If you really think about it, it's easier getting a loan for a car than a loan for bus fare!
  • Used Car Loans in Bengaluru is Rated as "Excellent!" by 35707 Users

    Fees & Charges

    Promised Interest Rate

    Customer Service

    Responsiveness

    Car Loan BYTES FROM OUR KITCHEN

    Used Car Loans in Bengaluru

    Bengaluru is a happening city in India with multiple job opportunities in various fields, quality educational institutions, abundant society apartments, well-maintained parks, 5-star hotels, and pubs. The capital city of Karnataka has a diverse population with people from all over the country settling down here for high-paying jobs. Given the hustle-bustle of the city, the cost of living is unsurprisingly higher than most cities in the country.

    Owning a Car in Bengaluru

    Traveling in the city can be a bit arduous owing to a large population and heavy traffic. Majority of the residents own a four-wheeler or a two-wheeler of some kind to get around the city for work, school or shopping. The remaining opt for public transport like metro trains and buses. There is no doubt that cars are a convenient mode of transportation, except when stuck in a heavy city traffic. However, you can use the same car to leave behind the heavy city traffic and to go on long road trips on the weekend.

    Auto Finance for a Car of Your Choice

    If you are in the market for a car but don’t have sufficient funds to buy one, you can opt for a car loan from the bank. As the auto manufacturers around the world are launching new car models every month, the consumers are overwhelmed by the options and the lack of funds. Furthermore, carmakers are hiking prices on certain models of cars this month. This makes it harder to afford a car of your dreams.

    There is an alternative to purchasing a brand new car of your choice. The price of used/pre-owned cars is lower than new cars. With the help of used car loans, you can purchase a good-condition used car of the same model (less than 5 years old). What’s more, if you are someone who changes cars every few years, you can save money by purchasing used cars rather than new cars.

    Used Cars Loans

    Banks and Non-Banking Financial Companies (NBFCs) offer used car loans for the purchase of a pre-owned or used car. Although the price of a used car is lower than a new car, used car loans have a higher interest rate and lower loan tenure compared to new car loans due to the age of the car. Banks offer used car loans up to 80-85% of the ex-showroom/on-road price of the car at 12-18% for a loan tenure of 1 to 5 years. Used car loans are paid in Equated Monthly Installments (EMIs) over a specified period of time called the loan tenure.

    Here is a list of the top banks and NBFCs providing used car loans in India:

    Bank Loan amount Loan tenure Rate of Interest Processing fee Prepayment charges
    HDFC Bank Up to 100% funding (100% value of the used car or 3-6 times your yearly income) 1 to 7 years (age of the car at loan maturity shouldn't cross 10 years, subject to a maximum loan tenure of 5 years) 11.50-17.50 p.a. based on the segment and age of the car Rs.5,000 or 2% of the car loan amount, whichever is lower
    • 5% of the part-payment amount for prepayment within 13-24 months from 1st EMI
    • 3% of the part-payment amount for prepayment post 24 months from 1st EMI
    State Bank of India Up to 2.5 times your net annual income 1 to 5 years (also, the age of the car should not be more than 5 years at the time of taking the car loan) 12.60% p.a. 0.50% of the loan amount + GST, subject to minimum Rs.450 + GST and maximum Rs.9,100 + GST 2% of the prepayment amount
    Sundaram Finance Up to 85% of the purchase price of the car or Valuation Report by SF Panel surveyor, whichever is lower 1 to 3 years (age of the vehicle by the end of loan tenure should not exceed more than 8-10 years, depending on the make of the car) 12-14% p.a. Rs.2,500
    • Prepayment not allowed
    • Preclosure fee - 3% of principal outstanding
    ICICI Bank Up to 80% of the price of the car 24 to 35 months 10-17.65% p.a. Rs.6,000 or 2% of the car loan amount, whichever is lower
    • 6% of the part-payment amount for prepayment within 7-12 months from 1st EMI
    • 5% of the part-payment amount for prepayment within 13-24 months from 1st EMI
    • 3% of the part-payment amount for prepayment post 24 months from 1st EMI
    TVS Credit Services Up to 85% of the price of the car 1 to 5 years 13.1-15% p.a. Rs.999 + GST
    • Prepayment not allowed
    • Preclosure fee - 5% for remaining EMIs more than 24 months, 4% for remaining EMIs for 24 months, and 3% 5% for remaining EMIs for 12 months

    How to Apply for a Used Car Loan Online?

    Compare various used car loan offers across the top lenders on a reliable third-party website and choose one with a low interest rate, suitable loan tenure, and flexible repayment options. To apply for a used car loan online, download the application form from the bank website. Submit the duly-filled and signed application form along with the necessary identity proof, income proof, age proof, and address proof at the nearest bank branch. Or, you can choose to upload the application form and the relevant documents to the bank website.

    What is Used Car Loan Eligibility?

    Before applying for a used car loan, it is wise to check your car loan eligibility so as to avoid loan rejection. Multiple loan rejections can have a negative impact on your credit score. A bad credit score can hurt your future loan prospects. The eligibility criteria for a used car loan is as follows:

    • The applicant must be 21 to 65 years of age.
    • He or she must have a minimum annual income of Rs.2-4 lakh.
    • The applicant must be a salaried or self-employed person with minimum 2 years of work experience in the same field.

    Your car acts as collateral for a car loan. However, some banks may ask for a co-applicant signature for used car loans.

    How to Calculate Used Car Loan EMI?

    Use the free car loan EMI calculator available on the bank website or a reliable third-party website to find out how much your used car loan will cost you monthly. The tool is simple and easy to use. All you have to do is enter the loan amount, loan tenure, interest rate, and processing fee of your car loan into the tool. Click on the ‘Calculate’ button. You will get instant and accurate results. Manual EMI calculation is prone to human errors.

    The results of your EMI calculation will be represented in the form of an amortisation table, a pie chart, and a bar graph. You will get a complete breakdown of your used car loan. The amortisation table is a representation of your periodic used car loan schedule. It consists of EMI payments, interest payments, the outstanding due after each payment, etc. One main advantage of an online car loan EMI calculator is that you can input varying combinations of loan amounts, interest rates, and loan tenures to get revised repayment schedules. Depending on the results, you can choose a suitable loan tenure and loan amount in order to save up on the overall interest payments on your used car loan.

    Useful Tips to Obtain and Repay Used Car Loans

    • It is advisable to maintain a low debt-to-income ratio wherein your EMI payments must not exceed more than 50% of your income. A high debt-to-income ratio can lead to delayed or missed EMI payments. Defaulting on car loans can have a negative impact on your credit report. It will serve as a red flag to future lenders who check your credit report for car loan eligibility.
    • Make regular and timely car loan EMI payments to improve your credit score. A credit score of 750 and above will improve your chances of car loan approval.
    • Don’t preclose your car loan, instead opt for part prepayment and reduce the loan tenure to save up on interest payments. Banks allow borrowers to part or full-prepay car loan after 12 successful EMI payments. They also charge prepayment and preclosure penalty fees. It is a certain percentage of the prepayment/preclosure amount.
    • Choose a car loan with low interest rate and processing fee. Some banks waive off the processing fee.
    • Existing customers can get better deals on their used car loans from a bank that you have been banking with for a long time. A long-standing relationship with a bank comes with perks such as minimum paperwork and instant car loan approval.
    • Be thorough when filling the car loan application form and furnish valid documents for identity, age, income, and address proofs.
    • Compare various car loan offers across the top lenders in the country so that you don’t miss out on a good deal.
    • Use the car loan EMI calculator to find out how much your used car loan will cost you monthly. Based on the results, you can create a budget in order to maintain a low debt-to-income ratio.
    • Check your car loan eligibility online before applying for a used car loan. Check your credit score. Ensure you meet the eligibility criteria set by the bank so as to avoid a loan rejection.

    Explore the city of Bengaluru in a car of your own. From hatchbacks to luxury sedans, banks offer used car loans for most makes and models of cars on the market. However, the age of the car should not exceed 5 years. This is mainly due to the depreciation rate and motor insurance costs of used cars. Due to the high maintenance cost and the difficulty in obtaining spare parts for a used car, the insurance cost of a used car is higher than a new 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.

    Customer Reviews

    • HDFC Bank Car Loan
      "Excellent "
      0.5 5.0/5 "Blown Away!"
      I had taken a car loan with HDFC BANK 10 years back and have closed 5 years ago. They are really very good in supportive even the charges are very reasonable. My car showroom has tied up with HDFC BANK and the process is completely fine. I made down payment and 80% was loan.
      Was this review helpful? 0
      , silvassa
      Reviewed on May 19, 2019
    • HDFC Bank Car Loan
      "GOOD"
      0.5 4.0/5 "Great!"
      I have applied for the car loan with the HDFC BANK where i have closed this loan before 1.5 years. The overall process was simple and easy to get the loan on time with no issues. The rate of interest was nominal with this loan, customer support and responsiveness are good.
      Was this review helpful? 0
      , kolkata
      Reviewed on May 19, 2019
    • Union Bank of India Car Loan
      "GOOD"
      0.5 5.0/5 "Blown Away!"
      The documentation process was simple and easy to get the loan with the UNION BANK OF INDIA and the process was easy and simple where i got the loan within 2 days. The loan amount was simple and the loan amount given was satisfactory also the rate of interest was nominal.
      Was this review helpful? 1
      , noida
      Reviewed on May 18, 2019
    • Kotak Car Loan
      "Good service"
      0.5 4.0/5 "Great!"
      I applied for a car loan with KOTAK MAHINDRA bank and without any delay it was processed on time . I am happy the way they understood my need. The interest rates i find it nominal when compared to other banks.Whatever loan amount i need i got the same .
      Was this review helpful? 1
      , ghaziabad
      Reviewed on May 18, 2019
    • HDFC Bank Car Loan
      "Good Loan services"
      0.5 3.5/5 "Pretty good"
      Purchased my car loan 2 years bank with HDFC. I applied the loan amount of Rs. 7 lakhs and they have sanctioned the loan within 3 days. The interest rate is convenient for me. Total tenure period of the loan is 7 years. I have been paying the EMI amount of Rs. 12K.
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 18, 2019
    • ICICI Bank Car Loan
      "Good Experience with affordable interest"
      0.5 4.5/5 "Excellent!"
      My car loan is going with ICICI Bank, only once I contacted the customer support response is prompt The interest rate is very nominal. I took around the loan amount around Rs. 4.5 lakhs to purchase wagon R car. They do have part and balance transfer.
      Was this review helpful? 1
      , new delhi
      Reviewed on May 17, 2019
    • HDFC Bank Car Loan
      "Good Experience"
      0.5 5.0/5 "Blown Away!"
      Hdfc car loan interest is very moderate because I took it directly from the bank end. I have availed the loan amount of Rs. 5.5 lakhs to purchase Santro sports car, it has duration of five years. The process was streamlined and loan got sanctioned with stipulated time.
      Was this review helpful? 1
      , hyderabad
      Reviewed on May 17, 2019
    • ICICI Bank Car Loan
      "Need to improve customer service"
      0.5 3.0/5 "Satisfactory"
      I have been taken a car loan in ICICI bank for the past 2 years. The loan amount was not much sufficient as per my expectation for the duration of 5 years. The rate of interest is nominal. The processing fee was applicable. The customer service is good and responsiveness on time.
      Was this review helpful? 0
      , pune
      Reviewed on May 17, 2019
    • HDFC Bank Car Loan
      "Very Good Service"
      0.5 5.0/5 "Blown Away!"
      I had taken my Car loan from HDFC Bank in the year of 2016 and the process in getting the loan was pretty much easy, the loan amount has been fine and the interest rate with them had been nominal. The processing fees with this loan was not much high and during the process of the loan their staffs where quite helpful.
      Was this review helpful? 1
      , jaipur
      Reviewed on May 16, 2019
    • Cholamandalam Finance Car Loan
      "Average Service"
      0.5 3.0/5 "Satisfactory"
      I had taken my Car loan from CHOLAMANDALAM FINANCE a while back and the process in getting the loan has been pretty much simple. The loan amount was sufficient, but the interest rate with them had been quite high. They had made a processing charges of 12,000 and overall their services had been pretty much good.
      Was this review helpful? 0
      , noida
      Reviewed on May 16, 2019
    • Bank of India Car Loan
      "Need overall improvement"
      0.5 2.0/5 "Expected more"
      Bank of India car loan interest was 10.4% but it supposed to be floating, I am not clear with that. As a customer I feel its very difficult to reach the customer care and they wont give proper solution for the queries. I availed Rs. 6 lakhs to buy I20 Hyundai, now Rs.2.50 is pending, total duration is for 7 years.
      Was this review helpful? 1
      , bangalore
      Reviewed on May 15, 2019
    • Axis Bank Car Loan
      "Good service"
      0.5 3.5/5 "Pretty good"
      I had taken my Car loan from AXIS Bank a long time back and the experience has been okay. The process had not taken much time but the interest rate with them had been quite high when compared with the market rate. Their customer support team was pretty much helpful and they had always been responsive.
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 14, 2019
    • review Car Loan
      "Good service"
      0.5 3.5/5 "Pretty good"
      I had taken my Car loan from BAJAJ FINANCE LIMITED a couple of months and the experience had been good. The process in getting the loan was smooth & it was easy. The loan amount has been sufficient and the interest rate which they had offered has been nominal as well. There has not been any sort of hidden charges which they had made for this loan.
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 14, 2019
    • SBI Car Loan
      "Excellent service"
      0.5 4.0/5 "Great!"
      I have been holding my car loan with State bank of India 2 years back i have closed this loan, their service is too good, they have given me loan within 1 hour, and they have given me sufficient loan amount and the rate of interest they have charged me was nominal and the have charged me processing fee which was nominal, overall service is good.
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 14, 2019
    • SBI Car Loan
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I had taken a Car loan from State Bank Of India a long time back and the experience i had with them had been pretty much good. The loan amount has been sufficient and the interest rate with them had been nominal when compared with the market rate. The loan was cleared recently and there was no hidden charges taken by them.
      Was this review helpful? 1
      , hyderabad
      Reviewed on May 14, 2019
    • YES Bank Car Loan
      "Good card"
      0.5 5.0/5 "Blown Away!"
      I have holding car loan with Yes bank from long time, the loan amount was sufficient based on my requirement they have given to me, the rate of interest they have charged me was nominal, it is satisfactory, the service is good, so far i did not face any issue.Still this loan is running.
      Was this review helpful? 0
      , vadodara
      Reviewed on May 14, 2019
    • review Car Loan
      "GOOD"
      0.5 4.0/5 "Great!"
      I have applied for the car loan with the BAJAJ FINANCE LIMITED where the documentation process was simple and easy to get the card and also the loan amount was good but the rate of interest was higher with this car loan which is not satisfactory with this loan.
      Was this review helpful? 0
      , bangalore
      Reviewed on May 14, 2019
    • ICICI Bank Car Loan
      "Good service"
      0.5 5.0/5 "Blown Away!"
      I have been applied for my car loan with ICICI bank , their service so far was good, the loan amount recently they have given me up to 15,00,000 which was sufficient for me, the rate of interest they have charged me up to 9% which was quite okay comparing to other bank, it has been just 2 months the loan got approval.
      Was this review helpful? 0
      , mumbai
      Reviewed on May 14, 2019
    • SBI Car Loan
      "Excellent Service"
      0.5 5.0/5 "Blown Away!"
      I had taken my Car Loan from State Bank Of India three years back and the experience was quite good. The process went seamless and the loan amount was sufficient. The interest rate with the loan was around 9.2% which was very nominal and the charges which they had made was also less. Their customer support team had also been helpful and they where responsive.
      Was this review helpful? 0
      , hyderabad
      Reviewed on May 14, 2019
    • Axis Bank Car Loan
      "Excellent service"
      0.5 5.0/5 "Blown Away!"
      I have taken Tractor loan from long time, the loan amount was sufficient, the rate of interest they have charged me was nominal, they have charged me up to 15.5% even their processing fee they have charged me minimal, the loan came on time, so far i did not face any issue in getting loan, still this loan is running.
      Was this review helpful? 1
      , chennai
      Reviewed on May 14, 2019
    Common Loader Icon
  • reTH65gcmBgCJ7k
    This Page is BLOCKED as it is using Iframes.