Is SBI Used Car Loan the Best Among its Competitors? The Answer is Here

So what if you can’t bring home the all-new car model. You have a bundle of used cars to pick from and drive your city crazy. And, if you think used cars do not attract a loan from the lenders, the growing second-hand vehicle finance from banks and other financial institutions would break the myth and bring a smile on your face. 

Lenders from State Bank of India (SBI) to Bank of India (BOI) are all waiting for your used car loan application to reach their desk. Since it is a loan, you would need to compare the offers in terms of loan amount, interest rate and others. 

SBI used car loan could well be a pick of the most because the lender has a massive presence across the country with a robust branch and ATM network of 24,000 and 59,000, respectively. However, it won’t be bad if you compare SBI with its competitors to get a feel of the used car finance market in general. Also, it would help you to choose the right option.

SBI Used Car Loan at a Glance

SBI provides a loan to buy a used car of not above 5 years of age. From passenger cars to sports utility vehicles (SUVs), SBI has a loan to buy a second-hand model of your choice. The loan, which can be granted for as long as 5 years, is ascertained at 80% of the valuation amount of the concerned vehicle. The remaining portion has to be paid upfront by a borrower. But where the hawk eye remains, is the interest rate charged by a lender. SBI disburses a loan for used models at 12.65%, which is 4.65% above 1-year MCLR of 8%. The loan offer can be availed by both salaried and self-employed.

Now as you got a brief of SBI used car loan, let’s find out the offers of others who are doing the rounds in the car finance space.

What to Expect from HDFC on Used Car Finance?

While applying for a used car loan at HDFC Bank, make sure the age of the vehicle won’t cross 10 years by the time the tenure gets over. The maximum loan tenure offered for a second-hand vehicle loan is 5 years at HDFC. What differentiates HDFC Bank from many in the group is its ability to pay as much as 100% of the value of the vehicle. Rarely you see a lender offering to that extent. The interest rate, on the other hand, stands at 11.50%-17.50% per annum.

Where Does ICICI Bank Stand in Second-hand Car Loan?

ICICI Bank, another top lender with a wide presence across the country, comes with a used car loan offer for a maximum period of 5 years. The loan amount can be upto 80% of the value of the second-hand model. The interest rate for the loan type stands at 15.50% per annum.

Does Axis Bank Throw Any Competition to SBI in Second-hand Car Finance?

With regards to the extent of finance, Axis Bank provides a loan of upto 90% of the valuation of the used model. The interest rate on a loan, which can be granted for a maximum of 5 years, ranges from 14.50%-16.25% p.a.

What About Kotak Mahindra Bank on Used Car Loan Front?

Kotak Mahindra Bank, one of the premier vehicle finance companies in India, offers a second-hand car loan at 15%-21% interest rate. The loan, which is limited to 90% of the valuation of the used vehicle, can be given for a maximum period of 5 years.

Does BOI Deserve to Stay in the Race of Top Used Car Loan Lenders in India?

Bank of India, like its contemporaries, also offer a loan for old cars. The loan, which is limited to 70% of the valuation of the used vehicle, comes at an interest rate of 9.25% per annum. But unlike most which offer the loan for a maximum of 5 years, BOI grants the same for only 3 years.

In our observation to used car loan offers, it is found that SBI beats all in terms of interest rates, barring BOI. The maximum loan amount also is a good one at 80% of the vehicle’s value. But it falls short of the private counterparts like HDFC Bank, Axis Bank and Kotak Mahindra Bank. So, if you need a less amount of loan to buy an old car, SBI could well be the bank you should look to apply at. But if the loan offer from SBI falls well short of the requirement, choosing another lender for a maximum finance at a reasonable interest rate should be your top consideration.

Check SBI Car Loan Eligibility and Apply to Bring Home your Desired Car

Each individual has a different dream. But the demand for the luxury of all is almost similar. These luxurious products are also the things of utility. One among this list of many is the car. Most of us have a desire to have a car in which we can go for road trips with our family and friends or use it to go to the office. But very few of us actualize it.

The reason is the unavailability of the right amount of funds and the perfect lender who can provide the best deals at fair pricing. We compromise on our requirements. But now there is no need to do the same as now you can avail the loan from the banks. SBI is the leading bank in the country that offers multiple banking products and services. It even offers Car loan to help people in getting their dream car.

The bank provides loan for the purchase of both new and used cars. The product can be used to purchase any multi- utility vehicle, a new passenger car or a sports utility car.  Anybody can secure a car loan from SBI be it a self-employed individual, a salaried employee or a person engaged in agricultural activities. The SBI Car Loan Eligibility criteria are as follows:

Eligibility Criteria

• Age is a very important component which is used to check if you are eligible enough to repay the loan or not. The applicant should be between the age group of 21 to 65 years if he/she wants to get a loan from the bank. This means it is important for the applicant to attain the age of 21 when the loan application is signed. The loan has to be fully repaid by the age of 65 years.
• Salaried individuals who are regular employees of central/ state government, a private company, a public sector undertaking any such reputed organisation are eligible to secure finance from the bank. It is very mandatory that the net combined annual income of both the applicant and co-applicant should be at least Rs. 2.5 lakhs. The maximum amount that can be availed will be equal to 48 times of the net monthly income.
• Professionals, proprietors, businessmen, self-employed individuals, partnership firms who pay income tax are also eligible to apply for a loan. The gross taxable income or the net profit should be at least Rs. 4 Lakhs, if the applicant wishes to secure finance. He/she can add the income of the co-applicant as well. The maximum amount availed will be equal to four times of the net profit.
• People engaged in any kind of agricultural or allied activities can also look up to the bank to get a car loan. All they have to ensure is that the net annual income of both the applicant and co-applicant is at least Rs. 4 Lakhs. They can take finance up to three times of their net annual income.

Documents required-

It is very important for anyone who wishes to obtain funds from the bank, to have a proper look at the documents which will be submitted to the bank. See them right here-

• Proof of Identity- Voter ID card/ Aadhar card/ Driving License/ PAN card/ Passport
• Bank statement of the previous six months
• Proof of Address- Rent and Lease agreement/ Voter ID card/ Ration card/ Telephone bill/ Water bill/ Electricity bill/ Passport/ Life insurance policy
• Two photographs of passport size
• Proof of Income- For salaried individuals: Latest salary slip and Form 16. For self-employed individuals: Income Tax returns of the last two years along with Audited Balance Sheet and statement of Profit and Loss.
• People engaged in agricultural activity will have to show ownership of their land.
• For self-employed individuals: SSI registered certificate/ Sales tax certificate / Shop & establishment act certificate/ copy of partnership.

The bank has proposed multiple schemes so that the consumer can choose the one that best suits his/her interest. According to the need, the customer can select the product. Whatever, the scheme you choose, make sure you check the interest rate before applying. This will help you plan your budget.  Read the following section to know the lending rate.

SBI Car Loan Interest Rates

The interest rate for a new car for men ranges from 9.15% to 9.25% and for women borrowers, it variates from 9.10% to 9.20%. The interest rate applicable on pre-owned cars ranges from 10.40% to 12.65%. The bank charges a processing fee of Rs. 1,000 along with the applicable service taxes.

If your profile matches the SBI Car loan eligibility standards that apply quickly for the loan and have access to your dream car.

Understanding the Nitty & Gritty of South Indian Bank Car Loan Eligibility

Many of you will surely agree on the fact that buying a classy and stylish car is a dream of many. And, when it comes to fulfilling that dream, people take various financial ways and taking a car loan is one such option. Well, I would say it is not only an option, rather a good and the most safest medium that actually allows you to avail the finance so as to fund your car. Yes, with the help of applying for a loan, you can instantly get the required amount in your hand with which you can actually easily buy your favorite vehicle.

Now, when we talk about availing this type of credit facility, it would not be wrong to say that there are various renowned lenders in the marketplace to choose from. But, choosing the one is definitely something which is not everyone’s cup of tea. So, to keep you away from that hassle and dilemma of choosing the best lender amongst many, here we are to help. Well, we are talking about South Indian Bank car loan eligibility.

Yes, you read that right! Before availing this credit facility, it is also important for you to know about eligibility of the same as it plays a crucial role in your loan journey. Different banks set different eligibility norms that you need to match up so as to grab the best deal. And, the same goes for South Indian Bank as well as this renowned lender offers you the loan, if you fulfill the eligibility criteria mentioned below.

Moreover, this lender offers the credit facility to salaried, self-employed individuals, self-employed professionals, pensioners, NRIs and Agriculturists. So, if you belong to any of these categories, you are eligible to avail the credit from this bank.

However, one thing that needs to be mentioned here is the fact that the more you score on the eligibility ground, the more chances are for you to get the maximum loan amount. Yes, your chances of getting the maximum loan amount increase if you fit into the criteria set by the bank. Well, apart from the basic criteria, there are some other factors as well that also play a pivotal role when it comes to maximizing the loan amount eligibility is concerned.      

Yes, that absolutely right! There are some crucial points that you should always keep in mind while availing a loan as help in increasing your loan eligibility. So, what are those factors? Curious to know about them? So, let’s not waste any time further, here they are:

Credit Score: Apart from meeting the bank’s eligibility norms, it is also important that your credit score should be good. Now, when we say good, it clearly means it should be between 700-750 out of 900. Before offering the loan amount to the applicants, lenders do check the credit history as well as the score of the applicant/s. So, if you maintain a good score, it also helps you in fetching the maximum loan amount.

Relationship with the Lender: If you are an existing customer of the bank, or had availed a loan in the past, you need to ensure that your terms with the lender should be fruitful. Yes, because with the help of the same, you can even negotiate with your bank and ask the same to increase your eligibility. Maintaining a good track record helps you in availing the best deal. In fact, you can ask your bank to lower the offered interest rates as well, which will ultimately benefit you in the long run.

Category of the Employer: If you work in a fortune 100 or 500 company, it also gives its share in increasing the South Indian Bank car loan eligibility. Yes, working in a renowned or multi national company also allows you to grab the best loan deal as it gives the assurance to the lender that your job is secured and you can repay the loan in the future without any default. Hence, all these things and much more ensure that you get the maximum loan amount as it boosts your eligibility.

So, hope that facts are now clear to you and you can easily grab the best car loan deal in the most hassle-free manner!     

Finance your Dream Car through UCO Bank Car Loan

Are you looking to postpone your dream car, just because of paucity of funds? Don't let it be. When UCO Bank Car Loan is here to fulfill all your requirements. Don't compromise in paying heavy EMI's from your net salary each month but prefer car loans that would successfully plan your monthly budget with ease.

UCO Bank has much to offer on car loans that would systematically align your preferences of what you are actually looking for in your car loan product. It's better to assess the eligibility criteria before going to avail car loan. That would really help you to choose your best interest rate on car loan.

UCO Bank Car Loan Eligibility

1. Below are the individuals who are eligible to avail car loans from UCO Bank :

•    Salaried group: Regular employee with minimum 6 months completed service
•    Non-salaried group: Established professionals & self-employed, businessmen  
•    Farmers and agriculturists.
•    Business concerns (Corporates & Non- Corporates)
•    Ex-staff and pensioners
•    NRIs

2. The minimum age of the borrower should be 21 years and the maximum age should not exceed 70 years at the time of loan maturity.

3. The availability of car loans is dependent on the income criteria of the borrower concerned under UCO Car Scheme.

UCO Bank Car Loan Interest Rate

The availability of UCO Bank Car loan is applicable under two schemes:

1. UCO Car

If you are going to purchase a new car, then the rate of interest you have to incur is 9.00% per annum and for the pre-used cars(not more than 5 years old), the rate of interest revolves around 10.10% per annum.-10.60% per annum.

2. UCO Car Loan Combo Scheme (Car Loan for UCO Home Loan Borrowers)

For the new car buyers, the applicable rate of interest is 8.75% per annum and for the pre-used cars(not exceeding 5 years) range from 10.10% per annum.-10.60% per annum.

UCO Bank Car Loan Documents Required

The borrowers need to provide the following documents while availing car loan from UCO Bank :

• Proof of Identity: Passport copy, PAN Card, Voters Id card, driving license( Laminated, Recent, Legible)

• Proof of Address: Ration card/Driving license/Voters card/passport copy/telephone bill/ electricity bill/Life insurance policy PAN Card.

• Proof of Income: Latest salary slip with form 16 / Audited balance sheet, Profit & Loss Account for latest two years / Audited balance sheet, Profit & Loss Account for latest two years and the latest 2 years IT returns of the company / Latest ITR

• Bank Statement: Last 6 months

UCO Bank Car Loan Application Form

The following are the details which are required by the applicant to mention in their application form:

1. Name of the applicant and the co-applicant's name

2. Father's name/ Husband's name

3. Date of Birth

4. Gender

5. Address of the applicant and co-applicant, phone number, number of years in current address

6. Permanent address

7. Relationship with any member of the UCO Bank staff

8. Educational qualifications

9. Specify the number of family members in the applicant's family and co-applicant's family.

10. Mention any of the document which will be produced by the applicant and co-applicant

• PAN Card/GIR No.
• Voter Card No.
• Driving License No.
• Ration Card No.
• Passport No.
• Office Identity Card no.

11. Specify the relationship between the applicant and the co-applicant.

12. Provide the other information details about the applicant and the co-applicant.

• Age of Banking Relationship with UCO Bank
• Say Yes or No if the applicant or co-applicant is a guarantor of someone else.
• Mention the Savings Bank/ Current Bank account no. with UCO Bank

13. Give the occupation details such as name of the organization, name of the employer/business organization, address of the employer/business organization and address. Also, the number of present years in occupation.

14. Give the Income particulars or any deductions or outstanding loan balance(if any).

15. Give the details of Loan Particulars for the purchase of a new car and second-handed car:

• Margin Offered
• Proposed Repayment Period for Term Loan(in Months)
• Proposed Equated Monthly Instalment (EMI)
• Proposed Mode of Payment(deduction at source such as salary and terminal benefits by the Employer/Post-Dated Cheques)

16.  Give the particulars of Car proposed to be purchased (whether new car and second-handed car)

• Manufacturer and Model
• Name of the Dealer/Seller
• Type/Class of Vehicle
• Year of Manufacture
• Cost of new vehicle(show-room price)
• Cost of Accessories
• Cost of Insurance(One year)
• Cost of Registration/Road Tax(One Year)
• Car Insurance Policy (for second-handed car)
• Original cost of Pre-used vehicle(for second-handed car)
• Present value of the pre-used vehicle(for second-handed car)
• Cost of pre-used vehicle (for second-handed car)
• Other information such as monthly maintenance cost of the vehicle which includes monthly fixed costs e.g. Insurance(pro-rata), Road-Tax(pro-rata), garage rent etc.)

Become the Owner of a Stylish Car with Axis Bank Car Loan

Nothing can give you more joy than driving your own car and taking your family for a long drive. It is a feeling which can’t be expressed in the form of words. Everyone wishes to own a car one day. After all who wants to travel in the metro or public bus daily, considering the huge rush. It is also not feasible to hire a cab and go to office every day. If you do so you are bound to burn a hole in your pocket. This is why a car is so useful. It is an investment of a lifetime which you make once.

However this investment requires finance as well. And this the reason many people have to let go of their car dreams. This is where a Axis Bank car loan comes into the picture. Although there are many lenders in the market, it is advised to go for one which offers you the best deal. An Axis Bank car loan is one of the most sought after product offered by the bank. As a matter of fact, Axis bank is one of the leading private sector banks in India. It offers a car loan to eligible applicants for a tenure up to seven years. You should read this article for important information about the product.

Eligibility criteria-

An applicant will only be able to obtain funds from the bank only if he/she is able to meet the said car loan eligibility criteria. The norms of eligibility is set by the bank to check if the loan borrower will be able to repay the loan amount or not.

Salaried Individuals:

• Must have obtained the age of 21 years when applying for a loan
• The maximum age when the loan term matures must not cross 70 years
• An annual income of at least Rs. 2,40,000 is essential to avail the loan
• The applicant should be working continuously for a period of at least one year

Self-employed Individuals:

• The applicant must be over the age of 18 whenever the loan is applied
• The maximum age at the time of loan maturity should be 75 years
• The annual income should be at least Rs. 1,80,000
• The business should be stable for a period of at least three years

Self-employed Non-individuals:

• A minimum annual income of Rs. 1,80,000 is required for selected car models. In case of other models, there is a requirement of at least Rs. 2 Lakhs
• Business needs to be stable for a minimum period of three years

Documents required for an Axis Bank Car Loan-

It is very important for the applicant to complete the procedure of documentation on time if he/she wishes to avail finance from the bank. The list of all the important documents have been given below. Check them out.

• Completely filled application form
• Age Proof- PAN Card/ Passport/High school mark sheet/Birth certificate/ Voter ID card
• Proof of Identity- Driving license/PAN Card/Voter ID card/Passport/Aadhar card
• Proof of Income- Salaried Individuals: Form 16 and ITR of the last two financial years plus salary slips of the previous three months. Self-employed: Audited Balance Sheet and statement of Profit & Loss and Income Tax returns of the past three years  
• Proof of Residence- Voter ID card/Telephone Bill/Ration card/Electricity Bill/Passport/Life Insurance Policy
• Pro-forma Invoice or Rate List
• Bank Statement- Bank Statement of the last six months
• Signature Verification Proof- PAN card/Passport or any other such document which can actually act as a verification for the signature of the applicant

Interest rates and processing fees-

Any loan seeker should know about the car loan interest rate of the product he/she is availing. Axis bank charges a rate of interest between 11%-12% for a car loan product. It also charges a processing fee between the range of Rs. 3,500 to Rs. 5,500.

Axis Bank Car Loan EMI Calculator-

The process of calculating the monthly installments has always bothered you, right? Now, you won’t have to worry. Thinking why so? The answer is very simple. All thanks To Axis bank Car loan EMI calculator, the calculation can be done in few seconds. Yes that's true buddy. You can now get information relating to your EMI each month with the help of this magical tool. All you have to do is enter the details of your loan amount, rate of interest and tenure period. The calculator will provide you with information about your monthly EMI and total interest payable.

So now you have known about Axis Bank Car loan, you can now apply for the same. Have a successful  car loan journey from my end.