and 70% for the non salaried class. Up to 85% of the “”On Road” value of the car is financed by the bank.
The loan amount and interest charges can be repaid in up to 84 EMIs. An unique feature from Andhra bank is the option to also make the repayment in quarterly/half yearly/yearly basis. This kind of flexibility ensures that you get to choose a term of your choice, as per your budgeting requirement.
With just basic documents to meet the KYC guidelines along with paperwork relating to the proposed car, the application process is largely hassle free.
The bank follows the system of base rate linked system of calculating rate of interest for car loans. The present rate of interest for loan tenure up to 36 months is base rate + 0.50% and for loans above this threshold, the rate is Base Rate + 0.75%. Highly competitive, the rates offered by Andhra Bank goes soft on your wallet.
Based on the concept of Reducing Balance, the interest is applied only on the outstanding balance component which reduces the interest burden substantially. Existing Home Loan customers of Andhra Bank qualify for a concession of 0.25% on the actual rate. Ex employees of the bank and applicants belonging to certain sectors/categories can be eligible for a concession as well.
Do inquire with the nearest branch or contact the customer service wing for latest interest rates before forwarding your application.
Further information on eligibility will be provided by the bank at the time of application.
Ascertaining the EMI amount before availing a car loan not only helps in gauging your obligations, but also guides in choosing the best terms that syncs with your budgeting requirement. The Car Loan EMI Calculatorunder the Finance Tools section of this website helps you with the task.
Before you begin, keep handy, details such as the loan amount, proposed tenure, Rate of interest and processing fee(if any). Use the Slider 1 to choose the Loan Amount and Slider 2 to select the Tenure. Enter the Interest Rate and Processing Fee in the fields that follow and click “Calculate”. Elaborate details such as the EMI amount followed by the Amortisation table is displayed on the screen.
Use the financials to analyse the various facets involved in the car loan to make key decisions.
What are the advantages of calculating EMI before applying for a car loan?
Car loans are repaid through Equated Monthly Installments (EMIs) over a specified period of time called the loan tenure. EMI includes the principal and interest amount. Calculating loan EMI can help you find out how much your car loan will cost you monthly. This, in turn, can help you create a monthly budget so that you can maintain a low debt-to-income ratio wherein the EMI doesn’t exceed more than 50% of your income. Why is it important to maintain a low debt-to-income ratio? It will ensure that you don’t default on your car loan.
Andhra Bank Car Loan EMI Calculator is a free, online tool that is simple and easy to use. You can get instant and accurate results compared to calculating EMI manually or using an Excel Sheet. The tool allows you to input varying combinations of the loan amount and loan tenure in order to get revised results. Depending on the results, you can make an informed decision and choose a suitable loan tenure and an affordable loan amount. Just enter your proposed car loan details into the Andhra Bank Car Loan EMI Calculator like the loan amount, loan tenure, and interest rate. Click on the ‘calculate’ button and get a breakdown of your loan repayment schedule, the principal amount, interest, EMI, and the outstanding due after each EMI payment.
The EMI calculator can also be used to decide whether making a prepayment or pre-closing the car loan is a beneficial move.
How to apply for an Andhra Bank four-wheeler loan?
The Andhra Bank four-wheeler loan application form can be downloaded from the bank website or obtained at the nearest bank branch. You must submit the duly-filled and signed application form along with the necessary document proofs such as age, income, identity, and address proofs to the bank. To locate an Andhra Bank branch near you, use the ‘Branch Locator’ feature on the bank website. Just enter your state and city into the tool to get a list of bank branches in your locality.
The bank will verify the details furnished by you and process your application. Upon approval, the loan amount will be sanctioned immediately. You can also request a ‘Call Back’ on the bank website and a representative of the bank will call you back to resolve your query. The bank also has a 24/7 toll-free number for customer service.
Andhra Bank Four-Wheeler Loans for Women
Andhra Bank offers a special four-wheeler vehicle loan scheme for women borrowers. This scheme includes new and used car loans.
Any salaried or self-employed woman with an income proof and a valid Driving License can apply for a four-wheeler loan at Andhra Bank.
Salary of the woman applicant must be routed through the bank. A letter of undertaking from the employee must be furnished for recovery.
In some special cases, a post-dated cheque at the discretion of the manager must be provided.
Rate of interest
New four-wheeler loan - 1-year MCLR + 0.70% p.a.
Used four-wheeler loan - 1-year MCLR + 3.45% p.a.
Features of Andhra Bank vehicle loan for women borrowers
Note: On-road price of a vehicle includes life tax, registration charges, invoice price, insurance, and accessories worth Rs.5,000, if any.
Documents required to apply for an Andhra Bank four-wheeler loan for women
Housing loan customers of the bank are eligible for a concession of 0.25% on the existing rate.
The bank provides up to 60% of the car value as loan(Max Rs.25 lacs). The remainder has to be arranged by the customer. Used cars should not be older than 3 years from the date of registration.
The upper ceiling on the loan amount ranges from Rs.25 lacs to Rs.50 lacs, depending on the existing relationship with the bank. Do inquire at the nearest branch for further information.
Please call on 1800 425 1515 for general queries or questions on your existing relationship with them.
Yes. Repayment terms can also be set to Quarterly, Half Yearly or Yearly options based on occupation and income of the borrower.
Visit any Andhra Bank Branch near you or walk into a specialized retail credit branch to apply for a car loan.
To apply for a four wheeler loan, you need to meet the following requirements.
Any individual earning at least Rs. 1 lakh gross income per annum can apply.
The loan is also available to corporate customers of Andhra Bank. Firms, Limited Companies, Trusts and Societies holding an account with Andhra bank are eligible.
Andhra Bank provides loans to finance any four-wheeler you want to purchase.
Yes, you can apply for a car loan for used vehicles. Pre-owned vehicles should not be over 3 years old.
Andhra Bank has not set any minimum loan amount for four-wheeler loans.
The loan amount you can avail of is determined by your income and repayment capacity. The maximum loan amount also depends on the maximum EMI amount allowed. EMIs should not exceed 60% of your net salary. It should not exceed 70% of income of non-salaried borrowers.
The maximum loan amount sanctioned for used cars is 60% of garage value or Rs. 25,00,000 /- whichever is lower.
Andhra Bank has not set any minimum repayment tenure for four-wheeler loans.
The maximum loan tenure is 84 months.
The maximum loan tenure offered is 60 months EMIs. Repayment can be made in monthly, quarterly, half-yearly, and yearly instalments.
Anybody earning at least Rs. 1 lakh minimum as gross income per year can apply for a vehicle loan from Andhra Bank.
For corporates and firms, Rs.25 lakhs to Rs.50 lakhs income is required depending upon the dealings with the Bank.
Yes, you can apply for the loan jointly with your spouse or any immediate family member. They will become co-applicants in the loan. Their income can be added to the eligibility criteria. This will also increase the loan quantum you can get.
The interest rate is the base rate +0.50%. Interest rates are fixed rates throughout the loan tenure. The base rate is currently 9.75% p.a.
Interest is compounded on a daily reducing balance.
Yes, Andhra Bank levies processing fees which should be paid upfront when the loan is sanctioned. Administrative charges will be collected at the end of every quarter.
Yes, you are allowed to foreclose your loan. Prepayment charges will be applicable.
Andhra Bank car loan repayments are flexible. You can choose to repay the loan in monthly instalments, quarterly, half-yearly and yearly instalments. This depends on the income and employment status of the individual.
Loan instalments can be paid via two methods.
Standing Instructions - set instructions with Andhra Bank to automatically debit your savings account with the loan amount.
Bank Branch - Visit any Andhra Bank branch and make the payment.
Yes, you can pay your loan instalments in advance. You stand to benefit with the interest component being reduced.
Margin requirements differ between the salaried class and others. The following is the margin requirements.
Type of vehicle
Salaried class and where salary deduction is available
For individual borrowers, hypothecation of the vehicle will suffice.
For corporates and firms, hypothecation charge should be registered in the Registration Certificate of the car, and should be in favour of the bank. The vehicle will be exempted from registration of charge with ROC.
After repaying your car loan, you should collect the following documents from Andhra Bank. You need to submit them at your Regional Transport Office (RTO).
No Objection Certificate issued by Andhra Bank.
No Objection Certificate (NOC) will be issued for the the Auto Insurance Company and the Regional Transport Office (RTO).
Original Form 35.
Andhra Bank provides toll free lines for customers to contact the customer care service. The service is available between 10.00 a.m to 5.00 p.m on all working days.
The second and fourth Saturdays are regular bank holidays.
Toll free - 1800 425 2905
Telephone - 040 23234313, 23252000 Extn: 2422, 2577
Email ID: email@example.com
You will need to submit the following documents when applying for an Andhra Vehicle loan.
Recent passport photograph
Duly-filled Application form
Documents for KYC Compliance that include ID, age and address proof.
IT Returns/Assessment Order.
Valid driving license if the vehicle is self driven.
CIBIL scores are credit ratings that play an pivotal role in loan applications and approvals. You can buy your score on the official CIBIL website for Rs. 500. Scores that are 750 or above get faster loan approvals, better terms and interest rates from any bank.
Your EMI is a equated monthly instalment which is the whole loan broken down into monthly payments. Each payment has two components: Principal + interest. To find out your EMI amount, you can use an EMI calculator available on the Andhra Bank website as well as BankBazaar. Enter your loan details that include principal amount, interest, and tenure. The website will generate your EMI amount.
Yes, Andhra Bank has a tie-up with a number of auto dealers. For four wheelers, you can choose any of the following dealers:
You can avail of free accessories when you buy a car from the partnered dealerships with a loan from Andhra Bank.
Yes, Andhra Bank offers special car loan schemes for women borrowers. If the applicant’s salary is above Rs. 1 lakh and is routed through Andhra Bank, a car loan with enhanced terms will be offered.
Co-applicants can be any third party that is acceptable to the bank. Other than your spouse, or immediate family member, it is at the sole discretion of the bank that your application will be approved.
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