Description
Car Loans are available in India at attractive interest rates and a repayment tenure of up to 8years. Depending on the lender, up to 100% of the on-road price of car may be offered as a loan.
Eligibility Criteria and Documents Required
The car loan eligibility criteria can be different for different banks. The common criteria are as follows:
- Age of the individual must be between 18 years and 75 years.
- Minimum net monthly income of Rs. 20,000.
- At least one year of employment with the current employer.
- Must be salaried or self-employed, working for a government establishment or a private company.
Features & Benefits of Car Loan
When it comes to car loans in India, in general, the following features and benefits are offered. Note that the following is a generalized look at the advantages offered by car loans. Individually, car loan lenders may have highly customized and specialized offerings for their customer base.
- It helps you purchase a car even if you don’t have all the money for it right now.
- Most car loans will finance the on-road price of the car.
- Some car loans will even finance 100% of the on-road price. This means no down payments.
- With some banks offering financing in the crores, you are not limited in your choice of cars
- Most car loan offerings in India are secured loans. This implies that the car serves as the security/collateral for the loan.
- Car loans in India often offer fixed interest rate options. This means you are always assured of a fixed amount that needs to be repaid monthly.
- Many lenders will offer interest rates based on your credit score so a high score to get you a cheaper loan.
- Car loans are not meant for just new cars. A used car loan can help you buy a pre-owned car.
