How To Avail SBI Car Loans: Check Key Features, Interest Rates, Documents Required

Borrowers can avail SBI car loans for the purchase of new passenger cars, multi-utility and special-utility vehicles.

How To Avail SBI Car Loans: Check Key Features, Interest Rates, Documents Required

SBI claims that it offers lowest interest rates and installments on car loans.

Highlights

  • SBI has waived processing fee for up to December 31, 2017
  • SBI will also not charge a levy in case they pay their loans early
  • One can enjoy the repayment period of up to 84 months

State Bank of India, the country's largest lender, is offering low interest car loans and has waived processing fee on the same for up to December 31, 2017. The lenders will also not be charged a levy in case they pay their loans early, the bank said. "To bring more smiles to customers and their dear ones, the bank has waived 100 per cent processing fee on car loans till December 31, 2017," the bank stated. The bank, some time back tweeted on its official Twitter account saying:




Features


Lowest interest rates & EMI (equated monthly installment), says the website of the bank

Longest Repayment Tenure (7 years)

Financing on 'On-Road price': On-Road price includes Registration, Insurance and Extended Warranty/ Total Service Package/ Annual Maintenance Contract/ Cost of Accessories

Interest calculated on Daily Reducing Balance

No Pre-Payment Penalty or Foreclosure Charges

No Advance EMI

SBI will also reimburse finance for the cars that the borrower purchased out of his/her own funds at a rate of interest applicable to new car financing but the car should not be more than 3 months old, said the bank on its website.

Optional SBI Life Insurance cover available

Overdraft facility available


Purpose


Borrowers can avail loans for the purchase of new passenger cars, multi-utility and special-utility vehicles.


Are you eligible?


To avail an SBI car loan, one should be an individual aged between 21 and 65 years, belonging to one of the following three categories:

One should be a regular employee of state/central government, public sector undertaking, private company or a reputed establishment with a net annual income of Rs 2,50,000 per annum. The applicant and/or co-applicant if any, together should be earning at least this amount. In this case, the maximum loan amount that one can avail is 48 times of his/her net monthly income.

If the applicant is a professional, self-employed, businessman, owns proprietary/partnership firms which are income tax assesses with a net profit or gross taxable income of Rs 4,00,000 per annum (income of co-applicant can be clubbed together), he/she can get a maximum of four times the net profit or gross taxable income as per ITR after adding back depreciation and repayment of all existing loans.

If the applicant is engaged in agricultural and allied activities and a net annual income of and/or co-applicant together is a minimum of Rs 4,00,000/-, he/she can get a loan of three times of the net annual income.


Documents Required


One would need to submit the following documents along with a completed application form:

If you are a salaried person, you need to submit a statement of your bank account covering the last six months, two passport size photographs, proofs of identity, address and income, latest salary slips, Form 16, I.T. returns or Form 16 for the last 2 years.

If the borrower is a non-salaried/professional/businessman, he/she must show a statement of bank account over the last six months, two passport size photographs, proofs of identity and address, income proof i.e. ITR for last two years, I.T. returns or Form 16 for the last two years, an audited balance sheet, profit and loss statement for two years, shop and establishment act certificate / sales tax certificate / SSI (Small Scale Industries) registered certificate / copy of partnership.

If a person is engaged in agricultural and allied activities, he/she must provide a statement of bank account over the last six months, two passport size photographs, proofs of identity and address; and direct agricultural activity (crop cultivation): Khasra/Chitta Adangal (showing cropping pattern) Patta/Khatoni (showing land holding) with photograph. All your land should be on a free-hold basis and ownership proof must be in the name of the borrower. If you are into allied agricultural activity (like dairy, poultry, plantation/horticulture), you must provide documentary proof of running of the activities.

For the proof of identity, one must carry a (copy of any one) Passport/ PAN card/ voter ID card/ driving license etc. For the address proof:- carry a (copy of any one) ration card/driving license/voters ID card/passport /telephone bill/ electricity bill/ life insurance policy.


Financing


If the net annual income of a borrower is up to or more than Rs 10 lakh, you can get 85 per cent of the on-road price of the vehicle as loan.


Repayment


One can enjoy the longest repayment period in the industry with SBI i.e. 84 months, claims the website.



Interest

 

 

 

SBI Car Loan Scheme

For All Tenure

1.25% above 1 year MCLR i.e. 9.25% p.a.

1.20% above 1 year MCLR i.e. 9.20% p.a.

SBI Combo Loan Scheme

For All Tenure

1.25% above 1 year MCLR i.e. 9.25% p.a.

1.20% above 1 year MCLR i.e. 9.20% p.a.

NRI Car Loan

For All Tenure

1.25% above 1 year MCLR i.e. 9.25% p.a.

1.20% above 1 year MCLR i.e. 9.20% p.a.

Certified Pre-owned car loan

For All Tenure

4.65% above 1 year MCLR i.e. 12.65% p.a.

SBI Loyalty Car Loan Scheme

Car Loan, Combo Loan, NRI Car Loan

1.15% above 1 year MCLR i.e. 9.15% p.a.

1.10% above 1 year MCLR i.e. 9.10% p.a.

 

Certified Pre-owned Car Loan Scheme , Used Car Loan Scheme

2.45% above 1 year MCLR i.e. 10.45% p.a.

2.40% above 1 year MCLR i.e. 10.40% p.a.

SBI Assured Loan Scheme

For All Tenure

1.25% above 1 year MCLR i.e. 9.25% p.a.

1.20% above 1 year MCLR i.e. 9.20% p.a.

Super Bike Loan Scheme

For All Tenure

3.65% above 1 year MCLR i.e. 11.65% p.a.

Two Wheeler Loan Scheme

For All Tenure

9.25 % above 1 Yr. MCLR, effective rate 17.25 % p.a


On August 21, SBI announced a waiver of up to 100 per cent processing fee on car, gold and personal loans, albeit for limited periods, reported news agency Press Trust of India. This is in addition to the existing waiver on processing fee on takeover of home loans, the bank had said in a release. It has also waived 50 per cent of the processing fee on personal gold loans till October 31, 2017.

SBI has also rolled out its Festival Loans program. The loans can be used meet any kind of festival related expenses, the bank said. 

SBI has over 23,000 branches in the country over 59,000 ATMs. (With PTI Inputs)

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