- Car loan eligibility
The age of the applicant for a car loan should generally be between 21 and 65 years. Applicant can be employed, self-employed or professional. Regular income, good credit score (CIBIL Score) and stable employment are considered important factors for loan approval.
- Necessary documents
Following documents are required for car loan:
- Aadhaar Card, PAN Card
- Address proof
- Passport size photo
- Bank statements for the last 3 to 6 months
- Salary Slip or Income Tax Return (ITR)
- Vehicle quotation or invoice
This Maybach car of the royal family of Kolhapur; One of the rarest vintage vehicles in India
- Car loan process
Submission of Application: The customer should fill the application form at the selected bank or online portal.
Verification of Documents: The bank checks the applicant’s income, credit history and documents.
Loan Approval: If the eligibility is met, the bank approves the loan and informs the loan amount.
Vehicle Purchase: The sanctioned amount is paid directly to the vehicle dealer.
EMI Repayment: The customer repays the loan through monthly installments over a fixed period of time.
‘This’ bank offers the cheapest home loan, quickly check the interest rate for a new house
- Things to keep in mind while taking a car loan
- Compare interest rates.
- Check the processing fee.
- Find out about pre-payment or foreclosure fees.
- EMI should be kept within your monthly income limit.
- If possible, make a higher down payment, thus reducing the interest burden.
- Best Car Loan Banks in India
State Bank of India (SBI): Known for low interest rates, quick approvals and wide branches.
HDFC Bank (HDFC Bank): Fast processing, digital application facility and attractive EMI options available.
ICICI Bank (ICICI Bank): Offers loan facility for both new and used vehicles.
Axis Bank (Axis Bank): Less paperwork and flexible repayment period are the features.
Bank of Baroda (Bank of Baroda): Competitive interest rates and good customer service available.
- Popular options in Maharashtra
Maharashtra has a strong network of SBI, HDFC, ICICI and Axis Bank. Apart from this, cooperative banks like Saraswat Bank, Cosmos Co-operative Bank and Pune Merchants Co-operative Bank also offer attractive car loan schemes to some customers. The services of these banks are easily available in cities like Pune, Mumbai, Nagpur, Nashik and Kolhapur.
