What is a Use Car Loan?

A Used car loan is a finance option that allows the potential customer to raise finance by taking loan against a car that he owns or intents to buy. pay the vehicle off in monthly payments instead of having to pay the full price all at once. Used Car loan is secured against hypothecation of the vehicle and this product is available for salaried and self-employed individuals, proprietorships, HUF, Partnership firms, Limited Liability Partnership Firms, Trusts, Societies and Companies. Following product options are available Under Used Car Finance:

Sale purchase of used car

This option is availed by customers who intend to buy a pre owned car. Bank/NBFC will finance basis market valuation and year of manufacture of the car.

Refinance of used car

This loan is availed by pledging your existing car which is free from any loan / hypothecation.

Top Up of Existing Car Loan

Under this option loan is available basis your existing loan repayment track with your car as a collateral. Options of a parallel loan or toping up your existing loan is available.

Balance Transfer of existing car loan

It’s a take over of your existing car loan from Bank/ NBFC where the foreclosure amount is lesser than new loan that is being sanctioned on the asset. By availing this product you generate additional cash for your financial requirement.

Eligibility calculation for a Car Loan

FOR SALARIED CUSTOMERS FOR SELF EMPLOYED CUSTOMERS


• Be employed by the same employer for at least two years.
• Be at least 21-years-old at the beginning of the car loan tenure and under 60-years-old or retirement age, whichever is lower, at the end of the loan tenure.
• Have residential stability for at least one year.


• Have been in the same business for at least two years.
• Be at least 21-years-old at the beginning of the loan tenure and under 67-years-old at the end of the loan tenure.
• Have residential stability for at least one year

DOCUMENTATION REQUIRED

FOR SALARIED CUSTOMERS FOR SELF EMPLOYED CUSTOMERS


• Your KYC documents (identification, proof of address, signature, DOB proof),
• One-year residence stability proof
• Any one of the following:
      o Form 16 for the last two years and the last month’s payslip.
      o Last three months’ payslips with proof of employment in the same organisation for two years.
      o Salary certificate with corresponding credits in your bank account.


• Your KYC documents (identification, proof of address, signature, DOB proof)
• One-year residence stability proof
• IT returns from the last two years along with computation of Income
• Bank Statement for three to six months

Features:

• Loan up to 90% of the market valuation of the car
• Loan tenure up to 10 years of vintage of the car.
• Rate of interest in the range of 14% to 16%.
• Fast processing and simple documentation.

Apply for Old Car Loan