Car Loans in Bangalore

Car Loan in Bangalore

Being the nation’s leading city in Information and Technology exporter, Bangalore is known as the ‘Silicon Valley of India’. It is the second fastest growing city and possesses top research institutions in various fields. With the growing population in Bangalore, there is a high demand for automobiles. From modest cars to high-end vehicles, all can be purchased on a loan.

Bangalore is home to some of the leading banks and other NBFCs in India. If you are looking for a car loan in Bangalore, the following information will be helpful in choosing the best car loan at better terms.

What is a car loan?

A car loan is the finance provided by the banks and NBFCs to purchase a car of the customer’s choice. It can be used for both commercial and own purposes. The car loans are generally structured as installment loans which the borrowers will repay in Equated Monthly Installments (EMI). Most of the banks and NBFCs provide finance for up to 90% of the value of the car purchased. The rest has to be borne by the borrower.

While applying for a car loan, one must have the information about the interest rate, tenure and processing fee. This will be beneficial in comparing various lenders and choosing the best one.

Features: car loan in Bangalore

1. No collateral – Car loans are a form of secured loan as the car purchased acts as the collateral. No additional collateral or guarantor is required to buy a car.

2. Easy repayment options– it is now easy to buy a car with a car loan. You can choose the tenure that you are comfortable with and repay it at your own convenience.

3. Flexi loans – Most banks provide loans at flexible tenures which the borrower can choose making it easier for the them to repay the loan.

4. Loans for used cars – Many banks provide loans for pre-owned cars. The loan amount will depend on the car type, make and model, but it still eases out the financial situation of a borrower.

Eligibility Criteria for Car loans in Bangalore

Fees and Charges: car loan in Bangalore

Documentation: car loan in Bangalore

Important documents to be submitted while applying for car loans in Bangalore

• 3 Passport size photographs
• Proof of residence (photo copies of recent Telephone Bills/ Electricity Bill)
• Completed loan application
• Statement of Bank Account/ Pass Book for last six months
• Proof of identify (photo copies of Voters ID card/ Passport/ Driving license/ IT PAN card)
• IT returns for the three years for self-employed professionals
• Form 16/IT returns for the last two financial years for salaried employees

How to choose a car loan in Bangalore

You can follow the steps given below while choosing a car loan in Bangalore

• Analyze your current financial status
• Check your credit score
• Choose the car of your choice
• Decide on the margin and loan amount
• Choose a tenure that is comfortable for repayment

Which Is the Best Bank for car loan in Bangalore?

Bangalore is home to leading banks and NBFCs. The best lender could be the one where you can get the loan amount you want at an interest rate that is comfortable for you and who can disburse the funds as early as possible. It is always better to compare the car loans from different lenders and then look to apply for one that suits all requirements.

Car loan EMI Calculator

To get a better understanding of your loan requirement and how much EMI you will pay, you can use the EMI calculator available on CreditMantri website and on the bank/NBFC website. By inputting the tenure, loan amount and interest rate, you will get to know how much amount to be paid as EMI. You can vary the inputs for different scenarios and know the EMI in each case. This will help you plan for the loan you want.

Car Loans in Bangalore FAQs