Central Bank of India offers Car Loan. Bank has named this loan as Cent Vehicle. You can avail Car Loan for the purchase of two wheelers (only New) and four Wheelers ( New/ old car) for Personal use. Cent Vehicle is not for commercial purpose like for hiring or ferrying passengers. Car Loan Eligibility has two basic criteria. Lets check out, whether you fulfill those criteria or not.
Car Loan Eligibility:
First of all, bank checks your age. If your age bracket is 18 year to 65 years, then you can apply for a Car Loan from Central Bank. Then comes your Credit Score. Those who are eligible, they should be either of the following with a regular source of income:
- Permanent salaried employees
- Self-Employed Persons
- Independent Entrepreneurs
- Farmers irrespective of land holding engaged in production oriented agricultural activities and in other allied activities.
- Non-resident Indians
- Partnership Firm
- Societies, etc.
And, in addition to your age, the other criteria is the minimum Income (Gross Annual Income). Therefore, you need to be in the below given income bracket as well.
|4 Wheeler (New/ Old)||2 Wheeler|
|Salaried/ Non-Salaried||Rs. 2, 40, 000||Rs. 1, 20, 000|
Quantum of Finance:
Mostly, you get a loan amount equal to “On Road Price”. On Road Price is equal to the sum of Cost Of vehicle, Registration Charges, Insurance and Road Tax. Also, bank will not finance any additional cost for fancy numbers.
Furthermore, which vehicle do you want to buy will decide the quantum of finance for you. Hence, your options for loan amount are as follows:
- Two Wheeler – Rs. 10.00 lakh.
- New Four Wheeler- Rs.75.00 lakhs
- Old/Second Four Wheeler Vehicle – Rs.10.00 lakh
- Loan Amount Upto Rs.20 lakh – Minimum 10%
- Loan Amount More than Rs.20 lakh – Minimum 20%
- Old Vehicle (Any Loan amount)- Minimum 25%
Read : SBI Auto Loan
Rate Of Interest:
|Type||Floating||Fixed Rate ( Repayment within 36 months)|
|2 Wheelers||MCLR + 0.40%||MCLR + 0.40%|
|4 Wheelers New||MCLR + 0.40%||MCLR + 0.40%|
|4 Wheelers Old||MCLR + 1.50%||MCLR + 1.50%|
In addition to this, please contact bank for latest rate of interest.
Security will be the Hypothecation of vehicle which you are planning to buy. Most relevant is that the Hypothecation charge should be registered with Regional Transport Office Authorities.
You can pay back your car loan in either of the following tenure:
|Type||Repayment Period In month|
|4 WH (Old)Upto 3 Y old||60|
|4WH (Old) More than 3Y old||48|
Mostly, all the banks and financial institutions ask for the following documents:
- Proof of Identity: Passport copy, PAN Card, Voters Id card, driving licence
- Income Proof: Latest 3 months salary slip, form 16, ITR of 3 consecutive Assessment years
- Address Proof: Ration card/Driving licence/Voters card/passport copy/telephone bill/ electricity bill/Life insurance policy PAN Card.
- Bank Statement:Last 6 months
- Driving Licence is a mandate document for Vehicle Loan.
- Quotation of the proposed vehicle in original
- Bank may ask for nay other document as well.
May also read : HDFC Car Finance