ICICI Bank Car Loan

How to apply for ICICI Bank Car Loan?

At ICICI Bank, you can apply for a car loan through 4 methods:

• Online method: Visit the bank website to download the application form. Submit the duly-filled and signed application form along with the above-mentioned necessary document proofs to the bank. By applying online for ICICI Bank car loan, you can get instant loan approval and enjoy speedy processing of your loan amount.
• Offline method: You can also visit the nearest ICICI Bank branch to submit your car loan application and document proofs. A bank executive will help you with the car loan application process. Upon approval, the loan amount will be disbursed to your bank account within a matter of a few hours. The list of bank branches that can process your car loan application is listed on the bank webpage through the bank branch locator facility or tool.
• Call back facility: You can also request a call back from the bank by submitting an online form with details such as name, contact number, city/state, convenient date and time to call, etc. This call back facility is only for product inquiries.
• SMS: You can apply for an ICICI Bank car loan through SMS CAR to 5676766.

Any individual aged between 21 and 65 years with a good credit score, a steady income, and a stable occupation can apply for a car loan. 750 and above are considered to be good credit scores. Car loan eligibility criteria varies from lender to lender. Visit the ICICI Bank’ website to check your car loan eligibility. It is important to check your eligibility before applying for a car loan so as to avoid rejection. Multiple loan rejections can have a negative impact on your credit score.

Car loans are repaid through Equated Monthly Installments (EMIs) over a specified loan tenure. EMI consists of interest and principal amount. Using the ICICI Bank Car Loan EMI Calculator available on the bank website, you can find out how much your car loan will cost you on a monthly basis. It is simple and easy to use. All you have to do is enter the chosen loan amount, loan tenure, interest rate, and processing fee into the tool. Then, click on the ‘Calculate’ button. You will get instant and accurate EMI results consisting of details such as the principal loan amount, interest payments, EMIs, and the outstanding due after each EMI payment

Customers who wish to avail a car loan from HDFC Bank can check their eligibility on the company’s website and make a loan application online within a minute. Once the documents have been submitted, the loan application process can be completed within a few minutes. The EMI towards the car loan can also be calculated on the bank’s website. Moreover, customers can also make the most of special discounts on the processing fee by applying for the loan online.

The processing fee for the loan will be non-refundable. For amounts under Rs.2.5 lakhs, the processing fee will be Rs.2,500. For amounts between Rs.2.5 lakhs and Rs.3.9 lakhs, the processing fee will be Rs.3,500. For amounts ranging from Rs.4 lakhs to Rs.4.9 lakhs, the processing fee will be Rs.4,000. For amounts between Rs.5 lakhs and Rs.9.9 lakhs, the processing fee will be Rs.4,200. And for amounts in excess of Rs.10 lakhs, the processing fee will be Rs.5,000. The processing fee for second hand cars will be 2% of the loan amount or Rs.6,000, whichever is lesser

Customers who wish to prepay their car loans from ICICI Bank partly will have to pay a fee for the same. Part prepayment will not be allowed for loans with tenures up to six months, but part prepayments thereafter will cost you a small fee. In case the loan is paid between seven months and 12 months after it was availed, the prepayment fee will be 6% of the loan amount. In case the loan is paid between 13 and 24 months after it was sanctioned, the fee will be 5% of the loan amount. For prepayments made after 24 months of availing the loan, the fee will be 3% of the loan amount. The maximum amount that the bank allows customers to prepay is 25% of principal outstanding, and you will only be allowed to make part prepayments twice during the loan tenure, subject to a maximum of once per year.

In case of full prepayment, the charge applicable will be 5% on principal outstanding or interest outstanding for unexpired period of loan, whichever is lesser.

The verification process for a car loan from ICICI Bank can be completed in within a few minutes. To get the process started, customers will have to furnish a few documents as follow:

• For Salaried Applicants: The documents required for salaried applicants who wish to avail a car loan from ICICI Bank include the application form, KYC documents such as photographs, identity proof, age proof, and address proof, bank statements for signature verification, income proof in the form of Form 16 or latest salary slip, and employment stability proof.
• For Self-Employed Professionals: The documents required for self-employed professionals who wish to avail a car loan from ICICI Bank include the application form, KYC documents such as photographs, identity proof, age proof, and address proof, bank statements for signature verification, income proof in the form of income tax returns of the two previous fiscal years, and business stability proof / ownership proof.
• For Self-Employed Non Professionals: The documents required for self-employed non-professionals who wish to avail a car loan from ICICI Bank include the application form, KYC documents such as identity proof, age proof, and address proof, bank statements for signature verification, income proof in the form of income tax returns of the previous two fiscal years along with complete audit / financial report, partnership deed along with a letter signed by all partners authorising one partner, ownership proof / business stability proof, and resolution by board of directors or a relevant managing body along with Articles and Memorandum of Association in case of societies and companies.

Following are some of the tips that can be used to effectively manage your car loan:

• Try to make a big down payment as doing so can help in reducing the EMIs applicable to your loan.
• Be wise when selecting a car as the interest rates vary from car to car. Purchasing a cheap car for the moment will ensure that you pay lower interest as opposed to the massive rates applicable to luxury cars.
• Choose a shorter tenure as doing so will mean that you pay lesser interest. Although you will be paying more every month, the overall cost of the loan will be lower as you will be making interest payments for a short while.
• Make EMI payments on time as failure to do so can result in complications and can even see the bank cease your vehicle due to defaulting on payments.
• Communicate with the bank in case you are unable to make an EMI payment on time as banks will be more understanding instead of declaring you as a defaulter.

1. Can a customer complete his ICICI car loan application online?

   ICICI bank offers a customer the comfortable option of completing the entire process of availing a car loan from application to getting the loan approved in just a few clicks. The ICICI car loan application form is available on the ICICI bank portal and car loan applications can also be made using BankBazaar.com. Any customer applying via either of the two channels will get an instant e-approval for his loan application.

2. What is the lending rate for ICICI Bank car loan?

   The lending rate varies depending on the model of the car and the chosen loan tenure. ICICI Bank offers car loans at fixed interest rates. The interest rate remains the same throughout the loan tenure.

3. Can I use my existing car as collateral to secure a loan?

   Yes, ICICI Bank offers Loan against Car. You can avail a loan on your old car for the purpose of fulfilling any financial need such as wedding expense, education fees, home renovation expense, and vacation expense.

4. What is monthly reducing balance in car loan?

   Car loans are repaid through EMIs over a specified loan tenure. EMI consists of principal and interest amount. A monthly reducing balance in car loan is when the principal loan amount decreases at every month end and the interest is calculated on the outstanding principal.

5. Does an applicant have the option of checking his ICICI car loan status online?

   Customers can easily track and check their ICICI car loan application status using the ICICI bank portal or via SMS and email alerts if they have applied through BankBazaar.

6. Are ICICI car loan statements accessible online?

   Yes, ICICI also provides the convenient option of viewing and downloading ICICI car loan statements online from the ICICI web portal. Customers need to create a login to access their accounts containing their loan statements.

7. What are the ICICI car loan prepayment charges levied on customers?

   ICICI levies a charge of 5% of the outstanding principal amount from the car loan or the outstanding interest for the remaining period of the loan, whichever is lower. Part prepayment of ICICI car loans are not permitted by the bank.

8. What benefits does an existing ICICI bank customer get while availing an ICICI car loan?

   Pre-approved ICICI car loans are available for select ICICI bank customers with the additional benefit of processing the car loan with minimum documentation.

9. How does an applicant contact the customer care for queries on ICICI car loans?

   Individuals facing any challenges or having queries with respect to ICICI car loans can easily contact our friendly customer care help desk at xxxxxxxxxx.

10. Can customers check the status of their ICICI Bank car loan application online?

    Yes, ICICI Bank does provide the option of checking the status of their car loan application status on the bank’s website using NetBanking. The details that have to be entered are the reference number and the form number.

11. Where can customers get the ICICI Bank car loan application form?

    The ICICI Bank car loan application can be procured from ICICI branches and is also available on the bank’s website.

12. Does ICICI Bank provide the joint application facility to car loan applicants?

    Yes, joint applications can be done for an ICICI Bank car loans by customers along with their spouses or any family member from the same residential address.

13. What are the processing fees charged by ICICI Bank for new car loans?

    The processing fees charged by ICICI Bank changes depending on the loan amount and is as follows -

    Loan Amount	Processing Fees
    Below Rs. 2.5 Lakhs	Rs.2500
    Rs. 2.5 Lakhs - Rs. 3.9 Lakhs	Rs.3500
    Rs. 4 Lakhs - Rs. 4.9 Lakhs	Rs.4000
    Rs. 5 Lakhs to Rs. 9.9 Lakhs	Rs.4200
    Greater than Rs. 10 Lakhs	Rs.5000

14. Does the applicant’s CIBIL score play a role in determining the eligibility criteria for ICICI Bank car loans?

    Yes, ICICI Bank does consider the CIBIL score while sanctioning car loans for customers.

15. What are the income documents that have to be furnished while applying for an ICICI Bank car loan?

    As per the category of the car loan applicant the following income documents have to be submitted -

    • Salaried Individuals - Form 16/ Recent Pay Slip
    • Self Employed Professionals - IT Returns Statements for the past two years / Audit Reports
    • Self Employed Non-Professionals - IT Returns Statements for the past two years
16. Does ICICI Bank offer pre-approved car loans for existing customers?

    Yes, ICICI Bank does offer pre-approved car loans for existing customers with minimal documentation.

17. What is the maximum car loan amount that will be approved by ICICI Bank?

    The maximum car loan amount that will be approved by ICICI Bank is 100% of the vehicle value.

18. What is the minimum tenure that can be chosen by an ICICI Bank car loan borrower?

    The minimum tenure that can be chosen by borrowers for an ICICI Bank car loan is one year.

19. What is the maximum tenure that can be chosen by an ICICI Bank car loan borrower?

    The maximum tenure that can be chosen by borrowers for an ICICI Bank car loan is up to seven years.

20. Does ICICI Bank charge any foreclosure penalty for borrowers pre-closing their car loans before the completion of the tenure?

    Yes, ICICI Bank charges a penalty of 5% of the outstanding principal amount or the interest amount for the remaining period of the car loan, whichever is lower when a foreclosure is done. Part-prepayment of the car loan is not allowed by ICICI Bank.

21. Can customers transfer the balance from an existing car loan to a new ICICI Bank car loan account?

    Yes, other bank customers can make balance transfers to a new ICICI Bank car loan account.

22. Does ICICI Bank provide top-up loans for existing car loan borrowers?

    Yes, ICICI Bank provides top-up loans for existing car loan borrowers with quick processing and easy documentation.

23. What is the verification process done by ICICI Bank when a car loan application is made?

    ICICI Bank customers can make instant online applications, upload documents and ICICI Bank will e-approve the customer’s application with immediate verification.

24. How long does it take for ICICI Bank to process a car loan application?

    ICICI Bank generally approves car loans within 24 hours, after the required documentation has been submitted by the applicant.

25. How is the interest rate determined for car loan refinance?

    Depending on the type of refinance availed by the customer, the interest rate is determined for car loans.

26. Can ICICI Bank car loan customers contact the customer care helpdesk for any queries and concerns?

    Yes, ICICI Bank car loan customers can contact the toll-free customer care helpdesk number - 1800 102 4242 or the state-wise numbers for addressing any queries.

27. How are the lending rates decided by ICICI Bank for car loan borrowers?

    The lending rates for ICICI Bank car loans are decided based on the car model chosen and the loan tenure opted by borrowers.

28. How is the interest rate calculated for an ICICI Bank car loan?

    The interest rate is calculated on a monthly reducing basis, where the principal reduces every month and the interest is then levied on the outstanding principal amount at the month end.

29. What are the various charges that ICICI Bank car loan customers have to pay when an application is made?

    The other types of charges that have to be paid by car loans borrowers are - Stamp duty, documentation charges and processing charges.

30. How can customers apply for an ICICI Bank car loan?

    Customers can apply online, contact the bank via email, call the 24/7 customer care centre, visit an ICICI branch or contact a direct sales agent to apply for an ICICI Bank car loan.

31. Does ICICI Bank require a guarantor for new car loans?

    No, a guarantor is not required while applying for ICICI Bank car loans.

32. Do customers have to provide any security or collateral while applying for new car loans with ICICI Bank?

    No, customers do not have to provide any security and collateral for ICICI Bank car loans, except the car which is hypothecated to the bank.

33. What are the methods that can be used by customers to repay ICICI Bank car loans?

    An ICICI Bank car loan can be repaid using post-dated cheques, through ICICI Bank accounts, direct debits from ICICI bank accounts or through ECS.

34. Do new car loan borrowers have to open a bank account with ICICI Bank while applying?

    No, it is not mandatory for new car loan borrowers to open a bank account with ICICI Bank, when they avail a car loan.

35. What are the steps involved in processing an ICICI Bank car loan?

    An ICICI Bank car loan is processed in five steps namely - Application, Processing, Documentation, Loan Sanction and Disbursement.

36. What are the kinds of cars that ICICI Bank finance for customers?

    ICICI Bank finances all types of passenger cars along with pre-owned and used cars.

37. How can ICICI Bank customers pre-close their car loans?

    ICICI Bank customers have to visit an ICICI Bank Asset Servicing branch and complete the prepayment process by submitting the following documents. The prepayment can be done in the form of cheques, cash or demand drafts.

    • Pre-payment Statement
    • Request letter with the loan applicant’s signature
    • Bank statement showing the settlement of the last monthly installment
    • PAN Card - if the amount is more than Rs. 50,000
    • Vehicle Registration Certificate / Copy of RC Book
    • Vehicle Insurance
38. Does ICICI Bank levy any charges on car loan customers changing from floating interest rates to fixed interest rates?

    Yes, ICICI Bank levies a fee of 1.75% of the outstanding principal amount, when a change from floating interest rate to fixed interest rate is done.

39. What are the KYC documents that have to be submitted by ICICI Bank car loan applicants?

    The KYC documents that have to be submitted by car loan applicants are - Photographs, Age Proof, Address proof and Identity proof.

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