SBI Used Car Loan Interest Rate 2024, Features, Eligibility, EMI Calculator, Apply Online

SBI Used Car Loan Interest Rate 2024- One of the many dreams of young people—or people of any age, for that matter—of having a good life is to own a car SBI Used Car Loan Interest Rate, which is also regarded as one of the many leisure activities in life. Customers can now choose between brand-new and previously owned vehicles. The country has a significant market for pre-owned or used automobiles. However, owning a SBI Used Car Loan Interest Rate is frequently a costly endeavor, particularly in today’s world, where the cost of the vehicle itself, in addition to the cost of fuel and maintenance, is high SBI Used Car Loan Interest Rate.

Customers can receive assistance from banks in this situation. Today, a SBI Used Car Loan Interest Rate lot of banks offer specialized financing packages or options for people who want to borrow money to buy used or pre-owned cars. When people in the country are looking for loans to buy used cars, SBI Used Car Loan Interest Rate is one of their top choices. The bank’s used car loans are described in detail here SBI Used Car Loan Interest Rate.

SBI Used Car Loan Interest Rate 2024

2024 SBI Used Car Loan Interest Rate, India’s largest lender and the 43rd largest bank in the world, has a 22% share of the auto financing market following recent mergers. SBI has 45 million customers and a 37 million crore INR total asset value. SBI Used Car Loan Interest Rate is just the option you need to get the key to your dream car, right? It has over 22,000 branches and 62,617 ATMs. SBI Used Car Loan Interest Rate offers financing for the purchase of passenger cars, sports utility vehicles (SUVs), and multi-utility vehicles (MUVs) for a maximum of seven years.

However, the SBI Car Loan Interest Rate does not provide financing for SBI Used Car Loan Interest Rate that are older than three months. When you purchase a used car, you must pay it back within eight years. However, the vehicle must not be older than five years in order to be eligible for the loan to purchase SBI Used Car Loan Interest Rate. The bank charges 7.20 percent to 12.75 percent annually for new vehicles and 9.25 percent to 12.75 percent annually for used vehicles. During the loan process, you won’t have to worry about paying any foreclosure or processing fees with the SBI Used Car Loan Interest Rate.

SBI Used Car Loan Interest Rate Overview

A Used Car Loan is a type of car loan that is taken out by a person to buy a used or pre-owned car. For both eligibility to apply for a used car loan and loan approval, the bank stipulates a number of conditions. In addition, used car loans typically have shorter terms than regular car loans. Owning a car is one of the many dreams of the youth (or people from any age group for that matter) to have a quality life and is considered to be one of the many leisure experiences of life. The customers today have the option to own new cars as well as pre-owned or used cars.

There is a huge market for pre-owned or used cars in the country. However, to actually own a car is more often a costly affair especially in world where the cost of the car itself is high apart from the maintenance cost and fuel cost. This is where banks come to the aid of the customers. Many banks today have special finance packages or options for people who seek loans to buy used cars or pre-owned cars. State Bank of India is the largest lender in the country. The state-owned bank has a massive customer base who enjoy various services like banking, investment, loans and other financial services.

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Eligibility For SBI Used Car Loan

The SBI Used Car Loan is available to all citizens of the nation subject to certain restrictions. This section focuses on the specifics of eligibility for the SBI Used Car Loan.

• The minimum age for applying for the SBI used car loan is 21 years old, and the maximum age is 65 years old.
• In addition to being income tax assesses, the customers can be professionals, self-employed individuals, or permanent employees of any of the following entities.
• The bank establishes a minimum income requirement for all applicant categories, including Central Government, State Government, Public Sector Undertakings (PSUs), Private Limited Companies, Schools, Universities, and Research Institutions, and individuals engaged in agricultural and related activities.
• The following are the income limits: the salaried class must have a minimum income of Rs. 2,50,000 annually The annual minimum wage for professionals, self-employed individuals, and others must be Rs. 3,00,000 per year The minimum wage for people who work in agriculture or related fields is Rs. 4,00,000 per year.

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Features of SBI Used Car Loan

Due to its wide availability, low interest rates, and adaptable term, the SBI Used Car Loan is one of the most popular options in the category. The bank permits advances up to 2.5 seasons of the net yearly pay of the candidate. The applicant may also submit a joint application for the used car loan with their spouse. When making a joint application, the bank may also take into account the spouse’s income when determining the minimum income requirement for applying for a used car loan.

Tenure

The SBI Used Car Loan must be paid back in full within seven years. SBI’s used car repayment schedule is complicated by conditions. In order for the individual to obtain a loan from the financial institution, the vehicle’s lifespan must not exceed five years. Additionally, the repayment period for used cars must be completed within eight years of the vehicle’s original purchase date.

Rate of Interest

In this category, the bank charges one of the lowest interest rates on the market. The applicant’s credit score, relationship with the bank (whether the applicant is an existing customer or not), tenure, loan amount, and other factors all play a role in determining the interest rate. The bank currently charges loans for used or pre-owned cars between 10.25% and 11.25% annually in interest. Women who borrow money can get a lower interest rate from the bank. The Daily Reducing Balance method is used to calculate the interest.

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Margin

The margin requirement of the bank is 20% of the value of the car (on-road price).

Amount of loan to be Sanctioned

The bank can approve a loan for a used car that is up to 80% of the car’s value (the on-road price, which includes insurance, registration, and the cost of various accessories up to Rs. 25,000), and can range anywhere from Rs. Rs. 3,000,000 and a maximum 10,00,000.

EMI/NMI Ratio To Be Followed

The bank requires applicants to adhere to a strict EMI/NMI ratio based on the following range of net annual income:

• Up to Rs. 5,00,000 – 50%
• Above Rs. 10,00,000 – 70%

For loans exceeding Rs. 50,000, the bank requires credit score ratings from at least two reputable credit scoring agencies. 5,00,000.

Penal Interest

EMI defaults result in a penalty from the bank. The amount that is past due is subject to this penalty, which is 2% per month in addition to the interest rate that is applied to these loans.

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Processing Charges and Other Charges

EMI defaults result in a penalty from the bank. The amount that is past due is subject to this penalty, which is 2% per month in addition to the interest rate that is applied to these loans.

Additionally, the bank charges a small fee of Rs. 50 cents for each search in the case of auto loans as vehicle search fees.

Pre-payment Charges

Prepaid loans for used or pre-owned cars are not subject to fees from the bank.

Optional Life Cover

A life insurance policy can be purchased by the customer in addition to the loan for new or used cars. All borrowers in this category have access to this optional life insurance policy.

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Documents Required For SBI Used Car Loan

The SBI Used Car Loan is among the most preferred options in the category due to its wide accessibility as well as lowest interest rates and flexible tenure. The bank allows loans up to 2.5 times of the net annual income of the applicant. The applicant can also apply for the used car loan jointly with his/her spouse. In case of joint application, the income of the spouse can also be considered for calculating the minimum income criterion as required by the bank for applying the used car loan of the bank. SBI’s documentation procedure is fairly straightforward. Along with the fundamental KYC documents, there are two types of documents that are required for the SBI Used Car Loan.

Basic KYC Documents

• The applicant’s proof of identity (such as an Aadhaar card, PAN card, voter’s ID, or driver’s license)
• The applicant’s proof of address (such as an Aadhaar card, a utility bill, a ration card, etc.)
• Recent photos in the size of a passport Bank statement from the last six months IT returns from the last two years for
• salaried individuals, and IT returns from the last three years for self-employed individuals, professionals, or business entities.

The following lists the specific types of documents that are required for each stage of the loan processing.

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At The Time of Application

• The customer has to submit the proforma invoice
• Next, a copy of seller’s RC Book has to be submitted
• The bank will also require a copy of Seller’s Motor Insurance

At The Time of Disbursement

• Either an undertaking from the seller that he or she has sold the vehicle to the buyer and has no claim on the vehicle at all must be submitted by the customer, or the sale agreement between the dealer and the seller, which can be stamped or not.
• Instead of a stamped indemnity, the customer can also provide the financier with an undertaking from the dealer.
• The customer will also be required to provide copies of HPTER (form 35) whenever applicable and a hypothecation clearance letter from the bank.
• Last but not least, the customer will be required to provide a letter to the insurance company stating or confirming the modification of the insurance contract in the insured’s and financier’s names.

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SBI Used Car Loan Customer Care

State Bank of India (SBI), the world’s 43rd largest bank and India’s largest lender is a well-known name in vehicle lending, with a 22% market share following recent mergers. SBI’s total asset size is INR 37 Lakh Crore, with a customer base of 45 Crore. SBI, with over 22,000 branches and a 62,617 ATM network, is an option you need to gain the keys to your dream car. SBI Car Loan provides financing for the purchase of passenger cars, SUVs, and multi-utility vehicles (MUVs) for a maximum of seven years.

Customers can get in touch with the bank in a variety of ways to ask questions, voice their concerns, file complaints, or provide feedback. can get in touch with the bank’s customer service department at any time of day or night, 365 days a year, via the following methods.

• Toll-free: 1800 11 2211 / 1800 425 3800 Toll-free: 080 26599990 Customers can also use the bank’s SMS service to express their dissatisfaction with any of the bank’s services or employees right away.
• Customers can send the SMS “UNHAPPY” to 8008 20 20 20 from their registered mobile number to express their dissatisfaction.

Customers can also take advantage of the bank’s missed call service, also known as missed call banking, by sending the text “CAR” to the number 09223588888 to obtain information about car loan products.

SBI is the brand-new mobile application that the bank has just launched. Services like deposits, advances, accounts, related, related to ATMs, related to Internet and mobile banking, related to customer service (helpline, complaints), EMI calculator, and numerous other related services are among the numerous services that are available.

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