Buying a new car is a memorable experience in every individual’s life. As a cherished asset, a car not only provides luxury but also is a valuable investment aiding in your everyday life. When we choose a car, we ensure that we get the make and the model of our choice. Along with that comes the responsibility of financing the new car from the right source of funds. A reliable fund source is a car loan scheme which gives you the security of covering the entire cost of the new vehicle.
Various banking institutions in India provide multiple car loan offers and individuals can opt for a loan scheme that best suits them. For individuals looking for a car loan with higher loan amounts and competitive interest rates, the Indian Bank car loan would be the ideal choice. As one of the best offerings from the Indian Bank portfolio, the IB Vehicle Loan is a one-of-a-kind loan product available to customers in India.
With flexible loan tenures, higher loan amounts and attractive interest rates an Indian Bank car loan is an affordable debt product targeting a large customer base in India. Avail an Indian Bank car loan today to get the best financing deal for your dream car.
Customers taking a car loan for their new four-wheelers can enjoy the following benefits provided by Indian Bank.
The Reserve Bank of India has issued a new lending rate system called the Marginal Cost Based Lending Rate or MCLR. This helps to standardize the rate of interest on loan products such as car loans, which are offered by commercial banks. This lending rate system is applicable on the Indian Bank Car Loan scheme.
Existing Indian Bank car loan borrowers have the option to continue with the Base Rate or to migrate to the new MCLR lending rate system.
Indian Bank Car Loan Base Rate = 9.65%.
Indian Bank considers the following benchmark for MCLR rates (updated in April 2016), which alternately affects the new car loan interest rates:
MCLR rates are subject to change from the next reset date, as per RBI regulations.
The following documents have to be submitted for an Indian Bank car loan to be processed.
Filled-in application form with a passport size photo attached.
Availing a car loan is an easy task. But responsibly paying back the money is a completely different aspect. When you are planning on taking a car loan, always assess your financial situation to understand whether you can comfortably pay back the loan. Aiding you in this decision making process are reliable tools called car loan EMI calculators. You can get your monthly repayment amount, interest rate and the total cost that you will be directing towards a car loan. The inputs that the tool requires are very minimal like loan tenure, loan amount, processing fee and interest rate. For your selected loan tenure, BankBazaar’s car loan EMI calculator gives an estimate of your Indian Bank car loan expenditure in just a matter of seconds.
- Can customers also finance their used cars under the IB Vehicle loan scheme?
Yes, customers can also finance their old cars aged up to three years under this car loan scheme.
- Do I have to submit any security collateral for Indian Bank car loans below Rs 10 lakhs?
No, customers do not to submit any additional security collateral for loans below Rs 10 lakhs. Only hypothecation of the vehicle is required.
- Can I get a loan for my two-wheeler using the IB Vehicle loan scheme?
Yes, the IB Vehicle loan can be extended for financing two-wheelers.
- Does Indian Bank finance only particular makes or models of cars?
No, the IB Vehicle scheme finances all makes and models of cars in India.
- Does Indian Bank offer a fixed interest rate for all loan tenures?
Indian Bank offers different interest rates based on loan tenures and also depending on the date the car loan was availed.
- What types of four-wheelers can be purchased using Indian Bank Car Loan?
Customers can use Indian Bank Car Loan for the purchase of any new or used four-wheeler. Used four-wheeler should not be over 3 years old and must be certified by a reputed automobile valuer or an engineer.
- What is the income criteria to apply for Indian Bank Car Loan?
To be able to apply for an Indian Bank Car Loan, the minimum Gross monthly income of the applicant must be Rs. 20, 000 a month.
- How is the loan quantum decided for businessmen and professionals?
For businessmen and professional, the maximum loan quantum that will be given under Indian Bank Car Loan will be 20 times their monthly income. The loan quantum will be calculated based on the average income of the applicant over the last 2 years and the applicant’s ability to repay the loan.
- How is the car loan quantum decided for salaried applicants?
The maximum loan quantum that will be offered under Indian Bank Car Loan for salaried applicants is 20 times their monthly income. Income of the spouse can be included to increase the loan eligibility. Also, the net take home pay after deductions of the proposed car loan EMI must be at least 40% of the gross pay.
- Who can apply for Indian Bank Car Loan?
Businessmen, salaried applicants, professionals, self employed applicants, staff working with Indian Bank, pensioners and NRIs can apply for Indian Bank Car Loan. Also, employees of other recognized banks can apply after obtaining a NOC from current employer concerned with at least 3 years experience.
- What is the maximum loan amount that will be offered under Indian Bank Car Loan?
A maximum of Rs. 200 lakhs will be offered for the purchase of four wheelers under Indian Bank Car Loan.
- What is the proposed margin for Indian Bank Car Loan?
For new four wheelers, the margin is 15%. For used four wheelers to be purchased with Indian Bank Car Loan, the margin is 40%.
- What is the maximum tenure that a borrower can choose to repay an Indian Bank Car Loan?
A borrower can take up to a maximum of 84 EMIs with no holiday period to repay an Indian Bank Car Loan.
- Will I incur any processing charges for Indian Bank Car Loan?
Yes, 0.229% of the total loan amount subject to a maximum of Rs. 10, 191 will be charged as processing fee.
- What is the security for Indian Bank Car Loan under Rs. 10 lakhs?
The following will be considered as security for Indian Bank Car Loan - Hypothecation of four wheeler purchased out of Indian Bank Car Loan.
- Will I have to provide any additional security for Indian Bank Car Loans exceeding Rs. 10 lakhs?
Yes. If the loan amount exceeds Rs. 10 lakhs, security equal to amount exceeding Rs. 10 lakhs has to be provided to the bank in form of NSCs, fixed deposit receipts, LIC policy with a surrender value equivalent to security to be offered or mortgage of immovable property.
- Can Indian Bank Car Loan customers apply jointly while availing the loan?
Yes, joint applications can be made by Indian Bank Car Loan customers who can apply along with their family members as co-borrowers.
- Will my CIBIL score impact the eligibility for Indian Bank Car Loan?
Though CIBIL scores are not generally asked for because a car is a type of secured loan, having a good CIBIL will definitely help you getting a better car loan deal.
- What are the income documents to be submitted while applying for an Indian Bank Car Loan?
An applicant has to submit the following income documents while applying for an Indian Bank Car Loan.
- Salary certificate
- Proof of employment
- Income Tax returns for the last 3 years
- Proof of other income like interest on investment, house rent, if any.
- I am a self-employed applicant. What income documents whill I have to submit while applying for an Indian Bank Car Loan?
Self employed applicants, industrialists and businessmen have to submit the following documents while applying for an Indian Bank Car Loan.
- Balance sheet for the last three financial years
- Proof of business address
- Income Tax Return statements for the last 3 years
- Wealth tax returns, if applicable
- Proof of other income like rental income
- Apart from income documents, what other documents do I have to submit while applying for an Indian Bank Car Loan?
In addition to income proof, an Indian Bank Car Loan applicant must also submit the following documents.
- Proof of identity - Voter ID, PAN Card, Passport, Driving License
- Address Proof - Property tax receipt, voter ID, telephone bills, recent electricity bills
- Completely filled application form with passport sized photographs
- What are the current interest rates for Indian Bank Car Loan?
Indian Bank Car Loan interest rates are as given below.
Vehicle Type Rate of Interest
New cars including Nano Cars Base Rate + 0. 50%
Currently fixed at 10. 15% per annum for all tenure options
Used Four wheelers Base Rate + 3. 25%
Currently fixed at 12. 90% per annum for all tenure options
Since interest rates are subject to frequent change, do enquire with Indian Bank before applying for a car loan.
- Can Indian Bank customers check the status of car loan application online?
Yes, Indian Bank offers the facility of checking the status of Car Loan application online.
- How do I find out the EMI for an Indian Bank Car Loan?
EMI is the set amount that a borrower has to pay every month towards principal loan amount and interest. Monthly EMI is calculated based on several factors like principal amount, rate of interest per annum and loan tenure. You can use the online car loan EMI calculator available on BankBazaar or at Indian Bank web portal to find out your monthly EMI and amortization schedule.
- How do I get the application form for Indian Bank Car Loan?
The application form for Indian Bank Car Loan is available online at Indian Bank web portal. Also, you can visit the nearest Indian Bank branch to procure a car loan application form.
- Does Indian Bank offer customer care support for vehicle loan borrowers?
Yes, Indian Bank offers customer care support for vehicle loan borrowers. The borrower can get in touch with Indian Bank through telephone or mail to get this doubts cleared.
- Based on what factors does Indian Bank sanction car loans for applicants?
Indian Bank Car Loan is sanctioned to an applicant based on a variety of factors like income, age, CIBIL score, satisfaction of eligibility criteria and documents furnished by the applicant.
- How long does Indian Bank take to sanction a car loan?
The time taken by Indian Bank to process and sanction a car loan depends on a variety of factors including documentation provided by the applicant and the verification done by the bank.
- What documents pertaining to the vehicle do I have to submit for Indian Bank Car Loan?
An applicant has to submit the following vehicle documents for Indian Bank Car Loan.
- Quotation of the four wheeler to be purchased from an authorized dealer
- In case of an old four wheeler, the vehicle must be valued by an authorized engineer or valuer and the valuation copy must be submitted.
- Copy of driving license of the applicant
- Using what methods can I pay my Indian Bank Car Loan monthly EMI?
You can pay the monthly EMI for Indian Bank Car Loan using ECS, post dated cheques (PDCs) and through direct debits from bank accounts.
- Is it possible to avail a top-up on an existing Indian Bank Car Loan?
Indian Bank Car Loan borrowers can get in touch with the nearest Indian Bank branch to know more about the top-up loan facility.
- Can I pay Indian Bank Car Loan EMI using other bank accounts?
Yes, it is possible to pay Indian Bank car loan EMI using other bank accounts. All you have to do is set up a standing instruction for EMI.
- Do Indian Bank Car loan borrowers have to present a third party guarantee while applying for a car loan?
No, for most cases, a third party guarantee is not required for an Indian Bank Car Loan. However, if the applicant does not present satisfactory security, third-party guarantee might be insisted upon.
- What is the minimum age requirement for customers to apply for a car loan from Indian Bank?
An applicant must be aged at least 18 years to be able to apply for an Indian Bank car loan.
- What types of four-wheelers can be purchased using Indian Bank Car Loan?
Customers can use Indian Bank Car Loan for the purchase of any new or used four-wheeler. Used four-wheeler should not be over 3 years old and must be certified by a reputed automobile valuer or an engineer.
- What is the income criteria to apply for Indian Bank Car Loan?
To be able to apply for an Indian Bank Car Loan, the minimum Gross monthly income of the applicant must be Rs. 20, 000 a month.
- How is the loan quantum decided for businessmen and professionals?
For businessmen and professional, the maximum loan quantum that will be given under Indian Bank Car Loan will be 20 times their monthly income. The loan quantum will be calculated based on the average income of the applicant over the last 2 years and the applicant’s ability to repay the loan.
- How is the car loan quantum decided for salaried applicants?
The maximum loan quantum that will be offered under Indian Bank Car Loan for salaried applicants is 20 times their monthly income. Income of the spouse can be included to increase the loan eligibility. Also, the net take home pay after deductions of the proposed car loan EMI must be at least 40% of the gross pay.
- Who can apply for Indian Bank Car Loan?
Businessmen, salaried applicants, professionals, self employed applicants, staff working with Indian Bank, pensioners and NRIs can apply for Indian Bank Car Loan. Also, employees of other recognized banks can apply after obtaining a NOC from current employer concerned with at least 3 years experience.
- What is the maximum loan amount that will be offered under Indian Bank Car Loan?
A maximum of Rs. 200 lakhs will be offered for the purchase of four wheelers under Indian Bank Car Loan.
- What is the proposed margin for Indian Bank Car Loan?
For new four wheelers, the margin is 15%. For used four wheelers to be purchased with Indian Bank Car Loan, the margin is 40%.
- What is the maximum tenure that a borrower can choose to repay an Indian Bank Car Loan?
A borrower can take up to a maximum of 84 EMIs with no holiday period to repay an Indian Bank Car Loan.
- Will I incur any processing charges for Indian Bank Car Loan?
Yes, 0.229% of the total loan amount subject to a maximum of Rs. 10, 191 will be charged as processing fee.
- What is the security for Indian Bank Car Loan under Rs. 10 lakhs?
The following will be considered as security for Indian Bank Car Loan - Hypothecation of four wheeler purchased out of Indian Bank Car Loan.
- Will I have to provide any additional security for Indian Bank Car Loans exceeding Rs. 10 lakhs?
Yes. If the loan amount exceeds Rs. 10 lakhs, security equal to amount exceeding Rs. 10 lakhs has to be provided to the bank in form of NSCs, fixed deposit receipts, LIC policy with a surrender value equivalent to security to be offered or mortgage of immovable property.
- Can Indian Bank Car Loan customers apply jointly while availing the loan?
Yes, joint applications can be made by Indian Bank Car Loan customers who can apply along with their family members as co-borrowers.
- Will my CIBIL score impact the eligibility for Indian Bank Car Loan?
Though CIBIL scores are not generally asked for because a car is a type of secured loan, having a good CIBIL will definitely help you getting a better car loan deal.
- What are the income documents to be submitted while applying for an Indian Bank Car Loan?
An applicant has to submit the following income documents while applying for an Indian Bank Car Loan.
- Salary certificate
- Proof of employment
- Income Tax returns for the last 3 years
- Proof of other income like interest on investment, house rent, if any.
- I am a self-employed applicant. What income documents whill I have to submit while applying for an Indian Bank Car Loan?
Self employed applicants, industrialists and businessmen have to submit the following documents while applying for an Indian Bank Car Loan.
- Balance sheet for the last three financial years
- Proof of business address
- Income Tax Return statements for the last 3 years
- Wealth tax returns, if applicable
- Proof of other income like rental income
- Apart from income documents, what other documents do I have to submit while applying for an Indian Bank Car Loan?
In addition to income proof, an Indian Bank Car Loan applicant must also submit the following documents.
- Proof of identity - Voter ID, PAN Card, Passport, Driving License
- Address Proof - Property tax receipt, voter ID, telephone bills, recent electricity bills
- Completely filled application form with passport sized photographs
- What are the current interest rates for Indian Bank Car Loan?
Indian Bank Car Loan interest rates are as given below.
|
Vehicle Type
|
Rate of Interest
|
|
New cars including Nano Cars
|
Base Rate + 0. 50%
Currently fixed at 10. 15% per annum for all tenure options
|
|
Used Four wheelers
|
Base Rate + 3. 25%
Currently fixed at 12. 90% per annum for all tenure options
|
Since interest rates are subject to frequent change, do enquire with Indian Bank before applying for a car loan.
- Can Indian Bank customers check the status of car loan application online?
Yes, Indian Bank offers the facility of checking the status of Car Loan application online.
- How do I find out the EMI for an Indian Bank Car Loan?
EMI is the set amount that a borrower has to pay every month towards principal loan amount and interest. Monthly EMI is calculated based on several factors like principal amount, rate of interest per annum and loan tenure. You can use the online car loan EMI calculator available on BankBazaar or at Indian Bank web portal to find out your monthly EMI and amortization schedule.
- How do I get the application form for Indian Bank Car Loan?
The application form for Indian Bank Car Loan is available online at Indian Bank web portal. Also, you can visit the nearest Indian Bank branch to procure a car loan application form.
- Does Indian Bank offer customer care support for vehicle loan borrowers?
Yes, Indian Bank offers customer care support for vehicle loan borrowers. The borrower can get in touch with Indian Bank through telephone or mail to get this doubts cleared.
- Based on what factors does Indian Bank sanction car loans for applicants?
Indian Bank Car Loan is sanctioned to an applicant based on a variety of factors like income, age, CIBIL score, satisfaction of eligibility criteria and documents furnished by the applicant.
- How long does Indian Bank take to sanction a car loan?
The time taken by Indian Bank to process and sanction a car loan depends on a variety of factors including documentation provided by the applicant and the verification done by the bank.
- What documents pertaining to the vehicle do I have to submit for Indian Bank Car Loan?
An applicant has to submit the following vehicle documents for Indian Bank Car Loan.
- Quotation of the four wheeler to be purchased from an authorized dealer
- In case of an old four wheeler, the vehicle must be valued by an authorized engineer or valuer and the valuation copy must be submitted.
- Copy of driving license of the applicant
- Using what methods can I pay my Indian Bank Car Loan monthly EMI?
You can pay the monthly EMI for Indian Bank Car Loan using ECS, post dated cheques (PDCs) and through direct debits from bank accounts.
- Is it possible to avail a top-up on an existing Indian Bank Car Loan?
Indian Bank Car Loan borrowers can get in touch with the nearest Indian Bank branch to know more about the top-up loan facility.
- Can I pay Indian Bank Car Loan EMI using other bank accounts?
Yes, it is possible to pay Indian Bank car loan EMI using other bank accounts. All you have to do is set up a standing instruction for EMI.
- Do Indian Bank Car loan borrowers have to present a third party guarantee while applying for a car loan?
No, for most cases, a third party guarantee is not required for an Indian Bank Car Loan. However, if the applicant does not present satisfactory security, third-party guarantee might be insisted upon.
- What is the minimum age requirement for customers to apply for a car loan from Indian Bank?
An applicant must be aged at least 18 years to be able to apply for an Indian Bank car loan.
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