• Top 10 Banks for Car Loan in India

    Name of the Lender Interest Rate (p.a.) Processing Fee
    State Bank of India 8.80% to 9.50% NIL (until 31 October 2019)
    Bank of Baroda Starting from 8.35% + Strategic Premium + 0.25% Unified processing fee of Rs.500 + GST (until 31 December 2019)
    Union Bank of India 8.60% to 8.70% 0.50% of loan amount (max. Rs.15,000) + Service tax
    HDFC Bank Starting from 8.90% (Please contact the bank for updated rates) 0.40% of loan amount (min. Rs.3,000; max. Rs.10,000)
    Federal Bank 9.25% Loan up to Rs.5 lakh – Rs.1,500 Loan above Rs.5 lakh – Rs.2,500
    Axis Bank 9.05% to 11.30% Rs.3,500 to Rs.5,500
    Canara Bank 8.75% to 11.30% 0.25% of loan amount (min. Rs.1,000; max. Rs.5,000)
    IDBI Bank 9.10% to 9.70% Rs.1,000 + applicable taxes
    Punjab National Bank 8.55% to 9.20% (RLLR/MCLR linked rates) Loan up to Rs.6 lakh – Rs.1,000 Loan above Rs.6 lakh – Rs.1,500
    Syndicate Bank 8.85% to 9.10% Rs.25,001 to Rs.2 lakh – Rs.1.25 per Rs.1,000 (min. Rs.125) Above Rs.2 lakh – Rs.200 per lakh
    1. State Bank of India Car Loan
    2. Features:

      • The interest rates on SBI Bank Car Loan are one of the lowest in the market and are calculated on daily reducing balance.
      • SBI offers car loans under 4 categories namely, SBI New Car Loan Scheme, SBI Loyalty Car Loan Scheme, SBI Assured Car Loan Scheme, and SBI Car Loan Lite Scheme.
      • Financing of up to 90% of the car’s on-road price can be availed which will include registration, cost of accessories, insurance, extended warranty, annual maintenance contract, etc.
      • An optional life insurance cover is offered by SBI to its borrowers.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      SBI New Car Loan Scheme Age: 21-67 years Minimum annual income: Rs.3 lakh Up to 7 years Salaried: 48x the net monthly income Self-employed: 4x Gross Taxable Income/Net Profit Agriculturists: 3x Net Annual Income
      SBI Loyalty Car Loan Scheme Meant for existing SBI Home Loan borrowers Age: 21-65 years Minimum annual income: Rs.2 lakh Up to 7 years Will depend on various factors
      SBI Assured Car Loan Scheme Minimum age: 18 years; no maximum age Income declared by applicants will be accepted 3-7 years Min: Rs.2 lakh; No cap on maximum
      SBI Car Loan Lite Scheme Self-employed individuals engaged in economic activity but have no income proof Age: 21-65 years Minimum annual income: Rs.2.5 lakh Up to 5 years Maximum loan of Rs.4 lakh
    3. Bank of Baroda Car Loan
    4. Features:

      • Can apply to purchase passenger cars, SUVs, and MUVs for private use.
      • Offers the benefit of lower interest rates to individuals with a high credit score.
      • The interest rates on Bank of Baroda car loan are computed on daily reducing balance
      • The bank does not charge any penalty on pre-closure of car loans.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      Car Loan Age: 21-70 years Minimum credit score of 725 Up to 7 years Maximum loan of Rs.1 crore
    5. Union Bank of India Car Loan
    6. Features:

      • Apply for new or old cars (up to 3 years) with this car loan scheme.
      • Companies/firms can apply for this loan for use by their employees.
      • The Union Bank of India car loan borrower should meet the margin requirements of 15% of the vehicle’s on-road price.
      • No prepayment penalties on closing loan early with own funds.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      Vehicle Loan Resident Indians and Non-Resident Indians are eligible Age: 18-70 years Up to 7 years Maximum loan of Rs.1.25 crore
    7. HDFC Bank Car Loan
    8. Features:

      • The car loans offered by HDFC Bank are custom-fit to meet the requirements of the borrowers.
      • Comes with flexible repayment options in the form of step-up EMI and balloon EMI.
      • A comprehensive insurance cover known as Suraksha Kawach is offered with the car loans from HDFC Bank.
      • Existing car loan borrowers can avail top-up loans without any documentation.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      New Car Loan Age: 21-65 years Minimum annual income: Rs.3 lakh Up to 7 years Maximum loan of Rs.3 crore
    9. Federal Bank Car Loan
    10. Features:

      • No penalty charged for foreclosure of the car loan.
      • Personal accident insurance is offered free of cost with the Federal Bank car loan up to Rs.10 lakh.
      • Up to 100% of the vehicle’s ex-showroom price can be availed.
      • Borrowers can get a reimbursement within 1 month from the day the vehicle was purchased.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      Personal Car Loan Minimum take home criterion applicable based on employment type Salaried: Up to 7 years Non-salaried: Up to 5 years -
    11. Axis Bank Car Loan
    12. Features:

      • Priority banking, Privee Banking, and Wealth Banking customers of Axis Bank can enjoy special benefits on car loans.
      • Individuals and non-individuals can apply for this loan.
      • Income documents and bank statements waiver for pre-approved customers and salary account customers of the bank.
      • Borrowers can earn Axis eDGE reward points on availing the car loan.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      New Car Loan Age: 18-75 years Minimum annual income: Rs.2.40 lakh Up to 8 years Minimum loan of Rs.1 lakh; Maximum loan up to 100% of road price
    13. Canara Bank Car Loan
    14. Features:

      • Known as Canara Vehicle, the car loan can be used to purchase new or old 4-wheelers.
      • Up to 90% of the total value of the car can be availed as a car loan from Canara Bank and this is inclusive of registration charges, invoice value, insurance premium, life tax, etc.
      • To buy a new car costing up to Rs.10 lakh, above Rs.10 lakh and up to Rs.25 lakh, and above Rs.25 lakh, you will need to pay 10%, 15%, and 20% of the loan amount respectively.
      • The Canara Bank car loan can be availed by all individuals, professionals, firms, etc., except for Hindu Undivided Families (HUFs).
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      Canara Vehicle Minimum annual income: Rs.3 lakh Up to 7 years No cap on maximum loan amount
    15. IDBI Bank Car Loan
    16. Features:

      • The IDBI Bank car loan can be used to buy from a huge range of cars and SUVs.
      • The bank has tie-ups with car dealers and manufacturers to ensure the best deals to borrowers.
      • The EMIs can be paid through standing instructions or ECS.
      • Part payment/foreclosure allowed after 6 months of loan tenure. No penalty if prepaid using own funds.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      Auto Loan Age: 18-70 years Minimum annual income: Rs.2.40 lakh Up to 7 years Offers higher sanction for funding
    17. Punjab National Bank Car Loan
    18. Features:

      • The bank has partnered with leading car manufacturers such as Tata Motors, Honda Cars India, Maruti Suzuki India, Mahindra & Mahindra, and Force Motors Ltd., to offer best deals on car loans.
      • Individuals and businesses can apply for this car loan for private use.
      • The bank offers both fixed and floating interest rates on the car loan.
      • A collateral security or third-party guarantee must be provided to avail a Punjab National Bank car loan but based on an individual’s merit, this condition can be waived off.
      • For the benefit of government employees, Punjab National Bank offers car loan under the name ‘PNB Pride Car Loan’.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      PNB Car Loan Minimum net monthly income: Rs.20,000 Up to 7 years Maximum loan of Rs.1 crore or 25x net monthly income
    19. Syndicate Bank Car Loan
    20. Features:

      • A third-party guarantee is not required to avail the Syndicate Bank car loan, also known as ‘Synd Vahan’.
      • All individuals, partnership firms, proprietorships, trusts, societies, directors/employees of the corporates, other legal entities except for HUFs, are eligible to avail the loan.
      • Only available for purchase of new vehicles.
      • Borrowers whose salary is credited to their Syndicate Bank accounts will enjoy discounts on car loan interest rates.
      Car Loan Scheme Eligibility Loan Tenure Loan Amount
      Synd Vahan Minimum annual income: Rs.2 lakh Up to 7 years Up to 85% of on road price + additional Rs.10,000 for accessories

      The above list should have given you a fair idea about the benefits and features offered by various lenders on their car loans. You can now go ahead and make an informed decision on which lender you should pick to fund the purchase of your dream car.

    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.

    reTH65gcmBgCJ7k
    This Page is BLOCKED as it is using Iframes.