State Bank of Travancore is a subsidiary of the State Bank Group and also has private share-holders. It is the premier bank of Kerala, India, where it has 777 branches. Overall, SBT has a network of over 1036 branches spread over 16 Indian states. To know more, follow some simple steps given below to get attractive deals.
At least 21 years old
Less than 65 years old
Salaried or self-employed
with regular income
Earn more than the minimum
Minimum income required
Rs.3,00,000 per annum
Loan capped @
85% of the ex-showroom price
EMIs of other loans lower
Pay off your credit card bills
Choose longer tenure loan up to 7 years
|Interest Rate||9.05% to 9.30%|
|Processing Fees||0.30% of loan amount with a minimum of Rs.1000/- and a maximum Rs.3,000/- .(Service tax extra)|
|Loan Tenure||1 year to 7 years|
|Pre Closure Charges||Nil|
|Guarantor Requirement||No Guarantor required|
State Bank of Travancore is a public sector bank that was set up in 1945. Under the SBI subsidiary Banks Act 1959, it was incorporated as an Associate of State Bank of India and a member of the State Bank Group. It’s head office is in Thiruvananthapuram. State Bank of Travancore is committed to policies of the Government that aim at social development. Its role meeting need-based requirements of Small and Medium Enterprises and Agriculture is developmental and active. The bank has rural and semi-urban branches that caters majorly to the needs of farmers. It also provides banking services for NRIs.
State Bank of Travancore offers car loans to customers who are seeking to purchase new cars, MUVs and SUVs. The process is very clear and prompt. You can avail of a car loan jointly where the vehicle can be registered in any one of the borrower's name. Get a large loan amount to purchase the car you want.
In response to RBI’s new rules, SBT has implemented the system of MCLR (Marginal Cost Based Lending Rate) for all its retail loan offerings which includes auto loans. This system is used to determine the minimum applicable rate for car loans of various terms.State Bank of Travancore Marginal Cost Based Lending Rate (MCLR) for New Borrowers
|Benchmark MCLR rate||9.60%|
|Rate of interest (loan amount below Rs.10 lacs)||10.60% (MCLR + 0.75%)|
|Rate of interest (loan amount above Rs.10 lacs)||10.35% (MCLR + 0.50%)|
The effective MCLR for various tenures have been provided below.
|One month MCLR||9.10%|
|Three month MCLR||9.35%|
|Six month MCLR||9.65%|
|One year MCLR||9.65%|
Note: The MCLR is subject to periodic revision as per bank’s credit policy and RBI’s quarterly reviews. Make sure to confirm with the bank on prevailing rates at the time of applying and choose the terms accordingly.
All types of new passenger cars, Sports Utility Vehicles (SUVs) and Multi Utility Vehicles (MUVs) can be purchased using State Bank of Travancore Car Loan.
An applicant must satisfy the following eligibility conditions to apply for a State Bank of Travancore Car Loan.
The following class of customers can apply for a State Bank of Travancore Car Loan.
Yes, income from other sources like rent, bank interests and dividends of listed companies can be added to arrive at the minimum income requirement.
Businessmen and self - employed applicants should satisfy the below given income criteria to apply for a State Bank of Travancore Car Loan.
When State Bank of Travancore Car Loan is sanctioned in joint names, the vehicle can be registered in any one of the borrower’s name. The borrower can choose the name to be registered.
For self - employed applicants and businessmen, up to 4 times the Gross Taxable Income or the Net Profit per annum as per Income Tax Returns after adding depreciation and deducting repayment of all other existing loans is offered as maximum loan quantum under State Bank of Travancore Car Loan.
The Net monthly income is the net of all deductions including original monthly TDS (tax deduction at source). It is calculated by taking an average of Net salary of the last six months.
Under normal car loan scheme, up to Rs. 10 lakhs will be offered. For premium car loan scheme under State Bank of Travancore Car Loans, Rs. 10 lakhs and above will be offered.
For State Bank of Travancore Premium Car Loan, the EMI to Net Monthly Income (NMI) ratio of the applicant should be 55%.
For normal car loan amounts (below Rs. 10 lakh), the EMI to NMI ratio should not exceed 50%.
Yes, the EMI to NMI ratio will include all EMIs towards the proposed car loan and existing loans. The NMI will be equal to the Total Gross Income after depreciation, if applicable and other compulsory deductions like Employee Provident Fund and Income Tax.
The table below gives the margin requirements for State Bank of Travancore Car Loan.
Normal Car loans - below Rs. 10 lakh
15% of the total cost of vehicle
Premium car loan - Rs. 10 lakhs and above
20% of the total cost of vehicle
Under State Bank of Travancore Car Loan, the cost of vehicle includes the cost of life tax, insurance, invoice price and accessories. Any discounts or consumer offers announced by dealers and manufacturers should be reduced from the on-road price.
The maximum cost of accessories should not exceed Rs. 50, 000 or 5% of the cost of four - wheeler, whichever is less.
For all class of borrowers, the maximum repayment tenure is 7 years. However, the borrower must repay the loan before he attains the age of 70 years.
The person whose income is included for satisfying the loan eligibility criteria must be made a co - borrower and not as a guarantor.
Yes, State Bank of Travancore will consider an applicant’s CIBIL score and credit repayment history before approving a car loan. The credit score threshold limit for car loans is set at 60 marks.
The processing charges for State Bank of Travancore Car Loan is 0. 30% of the loan amount subject to a minimum of Rs. 1,000 and a maximum of Rs. 3,000.
When State Bank of Travancore Car Loan applications are rejected, 25% of the processing fee will be retained if the car loan application is rejected after the pre sanction survey subject to a minimum of Rs. 250 plus the service tax.
For State Bank of Travancore Car Loan, hypothecation of vehicle purchased out of the loan amount is prescribed as security.
If a borrower makes a prepayment for State Bank of Travancore Car Loan, no penalty is charged.
Yes, the car purchased with State Bank of Travancore Car Loan must be insured comprehensively for at least 10% of the outstanding loan amount or for the market value, whichever is higher, in the borrower’s name and the interest of bank as hypothecatee must be noted in the certificate of insurance policy.
The maximum time frame for receipt of application and the loan disbursal is 2 working days from the date of application provided all necessary documents have been submitted by the applicant.
Customers can download a copy of the application form for State Bank of Travancore Car Loan from the bank’s website. Alternatively, customers can also visit any of the nearest bank branch to procure an application for State Bank of Travancore Car Loan.
The following table presents the current interest rates for State Bank of Travancore Car Loan.
For limit up to Rs. 10 lakh
0. 75% above the base rate
Currently fixed at 10. 70% per annum
For limit Rs. 10 lakh and above
0. 50% above the base rate
Currently fixed at 10. 45% per annum
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