Karnataka Bank Limited is a private sector banking institution based in the coastal city of Mangalore in Karnataka, India. As a premier bank, they have developed comprehensive range of customized products & services suitable for every kind of market, trade or perceived need - Business or Personal. They include, borrowing facilities, deposits, providing optimum returns on surplus funds or helping with overseas transactions. The products they offer to you are honest in intent and quality in content. It offers you the individuality with respect to your needs and to your earnings. And most of all, it comes with understanding you and your special individual needs. Continue reading to view more details about this loan.
|Interest Rate (Monthly reducing balance)||9.90%|
|Loan Tenure||7 Years|
|Processing Fees||0.25% with a minimum of Rs 250.00|
|Guarantor Requirement||Guarantor required|
A car is a reliable asset which helps you save money in the long-run since it is more affordable than paying for a rented car, hiring a cab or even using public transport systems. A car offers you and your family convenience and luxury compared to travelling in a congested bus or auto. It is also reliable in terms of ease of access, especially in times of emergency. With the availability of various car loan schemes from multiple banks and financial institutions in India, owning a car has become much easier.
Karnataka Bank is a leading scheduled commercial bank in India, which was established in 1924. It currently has 684 branches spread across India and a customer base of 6.7 million people. One among it’s wide portfolio of financial products and services, is the KBL car finance. This car loan scheme provides loans for both new and used cars and is available at an affordable interest rate and various other exclusive features.
Karnataka Bank car finance is offered to an eligible individual, for the purchase of new cars/ used cars at affordable interest rates. It has no hidden charges, lower fees and charges, flexible loan repayment options, etc., which makes it a much sought-after loan option.
All the loans which are sanctioned post April 2016 has to follow the new lending rate system – MCLR (Marginal Cost Based Lending Rate). This is a tenure based benchmark. Existing Karnataka Bank car loan borrowers have the option to continue with the interest based on the Base Rate or to migrate to the new MCLR lending rate system. MCLR rates are subject to change from the next reset date, as per RBI regulations.
To find out whether you meet the eligibility criteria for a car loan from Karnataka Bank, use the free online car loan eligibility calculator. Visit the bank website and click on the 'Apply Online' tab. You will be directed to a page with the eligibility calculator. Fill an online form with details such as type of loan, resident type, name, occupation, income, gender, date of birth, purpose of the loan, etc. Click on the 'Get Loan Quote' button and find out how much car loan you are eligible for from Karnataka Bank. Checking car loan eligibility beforehand can help you avoid loan rejection which in turn, can affect your credit score.
Applicants are required to submit the duly-filled and signed application form along with the following documents to the bank in order to complete the application process for a Karnataka Bank car loan:
Rather than wait in queue at a bank branch to interact with a bank representative with regard to your car loan requirement, you can visit the bank website and apply for it online from the comfort of your home or office. First, check your car loan eligibility before applying for it. After ensuring you meet the eligibility criteria set by the bank, click on the 'Apply Online' tab on the right-hand side of the page. Submit a duly-filled car loan application form online. The necessary age, identity, income, and address proof documents can be uploaded online as well. The bank will take 2 to 4 working days to process your application.
Visit the bank website to check your car loan application status. Click on the ‘Check Status’ tab on the left-hand side of the page. Enter your tracking number and email ID or mobile number. Then click on the 'Show Details' button. Your Karnataka Bank car loan status will be displayed on the screen or sent to you via email or text message to your mobile. You can also visit the bank branch at which you applied for a car loan to check your application status.
Karnataka Bank Branch Locator
You can apply for a car loan at one of the branches of Karnataka Bank. In order to locate the nearest bank branch in your locality, use the online ‘Branch Locator’ that is available on the bank website. Just enter your city and state into the tool and click on the ‘Search’ button. You will get the address, phone number and map directions to the nearest bank branch.
By calculating your equated monthly installments (EMIs) in advance, you can make important decisions about your available car loan options as well as execute a good financial plan/ budget for yourself. Since it is very hard to manually calculate your repayment options and amortization schedule, a potential borrower can use the online car loan EMI calculator offered by BankBazaar.com. This tool can be found under the ‘Finance Tools’ section on BankBazaar’s main page. The next few steps involve keying-in vital information such as the desired amount of car loan, interest rate, tenure and processing fee, either manually or by using the sliders and then clicking on “Calculate”. Within a few seconds you can access your EMI details as well as your amortisation schedule. This tool is available to all users free of charge and can be used multiple times to arrive at an EMI value that suits your budget. Ultimately, a car loan EMI calculator assists a customer to choose the right car loan option for himself/ herself.
Calculating the EMI of your proposed car loan can help you choose an affordable loan amount and a suitable loan tenure. Finding out how much your car loan will cost you on a monthly basis can help you create a monthly budget in order to maintain a low debt-to-income ratio. A high debt-to-income ratio wherein your EMI is more than your income can result in you defaulting on your car loan. To avoid such a scenario, it is advisable to calculate your proposed car loan EMI before applying for it. The official website of Karnataka Bank offers a free online car loan EMI calculator that you can use any number of times for free of charge. Karnataka Bank Car Loan EMI Calculator is simple and easy to use. Just enter your proposed car loan amount, loan tenure, and interest rate into the tool and click on the ‘calculate’ button. You will get a breakdown of your EMI, interest payable, and the total cost of the loan.
All kinds of new four wheelers can be purchased using Karnataka Bank Car Loan. Second-hand/used/pre-owned vehicles not more than 5 years from its date of registration, can also be purchased with Karnataka Bank Car Loan.
The following class of customers can apply for a Karnataka Bank Car Loan.
New car loan - maximum 85% of the on-road price of the vehicle (includes cost of vehicle, Road Tax, motor insurance, and registration charges), subject to a maximum of Rs.75 lakh.
The loan amount for a used car loan is maximum of Rs.20 lakh.
No, costs of insurance and road tax will not be included when calculating the loan quantum for Karnataka Bank Car Loan.
Borrowers can choose a maximum tenure of up to 34 months for the purchase of second-hand vehicles with Karnataka Bank Car Loan.
For the purchase of new cars, Karnataka Bank offers a maximum tenure option of up to 84 months.
Yes, Karnataka Bank Car Loan is offered to Non Resident Indians also.
The following is prescribed as security for Karnataka Bank Car Loan.
Customers can download a copy of the application form for Karnataka Bank Car Loan from the bank’s web portal. Alternatively, customers can also collect the application form for car loan from the nearest bank branch.
To calculate the EMI amount for Karnataka Bank Car Loan, you can use the online car loan EMI calculator tool offered by BankBazaar. You will need to input details like principal amount, tenure and interest rates to find out the monthly instalment amount and amortization schedule.
Other charges that you will incur when applying for a Karnataka Bank Car Loan include processing fees, stamp duty, repossession charges and other incidental charges as applicable. Do enquire with Karnataka Bank about the current charges for car loans as rates and charges are subject to frequent change.
Karnataka Bank Car Loan applications will be generally processed within 7 working days provided the customer has submitted all required documents and has completed all required formalities.
The loan quantum is calculated based on a variety of factors including the applicant’s class (if self employed or salaried), applicant’s age, repayment capacity and the guarantee offered by the borrower.
If an applicant is planning to purchase an used car with Karnataka Bank Car Loan, he has to submit the following documents.
Yes, Karnataka Bank Car Loan borrowers can contact the customer service cell of the bank anytime by using the toll-free number 1800 425 1444, or the email id. Customers can also contact the nearest bank branch for assistance during the loan process.
Yes, though CIBIL scores are not generally insisted upon, having a good CIBIL score will increase the chances of car loan approval. Karnataka Bank considers the credit repayment history and CIBIL score of the customer before approving a car loan.
Salaried applicants should submit the following income documents when applying for a Karnataka Bank Car Loan.
Agriculturists must submit documents related to cropping pattern and land holding. They must also submit other income documents like bank account statements, if applicable, when applying for a Karnataka Bank Car Loan.
An applicant must submit the following documents while applying for a Karnataka Bank Car Loan.
Yes, individual applicants must present security in form of third-party co-obligation or guarantee.
Yes, existing customers of Karnataka Bank and borrowers of other credit products can apply for KBL car loan.
Karnataka Bank offers loan for two-wheelers under KBL Easy Ride scheme.
Self-employed applicants must submit income tax return statements, balance sheet, profit and loss statements, bank account statements and proof of business establishments.
Customers can visit any of the nearest Karnataka Bank branch to apply for a Karnataka Bank Car Loan. Customers will be asked to fill out an application form and present all necessary documents to proceed with the car loan process.
Yes, customers can apply either singly or jointly for Karnataka Bank Car Loan. Any of the immediate family members (like spouse, children and parents) can be made as co-borrowers in case of joint application.
Customers can choose from any of the following methods to make EMI payments for Karnataka Bank Car Loan.
Karnataka Bank Car Loan process consists of the following stages.
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