Opting for a used car loan is a smart, value-for-money purchase. We offer used car loans for a wide collection of cars ranging from hatchbacks & SUVs to premium sedans.
When people think about driving first car, most of them go for the used car or second-hand vehicles. It is considered as less risky than driving a new vehicle when you obtain license. Many people prefer that owning a used car and practice on it before managing a new vehicle. Buying a second-hand vehicle is not a problem now. Many financial institutions and banks offer used car loans. However, it is important to check the availability and precautions to be taken while applying for a car loan.
Your very own vehicle would imply that you don’t need to rely upon anybody while attempting to go anyplace. It would likewise make you look that a lot cooler among your companions and capable among the older folks. At last, having your very own vehicle is an enormous advance throughout everyday life. After constantly and exertion you have put in at work, you merit a little self-spoiling right? The main issue is that buying a vehicle is no little purchase. The all out expense can come up to a significant sum, particularly on the off chance that you go for a spic and span vehicle. Numerous specialists propose that purchasing a second hand vehicle is a savvier speculation since autos devalue so rapidly, and the devaluation is steepest in the initial couple of years. That implies that in the event that you purchase a second hand vehicle, you will pass up this lofty devaluation. Furthermore, second hand vehicles are a lot less expensive than first hand cars. That implies that you won’t consume a colossal gap in your pocket to have your very own vehicle.
All loans are not created equal, Loans has become a great option for people to use.
| Particulars | Salaried Applicants | Businessmen/Self-employed Applicants |
|---|---|---|
| Age of the Applicant | Between 21 years and 65 years | Between 25 years and 65 years |
| Minimum Income | Rs.15,000 per month | Net profit of Rs.1.5 lakh p.a. |
| Income Status | At least 1 year of continuous employment | Should have been in the same line of business for at least 3 years |
| Age of the Vehicle | Less than 10 years at the time of loan maturity | |
Please note that the eligibility criteria may vary from lender to lender and hence, it is a good idea to check for the same with the respective lenders.
If you have a question that deals with clients, customers or the public in general, there is bound to be a need for the FAQ page.
Your bank will assess your repayment capacity while deciding the home loan eligibility. Repayment capacity is based on your monthly disposable / surplus income, (which in turn is based on factors such as total monthly income / surplus less monthly expenses) and other factors like spouse’s income, assets, liabilities, stability of income etc. The main concern of the bank is to make sure that you comfortably repay the loan on time and ensure end use. The higher the monthly disposable income, higher will be the amount you will be eligible for loan. Typically a bank assumes that about 55-60 % of your monthly disposable / surplus income is available for repayment of loan. However, some banks calculate the income available for EMI payments based on an individual’s gross income and not on his disposable income.
The amount of the loan depends on the tenure of the loan and the rate of interest also as these variables determine your monthly outgo / outflow which in turn depends on your disposable income.
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You repay the loan in Equated Monthly Installments (EMIs) comprising both principal and interest. Repayment by way of EMI starts from the month following the month in which you take full disbursement.
The longer the tenure of the loan, the lesser will be your monthly EMI outflow. Shorter tenures mean greater EMI burden, but your loan is repaid faster. If you have a short-term cash flow mismatch, your bank may increase the tenure of the loan, and your EMI burden comes down. But longer tenures mean payment of larger interest towards the loan and make it more expensive.
Yes, most banks allow you to repay the loan ahead of schedule by making lump sum payments. However, many banks charge early repayment penalties up to 2-3% of the principal amount outstanding. Prepayment penalty may vary according to the reasons and source of funds – if you obtain a loan from another bank for pre-payment the charges are usually higher than when you pay from your own sources. However, you may credit more than your EMI amount into your loan account on a periodic basis and bring down your interest burden as and when funds are available with you. Most banks do not charge a pre-payment penalty if you deposit more than your EMI payable on a periodic basis. Please check such stipulations while availing the loan.
Now apply for a Loan online, All you need to do is provide your details below application form.
