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    Compare the best car loan offers in town and locate the lowest rates!

    Over 25 offers to compare!

    This is our forte- helping you compare the finest deals. Additionally, we'll handpick offers that suit your profile and present the best rates from several banks, so you can make a thoroughly-informed decision.

    Breaking down offers

    We're obsessed with giving you a 365 degree view of offers. So, we'll break it down for you - EMIs, eligibility, maximum amount that can be borrowed, fees, hidden charges... no more getting fooled by the fine print!

    Cheaper than dealer

    There's a good reason why thousands of customers choose BankBazaar- we're cheaper than most dealers. Best part- by applying here, you can get the lowest rates AND still demand all those freebies from your car dealer!

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    You don't have to fight for parking space! Jokes apart, applying online will help you save time and money; plus, you'll be able to use the services of our super-friendly customer service team at anytime and get all your queries answered.

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    We showcase the best loan offers and help you compare them... what next? Well, we'll aid you in applying to the bank of your choice and work with you right up to the delivery of the loan!

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    Car Loan - Compare & Apply Car Loan Online

    Owning a car is one of the most significant achievements in an individual’s life. Since this is a costly proposition, the purchase can be funded through a car loan. Several banks and NBFCs offer car financing options that are affordable and scalable.
    Bankbazaar Car Loan - Compare & Apply Car Loan Online

    We found 28 Car Loan - Compare & Apply Car Loan Online
    Bank Name
    Interest Rate Range
    Processing Fee Range
    Loan Amount
    Tenure Range
    8.85% - 11.60% Fixed
    Up to ₹4,720 One time fee
    1L Min
    1-7 Years
    Response Time : Within 30 minutes
    Rs.2,500 Amazon Voucher 100% PAPERLESS APPROVAL
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    8.60% - 11.50% Fixed
    Up to ₹5,500
    1L Min
    1-7 Years
    Response Time : Within 30 minutes
    What you'll love
    Documents
    Perks
    Think about
    Fees & Charges
    Good to Know
    Eligibility Criteria
    13.50% - 14.50% Floating
    2% One time fee
    1.5L - 25L
    1-7 Years
    Response Time : Within 30 minutes
    Rs.2,500 Amazon Voucher 100% financing on car value
    What you'll love
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    Good To Know
    Eligibility Criteria
    12.75% - 15.50% Fixed
    Up to ₹5,310 One time fee
    75K Min
    1-7 Years
    Response Time : Within 30 minutes
    Rs.2,500 Amazon Voucher 100% PAPERLESS APPROVAL
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    16% Floating
    1% One time fee
    50K - 15L
    1-4 Years
    Response Time : Within 30 minutes
    What you'll love
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    Perks
    Think about
    Good to Know
    Eligibility Criteria
    12% - 13% Fixed
    1% One time fee
    50K - 10L
    1-4 Years
    Response Time : Within 30 minutes
    What you'll love
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    Think about
    Fees & Charges
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    Eligibility Criteria
    8.95% - 13.40% Fixed
    Up to ₹ 5,000 One time fee
    1L Min
    1-7 Years
    Response Time : Within 30 minutes
    Rs.2,500 Amazon Voucher
    What you'll love
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    Perks
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    Eligibility Criteria
    9.15% Floating
    575 One time fee
    1L - 2Crs
    1-7 Years
    Response Time : Within 30 minutes
    What you'll love
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    Good to Know
    Eligibility Criteria
    11.50% Floating
    575 One time fee
    1L Min
    1-3 Years
    Response Time : Within 30 minutes
    What you'll love
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    Perks
    Fees & Charges
    Good to Know
    Eligibility Criteria
    9.05% Floating
    575 One time fee
    1L - 2Crs
    1-7 Years
    Response Time : Within 30 minutes
    SPECIAL OFFER FOR WOMEN
    What you'll love
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    9.55% Floating
    0.5% (min. ₹575)
    1L Min
    1-7 Years
    Response Time : Within 30 minutes
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    12.05% - 12.25% Fixed
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    1L to 15L
    1-6 Years
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  • Car Loan - Compare & Apply Car Loan Online is Rated as "Excellent!" by 34972 Users

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    Car Loan BYTES FROM OUR KITCHEN

    Car loans are the simple means to a glorious life milestone- owning your dream car. Almost all of us want to own that shiny set of wheels and drive it triumphantly, into the sunset. However, owning a car (vehicle in general) in India is a costly proposition, one that usually demands the impetus of a sizable financial assistance from banks/ financial institutions that have dedicated loan products in this regard. Almost all private/public sector lenders in India offer car loan options with terms and conditions that are highly customer friendly, affordable and scalable. By qualifying against a very simple list of identity, income and credit history qualifications, you can be the proud owner of your own brand new car.

    Car Loan Interest Rates

    Updated on 13 Dec 2018

    Car Loan Details
    Interest Rate (Monthly reducing balance) 8.25% - 15%
    Processing Fees Varies with bank
    Loan Tenure 1 year to 7 years
    Pre-closure Charges Varies with bank
    Guarantor Requirement Varies with bank

    Why Choose a Car Loan?

    Choosing a car loan in India has two distinct reasons and advantages. Firstly, cars are expensive. This is a costly investment that is usually not completely affordable in the case of a typical middle class Indian. While his/her savings may account for a sizable portion of the purchase amount of the vehicle, a significant portion of the aforementioned purchase must be covered by the amount as provided by the car loan. Secondly, massive purchases (such as buying a car) with liquid cash could get you on the IT department’s radar, plus, you lose the chance to build up crucial credit history by subscribing to a car loan and religiously adhering to the repayment cycle. The credit history thus built, will help you procure more loans in the future. Hence, car loan in India are the surest and safest way to purchase your ideal vehicle.

    Apply Car Loan

    Car Loan Application Checklist

    Step.Requirement.Inference.
    Submit Income ProofBank Statement (last 6 months)
    Pay-Slips (last 3 months)
    IT- Returns (last 2 years)
    Lender wants to establish your ability to repay the borrowed amount.
    Submit Proof of Address and IdentityPAN Card, Voter’s ID, Aadhaar Card, Passport, etc. Lender wants to establish your nationality, identity and permanent address.
    Credit HistoryPAN Card Lender wants to check your past credit records and establish if you can be trusted to make regular repayments.
    Information About VehicleSales Receipts from the Showroom from wherein the Vehicle was Purchased.Lender must confirm that the deal was affected as intended.
    Proof of Insurance and Driving LicenseCopies of the Vehicle’s Motor Insurance and your Driving License.Lender must establish that all laws and protocols are followed with regards to the purchased vehicle.

    Why to Apply for a Car Loan on Bankbazaar.com?

    BankBazaar.com is an online aggregator of car loan products as offered by banks and other financial institutions across India. Perceptively, checking out and applying for a car loan on this customer friendly website offers the following unbeatable advantages-

    • Comprehensive List of Car Loans

      Browse through and get all the information about the most popular car loans available in India. Having so many options before you allows for informed decision making, based on the analysis of the various features, pros and cons offered by the car loans.

    • Compare and Select

      Breeze through all the car loan options before you and select the one that best satisfies your requirements and respects your limitations. Traditionally, this step would entail a lot of running around and enquiries, however, BankBazaar.com turns this into an intensely informative, interactive and private affair that could be completed from the comforts of your home or office.

    • Check your Eligibility

      A simple and interactive wizard helps to ascertain your qualification for the car loan and throws up the best options in line with your requirements. This saves time and cuts out the middlemen.

    • Easy Application Process

      Applying for a car loan on BankBazaar.com is as simple as simple can be. After selecting your car loan and furnishing some essential details on the website, the process is taken over by the bank offering the car loan. Save on all the leg-work and get your car loan with just a few clicks on the computer mouse.

    • Robust Customer Support

      Have a query or concern with regards to the car loan in question? The expert customer support team from BankBazaar.com is always at hand to sort out all your issues. Procuring that ideal car loan was never more simpler.

    • 100% Free

      Making use of the various offerings from BankBazaar.com, including friendly tools like Car Loan EMI Calculator is completely free of charge. Convenience meets simplicity, at 0% monetary investment.

    How to Apply for a Car Loan on BankBazaar.com?

    Getting a car loan is easy through the BankBazaar.com website. You can secure the most appropriate car financing product within a matter of few minutes. The steps involved in the car loan application process are as follows:

    • Visit the home page of the BankBazaar.com website and select the Car Loan product from the drop down menu. The page that shows up will have a list of car loan offerings from various banks.
    • You can compare the loans and select one that suits your needs. You should check certain parameters such as the amount of loan available, eligibility, interest rate, etc.
    • Once you have decided on the loan, click on the “Apply Now” button to initiate the application process.
    • Once the application is submitted, you will receive an e-approval form instantly. Your application will also be sent to the bank that you have chosen to take the loan from.
    • You will soon receive a call from the bank. You can track your application through email notifications or SMS.
    • The bank will validate your eligibility and submitted forms and disburse the loan accordingly.

    Car Loan - Features and Benefits

    Apply for Car Loan Online
    How to Apply for Car Loan?

    When it comes to car loans in India, in general, the following features and benefits are offered. Note that, the following is a generalized look at the advantages offered by car loans. Individually, car loan lenders may have highly customized and specialized offerings for their customer base.

    • A car loan helps you purchase a better car than the one that you can buy with your savings.
    • It allows you to procure a vehicle quickly- without spending too much time arranging for the money through the time-tested concept of ‘saving for it’.
    • It helps you manage the cost of purchase of the new car by spreading it across a longer duration of time. Thereby, this keeps you in control of your spending and makes the car much easier to pay for.
    • Most car loan offerings in India are secured loans. This implies that the car serves as the security/collateral for the loan. If you default on the repayments, you stand to lose the car, plus your credit score is damaged. However, you do have a measure of control over the proceedings - just be careful of not defaulting on your car loan EMIs.
    • Procuring a car loan is usually simple when compared to other loan products. Individuals with slightly unsavory credit scores can also hope to procure one. However, this option differs from bank to bank.
    • Car loans in India often utilize the fixed interest rate option when it comes to repayment via EMIs. This means, you are always assured of a fixed amount that needs to be repaid on a monthly basis.
    • The actual maximum loan amount depends on the vehicle to be purchased and varies from bank to bank. However, this is mostly 100% of the vehicle’s on-road price. The repayment tenure usually stretches from 5-10 years and offers different interest scales for different tenure slabs.
    • Most importantly, a car loan helps you buy your dream car. Aside from being a purely transport option, the car serves as a confidence booster and your means to assert the hard-earned financial freedom.

    How to Get Your Car Loan Sanctioned Easily?

    Whether you are planning to get a loan for a new or used car, there are many options available in the market to choose from. While you browse through all the banks and Non-Banking Financial Companies (NBFCs) to select the car loan that best suits your needs, you may want to opt for a plan that is pre-approved. Doing this will not only help you receive the funds that you require on time, but will also ensure that the process of your loan approval gets carried out as smoothly as possible.

    Banks and NBFCs approve the loan application of an individual only after carefully evaluating his or her credit history, net income, and total expenses. When you are eligible for a pre-approved car loan, it means that the concerned bank or financial services company is ready to offer you the funds required to help you purchase your dream car after carefully verifying your credit profile and repayment capabilities. Opting for such a scheme will make your loan application and approval completely hassle free.

    Steps You Can Follow to Get Your Car Loan Approved Quickly

    When you want to receive funds to purchase the new or used car that you have been eyeing for a while, it is better that you opt for a pre-approved loan. In order to avail such a loan, you can follow a few steps to quickly receive the required funds.

    • Check Your Credit Report
      There are a number of organisations that offer individuals the facility to check their credit report without any charges once every year. You can check your credit report to verify your standing in terms of credit and resolve the errors present such as late payment, collection, incorrect credit limit, etc. If a single error is left unresolved, it can negatively impact your credit score and cause hindrance in getting your car loan approved. By checking your credit report, you can get an idea of how your application will be treated by the lenders and will, therefore, help you take the necessary steps in advance.
    • Pay Your Bills on Time
      In order to avail a loan to purchase your dream car, you must have a minimum monthly pre-tax income and a manageable debt-to-income ratio (DTI). While it is usually not possible to change one’s income, you can improve your DTI by clearing off all your pending credit card debts.
      To create a better credit profile, you should always pay your bills on time. If that is not possible then you can make timely payment of your bills at least 6 months prior to the loan application. If you pay your bills on time, it assures the lender that you will also repay the Equated Monthly Installments (EMIs) on time. This, in turn, will help you secure a loan easily.
    • Look for Your Options
      There are multiple options available in the market through which you can get a loan to purchase your new or used car. You should check the car loan interest rates of different banks and car financing firms in order to find the one that fits your needs.
    • Borrow as Less as Possible
      By paying a larger amount upfront as down payment, you can reduce the sum that you will have to borrow in order to match the price tag of the car you have chosen. If you borrow a lesser amount, you will be in a better position to repay your loan quickly since a smaller loan amount means smaller EMIs or a shorter loan tenure. Additionally, the amount that you will have to pay to your bank or car financing organisation as interest will also reduce.
    • Be Sure to Choose a Plan That Fits Your Budget
      The repayment capability of an applicant greatly impacts the approval of a loan that he or she has applied for. As you decide to get a loan to purchase the car that you have always wanted, you should make sure that you choose a scheme that you can afford. If you are already paying EMIs for other loans that you have availed, you should ensure that you can also pay the EMI of the car loan that you choose.
    • Pay Attention to the Terms of the Loan
      A car loan that has low monthly EMIs but consists of a longer tenure might not be viable for you. Before you finalise your financing scheme, you should always try to opt for a plan that carries the lowest interest rate and the shortest loan tenure as possible. Avoid being tricked into an expensive payment situation by ensuring that the loan terms are conclusive.
    • Get a Car Insurance With Complete Coverage
      While offering a loan, the main concern of banks and NBFCs is not to incur any losses. Therefore, having a full-cover insurance is a requirement for many organisations before sanctioning a car loan as it helps recover the balance debt in case there is an accident wherein the borrower is at fault. Additionally, you should also have a Guaranteed Auto Protection (GAP) insurance which recovers the difference amount between the insurance loss of your car and the outstanding loan.

    Car Loan EMI

    Banks and Non-Banking Financial Companies (NBFCs) offer new and used car loans at attractive interest rates for most makes and models of cars in the market. Car loans are repaid in Equated Monthly Installments (EMIs). Car loan EMI calculation can help you find out how much your car loan will cost you monthly. You can use the free online EMI calculator available on the bank website or a reliable third-party website to calculate the monthly cost of your car loan. The online tool can be used any number of times free of cost. It is advisable to use an online Car Loan EMI Calculator rather than calculating the EMI payments manually because of the probability of a human error.

    It is not only simple and easy to use but also gives instant and accurate results. The steps involved are as follows:

    1. Enter the car loan amount, loan tenure, interest rate, and processing fee into the tool.
    2. Click on the ‘Calculate’ button and you will get instant results in the form of an amortisation table which represents your car loan repayment schedule.
    3. The table will consist of monthly EMI payments, overall interest payment, the outstanding balance after each EMI payment, etc. With the help of a bar graph and pictogram, you can easily interpret your car loan repayment schedule.
    4. Depending on the results, you can choose your car loan tenure and decide whether you want to opt for prepayment or pre-closure of your car loan. A short loan tenure means a higher EMI payment but you can pay off your car loan early. A long loan tenure means a smaller EMI payment but your overall interest payment will be higher. Therefore, use the car loan EMI calculator to choose the right loan tenure.

    Maintain a low debt-to-income ratio wherein your EMI payments should not exceed more than 50% of your salary. If you have a high debt-to-income ratio then there are higher chances of defaulting on your car loan. Hence, it is important to choose an affordable car loan amount with the help of the car loan EMI calculator.

    In terms of popularity, the following banks offer the most sought-after car loan products in India:

    HDFC Bank Car Loan- HDFC Bank offers car loans with exclusive features such as 100% credit for specific vehicles, EMIs that easily fit into your budget, and flexible repayment tenures based on your needs.

    • The bank also offers Balloon EMI and Step-up EMI schemes to suit the requirements of its vast customer base.
    • HDFC Bank customers get special interest rates and quick loan disbursal.
    • The custom-fit car loans from HDFC Bank come with EMIs starting at Rs.1,239 per lakh.
    • The New Car Bazaar feature offered by the bank makes it easy to research and compare vehicles online, apart from evaluating one’s car loan eligibility.
    • Salaried or self-employed individuals who earn at least Rs.3 lakh per annum can apply for this loan provided they also fulfill other eligibility criteria.

    ICICI Bank Car Loan- When it comes to a complete, feature-rich car loan option in India, few can match up to the versatility and simplicity as afforded by the ICICI Bank Car Loan.

    • Offering funding to match 100% of the ex-showroom price of the vehicle, the car loan experience at ICICI is driven by powerful 24x7 customer support and ICICI’s brand of customer relationship management.
    • The other pleasing features include loan tenure of up to 7 years, pre-approved car loans for existing ICICI customers, minimal documentation, hassle-free application process and a simple option to apply for the car loan online.
    • ICICI bank has configured its car loan product to be as customer friendly and approachable as possible.
    • When it comes to a typical Indian customer, the applicable interest rate and the other associated charges hold great prominence with regards to the prospective car loan. In both these cases, the car loan from ICICI Bank rules the roost.
    • Alongside these factors, the consistent goodwill enjoyed by the bank and the positive feedback that it consistently receives with regards to its loan products must prove ample reasons to invest your interest in ICICI Bank car loans, when you are out looking for one.

    SBI Car Loan- As India’s premier public sector bank, the State Bank of India (SBI) enjoys a level of popularity and support from the general public that few other public/private sector Indian banks can match up to. In this light, the SBI Car Loan is an intensely customer-centric loan product.

    • Offering very competitive interest rates, comfortable repayment tenure of up to 84 months, and years, loan amounts that match up to 100% of the proposed vehicle’s on-road price and 0% pre-payment or foreclosure charges, the SBI car loan has its legion of loyal and enduring fans.
    • Unique features such as the overdraft facility and the provision of optional SBI life insurance cover has contributed to SBI car loans’ lasting popularity.

    For a typical, first-time car loan subscriber, the numero uno priority is in relation to the confidence, comfort and simplicity that his/her choice of car loan provider can elicit. In this regard, the public sector behemoth named SBI has little competition in India. Known for its people-centric approach, the car loan product from SBI is highly sought-after and will continue to remain a premier choice in the years to come.

    Axis Bank Car Loan- The car loan product from Axis Bank is commended for its simple application procedures, customer friendly terms and conditions, robust customer support initiatives and adherence to the modern ways of personal banking.

    • The bank offers up to 85% of the proposed vehicle’s on-road price, and in the case of some select car models, this number can hit 95%.
    • Other friendly features include an attractive interest rate, comfortable repayment tenure ranging from 1-8 years, provision of loan to a wide demographic of individuals including salaried, self-employed, partnership firms, corporates, limited liability partnerships, etc.
    • The minimum loan amount is Rs.1 lakh and the bank offers special benefits for priority banking customers.
    • The true strength of the Axis Bank car loan is the wide popularity it enjoys amongst its target audience. Simplified eligibility criteria, minimal documentation and the ease of online application are some of the features that work strongly in favor of the Axis Bank car loan.
    • The bank has in store, car loan offerings that match up to the most discerning tastes and complies with the most budget-conscious requirements. Configured to emerge as the most ideal car loan product available in the Indian market today, the Axis Bank car loan will surely engage 100% of your undivided attention.

    When it comes to selecting the car loan that works best for you, some fundamentals will come in handy. The following list explains the do’s and don’ts when choosing the right car loan,

    Compare

    Check out the maximum number of options available to you. Not all car loans are created equally- and finding the best loan could involve some work. BankBazaar.com can help you here by helping you check out and compare between the various car loan and used car loan options available to you.

    What’s the Interest?

    The applicable interest rate is potentially the biggest factor when it comes to choosing the right car loan. Not surprisingly, the lower the interest rate, the better. This condition holds true even when a lower interest rate would mean that some of the expected features aren’t available in the loan.

    Keep it Simple

    Pay heed to your financial limitations and choose a car model that perfectly suits your budget. This will imply that your car loan is in line with your set requirements. Don’t fall prey to up-selling tricks at the car showroom.

    Hidden Fees and Charges

    Sometimes, what appears as obvious will have a hidden component. Be completely aware of the hidden fees and charges concerning the car loan, as also be cautious of time bound incentives and packages- they will expire soon and you may be left with a lesser deal than you hoped for.

    When applying for a car loan in India, across any of the possible lenders, the following documents must be submitted for verification. Note that, in their individual capacity, the lender may request you for more proofs and documents.

    • Know Your Customer (KYC) Documents, including, identity proof, address proof, age verification, completed application form with photographs and substantiated signatures. The associative documents could include PAN card, Voter’s ID, Ration Card, Aadhaar Card, etc. (any government issued document).
    • Income Proof as proved by 6 months bank statement, upto 3 months salary slips and income tax returns.
    • PAN Card- this helps to establish the potential borrower’s credit history.
    • If the applicant is self-employed professional/ non professional or a business/partnership firm, the bank may demand for a number of additional documents including business ownership proof, profit-loss documentation, etc.

    In order to be eligible for a car loan in India, the applicant must qualify against a certain set of expectations. Generally, car loan eligibility is dependent upon the following factors-

    • The applicant must be an Indian citizen.
    • He/she must not be younger than 21 years and older than 60 years at loan maturity.
    • The applicant must have a secure employment, with regular income and tenure at the same job for atleast 2 years.
    • He/she must have a respectable annual income that properly demonstrates his/her capacity for loan repayment. If spouse is signing up as co-applicant, then his/her salary is also considered.
    • Must possess a landline/cellphone that marks his address, and occupation of that address for an expected duration of time.
    • Kindly note that all the numbers and variables here may differ from bank to bank. In their individual capacity, banks may have additional qualification procedures.

    The interest rates applicable to car loans in India will differ from bank to bank. These lenders depend on their unique criteria and base lending rates to decide upon the applicable car loan interest rates. However, in India, car loan interest rates ranging between 9%-15% are generally expected and considered competitive. Kindly refer to individual banks’ car loan pages on BankBazaar.com for more information in this regard.

    When we speak of a Car Loan EMI Calculator, we are referencing to an online tool that assists in the electronic computation of the Equated Monthly Installments (EMI) as applicable to your car loan. On BankBazaar.com, the interactive, time saving and informative Car Loan EMI Calculator will simplify this otherwise tedious and uninspiring task. This calculator exhibits the following characteristics,

    • Speed- Precise and informative EMI calculations are done in mere seconds.
    • Comprehensive Information- Get info on EMI, amortization details and much more.
    • 100% Free- Making complete use of this friendly tool costs you nothing, now and forever.

    Case Study

    Mr. Singh has had a lot of experience in dealing with loans. It wouldn’t be the first time he has applied for a loan and it wouldn’t be the first dire situation that a loan has come to his aid. It all started when Mr. Singh didn’t have the capital required to finance his daughter’s high school education. He was on the verge of selling his vehicle to pay his daughter’s fees, but thanks to a friend, he didn’t have to sell a single thing to get the money that was required. His friend spoke to him and made him understand the benefits offered with an education loan. As Mr. Singh had a good credit score with CIBIL, it was easy for Mr. Singh to procure an education loan from a leading bank in India in a matter of days.

    Years later, Mr. Singh would use the services of a bank to apply and procure a two-wheeler loan to purchase a new two-wheeler for his daughter. Lucky for him, the education loan which he had taken earlier, was paid back to the bank without any delays. This, along with a good credit card history, improved his credit score which made it easy for Mr. Singh to procure a second loan to purchase a new two-wheeler.

    Years went by and it was time for Mr. Singh’s daughter to get married. There are a lot of expenses that a marriage can demand and it is the dream of any parent to try and provide their children with the best marriage ceremony possible. But, Mr. Singh was financially strapped and he didn’t know how to come up with the capital that was required.

    That’s when Mr. Singh decided to apply for a personal loan with the same bank that has helped him out generously in the past. The personal loan was offered to Mr. Singh at an affordable interest rate. Mr. Singh was so satisfied that he even procured a car loan to help him purchase a new car for his daughter and her soon-to-be husband.

    At the end of it all, Mr. Singh was able to provide a comfortable life for his daughter and also repaid all his debts to the bank on time. A loan can be of great help in hard times and banks now offer different types of loans such as car loans, two-wheeler loans, personal loans, and education loans at affordable interest rates. Some banks even do not require a collateral to be provided when applying for a loan. Loans can be a valuable safety net for a person that provides financial security to an individual.

    Car Prices in India

    With the automobile industry expanding at a rapid pace and with more and more car manufacturers establishing their bases in India, buying a car has become a hassle-free procedure. Car prices in India vary depending on the segment of the car purchased and also with the additional features provided by the manufacturer. BankBazaar offers a comprehensive list on car prices across various models of cars sold in India. Be it a hatchback, sedan, luxury sedan, SUV or MUV, we equip you with the necessary pricing information to help you decide on the right car suited for your needs and current financial situation.

    Car Dealers

    Car dealerships in India are committed to providing quality services across all areas of car servicing and maintenance. Majority of car showrooms in India have tie-ups with the automakers to impart training to their technicians in maintenance, diagnostics, system check, etc. Staff training and expanding the facilities is a continuous process taken up by dealers to ensure that customers receive the best value for the money they pay. Right from the sale of brand new cars and used cars to periodic maintenance and customer support, the dealership outlets offer a wide variety of services. Nowadays, most dealers list out their services online to ensure a seamless customer experience without requiring face-to-face interactions.

    Car Loan Tips

    Buying a car has become much easier these days with a variety of loans offered by banks and other financial institutions. So, if you are planning to get your favorite vehicle financed, here are some tips for making the right decision.

    Negotiate with the Dealer

    If you plan to avail a car loan through dealership finance, it’s always advisable that you negotiate for the best offer. Dealers usually have a sizeable margin on new car sales which can come in the form of discounts if properly negotiated.

    Compare Interest Rates

    You dealer is more likely to suggest you the bank they have tied up with. But as a buyer, you must compare offers from different banks and choose the one that suits your requirements.

    Know your Credit Score

    Assess your credit score before applying for a car loan as incongruities in the report may often affect your credit profile. Banks, most of the time, quote a higher interest rate if the credit score is found to be ranking low.

    Choose a Shorter Repayment Tenure

    Do not stretch the tenure of your loan unnecessarily. Like any other form of debt, a car loan too should be repaid at the earliest to secure your finances. While long tenures have low EMIs, the total interest outgo when calculated at the end of the loan term would be much higher than a loan with a short tenure.

    Read the Fine Print Carefully

    Make sure you have read the loan document carefully before signing the contract. Factors such as interest rate, foreclosure charges, and other important terms and conditions should be given a thorough read.

    Car Loan Checklist

    While applying for a car loan, providing the right documents can simplify the entire loan approval process. Some banks may ask you for additional set of documents which other banks may not require. Here’s a general checklist of documents that most banks ask while applying for car loans:

    Proof of Income

    Take copies of your salary slip and account statement from the bank along with proof of additional source of income, if any.

    Your Loan History

    Your bank may want to know the details of loans that you have taken in the past. The lender may ask you for your credit card statements and/or no objection certificates from other banks, in case you have an outstanding loan payment.

    Proof of Residence

    You have to submit a valid government issued document as a proof of your residence. Make sure that the document you submit shows your name and permanent address. You can provide documents such as Aadhaar card, Passport, Voter ID card, etc.

    Details of Your Vehicle

    While purchasing a new car, you may be required to submit the buyer’s order or copies of other purchase documents to your lender. It should include the price of your car, its identification number, year of manufacture, make and model, etc.

    Insurance Proof

    You should submit copies of your vehicle insurance documents as a proof that your new car is adequately covered for all road mishaps and eventualities.

    How much funding can I expect in terms of the car loan?

    This factor differs from bank to bank. While some banks offer the complete 100% of the vehicle’s on-road price, banks such as SBI offer upto 90% of the vehicle’s ‘on-road’ price. Generally however, the minimum loan amount will be equal to Rs.1 lakh.

    Can I pre-pay the entire loan amount? What are the conditions involved?

    Yes, you can prepay the entire car loan and save on vital interest payments in the future. However, most banks will allow the pre-payment option after you have chalked off 6 months on your loan tenure. Plus, you will be expected to pay a small fee as pre-payment penalty that will be dependent on the leftover loan amount.

    What car models are financed by the standard car loan in India?

    Unless otherwise specified, almost all small to medium sized cars, Sports Utility Vehicles (SUV) and Multi Utility Vehicles (MUV) come under the purview of car loans available in India. However, as mentioned, refer to the loan brochure for exceptions to this rule.

    When applying for the car loan, do I need a guarantor/ security?

    Almost all car loan products available in India are secured loans, with the procured vehicle itself acting as the customary security. Most lenders in India will not insist upon any guarantors, however, if your annual income does not match upto the expected requirement, then you may be expected to sign-up a co-applicant and/or guarantor.

    What are the commonly available car loan repayment tenures?

    Repayment tenures usually range from 12 months to 84 months (1-7 years).

    Conclusion

    When you want to get the best deal in the market to finance your car, you should look for the scheme that best suits your budget and requirements. In order to ensure that you get the funds on time, you can check your credit report and try to resolve the issues to the best of your ability. Banks and financial services organisations often give priority to candidates who can pay a larger percentage of the total price of the car upfront. Making a large down payment not only reduces your risk liability, but also ensures that you don’t have to pay a huge amount of money as interest. This will also help reduce the cost of monthly EMIs that you will have to pay towards the loan

    `

    Super Duper Deals December’18

    Apply for Car Loan from BankBazaar & Get an Amazon gift card worth Rs. 2500 on disbursal of your loan.

    How to participate in the deal?

    • Apply for an eligible Car Loan product on www.bankbazaar.com or Mobile app of bankbazaar.com
    • Get an Amazon gift voucher worth Rs. 2500 on disbursal of your Car Loan.
    • The voucher will be sent to the email ID provided at the time of making the car loan application after the disbursal of your Car Loan.
    • Users can visit www.amazon.in or Amazon app to redeem the Amazon gift voucher.

    How to use the gift voucher at the Amazon website?

    • Given below is the step-by-step process to claim your gift voucher on Amazon:
    • Find the claim code provided in the e-gift voucher from Amazon
    • Login to your Amazon account
    • Choose the option “Apply a Gift Card to Your Account”
    • Enter the claim code in the space provided and select “Apply to Your Balance”

    Important points to note

    You will not be able to redeem your gift card using the Amazon.com 1-Click service unless you redeem the card and add the funds to your account first

    • Super Duper Deals is an offer launched by BankBazaar in partnership with Amazon and it is effective from 1st of December 2018
    • The offer will end on 31st December 2018
    • For details on Amazon Gift Vouchers and the usage limits, visit the Amazon website
    • Redemption of the voucher shall be governed completely by the terms and conditions set out by the merchant
    • The participants should be above 18 years of age as on the date of submission of their application for car loan

    Happy Shopping!

    Top Trending Articles on Car Loan 2018

    • Cars Under 4 Lakhs

      The car industry in India is booming with new launches coming up every year from multiple manufacturers. While some car makers are targeting the customers who lean towards high-end cars by offering products that are packed with state-of-the-art features, others are focusing on the middle-class buyers who give preference to cars that are easy on the pocket and have better usability. While the intense battle among the manufacturers goes on, it is easy for the buyer to get confused which car to choose from all the available options that is not only affordable but suits his or her requirement the best. In order to help you make up your mind, BankBazaar has compiled a list of all the top cars under Rs.4 lakh that are going to make way to the Indian market in 2018. You can take a look at this list before making an investment so that you can learn what options you have, and which car best suits your needs. Read More...

    • Car Lease Vs Car Loan

      In order to help customers fulfill their dream of owning a car, innumerable financing organisations offer car financing solutions that can reduce their customers’ burden of paying a huge lump sum amount while making a four-wheeler purchase. The most commons car financing options that a customer can avail is car loan and car lease. While both are great ways to receive financial aid while buying the car of your dreams, you should learn how these two financial scheme differ from each other. This will not only help you make the right decision in choosing the best plan according to your needs, but might also be able to save you money in the long run. Read More...

    • Car Loan Schemes for Women

      As modern-day women strive to walk shoulder to shoulder with the men in all walks of life, there are a myriad of organisations in India that are coming up with numerous economical and financial schemes in order to help them reach greater heights. The lending industry is no different in such a scenario. Numerous banks and non-banking financing companies (NBFCs) have also joined the bandwagon to offer greater benefits to the women of the country in terms of car loans and help them become financially stable. When a female borrower applies for a car loan, the lender might offer her financial aid at a discounted interest rate along with other benefits depending on the needs of the customer. In order to become eligible for a car loan scheme designated for women, the primary borrower of the loan should be a female who holds a valid driving license and is an employee of a reputed organisation. The candidate might also receive some margin in the minimum income requirement to avail the loan depending on the financing organisation. Read More...

    Disclaimer*:

    BankBazaar reserves the right to modify, add or discontinue the terms and conditions at any time without any notice.

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    Car Loan Reviews

    • review Car Loan
      "Excellent service"
      0.5 5.0/5 "Blown Away!"
      I have been holding my car loan with Reliance capital limited from past one year, the rate of interest they have charged me was nominal and they have charged me processing fee or not i have no idea, the loan amount they have given me was sufficient according to the car price i got my loan, overall service is good.
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      , chennai
      Reviewed on Dec 12, 2018
    • Bank of India Car Loan
      "Excellent service"
      0.5 5.0/5 "Blown Away!"
      I have been holding my car loan with Bank of India, the loan amount they have given me was sufficient, they have charged nominal rate of interest and even processing fee is also nominal, so far there service is have experience was good, they have not taken any hidden charges ,there overall service is good.
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      , bhubaneshwar
      Reviewed on Dec 12, 2018
    • ICICI Bank Car Loan
      "Excellent service"
      0.5 5.0/5 "Blown Away!"
      I have applied my car loan with ICICI bank recently, i have been using this loan from past 5-6 months only, and i took my car three years back only but loan i have took recently, and the loan amount they have given me was sufficient , and the rate of interest they have charged me was nominal.
      Was this review helpful? 0
      , mumbai
      Reviewed on Dec 12, 2018
    • SBI Car Loan
      "Good Financial service"
      0.5 4.5/5 "Excellent!"
      I have taken car loan from the state bank of India . They have give good rate of interest and am happy with it . They took only 1 week for the approval and documentation . There charges some nominal amount for processing fees . Overall am satisfied with my car loan.
      Was this review helpful? 0
      , mumbai
      Reviewed on Dec 12, 2018
    • SBI Car Loan
      "GOOD BANKING"
      0.5 5.0/5 "Blown Away!"
      I have taken the personal loan with the STATE BANK OF INDIA where the process is very quick and very fast process. The loan amount is satisfactory also the rate of interest is 8.75% also there is a pre closer charges applicable and 5 years to repay the loan.
      Was this review helpful? 0
      , chennai
      Reviewed on Dec 12, 2018
    • HDFC Bank Car Loan
      "Good loan services"
      0.5 5.0/5 "Blown Away!"
      Probably they are charging 18% as a interest rate, I have purchased the car loan by last year. The loan amount was more than Rs. 3 lakhs. There is some processing fee. The dealer has done all the documentation process. I have got the loan in a couple of days. I have been paying the EMI of Rs. 6100. Total tenure period of the loan is 7 years.
      Was this review helpful? 1
      , guwahati
      Reviewed on Dec 12, 2018
    • SBI Car Loan
      "Nice loan from SBI"
      0.5 3.5/5 "Pretty good"
      I have purchased the car loan from SBI. The details given about the car loan was good. I have taken the loan amount of Rs. 2.5 lakhs. They have provided me a interest rate of 9% and there was some processing fee. I have been paying the EMI of Rs. 5700 and I'm making the payment through ECS.
      Was this review helpful? 0
      , mumbai
      Reviewed on Dec 11, 2018
    • SBI Car Loan
      "Best Service"
      0.5 5.0/5 "Blown Away!"
      I have taken a car loan with SBI and my experience was good, it was a new car and the loan amount was for Rs 7.6 lacs with nominal interest rate when compared to others. Customer service was good and the tenure period is 5 years.
      Was this review helpful? 1
      , bangalore
      Reviewed on Dec 11, 2018
    • ICICI Bank Car Loan
      "Very Easy process"
      0.5 5.0/5 "Blown Away!"
      ICICI bank provides the best banking solutions. 1 year i have purchased the care loan. I got the loan amount of Rs. 4.50 lakhs. Within 3 days, i have received the loan amount. I pay the premium amount of Rs. 30500 and i have chosen the tenure period of 36 months. The documentation process was also very easy.
      Was this review helpful? 1
      , bangalore
      Reviewed on Dec 11, 2018
    • Axis Bank Car Loan
      "GOOD"
      0.5 5.0/5 "Blown Away!"
      I have taken the car loan with the AXIS BANK where the rate of interest is nominal also the loan amount is good added on that i am using it from past one year. The customer service is helpful by getting the car loan with this bank. I am satisfied with the services of this bank.
      Was this review helpful? 1
      , kolkata
      Reviewed on Dec 11, 2018
    • Ford Finance Car Loan
      "BEST"
      0.5 5.0/5 "Blown Away!"
      I have a very good experience with the FORD CREDIT as i am using it from past 2.5 years. The reason for taking the car loan with the FORD CREDIT is that they are offering with the lower rate of interest also the best feature is that the loan is taken at the same place from the showroom.
      Was this review helpful? 0
      , gurgaon
      Reviewed on Dec 11, 2018
    • Kotak Car Loan
      "Good service"
      0.5 4.0/5 "Great!"
      I have been holding car loan with Kotak mahindra bank previously, i have close that loan 7 years before itself, there service was good, they have given me loan amount depend upon my salary package , the rate of interest they have charged was nominal, they have not charged any processing fee , there overall service is good.
      Was this review helpful? 0
      , hyderabad
      Reviewed on Dec 10, 2018
    • HDFC Bank Car Loan
      "Interest rate should be economical"
      0.5 5.0/5 "Blown Away!"
      I got the auto loan from HDFC for Rs 2 lakhs again I have top up the car loan for Rs. 2 lakhs but I felt interest rate is not standard its quite high compared as others, the process was quick they have disbursed the amount to the dealer they delivered my car.
      Was this review helpful? 1
      , mysore
      Reviewed on Dec 10, 2018
    • ICICI Bank Car Loan
      "Good Experience on car loan"
      0.5 4.0/5 "Great!"
      My experience with ICICI of the car is good, they taken 7 to 10 days to disbursed the amount to the dealer, I have purchase Renault kwit 2013 model, the loan amount is sufficient as I expected, customer support is good. The interest rate is little higher.
      Was this review helpful? 0
      , jabalpur
      Reviewed on Dec 10, 2018
    • Axis Bank Car Loan
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      The Car loan experience with them has been really quick and the process has been simple as i was having my salary account with them. The loan amount was sufficient and the interest rate with them has been nominal as well. There has not been any sort of additional charges which they had made so far.
      Was this review helpful? 3
      , chennai
      Reviewed on Dec 10, 2018
    • HDFC Bank Car Loan
      "Excellent card"
      0.5 5.0/5 "Blown Away!"
      I have been holding HDFC credit card, there service is too good, they have charged me annual fee or not i have no idea, as i have not check that and i am happy with my credit limit they have given me up to 5,81,000 it is sufficient for me , they provide good offers in maximum products.
      Was this review helpful? 0
      , hyderabad
      Reviewed on Dec 08, 2018
    • SBI Car Loan
      "Good service"
      0.5 4.0/5 "Great!"
      I have been holding my car loan with state bank of India from past 1 year, the loan amount they have give me was sufficient for me , but there service is not up to the mark, they took long procedure to get loan, the rate of interest they have charged me is less comparing to other bank, and there are no hidden charges .
      Was this review helpful? 1
      , hosur
      Reviewed on Dec 08, 2018
    • ICICI Bank Car Loan
      "Good service"
      0.5 4.0/5 "Great!"
      I have been holding my car loan with ICICI bank for long time, they have given me sufficient loan amount, and they have charged me nominal rate of interest in this loan and they have not charged any processing fee in this loan , overall experience was too good in this card.
      Was this review helpful? 5
      , bhubaneshwar
      Reviewed on Dec 07, 2018
    • SBI Car Loan
      "Transparency should be easy process"
      0.5 3.0/5 "Satisfactory"
      My car loan with SBI, when I took the loan they quoted 9.55% at finally they changed around 13%, suddenly they increase the interest at the closure not even they intimated. The duration for 5 years , even after that they ask me pay at the remaining amount, even paper work is tough.
      Was this review helpful? 1
      , bangalore
      Reviewed on Dec 07, 2018
    • UCO Car Loan
      "Best service"
      0.5 5.0/5 "Blown Away!"
      My car loan was taken with UCO BANK , the process of getting loan was too fast i just got my loan in few days and i dont have to worry about document . The tenure period is 10year and they charge nominal rate of interest and about processing fee was also good . They had also given an option of foreclosure too.
      Was this review helpful? 0
      , lucknow
      Reviewed on Dec 07, 2018
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