The Top 7 Banks For Car Loans

• The SBI Car Loan is available for a flexible tenure of up to 84 months
• SBI does not charge any fees for pre-closure of a Car Loan
• Customers can also enjoy the benefit of an additional SBI Life Insurance cover
• Customers also get to enjoy an overdraft facility on their loan
• The processing fee is just a minimal amount of 0.51% of the loan amount
• Customers have the flexibility to opt to pay their EMIs at any time during the month and also no advance EMI is payable

• Any salaried professional with a net annual income of Rs. 3 Lakhs can apply. The loan amount sanctioned will be 48 times more than the net monthly income. The salaried individual can have a co-applicant as well.
• For self-employed professionals, the net annual income has to be Rs. 4 Lakhs. SBI generally sanctions a loan amount up to four times more than the net income
• For agriculturists and other allied-sector professionals, the net annual income has to be Rs. 4 Lakhs. SBI sanctions loans up to three times more than the annual income of such applicants
• Individuals in the age bracket of 21 to 65 years can apply for an SBI Car Loan

• Last six month’s bank account statements
• Two passport-size photographs
• Copies of Passport or Voter’s ID or PAN Card
• Proof of residence (any KYC document)
• Latest salary slip for salaried professionals
• IT Return form and Form 16 of the last two years for both salaried and self-employed individuals

 Features of HDFC Car Loan

• The loan amount equates up to 100% of the vehicle’s cost
• Loan disbursal is very quick and can be done within 2-3 days
• Repayment tenure stretches up to seven years (84 months)
• Your income document details are not mandatory as per the ‘No Income Document Scheme’
• Fixed interest rates offers security against market upheavals

• The age bracket is within 21 to 60 years
• You have to be employed for a minimum of two years out of which one year has to be with the current employer
• The annual income has to be Rs. 1.8 Lakhs minimum (including that of a co-applicant)
• Must have a fixed landline number or post-paid mobile number

                For self-employed individuals

• The age bracket is within 21 to 65 years
• You must be in the business for at least two years
• The annual income has to be Rs. 60,000 (for standard cars) and Rs. 1 Lakh (for mid-sized and premium cars)
• Must have a fixed landline number or post-paid mobile number

For self-employed (private limited companies)

• The annual income has to be Rs. 60,000 (for standard cars) and Rs. 1.5 Lakh (for mid-sized and premium cars)
• Minimal annual turnover of Rs. 4.5 Lakhs
• Must have a fixed landline number at the office

For self-employed (public limited companies)

• The annual income has to be Rs. 60,000 (for standard cars) and Rs. 1.5 Lakhs (for mid-sized and premium cars)
• Minimal annual turnover of Rs. 4.5 Lakhs
• Must have a fixed landline number at the office

HDFC Car Loan interest rates

• Up to 2.5 Lakhs- Rs.2825
• Above 2.51 Lakhs to 4 Lakhs- Rs. 3850
• Above 4.01 Lakhs to 5 Lakhs- Rs. 4300
• Above 5.01 Lakhs to 10 Lakhs- Rs. 4650
• Above 10 Lakhs- Rs. 5150

Late Payment Penalty– 2% on the applicable EMI per month.

Foreclosure Charges (from date of availing the car loan)-

• Up to 6 months- No charge.
• 1 year from 7th EMI- 6% on outstanding principal
• 13 to 24 months from 1st EMI- 5% on outstanding principal
• After 24 months from 1st EMI- 3% on outstanding principal

Note:  HDFC Car Loan interest rate and other charges are as at the time of writing this article

• The Axis Bank Car Loan is available a tenure of up to five years
• The ex-showroom price of the vehicle is used to calculate the Car Loan amount
• Loans are available from Rs. 1 Lakh and above
• There are special offers for customers with Axis Bank salary bank accounts
• Axis Bank also offers banking surrogate schemes
•  On select models, an LTV of a maximum of 95% of the ex-showroom price is offered

• You should aged between 21-75 years.
• You should have a minimum net annual income of Rs. 2.4 Lakhs and this has to be supported by the latest salary slip and Form 16.

• You must be employed for a minimum period of one year

Self-employed Professionals

• You should be aged between 18-75 years.
• You should have a minimum net annual income of Rs. 1.8 Lakhs for select models and Rs. 2 Lakhs for others.

•  You must be in the business for at least the last three years

Self-employed non individuals

• The company should have a minimum net annual income of Rs. 1.8 Lakhs for select models and Rs. 2 Lakhs for others.

•  The company should be in business for the last three years
• In order to meet the income eligibility, the latest two years ITR and audited financial of two years along with computation has to be submitted

• Processing fee ranges between Rs. 3,500 to Rs. 5,500
• Documentation charge of Rs. 300
• Cheque bounce charge of Rs. 500
• Foreclosure charges are 10% of the principal amount till six months. Beyond six months, 5% charge is levied
• Late repayment penalty is 2% per month
• Issuance of credit report charge is Rs. 50

Note:  Axis Bank Car Loan interest rate and other charges are as at the time of writing this article

• Up to 85% “On Road” value of the car is financed by the bank
• You can pay your EMIs in quarterly/half-yearly/yearly basis as per your budget
• The repayment period is up to seven years
• Minimum KYC documents are required for application process

• Individuals with a minimum income of Rs. 1 Lakh can easily apply for the loan

• Companies, firms and trusts who have Andhra Bank accounts can also apply

For further information about eligibility, please visit the nearest Andhra Bank branch

• For Car Loans, up to 36 months tenure, the present rate is 10.75%
• For loans beyond that tenure, the current interest rate is 11%

Other Fees

• There are no charges for pre-closure or processing fees

Note:  Andhra Bank Car Loan interest rate and other charges are as at the time of writing this article

• The margin for new cars is 15% of the vehicle’s on-road price
• For Used Car Loans, the margin is 85% of the “Agreed Purchase Price” by the approved automobile dealer
• You can avail up to three times of your net annual income as a loan
• The repayment period varies up to a maximum of five years

• For salaried professionals, the minimum gross monthly income should be Rs. 25,000. The repayment should be done three months before your retirement date
• For retired individuals, the monthly pension should be a minimum of Rs. 15,000. The repayment should be done before you are 70 years old

• For companies or firms, the net annual profit should be sufficient to cover the loan amount. The company or firm should have been in business for two years at least
• For agriculturists, they should have a minimum of five acres of irrigated land holding

• 1.22% of the loan amount is charged as processing fees
• 2.28% of the outstanding balance is charged as pre-closure fees

Note:  Allahabad Bank Car Loan interest rate and other charges are as at the time of writing this article

• You can avail up to Rs. 50 Lakhs for Indian make vehicles and up to Rs. 100 Lakhs for imported vehicles
• NRIs can avail up to Rs. 50 Lakhs
• You can get a loan of up to 24 times your gross monthly income in case you are a salaried professional.
• Pensioners can get up to two times their gross annual income as a loan
• For companies, the loan amount can be two times the average annual cash accrual
• The repayment period is up to seven years

• Individuals aged between 21 and 65 years can apply
• NRIs can jointly apply for the loan with a resident Indian who is a close relative

• Minimum KYC documents are required for the application process

For further information about eligibility, please visit the nearest Bank of India branch

• For a new Car Loan, interest is calculated as Base Rate+0.45% interest rate
• For Used Car Loans, interest is calculated as Base Rate+1.25% interest rate

Other Fees

• Processing fee charged waived from 11.09.2015 to 31.12.2015

Note:  Bank of IndiaCar Loan interest rate and other charges are as at the time of writing this article

 Bank of Baroda Car Loan benefits

• The maximum loan amount can be up to Rs. 100 Lakhs
• For Car Loans up to Rs. 15 Lakhs, a margin of 15% is offered on the on-road price of the new car. For loans above Rs. 20 Lakhs, a margin of 20% is given on the on-road price of the car
• Hypothecation of a new vehicle is required as a security measure. The bank will keep a copy of the RTO registration document as well
• The loan will be directly disbursed to the car dealer and not to the applicant
• You will also need to take a car insurance policy along with the Car Loan
• The repayment period is a maximum of seven years
• Bank of Baroda also follows an inspection policy before and after sanctioning the loan

• Individuals above 21 years and below 65 years can apply for the Car Loan
• The loan amount is calculated depending on the age limit, salary, and repayment capacity

• For Car Loans amounting up to Rs. 15 Lakhs, a processing fee of 0.75% of the loan amount is applicable
• For Car Loans amounting more than Rs. 15 Lakhs, a processing fee of 0.50% of the loan amount is applicable
• Service taxes are applicable additionally to the processing fee charges
• There are no pre-closure charges
• Non-payment of EMIs will incur a 2% interest additionally on the regular rate of interest
• Other miscellaneous charges like registration, stamp duty (as applicable in different Indian states) also need to be paid

Note:  Bank of Baroda Car Loan interest rate and other charges are as of writing this article