Car Loan Rates EMI 202092162 views
State Bank of India (SBI), the 45th largest bank in the world and India’s largest lender, is a renowned name in the car financing space with a share of 22%, after the recent mergers. The total asset size of SBI stands at INR 37 Lakh Crore with a customer base of 500 million. SBI, with an extensive branch of over 18,000 and ATM network of 50,000, is just the alternative you need to get the key of your dream car, right! SBI offers finance for the purchase of passenger cars, sports utility vehicles (SUVs) and multi-utility vehicles (MUVs) for a maximum period of seven years.
However, the finance is not available for cars with over 3 months of age. The repayment period for used cars is within 8 years from the date of original purchase of the 4-wheeler. But make sure the car must not be over 5 years of age so that you can get the loan to buy the particular vehicle.The rate of interest charged by the bank ranges from 7.75% - 8.45% per annum for new cars and 11% – 12% per annum for old cars.
You can enjoy your bonhomie with SBI in the course of your loan journey by not having to pay any processing fee and foreclosure charges. The attractive interest rates, longest loan tenure and flexible repayment options can only make your association with the public lender grow stronger with the days.
High Loan Amount Eligibility | Fastest Approvals | Lowest EMIs
Table of Contents
- 1 SBI Car Loan Interest Rates November 2020
- 2 Who is Eligible for SBI Car Loan?
- 3 SBI Car Loan Eligibility Criteria
- 4 SBI Car Loan Eligibility Calculator
- 5 SBI Car Loan EMI Calculator
- 6 SBI Car Loan Application Form
SBI Car Loan Interest Rates November 2020
|Interest Rate||7.75% - 8.45%|
|Processing Fee||New Cars: No processing fees|
Used Cars: 0.50% of loan amount + GST; Min INR 450 + GST & Max: INR 9100 + GST
|Loan Tenure||1-7 Years for New Cars|
1-5 Years for Old Cars
Who is Eligible for SBI Car Loan?
Salaried, self-employed businessmen & professionals, partnership firms or even the agriculturists can apply for SBI car loan. The loan is applicable on new as well as pre-owned cars, which can also be called as old or used cars in the category of passenger cars, multi-utility vehicles (MUVs), sports utility vehicles (SUVs) or others.
How Much Loan Can You Get to Buy Your Dream 4-Wheeler?
SBI offers a loan amount upto 85% of the on-road price in the case of new cars. The on-road price is the summation of ex-showroom price along with the costs of registration, road tax, insurance and accessories, if any. As for used cars, an amount equivalent to 80% of the valuation amount can be funded by the bank. So, keep these facts in your mind while you transact to crack the best deal with the car dealer.
SBI Car Loan Eligibility Criteria
SBI has set specific eligibility criteria for salaried, self-employed and agriculturists to obtain a car loan. Check out the table below showing the eligibility criteria for SBI Car Loan.
|Age||21-65 years||21-65 years||21-65 years|
|Income||Net annual salary of the applicant and/or co-applicant, if any, together should atleast be ₹ 3 lakhs||Net profit or gross taxable income of ₹ 4 lakhs per year (You can club the income of co-applicants such as your spouse, son, daughter, sister or brother)||Net annual income of applicant and/or co-applicant, if any, must come out to be ₹ 4 lakhs|
|Max. Loan Amount||48 times of net monthly salary||4 times Net Profit or Gross Taxable income as per ITR after adding back depreciation and repayment of all the existing loans running in your account||3 times of net annual income|
First and foremost thing that comes is the car loan eligibility, which is based on factors such as
- Monthly Income
- Car Value
- Car Model Type
- Credit History
- Employment Status for Salaried
- Longevity in the business for self-employed
- Category of your employer
Now let us understand the loan amount eligibility with the help of reading the page further.
SBI Car Loan Eligibility Calculator
The loan amount eligibility, to a larger extent, depends upon the income and re-payment capacity of an individual. To know the specific amount that SBI can extend you as a loan, you have to use the bank’s car loan eligibility calculator. Do you know the function of the calculator? If No, then you have come to the right platform to understand and use the calculator, which will first calculate per lakh EMI based on the loan tenure and the existing interest rate. The per lakh EMI calculation is shown below for you to glance at.
Amount – INR 1,00,000
Loan Tenure – 7 Years
Interest Rate – 7.75% - 8.45%
Per Lakh EMI – INR 1,609 – INR 1,645
Subsequent to arriving at per lac EMI, the immediate focus of the lender turns on to check the income and savings of an individual. Just in case you are bringing home a net salary of INR 60,000 and save around 50% of the same i.e. 30,000. SBI will consider your savings as an effective tool and think that it can be used to pay the EMIs. The lender will then put your savings & per lakh EMI in the calculator and compute your loan amount eligibility by using the following formula.
|Loan amount eligibility-|
|- ₹ 1,00,000 x savings/per lakh EMI|
|- ₹ 1,00,000 x 30,000/1,609= ₹ 18.64 lakhs|
|- ₹ 1,00,000 x 30,000/1,622= ₹ 18.23 lakhs|
Hence, SBI can finance you within a range of INR 18.49 lakhs – INR 18.58 lakhs to buy your dream car. With this loan amount, you have the luxury to choose from a list of high-profile cars, such as Volkswagen Jetta, Skoda Octavia, Toyota Innova Crysta, Mahindra XUV 500, etc.
SBI Car Loan EMI Calculator
|Monthly Instalment (EMI)|
|Total Interest Amount|
|Total Amount (Principal + Interest)|
Shouldn’t you spare some time to check the EMIs payable towards your car loan? I guess, you should. After all, it’s the question of your hard-earned money. EMIs, the abbreviated form of Equated Monthly Installments, constitute a sum that keeps going out of your pocket till the time loan is paid off fully. Longer the tenure, more will be the number of EMIs and vice-versa. The longer loan tenure takes out a much larger sum of interest from your pocket compared to when the loan is granted for a shorter period. The amount of EMI is comparatively lower in a longer tenure as opposed to a shorter period. Just look at your purse and see if you can deal with higher EMIs to prevent the excessive outflow of interest from your bank balance. If you can, having a shorter loan tenure would prove beneficial.
For example- You want to buy Hyundai Creta 1.4 CRDi L whose on-road price is approximately INR 13 lakhs. If SBI finances you upto 85% of the said price i.e. INR 11,05,000, what will be the EMIs that you have to pay to own the Hyundai model, any idea? In case you do not know the answer, you can take a look at the table below.
(in ₹ )
|Interest Rate(in % p.a.)||EMI(in ₹ )||Total Interest Outgo(in ₹ )||Total Amount(EMI+Interest) (in ₹ )|
SBI Loyalty Car Loan Scheme
SBI Loyalty car loan scheme has become a talk of the town as you are allowed not to pay any margin on the car’s road price which one has to do otherwise. Both salaried and self-employed with age of 21-65 years are eligible to get the loan as per the scheme. Let’s check out the interest rate, repayment period and loan amount eligibility as per the scheme in the table below.
|Minimum Income||Net income of applicant and/or co-applicant must be ₹2,00,00 per annum|
|Maximum Loan Eligibility||75% of the existing market value of the house minus the outstanding in the home loan account, if any, or other security of the applicant/co-applicant|
|Interest Rate||9.10% p.a.-9.15% p.a.|
|Maximum Repayment Period||7 years|
SBI Car Loan Documents
|Passport Size Photographs||Applicable||Applicable|
|Identity Proof||Either of PAN Card, Passport, Voter ID, Driving License||Either of PAN Card, Passport, Voter ID, Driving License|
|Residence Proof||Passport/Voter ID, Electricity Bill/Telephone Bill||Passport/Voter ID, Electricity Bill/Telephone Bill|
|Income Proof||Latest Salary Slip, Form 16 or ITR for the Past Two Years||Last 2-year ITR, Profit & Loss Account Statement and Audited Balance Sheet for 2 Years, Sales Tax Certificate/Copy of Partnership/SSI Registered Certificate/Shop & Establishment Certificate|
|Bank Account Statement||Past 6-month Bank Statement||Past 6-month Bank Statement|
SBI Car Loan Application Form
Applying for SBI Car loan is easy and comfortable for the prospective borrowers due to the bank’s increasing outreach domestically and internationally. You can either go online or visit the SBI branches, which are huge in numbers, to apply for a car loan. The most convenient of the options is visiting the official website of the bank and clicking the section of car loan thereof. As soon as the car loan page opens, click ‘Apply Now Online’. You will then get directed to the page with a default tick on the existing relationship with the bank. If you have the relation-ship with the lender, you then should select the right option along with your con-tact details. The moment you do the same, a car loan application form will appear, asking you to furnish relevant details along with the required documents for the bank to do the rest. However, if you do not have any existing relationship with SBI, then you must tick ‘No’ to get directed to the application form page and then do the same as you would have in the ‘Yes’ option.
Now come the inspection of SBI with respect to your car loan application. The bank will scrutinize your identity, income and address details and disburse a loan only if you pass the investigation.
SBI Car Loan Application Status
You can check the status of your application online by visiting the website of SBI. You need to enter LOS Application ID, your date of birth and verify the alpha-numeric number shown on the screen. If you don’t remember LOS Application ID, you must check the loan receipt to find the same. After entering these details and clicking the submit button, you will be shown the status of your car loan application. You can also check the status by visiting the SBI branch where you have submitted your car loan application form.
SBI Car Loan Customer Care
It is possible that you can have queries related to a car loan at SBI. If it is the case with you, a call to 1800 425 3800 can erase all your problems and help you enjoy a solid car loan journey with SBI. Be it the loan application status, loan disbursal, payment of EMIs or details of interest outgo, you can get all your queries resolved by talking to the customer care executives on the number stated above.
State Bank of India Moratorium process
You can stop your loan EMIs falling due from March 1, 2020, to May 31, 2020, using the following steps.
- Download the Annexure Form I or II from SBI’s official website
- Fill up the Annexure I with the Term loan or Account number
- Mention the branch name and put your signature over it
- If the loan is co-borrowed then the 2nd applicant’s signature is mandatory
- You can submit the form online without going anywhere to the mentioned email ID on Annexure-II
- If the user avails the Standing Instruction service of SBI for the payment, he/she can submit a handwritten application to their SBI branch