UCO Bank Car Loan Interest Rates Can Help You Buy Your Dream Car

A car is a dream that we ride on, a travel partner for every road trip and much more than just being a vehicle. We all have a passion for cars and wait for the day when we can take our favorite car home. But, you must also have experienced that the thing which takes our heart away is most of the time out of the budget and same is the case with a car.

However, a car loan is always there to turn the situation in our favor. UCO Bank is one of the best lenders when it comes to affordable car loans. To apply for this desirable car loan that is a combination of a lower interest rate and a higher loan amount, check below the details.

UCO Bank Car Loan Interest Rate 2017

The car loan interest rate at UCO Bank is one of the lowest interest rates on car loans in India. The bank gives 9.00% per annum for new cars and 10.10%-10.60% per annum for used cars.  

Car Loan Eligibility at UCO Bank

UCO Bank accepts the car loan application on the basis of the eligibility criterion set by it. The bank facilitates car loans to a salaried as well as self-employed individuals who match the below criteria:

For Salaried:

• The age of the applicant must be between 21-70 years
• The minimum net monthly income of the applicant should be at least ₹20,000

For Self-employed:

• The age of the applicant must be between 21-70 years
• The minimum annual business income of the applicant should be at least ₹4 lakhs

Documentation Required

The documents checklist you must have at the time of applying for a car loan at UCO Bank is as follows:

For Salaried:

• Age Proof- Passport Copy/PAN Card/ Voter ID card, Photo Driving License with birth date (laminated, recent, legible)/Photo ration card with DOB/Employer certificate/ID/School/College Leaving Certificate
• Identity Proof- PAN Card/Voter ID/Passport/Driving License, 2 passport size photographs
• Income Proof- Form 16 for last 2 years, Latest Salary Slip, 6-month bank statement
• Address Proof- Latest Telephone Bill/ Electricity Bill/Property Tax Receipt/Passport/ Voter ID
• Signature Proof- Driving License/Passport copy/PAN Card

For Self-employed:

• Age Proof- Passport Copy/PAN Card/ Voter ID card, Photo Driving License with birth date (laminated, recent, legible)/Photo ration card with DOB/Employer certificate/ID/School/College Leaving Certificate
• Identity Proof- PAN Card/Voter ID/Passport/Driving License, 2 passport size photographs
• Income Proof- IT returns for the last 2 years along with audited balance sheet, P&L account statement for 2 years, Shop & establishment act certificate / sales tax certificate / SSI registered certificate / copy of partnership
• Address Proof- Latest Telephone Bill/ Electricity Bill/Property Tax Receipt/Passport/ Voter ID
• Signature Proof- Driving License/Passport copy/PAN Card

UCO Bank Car Loan EMI Calculator

A car loan EMI calculator is the tool that is used to calculate the monthly installments of the payments that the borrower would have to pay. This calculator takes into account the interest rate, the loan amount and the loan tenure. With the help of this tool, a borrower can check the payment details and hence prepare himself accordingly to make smoother payments.

UCO Bank Loan Application Form

You can easily apply for UCO Bank car loan by filling in the details asked in the application form, which you can get at the branch or the website of the lender. Moment the application form is submitted, UCO Bank will send a representative to visit your residence and official addresses mentioned in the documents. The representative will scrutinize the authenticity of income details shown by you in addition to the addresses. If everything goes fine, then you can get the loan to buy your dream car within a week of application submission.

Factors affecting your car loan eligibility

• Monthly Income
• Savings
• Age
• Car Value
• Car Model Type
• Credit History
• Employment Status for Salaried
• Longevity in the business for self-employed
• Category of your employer
• Accommodation

UCO Bank Car Loan Eligibility Calculator

If you are earning an income of ₹45,000 per month and your saving comes out to be ₹20,000, which accounts for nearly 45% of your monthly income. The UCO Bank will decide upon your loan amount eligibility after computing per lakh EMI.

Amount=₹1 lakh

Interest Rate=9% per annum

Tenure=7 years

Per lakh EMI= ₹1,609

Loan Amount Eligibility=₹1,00,000x20,000/1,609= ₹12.43 lakhs

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.)

Are You Up with UCO Bank Car Loan Eligibility? Find Out Here

UCO Bank, a 1943-founded Kolkata-headquartered public lender with more than 3,000 branches, is a noted player when it comes to financing your car wish. Be it the wish of driving a new or a used car, the bank has an attractive loan for buying looking to bring home either set of vehicles. Similarly, the cars can be financed to salaried to self-employed businessmen and from self-employed professionals to partnerships firms, companies, etc.

The time period for which the loan has to be serviced remains a maximum of 7 years for new and 5 years for used cars. The affordable interest rates make the customers running all the way to the bank branches or log in to its website to apply for the loan at the earliest. Like any good thing, UCO Bank Car loan also comes with some conditions, which you would like to know, right! So, could you please spare some valuable minutes to run through UCO Bank Car Loan Eligibility?

Meet UCO Bank Car Loan Eligibility Criteria & Bring Home Your Dream Car

UCO Bank has set a list of norms that the borrowers must comply with before accessing a car loan from the lender. Keen to know the eligibility criteria that the bank follows for approving a car loan? Find them out in the pointers below.

• Net monthly take home salary should be a minimum of ₹20,000 after deducting all loan liabilities, if any, and the proposed EMI of the loan.

• Self-employed businessmen and professionals, on the other hand, should post a yearly income of ₹5 lakh in metro cities and ₹4 lakh in other centres to be able to find a green signal from the bank for a car loan.

• When the borrower is set to apply for a car loan, his or her age must be a minimum of 21 years. The age of borrower at the time of loan maturity must not be over 70 years.

UCO Bank Car Loan Eligibility Calculator

Above, you got to know about the general eligibility of UCO Bank with regards to a car loan, Now get down to the real task of determining the loan amount you are worth for. It’s the bank’s Car loan eligibility calculator that will decide your worth. Based on what you earn and save, the calculator decides the amount of loan using its algorithm. Let’s understand the function of the calculator through an example below.

Rikshit Verma, a 25-year old IT professional, earns a monthly salary of ₹28,000 and he saves around ₹14,500. Now if he wants to know how much UCO Bank can finance him as a car loan, he can use the calculator, which would start its operation by calculating the per lakh EMI. Now when the term ‘ EMI’ comes, the interest rate and tenure assume enormous significance as they form the base by which the monthly installments are calculated.

UCO Bank Car Loan Interest Rates 2017

For New Car Loan-9% p.a.

For Used Car Loan-10.10%-10.60% p.a.  

Now let’s get back to the example that was left in a mid way. So, assume Rikshit is buying a new car. In that case, the per lakh EMI would turn out to be ₹1,609.

Loan Eligibility-1,00,000 x savings/per lakh EMI

                        -₹1,00,000 x 14,500/1,609=₹9.01 lakh

This was based on the savings Rikshit is able to make. However, if the saving drops further and the resultant amount comes below 50% of the monthly income, he could get a lower amount of loan or his application may even get rejected as the bank could fear default from his end.

UCO Bank Car Loan EMI Calculator

Knowing the eligibility is just a tip of the iceberg. Also important is to be aware of the Equated Monthly Installment (EMI) that you as a concerned borrower should be beforehand. What can enable that is the EMI calculator, which based on the loan amount, interest rate and the tenure, shows the desired result. Also, the calculator indicates the overall interest repayment to be made from your end until the expiry of the tenure. Suppose you are searching for a 7-year car loan of ₹5 lakh at UCO Bank, which offers the same at 9%. The indicative EMI would be ₹8,045, while the total interest outgo is expected to be ₹1,75,741 over the loan term. So, your overall repayment would go up to ₹6,75,741 (5,00,000-principal+interest-1,75,741).

The decks, I hope, are cleared for you to buy a car from the showroom and sizzle the road as UCO Bank Car Loan Eligibility is understood from every respect possible. So, drive, enjoy and save on your dream car...

Are UCO Bank Car Loan Interest Rates Lowest in the Industry?

It’s always a fun riding a stylish car with eye-catching interiors and exteriors. Tasting the roadside eateries while riding a car with your spouse or love interest is an amazing feeling. But when the wallet is put under the scanner to check whether it is ready to deal with the cost that is required to bring home a car, many become inept due to the surging interest rates on a car loan. The interest rates, to a greater extent, determine the outflow of money from your pocket towards servicing the loan.

So, when the rates charged are on the higher side, you would end up paying more which otherwise can be saved with lower interest rates. Your search for lower rates finishes with UCO Bank, a Kolkata-headquartered public lender which has been in the banking space since 75 years. The bank offers a car loan at affordable rates. But how much affordable is the question you would ask, right! So, let’s explore UCO Bank Car Loan Interest rates here and set the course for an easy and low-cost car acquisition.

UCO Bank Car Loan Interest Rates

UCO Bank finances the purchase of both new and used cars. The interest rate mechanism at UCO is purely based on Marginal Cost of Lending Rate, which applies for floating rate loans.

New Car Loan- 1-year MCLR+0.40%

                      - 8.60%+0.40%=9% p.a.

Used Car Loan- 1-year MCLR+1.50% if you buy from a certified dealer

                       -  8.60%+1.50%=10.10% p.a.

                       - 1-year MCLR+2% for others

                       - 8.60%+2%= 10.60% p.a.

Now let us see where does UCO Bank stand in terms of interest rates compared to its peers. Below are the interest rates of various lenders with the new car rate mentioned first followed by that of used car in each of the cases.

(Interest Rates in % p.a.)

State Bank of India (SBI)- 9.20-9.25

                                         - 12.65

                    HDFC Bank - 11.50-13.75

                                         - 14.50-17.50

   

                      ICICI Bank - 10.75-12.75

                                         - 15.75.  

                      Axis Bank - 11-12, 9.15 for salaried

                                        -  14.50-16.25

                   

   Bank of Baroda (BoB)  - 8.85-10.85  

Punjab National Bank (PNB)- 8.80-9.40

          Bank of India (BOI) - 9.35 for both new and used cars

Oriental Bank of Commerce (OBC) - 10.20-10.45

                                                           - 12.70

                    Canara Bank -8.75-8.95

           Corporation Bank - 9.40-9.90

                Syndicate Bank - 9.40

So, there you saw a list of car loan lenders with their respective interest rates on both new and used cars. You could find some banks which do not offer a loan for buying a used car. It is evident from the chart that UCO Bank is certainly one of the most affordable lenders available today, but not offering the lowest interest rate in the industry.  

How Much EMI You Need to Pay with UCO Bank Car Loan Interest Rates?

The interest rate is one of the vital factors determining the quantum of Equated Monthly Installment (EMI) towards a car loan. Assume you are buying a new car worth ₹7 lakhs. So, as per the new interest rate regime, you would need to service the loan at 9% while availing it from UCO Bank. The maximum time for which you can avail a loan is 7 years. Based on the eligibility, the bank decides to lend ₹6 lakhs. So, on a 7-year loan of ₹6 lakhs at the rate of 9% would bring forth an EMI and interest outflow of ₹9,653 and ₹2,10,890, respectively.

The interest outgo, however, can be reduced if you opt for a slightly lesser tenure, say 5 years, but with an expense of comparatively higher EMI. If you do follow this, the monthly installment and overall interest repayment are going to read as ₹12,455 and ₹1,47,301, respectively. The EMI, as you see, is higher by ₹2,802, but interest slashes by ₹63,589, quite a lot of bucks, isn’t it folks? As a buyer wanting to safeguard the money, this is one practice you should follow to cut down the interest repayment.

I hope, you are now fully updated on UCO Bank Car Loan Interest rates and their effects on your repayment journey. So, I leave it to you to decide whether UCO Bank is the one where you should apply for a Car loan or not. The choice is yours, but make sure your repayment capability is good enough to suffice the EMI payment and thus preventing any incidents of default, which if happens, could lower down your CIBIL score. With that, the chances of future loan approval from the lender can get either bleak or the eventual loan amount could be a lot lower than what you would need.