SBI provides car loans for purchase of new and used passenger cars, Multi Utility Vehicles (MUVs) and SUVs.
To avail SBI car loan, the borrower should be in the age group of 21 – 65 years with regular employment, self-employed or professional with history to substantiate. The minimum annual income required to qualify for SBI car loan is Rs. 2,50,000/-.
SBI finances up to 85%-90% of “on road price” of the new car that includes octroi, registration, insurance and car accessories upto worth Rs. 25,000/- The maximum loan amount available under SBI car loan scheme is 48 times the net monthly income or 4 times the net annual income. The borrower can repay the SBI car loan within a period of 7 years through equated monthly installment.
SBI charges 0.51% of loan amount as processing fee however the minimum fee is Rs. Rs 1020/- and the Maximum is capped at Rs 10200/-. SBI does not charge any penalty for foreclosure of SBI car loan for new vehicles.
SBI car loan is also available for purchase of used car as well as pre-owned certified used car. For Used Car / Certified Pre-Owned Car Loan, SBI finances 85% of ‘On Road Price’ of car that includes octroi, registration, insurance and cost of accessories. Under the used car loan category, the car should not be older than 5 years. The loan under used car scheme is also available for maximum tenure of 7 years. SBI charges a penalty of 2% of outstanding loan amount on foreclosure of car loan taken for all kinds of pre-owned vehicles.
The bank will require following documents along with the application form for SBI car loan:-
Statement of the bank account where salary is credited
Proof of identity – Pan Card, Passport, Voter’s Id, Driving License, etc.
Proof of residence
ITR / Form 16 of last 2 years
Two passport size photographs of the borrower
Proof of Office address for self-employed
Features: One can get a car loan to buy an old or a new car along with the option of balance transfer. There is no ceiling on the loan amount for new cars. The loan amount for used car is subject to a maximum limit of Rs 15 lakh.
Processing Fees: 0.51% of loan amount
Prepayment Charges: 2% of outstanding loan amount
Max Tenure: 4
Plan Interest Rate Min Interest Rate Max EMI Processing Fee
SBI – Old – Floating 16.2 17.2 2844 – 2896 0.51% of loan amount
SBI – New – Floating 10.15 10.15 2543 Rs. 500/-