The State Bank of India offers the best car loan with low interest, less paperwork, minimal equated monthly instalments (EMI) and quick disbursement. Besides, they provide finance for sports utility, multi-utility, and passenger cars for as long as seven years. If you’re planning to avail a car loan from SBI, consider the facts mentioned below to make an informed decision.
SBI Car Loan Interest Rate
The following table displays a comprehensive knowledge of the SBI Car Loan Interest rate and its associated charges.
| Facts about SBI Car Loan |
| Interest Rates: 7.75% to 8.45%Loyalty Car Loan Scheme: 7.95% – 9.25%Foreclosure charges: 3% on closure amount with GSTProcessing fees: 0.40% of loan amount with GSTPrepayment charges: 1% of part payment amount with GSTRepayment Tenure: Upto seven yearsMaximum Loan Amount: Up to 90% of On-Road PriceMaximum loan amount: Up to 4 times of Annual Net IncomeMinimum Annual Income: Rs. 2.50 Lakhs |
However, before claiming this interest rate, you must ensure whether you need a car loan for a new or used car. Also, you need to check whether you fulfil the eligibility criteria for the car loan.
Eligibility Criteria for Availing SBI Car Loan
SBI offers applicants new and used car loans at an attractive and lowest SBI Car Loan Interest rate. Here are the eligibility criteria you need to adhere to get the best deals.
- For new cars:
- The candidate should be 21-67 years old.
- An employee from the State/Central/private/public company with an annual income of 2,50,000 will receive 48 times the net monthly income.
- Professionals, self-employed, and business people with a net income of Rs. 4,00,000 will receive four times the net profit.
- Agriculturalists with an annual income of Rs. 4,00,000 will get four times the net yearly income.
2. For used cars:
- Salaried applicants will get loans worth Rs.2,50,000 and above.
- Self-employed professionals will get loans of Rs.3,00,000 and above.
- Agricultural workers will get loans for Rs.4,00,000 and above.
- The vehicle should be eight years of age.
Benefits of Availing the SBI Car Loan
The following are the seven features of availing of the SBI car loan.
- SBI offers finances for both new and used cars.
- The State Bank does not ask its users to pay advance EMI while taking the loan. Besides, they allow users to pay off their months at any time within the month.
- SBI Car Loan Interest rate is offered at both flexible and fixed rates. They provide the lowest interest rates.
- The users can repay the loan according to their convenience between 84 months.
- SBI doesn’t charge fore-closure charges. In other terms, the borrowers do not need to pay for prepaying their borrowed amount.
- The bank finances the card’s on-road price. This means that the bank provides for the total service package, cost of accessories, extended warranty, registration cost, and insurance charges.
- The State Bank of India also provides an overdraft facility. This facility states that the customers can withdraw money from the savings account even if they don’t have an account balance.
Conclusion
Car loan provides convenient repayment tenures, low SBI Car Loan Interest rate, and charges fewer fees associated with the loan products. Besides, they are reliable and conduct the loan sanction procedure seamlessly and quickly. It is important to note that the interest rate varies on multiple factors. You can call the State Bank of India official to know about the interest rate in 2022 and cross-compare it with the other deals in the market before deciding to take a loan from SBI.