Car loan is provided to all income groups with a wide tenure to choose from. With a maximum financing of up to 85% of the loan amount, your dream of owning a car is burden proof. The bank provides car loans up to Rs.50 lacs, helping you to procure a car of your choice without worrying about the quantum of finance.
Features of Car Loan From Andhra Bank
Quantum of Finance
The loan amount is determined on the basis where the maximum permissible EMI should not exceed 60% of net salary of the applicant and 70% for the non salaried class. Up to 85% of the “”On Road” value of the car is financed by the bank.
Flexible Repayment Tenure
The loan amount and interest charges can be repaid in up to 84 EMIs. An unique feature from Andhra bank is the option to also make the repayment in quarterly/half yearly/yearly basis. This kind of flexibility ensures that you get to choose a term of your choice, as per your budgeting requirement.
Easy Documentation
With just basic documents to meet the KYC guidelines along with paperwork relating to the proposed car, the application process is largely hassle free.
Competitive Interest Rates
The bank follows the system of base rate linked system of calculating rate of interest for car loans. The present rate of interest for loan tenure up to 36 months is base rate + 0.50% and for loans above this threshold, the rate is Base Rate + 0.75%. Highly competitive, the rates offered by Andhra Bank goes soft on your wallet.
Eligibility Criteria for a Car Loan from Andhra Bank
- Individuals with a minimum annual gross income of Rs.1 lakh.
- Companies, Firms, Trusts and Societies holding an account with the bank also qualify.
Further information on eligibility will be provided by the bank at the time of application
Andhra Bank Car Loan Interest Rate
- 1-year MCLR + 0.70 % for new four-wheeler loans
- 1-year MCLR + 3.45% for used four-wheeler loans
Based on the concept of Reducing Balance, the interest is applied only on the outstanding balance component which reduces the interest burden substantially. Existing Home Loan customers of Andhra Bank qualify for a concession of 0.25% on the actual rate. Ex employees of the bank and applicants belonging to certain sectors/categories can be eligible for a concession as well.