HDFC Car Loan
Last Updated : March 29, 2017, 2:20 p.m.
Having your own car means a lot to you in today’s definition of pride and self-esteem, isn’t it? Without the dream 4-wheeler, life seems incomplete and does create a void to fill in. However, unlike the earlier days when only a few had the privilege of buying a car, now it has become normal for a majority of the population in the backdrop of attractive financing schemes. Yes, there are plenty of lenders ready to offer you a car loan. Still, it requires you to be much more vigilant to make a good choice of the lender to move around the city with ease and without any tension. So, where will you go? Of the lenders, HDFC Bank is just the fuel you need to embark on a thrilling car ride.
HDFC Bank, headquartered in Mumbai, rules the roost in the car finance market of India with a share of 26%. Incorporated in 1994, the bank has opened its gates to every segment of the population seeking a custom loan to buy a car of his/her choice. From passenger cars to sports utility vehicles (SUVs), the bank provides a loan on all. The quantum of finance at HDFC Bank is also impressive as you can get a loan amount upto 90%-100% of the on-road price for new cars, depending upon your income and repayment capacity. While for used cars, you can get a loan of upto 80% of the valuation amount as set by the valuer in its report to HDFC Bank.
HDFC Bank Car Loan Interest Rates & Other Details
| Particulars | Description |
|---|---|
| Interest Rate | 7.95% - 8.30% p.a. for new cars |
| Loan Tenure | 1-7 years for new cars 1-5 years for old cars |
| Processing Fees | New Cars : 0.4% of Loan Amount or ₹10000, whichever is lower Pre-owned Cars: 2% of loan amount or ₹ 5,000/-, whichever is lower |
| Foreclosure Charges | No foreclosure allowed within 6 months from date of availing the car loan; 6% of Principal Outstanding for preclosures within 1 year from 7th EMI;5% of Principal Outstanding for preclosures within 13-24 months from 1st EMI; 3% of Principal Outstanding for preclosures post 24 months from 1st EMI |
Benefits of HDFC Bank Car Loan
Loan Amount Disbursal
The reason why HDFC Bank is topping the chart with respect to car loan is due to the fact that the loan disbursal here can go up to as high as 100% of the on-road price, which includes ex-showroom in addition to charges levied on registration, road tax, insurance, accessories, if any. There are either no lender or may be very few that can offer you such as a higher amount. So, if you have zeroed in on your favourite model to buy, the stage is set for an enjoyable car loan journey with HDFC Bank.
Faster Loan Disbursal
The processing and disbursal of HDFC Bank Car Loan are very fast and can get executed within 2-3 working days. The hassle-free processing is set to appeal the borrower in you.
Fixed Interest Rates
Specifically designed for customers not willing to risk in market fluctuation scenario, the bank is offers at fixed car loan interest rates , which mean the rate of interest will remain the same throughout the loan journey. The advantage of the same interest rate is that the EMIs will remain constant. So, with fixed EMI, it becomes easy to plan your overall budget so that you can pay the monthly installments easily.
Longer Tenure
With a loan tenure extending to as long as 7 years for new cars and 5 years for older models, you have a sufficient time to pay off the loan availed to buy your dream car. With such longer tenure, the EMIs get lesser and increase your affordability for the loan.
Enhanced Branch & ATM Network
One more reason that could prompt you to take a car loan from HDFC Bank is due to its wide network of branches and ATMs across India. With over 4,500 branches and 12,000 ATMs, HDFC Bank is the right candidate to vote for a car loan.
HDFC Bank Car Loan Eligibility Criteria
| Criteria | Salaried | Self-employed |
|---|---|---|
| Age | 21-60 years | 21-65 years |
| Income | A minimum annual income of ₹ 2,50,000 is required | A minimum income of ₹2,50,000 is needed |
| Job/Business Stability | Must have a work experience of 2 years, with atleast 1 year with the existing employer | Should have been in the business for a minimum period of 2 years |
| Telephone at Residence or Office/Post Paid Mobile Connection | Mandatory | Mandatory |
HDFC Bank Car Loan Eligibility Calculator
As expressed implicitly above, the extent of car loan disbursal at HDFC Bank is directly proportional to the income and repayment capacity of a borrower. The eligibility criteria, mentioned above, are just the basic necessities for a car loan and have nothing to do with how much loan amount can be disbursed to you. Actually, it is the Car Loan Eligibility Calculator that decides the loan amount by analyzing your income and savings. However, the first work that the calculator does is the per lakh EMI computation by using the variables like interest rate and loan tenure. A sample of the calculation is presented below.
Amount- ₹ 1,00,000
Tenure- 7 Years
Interest Rate- 11.50%-13.75% p.a.
Per Lakh EMI- ₹ 1,739-₹ 1,860
Now comes the function of calculating the eligible loan amount, which arrives after factoring in per lakh EMI and your savings. Assume that you work in a reputed firm at a net income of ₹ 40,000 per month and save around ₹ 22,000. You now wish to apply for a car loan from HDFC Bank. The bank will take your savings as a mean to help you pay off the EMIs and calculate the loan amount accordingly. Based on the given values, a calculation of the eligible loan amount is made below.
Loan amount eligibility
– ₹ 1,00,000 x savings/per lakh EMI
– ₹ 1,00,000 x 22,000/1,739= ₹ 12.65 lakhs (Approx.) – ₹ 1,00,000 x 22,000/1,860= ₹ 11.82 lakhs (Approx.)
So, HDFC Bank is ready with a loan amount of₹ 11.82-₹ 12.65 lakhs at your doorstep to give you. With this amount, you can buy car models like Hyundai Creta, Mahindra Xylo, Fiat Linea, Mahindra Scorpio and much more.
HDFC Bank Car Loan EMI Calculator
| Loan Amount | |
| Interest Rate | |
| Tenure(Months) | |
| Monthly Instalment (EMI) | |
| Total Interest Amount | |
| Total Amount (Principal + Interest) |
| Year | Principal | Interest | Balance Amount |
|---|
One calculator to another calculator, this is what you as a watchful car buyer must do. After the eligibility calculator, it’s the EMI calculator that takes over the reins from the former. The car loan EMI calculator will provide you the amount of monthly installments, inclusive of both interest and principal amount. Suppose you want to buy a car worth ₹ 8 lakhs, and on your eligibility, HDFC Bank finances you a loan amount of ₹ 6 lakhs for a tenure of 7 years. Now the immediate concern would be to know the EMI amount, right! If it so, then you can refer the table below to know the EMI amount in addition to interest outgo and the total amount of payment.
| Loan Amount (in ₹ ) | Loan Tenure (In years) | Interest Rate(in % p.a.) | EMI(in ₹ ) | Total Interest Outgo(in ₹ ) | Total Amount(EMI+Interest) (in ₹ ) |
|---|---|---|---|---|---|
| 600000 | 1 | 11.50%-13.75% | 53,169-53,802 | 38,028-45,621 | 6,38,028-6,45,621 |
| 600000 | 2 | 11.50%-13.75% | 28,104-28,737 | 74,501-89,686 | 6,74,501-6,89,686 |
| 600000 | 3 | 11.50%-13.75% | 19,786-20,434 | 1,12,282-1,35,617 | 7,12,282-7,35,617 |
| 600000 | 4 | 11.50%-13.75% | 15,653-16,321 | 1,51,363-1,83,396 | 7,51,363-7,83,396 |
| 600000 | 5 | 11.50%-13.75% | 13,196-13,883 | 1,91,734-2,32,998 | 7,91,734-8,32,998 |
| 600000 | 6 | 11.50%-13.75% | 11,575-12,283 | 2,33,378-2,84,395 | 8,33,378-8,84,395 |
| 600000 | 7 | 11.50%-13.75% | 10,432-11,161 | 2,76,278-3,37,550 | 8,76,278-9,37,550 |
Documentation Required in HDFC Bank Car Loan
| Proofs | Salaried | Self-employed |
|---|---|---|
| Identity Proof | PAN Card/Passport/Driving License/Voter ID | PAN Card/Passport/Driving License/Voter ID |
| Residence Proof | Voter ID/Electricity Bill/Telephone Bill/Life Insurance Policy/Driving License/Ration Card | Voter ID/Electricity Bill/Telephone Bill/Life Insurance Policy/Driving License/Ration Card |
| Income Proof | Latest Salary Slip & Form 16 | Latest Income Tax Return (ITR) |
| Bank Statement | Bank statement of last 6 months | Bank statement of last 6 months |
| Application Form & Photographs | Required | Required |
HDFC Bank Car Loan Application Form
All set to apply for HDFC Bank Car Loan? Visit the official website of the bank and click ‘Apply Now’. A new page will open and ask you to mention personal and professional details. Make sure you fill all that correctly to prevent any unnecessary discrepancy that can make HDFC Bank delay the loan disbursal. A duly filled in form along with scanned copy of the required documents should be submitted for letting the bank process your loan application. You can also visit any nearest HDFC Bank branch to get the form and submit the same. If you are an existing customer of the bank and have Internet banking facility, you can use the same to apply for a car loan.
All such details, which you would have mentioned at the time of filling the form, will be checked thoroughly. There will be executive visits to your residence and office to check your authenticity. If all go well, you will get a car loan cheque from the bank within a week’s time.
HDFC Car Loan Login
You can create your HDFC Bank car loan account online after the disbursal of loan. During the course of account creation, you will need to generate your login ID and password to check the summary of your loan account, transaction history, loan statement and much more.
HDFC Car Loan Status
Your job does not end by making the application for a car loan alone. You need to go one step further and check the status of your car loan application by visiting the website and click the link under ‘Status of Your Loan Application’. The moment you click it, a page will flash and you just need to fill the vacant spaces against Applicant Name or reference/Proposal Number, Date of Birth or Mobile Number. Filling all these will let you know the exact status of your application. Even a visit to the branch can also let you know the status. But the convenient option would be online.
HDFC Car Loan Statement
After servicing a car loan for a certain period of time, you would be keen to have a statement showing the repayment of the loan, right! Both principal and interest repayment will be shown in the statement. Also, a check on the outstanding balance at the end of every year would be shown. So, do check the statement on a regular basis to be assured of what’s happening around. It would be better if you login to HDFC net banking and view the statement online. However, if the online option is not your cup of tea, you can ask the branch officials to issue the car loan statement.
HDFC Car Loan Customer Care
A call to either of the three 24×7 toll-free numbers-1800 425 4332, 1800 22 4060 and 1800 22 1006 of HDFC Bank will help you fix out any problems and queries you may have with respect to a car loan. Be it checking the eligibility criteria, clearing doubts on the loan processing or disbursal, the customer care executives are ready with a custom solution to make your car loan journey a memorable one.
HDFC Bank Moratorium Process
The process to stop your loan EMIs at HDFC Bank is as follows-
- Visit the HDFC Bank website or use the mobile app
- Click on the link where the option of moratorium period is popping out
- On the application page, mention your registered mobile number, name, email address
- After that enter your date of birth and select the type of loan
- Enter your loan number and mention your EMI amount
- Then make a decision and choose a suitable service
- Click on the EMI deferment option that says I agree to pay the accrued interest on the outstanding balance
- Click on the ‘Submit’ button
- The bank will check the details thoroughly and process your moratorium request
- You’ll be given a reference upon the successful completion of the process.on your registered mobile number and email address
However, if you don’t want to defer EMI, you must click on the second option after the deferment option. This will ensure EMI payments as scheduled with no extra interest charged on it.
- and select the defer option if your answer is yes otherwise your EMI debited as it was doing in the past
HDFC Bank representatives can also get in touch with you via WhatsApp or call regarding the moratorium process.
HDFC Car Loan FAQs
1. What is the interest rate for HDFC Car Loan?
The interest rate for HDFC Car Loan stands at 7.54%
2. What is the EMI for car loan in HDFC Bank?
The EMI of a car loan in HDFC bank depends on the car loan interest rate, principal amount and loan tenure. With the help of these three figures, you can calculate the HDFC car loan EMI.
3. Is HDFC Bank Car Loan Best for New Car Owners?
Yes, HDFC bank car loan is best for new car owners also as it provides 100% financing of cars.
4. What is the minimum and maximum tenure for HDFC Bank Car Loan?
The minimum and maximum tenure for HDFC Bank Car Loan is 1 year and 7 years respectively.
5. How much Car Loan can i take from HDFC?
You can take a maximum car loan of upto 3 crores from HDFC bank depending upon your eligibility.
6. What is the processing fee from Car Loan in HDFC Bank?
The processing fee from Car Loan in HDFC Bank is 0.5% of the loan amount subject to a minimum of Rs 3500 and a maximum of Rs 8000.
7. What are the eligibility factors of HDFC car Loan?
The eligibility criteria of HDFC car loan for salaried individuals are:-
– Employees of private and public sector companies including central, state and local government.
– Individuals having a 21-60 age gap.
– Borrowers who are doing a job for the last 2 years, with a year of current employment.
– Minimum income of 3 lakh per year.
The eligibility criteria of HDFC car loan for self-employed individuals and professionals are:-
– Individuals having a 21-65 age gap.
– Business should be a minimum of 2 years.
– Minimum income of 3 lakh per year.
8. Can I prepay my HDFC car loan?
Yes, you can prepay HDFC car loan. However, you will have to pay certain prepayment charges.
9. Can I take a Joint loan for my car from HDFC Bank?
Yes, you can take a joint loan from your car from HDFC bank depending on your CIBIL score and other eligibility criteria.