Cheapest Car Loans: Car manufacturing companies keep changing the prices of vehicles from time to time. After which banks also review their car loan eligibility. Most banks have simplified the paperwork required for loan approval by making the entire process online. Apart from this, lenders i.e. banks or other financial institutions have reviewed their processing fees and maximum loan amount eligibility.
Some top banks or financial institutions are now offering zero down payment car loans, issuing loans up to 100% of the on-road price of the vehicles. In such a situation, if you are thinking of buying a new car by taking a loan, then before realizing your dream, get some important information related to car loan from here. Buying a car with the help of a loan can prove to be helpful.
If you have decided to buy a new car, then get information about the interest rate, processing fee and other charges on car loans offered by various banks. Some banks offer zero processing fee and cheap car loans. Compare this important information and move ahead to make the right decision according to your needs. For your convenience, here is information about the cheap car loan options offered by some banks.
These banks are giving cheap loans to buy a car
| NEW CAR LOAN-RATES AND CHARGES | |||
| Name of Lender | Interest rate (%) | EMI (Rs.) Loan amount- 5 lakh Tenure- 5 years |
processing fee (% of loan amount) |
| Union Bank Of India | 8.70 – 10.45 | 10,307 – 10,735 | ₹ 1,000 |
| Punjab National Bank | 8.75 – 10.60 | 10,319 – 10,772 | 0.25% (Rs. 1,000 – Rs. 1,500) |
| Bank Of Baroda | 8.90 – 12.70 | 10,355 – 11,300 | Upto Rs 2,000 |
| Canara Bank | 8.70 – 12.70 | 10,307 – 11,300 | 0.25% (Maximum Rs 2,500) |
| Bank of India | 8.85 – 10.85 | 10,343 – 10,834 | 0.25% (Rs. 1,000 – Rs. 5,000) |
| UCO Bank | 8.45 – 10.55 | 10,246 – 10,759 | Nil |
| State Bank Of India | 8.95 – 10.00 | 10,367-10,624 | Upto Rs 1,500 |
| IDBI Bank | 8.80 – 9.65 | 10,331 – 10,294 | ₹ 2,500 |
| Maharashtra Bank* | 8.70 – 13.00 | 10,307 – 11,377 | 0.25% (Rs. 1,000 – Rs. 15,000) |
| Indian Overseas Bank** | 8.85 – 12.00 | 10,343 – 11,122 | 0.50% (Rs 500 – Rs 5,000) |
| ICICI Bank | 9.10 onwards | 10,403 onwards | Up to 2% |
| HDFC Bank | 9.20 onwards | 10,428 onwards | 0.50% (Rs 3,500 – Rs 8,000) |
| Karnataka Bank | 8.88 – 11.37 | 10,350 – 10,964 | 0.60% (Rs 3,000 – Rs 11,000) |
| Federal Bank | 8.85 onwards | 10,343 onwards | ₹2,000 – ₹4,500 |
| Punjab and Sind Bank*** | 8.85 – 10.25 | 10,343 – 10,685 | 0.25% (Rs. 1,000 – Rs. 15,000) |
| South Indian Bank | 8.75 onwards | 10,319 onwards | 0.75% (Max: Rs. 10,000) |
| IDFC First Bank | 9.75 onwards | 10,562 onwards | Upto Rs 10,000 |
| City Union Bank | 14.45 – 14.95 | 11,751 – 11,882 | 1.25% (Min: Rs 1,000) |
| *0.25% interest rate concession for existing housing loan borrowers and corporate salary account holders. | |||
| **0.50% interest rate concession to borrowers with credit scores of 800 and above. Interest rate concession of 0.25% to borrowers having credit scores of 750-799. | |||
| ***Concession of up to 50% on fee processing for PSB Apna Vahan Sugam. | |||
| Rates and charges as of 24th July 2024 | |||
| Source: Paisabazaar.com | |||
(Note: This is for your information. Please note, banks keep changing the loan interest rate from time to time. In such a situation, it is advisable that before applying for a car loan in any bank, get the update from its website or branch.)
