SBI Car Loan Interest Rate
SBI Car Loan interest rate can depends upon following factors -:
- Loan amount: Generally bank offers lower interest rates for higher amount but, SBI offers 85% of on road price of your own car.
- Your Salary: The higher salary bracket person are offered loans at very low interestr ates. Car Loan interest rate SBI which varies with your net monthly income.
- Employer Category: category of employer of the borrower is a major deciding factor behind to determine his/her rate of interest. SBI has some list of company, categories of salaried individuals to them avail vehicle loan. So, higher company category always leads to low SBI car loan rate.
- Relationship with the Bank: SBI offers some kinds of special rates, offers and charges to the current existing account holders of the SBI bank account holders. Those who have managed their own accounts and made all the payments or transactions on time in past will get benefit of it in case of low vehicle loan interest rate.
- Loan Tenure: vehicle loans of SBI are of longer repayment tenure of up to 7 years.
- Repayment Capacity: Before giving any loan to the borrower, SBI checks the capacity of borrower to repayment. Bank verifies the repayment capacity of the customer through CIBIL and other sources. CIBIL, as it has records of all the details of previous loans taken and their repayments. CIBIL which also gives the information of credit card bills payment.
- SBI Car Loan Eligibility
- The following given table depicts the various eligibility criteria for the availing a vehicle loan.
|Age Range||minimum 21 years – maximum 65 years|
|Minimum Annual Income||for Salaried: Rs. 3.00 Lakhs|
Self Employed Professionals: Rs. 4.00 Lakhs
For the Self Employed Businessmen: Rs. 4.00 Lakhs
|Minimum Credit Score||700 and above|
|Loan Tenure||up to 7 years|
|Loan to Value Ratio should be-:||85% of on-road price|
- Car loan eligibility depends upon various factors but the most important factor is your ability to give back or repay the loan. Some of the main factors on which the eligibility of an applicant depends are:
- Age: Age plays an important role to know your eligibility through KYC and repayment capacity. SBI offers auto loan to those who have completed atleast 21 years old at the time of loan approval and maximum age- up to 65 years at the time of loans maturity.
- Income: SBI car loan calculator calculates your eligibility based upon your actual income. Usually bank sets norm like minimum levels of income to apply for car loan. SBI always asks for net annual income of minimum Rs. 3.00 lakhs and above.
- Job stability in Profession: Job stability is an important factor to improve your status and eligibility criteria for vehicle loan from SBI. If you works with a reputed company, chances of getting car loan increases as the income is considered as more stable and bank offers you best SBI car loan interest to the employees of such reputed companies.
CIBIL Score: Your past CIBIL history and repayment record are checked before giving SBI car loan. If you have found a poor repayment record, then you may not get that kind ofoloan but on the other side, a regular repayment record can increase your vehicle loan eligibility. Generally, Bank gives loan at a CIBIL score of 700 and above mostly.
Loan Amount: SBI auto loan amount is generally depends upon your income. SBI Bank gives 100% of ex-showroom price depending upon the various value of the car. To improve chances of approval and apply for a loan amount that you can easily service and check your SBI car loan status online.
SBI Car Loan Calculator
Car Loan EMI of SBI is always fixed amount that you pay every month towards the repayment of your own car loan till the end of your servicing tenure. If Lowest EMI offered by SBI is Rs. 1,619 per lakh loan amount on lowest car loan interest rate of 8.70%. Car Loan EMI of SBI depends on following factors like:
- Rate of interest is an important factor which will affect your monthly EMI. Higher the interest rate there there will be higher the EMI.
- Loan tenure is an important part which matters equally as longer tenure reduces your monthly EMI per lakh.
- Your EMI depends on the amount of loan you are going to borrow from SBI. EMI of Loan will be high if you apply for a high amount of loan.
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SBI EMI Car Loan Calculator
- Car loan and EMI calculation varies from particular bank to bank depending upon its method of calculation.
- The standard convention is to use the EMI in arrears method on reducing the balance basis – where you pay interest on the particular loan amount outstanding on a reducing basis at or after the end of the every month.
- Simple key in loan amount, rate of interest and vehicle loan tenure here and check the your EMI amount using the vehicle loan EMI calculator here. In case of EMI amount displayed is different from the what one advised to you by the agent, you must also check the calculation ono the basis with your vehicle loan agent.
You can calculate the monthly payment Interest (EMI) yourself by using the following equation
E= P. r. (1+r)n/[(1+r) n -1]
- P stands for the principal amount that you want to apply for.
- r stands for the rate of interest per month which is always calculated as rate of annual income/ (12*100)
- n is stand for the tenure of loan in months
- E stands for the monthly payment or EMI
Let’s say you take out a vehicle loan which is for Rs. 700,000 to be paid back over 5 years at an interest amount rate of 8.70%. Your monthly payments for this loan would be after applying the above formula would be Rs. 14,429 for 5 years.
SBI Auto Loan Fee and Charges
Foreclosure Charges – These charges are to be paid in case If you want to repay the your entire loan amount before the end of tenure period. SBI allows prepayment of vehicle loan after paying 1 EMI with prepayment should be Nil.
Processing Fee – SBI asks to you for a processing fee of 0.51% of loan amount. Minimum Rs. 1020 and Maximum Rs.10,200 with including service tax.
SBI Car Loan Top up, Balance Transfer
- SBI offers you car loan balance transfer from another bank. This is subject that you are meeting other eligibility criteria
- You can also avail additional top-up car loan from SBI, subject to your eligibility
Essential Documents required
- Filled up the loan application form
- 2 Passport Size Photo compulsory
- Copy of applicants own income Tax PAN
- Identity Proof of Aadhaar, Passport/ Driving License/ Voter ID/ PAN mentioned by bank.
- Residential Address with Proof – Leave and License or Registered Rent Agreement or Utility Bill (upto 3 months old), Passport
- Income Documents – 3 months of pay slip, 2 years of Form no 16, 3 months of bank statement showing salary credit and any EMI debit
- R.C of Vehicle and Insurance of Car must.
- Filled up your loan application form
- 2 Passport Size Photo compulsory
- Copy of your own Income Tax PAN
- Identity Proof – Aadhaar, Passport or Driving License/ Voter ID or PAN Card
- Residential Address with Proof – Leave and License/ Registered Rent Agreement or Utility Bill (upto 3 months old), Passport
- Income Documents – 3 months pay slip, 2 years Form 16 and 3 months bank statement showing salary credit and any EMI debit card.
- R.C of Vehicle and Insurance of Car must.
Some Frequently Asked Questions on SBI Car Loan
What is the car loan interest rate offered by SBI ?
As per current interest rates we updated SBI car loan interest range between 9.20 % to 9.70%.
What is the lowest EMI per 100000 on SBI car loan?
The Lowest EMI per lakh is currently, Rs. 1,619 for SBI for a loan availed at an interest rate of which is 9.20% and for a tenure of 7 years.
What is the maximum tenure or time of SBI car loan?
You can repay your SBI car loan in a flexible period of 7 years or before that.
How much car loan you can borrow from SBI?
Well SBI offers you 85% of on-road price of car as loan.
How much processing fee is charged by SBI on car loan offered?
SBI charges a processing fee is 0.51% of loan amount Minimum 1,020 and Maximum Rs. 10,200 with including service tax.
Is there an age eligibility factor to get car loan from SBI?
Yes, age eligibility is an important factor to get SBI car loan as you should complete at least 21 years old at loan approval time and 65 years old at the loan maturity time.
Are there any kind of prepayment charges on SBI car loan?
You can take car loan from SBI with prepayment nil also, no problem about it.
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Can I add my spouse’s or husband or wife income while applying for car loan from SBI ?
You can combine your income with the income of your spouse (husband or wife) to increase your loan eligibility chances and to get higher loan amount from SBI bank
Compare Car Loan Interest Rates of SBI Bank with other banks