Noida, short for the New Okhla Industrial Development Authority, is a city in India under the management of the New Okhla Industrial Development Authority.Many companies have their Indian branch offices in Noida, because of many factors, including its Special Economic Zone status, its suburban atmosphere and its proximity to Delhi. Noida also hosts the head office of the Software Technology Park, which was established by the Government of India to promote the software industry.
About Car Finance: Personal Car Finance is a complete subsector of personal finance, with numerous different products available. These include a straightforward car loan, hire purchase, personal contract hire (car leasing) and Personal Contract Purchase. Therefore car finance includes but is not limited to vehicle leasing. These different types of car finance are possible because of the high residual value of cars and the second hand car market, which enables other forms of financing beyond pure unsecured loans.
|Interest Rate (Monthly reducing balance)||10.5% - 12.75%|
|Processing Fees||Rs. 500 to Rs, 5,000|
|Loan Tenure||1 year to 5 years|
|Pre-closure Charges||2% to 4% on outstanding loan amount|
|Guarantor Requirement||No guarantor required|
Noida is a leading industrial centre located in Uttar Pradesh. The metropolis is also known as New Okhla Industrial Development Authority and is a fast growing city providing opportunities for a number of different companies, BPOs, industrial offices, etc. This has brought in a large influx of people and these people often purchase four-wheelers of their own to commute in the city. But sometimes individuals find it difficult to come up with the capital required to purchase their dream vehicle. In these cases, individuals often approach a bank or financial institution to avail a car loan to make their purchase. Car loans are offered at affordable interest rates which vary across banks that are operating in Noida. Let us take a look at the banks in Noida that offer car loans.
A car loan is a secured loan that is offered by financial institutions and banks and is used for the purchase of a new or used car. Here, the car that is purchased acts as the collateral. Car loans are offered at interest rates which vary from one bank to another. Interest rates offered depend on the applicant's credit score. Major banks and NBFCs that offer car loans in Noida are ICICI Bank, TVS Credit Services, Oriental Bank of Commerce, Sundaram Finance, Capital First, HDFC Bank, Axis Bank, Dena Bank, AU Small Finance Bank, Mahaveer Finance India Limited, Jammu and Kashmir Bank, Federal Bank, Allahabad Bank, Bank of India, Canara Bank, Bank of Maharashtra, IDBI Bank, Central Bank of India, State Bank of India, Indian Bank, Andhra Bank, Union Bank of India, L&T Finance Limited, Reliance Commercial Finance, Yes Bank and many more.
Steps involved in availing a Car Loan in Noida
When applying for a car loan at a bank in Noida, there are a few things that an individual will have to keep in mind to ensure they choose the right car loan option. Here are a few steps that an individual needs to follow when applying for a car loan with a bank or financial institution in Noida.
Eligibility Criteria to Avail a Car Loan in Noida
The eligibility criteria for car loans offered by various banks in Noida vary depending on a number of factors like if the applicant is salaried, self-employed individuals and professionals (partnership firms), self-employed individuals and professionals (private limited companies) or self-employed individuals and professionals (sole proprietorship). Some of the basic eligibility criteria that need to be met by an applicant are:
The documents that are required by the bank or lender are needed to establish the authenticity of the applicant and the details that they have provided. The documents that a car loan applicant will have to submit are listed below:
There are a few things that need to be followed when applying for a car loan to ensure the lender gives the applicant the best rate of interest possible:
|Bank Name||Processing Fee||Interest Rate||Loan Amount||Loan Tenure|
|ICICI Bank||Rs.2,500 to Rs.5,000||10% - 1.75% p.a.||Up to 100% of ex-showroom price of the car||1 to 7 years|
|Axis Bank||Rs.3,500 to Rs.5,500||8.50% - 11.25% p.a.||Rs.1 lakh minimum and maximum up to 100% on-road price of the car||1 to 7 years|
|HDFC Bank||0.4% of loan amount or Rs.10,000, whichever is lower||9.00% - 10.25% p.a.||Up to 100% financing||1 to 7 years|
|Dena Bank||Nil||9.05% p.a.||Rs.1 lakh to Rs.2 crore||1 to 7 years|
|Bank of India||Rs.500 plus GST||8.90% p.a.||Rs.50 lakh to Rs.1 crore||7 years|
|Central Bank of India||0.50% of loan amount subject to a minimum of Rs.2,000 and maximum up to Rs.20,000||8.85% p.a.||Rs.75 lakh maximum||7 years|
|Canara Bank||0.25% on the loan amount subject to a minimum of Rs.1,000 and maximum of Rs.5,000||8.70% - 9.25% p.a.||Up to 80-90% of the on-road price of the car||7 years|
|State Bank of India||Rs.1,000 to Rs.1,500 plus GST||8.90% - 9.40%||Up to 85% of the on-road price of the car||7 years|
Interest rates and offers are subject to change with market rates and without any prior notice from the bank
*OTF-One Time Fee
You can apply for a car loan on the main website of the bank or you can even visit a baking portal like BankBazaar where you can compare various car loan options that are offered in Noida. You can even apply for a car loan by visiting the nearest branch of the bank.
Banks generally offer car loans for a period of 1-5 years. The loan tenure depends on the type of car that’s being purchased – the make and model of the car. Banks and lenders also offer car loans for a period of 7 years.
A car loan applicant should make it their duty to ensure they do not miss out on any EMI payments. If you do miss out on a payment, get in touch with the bank and explain why you have missed out on your payment. Banks and lenders will not deem you as a defaulter immediately. But if this is repeated time and again, your credit score can get seriously affected.
Yes, you can. Used Car Loans are applied for quite often as people have begun purchasing used cars more often than new cars.
Unlike home loans, car loans do not offer any tax benefits.
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