If you really think about it, it's easier getting a loan for a car than a loan for bus fare!
Bank of Baroda offers loans that are designed to suit the needs of individuals and corporates looking to buy a car to suit their needs and requirements. Bank of Baroda finances a variety of cars and offers loans of up to Rs. 100 lakhs along with a maximum repayment tenure of 7 years. Apart from this, an additional unique facility offered is the installation of LPG/CNG gas kit for cars thereby enabling customers to be more environmentally conscious.
| Particular | Charges |
|---|---|
| Base Rate | 8.60% to 10.35% |
| Rate of Interest | B.R + 0.25% |
| Loan Tenure | A maximum of 7 years |
| Loan Amount | A maximum of Rs. 100 lakhs |
| Margin | 15%-20% on the road price of the car |
| Prepayment Charge | Nil |
Headquartered in Vadodara, Gujarat, Bank of Baroda is one of the largest banks in the country and was founded in 1908. Bank of Baroda has over a 100 offices all over the world and offers various financial services to individuals and corporates.
Affordable car loans are provided by Bank of Baroda for those looking to own their dream car. These loans are easy to procure, offer flexible tenures at competitive interest rates and do not require extensive documentation.
EMIs or Equated Monthly Installments is a flexible and easy way to repay car loans. These EMIs consist of both the principal amount and the interest amount and the interest portion depends on the rate of interest determined by the Bank of Baroda. Apart from this, the loan tenure also plays a significant role.
The EMI amount that is to be paid can be calculated with a simple formula as illustrated below -
E = P*r*[(1+r)^n/((1+r)^n-1)]
In the above formula, E refers to the EMI, P is the principal amount, r refers to the interest rate and n is the number of years or tenure of the loan.
For an amount of Rs. 1,00,000 at an interest rate of 9.90% along with a loan tenure of 1 year, the total payment would come up to approximately Rs. 1,04,580 and the EMI amount would be Rs. 8,715.
The following will be the amortization table for a car loan of Rs. 5,00,000 for a period of 3 years at an interest rate of 9.90% from Bank of Baroda (starting from August 2015)
| Year | Total Payment | Balance | Principal Portion | Interest Portion |
| 2015 | Rs. 47,935 | Rs. 4,59,953 | Rs. 40,047 | Rs. 7,887 |
| 2016 | Rs. 1,91,740 | Rs. 3,06,928 | Rs. 1,53,047 | Rs. 38,715 |
| 2017 | Rs. 1,91,740 | Rs. 1,38,048 | Rs. 1,68,880 | Rs. 22,859 |
| 2018 | Rs. 1,43,805 | 0 | Rs. 1,38,048 | Rs. 5,757 |
With the progression in tenure, the principal portion increases and the interest rate decreases until the loan is completely repaid.
The variables that impact the interest rates for Bank of Baroda Car Loan are essentially what drive customers looking to avail car loans. To put it simply, lower interest rates are what everyone seeks so that they can reduce their overall loan expenses. It is also important to note that there are multiple factors that affect interest rates for a Bank of Baroda Car Loan. Some of these factors are -
Click Here: Compare Car Loan Intrest Rates
Reflection of a person’s credit history and payment, the CIBIL score is an important factor considered by banks before deciding a person’s eligibility for procuring loans. The CIBIL TransUnion Score is provided by CIBIL or Credit Information Bureau Limited and this is generated based on the person’s credit payment history and credit scores. The CIBIL score is a 3 digit number ranging from 300 to 900 with a higher score being given greater priority. Those with a higher score stand a greater chance of receiving a positive response from the bank with respect to their loan application. Apart from this, those with a higher CIBIL score can also avail car loans at low rates of interest. Higher scores are an indicator of customers who repay their loans without hassle and are seen as low risk category. Therefore, CIBIL scores are an important factor considered by banks and financial institutions while accepting a customer’s car loan application.
A base rate of 9.65% per annum is applicable on car loans as determined by Bank of Baroda.
The security required is as listed below -
~ Hypothecation of the Vehicle
~ RTO needs to be aware of the bank’s charge on the registration document. A certified photocopy of the RTO registration with Bank of Baroda named as financier is also required.
Unified processing charges consists of documentation charges, processing charges, pre-sanction and one time post sanction inspection charges and document verification charges. This unified processing charge is applicable as given below -
~ For car loans of up to Rs. 15 lakhs - 0.75%
~ For car loans of more than Rs. 15 lakhs - 0.50%
Between the two car insurance types in India, you can get the most appropriate coverage at suitable rates.
For loans of up to Rs. 15 lakhs, a margin of 15% on the road price of the car is applicable and if the loan amount is above Rs. 15 lakhs, then 20% on the road price of the car is charged.
If an applicant offers a minimum of 50% liquid security as the collateral for the car loan, then he/she can avail of a concession in the interest rate. In case the applicant has already availed a home loan with Bank of Baroda and also has a good repayment history, then he/she can procure an additional concession of 0.25% on the car loan interest rate.
GST of 18% is applicable on all banking products and services from the 1st of July, 2017.
Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar’s partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.
Volkswagon announced that it would end production of its iconic Beetle in 2019. This would mark the end of an era that dates back to the 1960s, preparing the way for the future in electric cars.
Popularly known as ‘the bug’ in the 1970s, the Beetle was discontinued in the US in 1979, only to be relaunched as the ‘New Beetle’ in 1998. Since then, Volkswagon has sold more than 500,000 Beetles.
The end of the Beetle was announced by the CEO and President of the North American region of Volkswagon, Hinrich Woebcken. The company would focus on the environmentally conscious demographic with its range of electric cars. The company also intends to launch an electric vehicle similar to its I.D. Buzz, which was a prototype of the microbus.
25 September 2018
Porsche has introduced its fastest and latest road-regal 911 product, the 911 GT2 RS, in India and the first unit of this car has been sold in Bangalore through the Porsche Centre located in the city. The car was bought by a businessman based in Bangalore, Mr. Boopesh Reddy. The new Porsche 911 GT2 RS features the Weissach package offered by the company, making it lighter by 30 kgs from the already lightweight standard model. This package also includes a pair of 20-inch 7-spoke magnesium wheels at the front end and a pair of 21-inch 7-spoke magnesium wheels at the rear with a White Gold colour scheme. Furthermore, Mr. Reddy has also made a few custom changes to the car’s aesthetics before it was delivered. Unveiled at the Goodwood Festival of Speed 2017, the ex-showroom price of the Porsche 911 GT2 RS in Delhi is Rs.3.88 crore. Since this car is extremely exclusive, the company has decided to allocate a limited number of units for India.
Based on the 991.2 Porsche 911 Turbo S, the GT2 RS comes equipped with a 3.8-litre flat-six engine that is capable of generating a peak torque of 750 Nm and a maximum power of 700 bhp. Enabling instantaneous shifts, the high-revving engine mounted in the rear of the car is mated to a renowned 7-speed PDK (Porsche Doppelkupplung) automatic transmission. Offering a top speed of 340 kmph, the Porsche 911 GT2 RS is capable of attaining a speed from 0-100 kmph in just 2.8 seconds. The Weissach package of the car includes several lightweight components along with a number of cosmetic features such as a titanium roll cage, carbon fibre roof and bonnet, and six-point harness. Additionally, the car also sports numerous carbon and Alcantara details on the inside along with a large decal on the wing/spoiler that says ‘PORSCHE’. The Porsche 911 GT2 RS continues to be one of the best modern cars available across markets till date. The dealership in Bangalore was also the first to sell a Porsche 991.2 911 GT3 with a manual gearbox in the country.
20 August 2018
All new vehicles including four wheelers have to now be sold with a third-party insurance that should be valid for up to three years for all vehicles that are sold after 1 September 2018, the Supreme Court of India has ordered. The current new car insurance has a third-party cover of one year, so this move is expected to result in a hike in the insurance prices. The main reason behind this change is that most of the buyers tend to not renew their insurance policies after the completion of one year. Out of the 18 crore vehicles that have been registered in India, more than 6 crore of them do not have a valid insurance cover. Since even the third-party cover is not renewed, this called for a change in the law. The third party insurance offers cover for anyone other than the driver or the passengers in the vehicle. Vehicles running without even the third-party insurance will put the people in a spot of bother as they will not receive any sort of compensation in the case of a mishap. It is yet to be seen if insurance companies offer the third-party premium for three years as part of one-year insurance or bill it separately. If the insurance companies start to offer the three-year cover for the new cars, it will result in an increase in new car prices.
26 July 2018
Maruti Suzuki, India’s largest car maker has now expanded the reach of Ecstar products. Ecstar deals with coolants, lubricants and other car care products. The company has now introduced this range at 3,400 workshops that come under its Arena network. Maruti Suzuki India launched the Ecstar at workshops that come under their premium outlets, NEXA in the month of september last year. Expansion of the Ecstar product is a step towards the company’s idea to focus on improving the quality of the maintenance provided while working to improve the quality of the products. The company is planning to launch a new engine oil OW16 in their Ecstar brand. The oil is expected to help reduce friction which will lead to reduction of CO2 emissions and improve fuel efficiency. All the future Maruti Suzuki vehicles coming with a petrol engine will have the OW16 factory-filled. The Ecstar was first released in Japan in 1984 by Suzuki Motor Corporation, the parent company of Maruti Suzuki. The company said that more products of the Ecstar brand will be introduced in the country progressively.
23 July 2018
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Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.
