About the Bank
Allahabad Bank is a leading nationalized bank of India. It was founded on April 24th in the year 1865 by a group of Europeans and is headquartered at Kolkata. It is the oldest Joint Stock Bank of India and has over 2500 branches spread across the entire country. One of the prominent offerings of Allahabad Bank in its portfolio of retail credit products includes the comprehensive car loans offered by Allahabad Bank.
Allahabad Bank offers its customers a many types of loans and many other financial and banking products at competitive interest rates. One of the best car loans in India, the Allahabad Bank car loan can help you in buying your dream car. From cars and vans, to JEEPs and multi utility vehicles (MUVs), a car loan provided by Allahabad Bank will ease your worries about finances and help you bring home your own car. Whether it as an Allahabad Bank car loan for a new car or a used car loan, Allahabad Bank provides the advantage of quick approvals, flexible tenure for a car loan, as well as hassle-free EMI repayment deals. No matter what the applicant’s employment field is Allahabad Bank car loans are offered as some of the greatest deals on car loans. Salaried individuals, businessmen, self-employed professionals, agriculturists, firms, and companies are eligible to apply for an Allahabad Bank car loan. As long as the applicant can show that they have a regular monthly income to enable them to repay the loans, they can apply for a car loan from Allahabad Bank. The used car loan extension of the Allahabad Bank car loan offers nominal car loan interest rates, making the pre-owned car loan by Allahabad Bank an ideal solution for prospective car buyers. Allahabad Bank will disburse car loans for used cars only in the cases where the car is not older than 3 years from its date of registration.
Features of Allahabad Bank Car Loan
- An Allahabad Bank Car loan can be availed for the purchase of a new car for personal use or official use and of pre-owned cars.
- There is no restriction in the maximum number of cars that can be financed to Individuals, Partnership Firms and Companies.
- Repayment period for new car is up to 84 months (individuals) and up to 60 months (Firm/ Companies).
- For used cars the maximum repayment tenure is 60 months or the residual life of the vehicle (whichever is lower).
- Floating type of interest rate is applicable
- The margin for buying new cars with an Allahabad Bank car loan is 15% of the on road cost of the vehicle. This includes charges like the first time road tax, one time registration charges, insurance charges, etc.
- The margin for buying a pre-owned car is 85% of the “decided buying price” (as decided by an approved automobile valuation) or 60% of the vehicle’s valuation (whichever is lower).
- The loan limit for an Allahabad Bank car loan is a maximum of three times of the net annual income or salary of the applicant. Salary of an immediate family member can also be clubbed with that of the main applicant to increase their car loan amount eligibility.
- The Allahabad Bank car loan interest rates are not only kept at low competitive levels, but the Bank also offers Allahabad Bank car loan interest rates on a used car loan that are not much higher than on loans for new cars.
- The Bank charges a small amount as processing fee for Allahabad Bank car loan, but charges no penalties on prepayment of the car loan if it is paid off in full.
- Until the car loan is paid off in full, the vehicle that has been bought has to be hypothecated to Allahabad Bank. After the Allahabad Bank car loan has been repaid, the full ownership of the car will be transferred to the borrower.
- As collateral for a car loan up to Rs. 20 lakh, the spouse will have to be listed as a co-borrower, if their income has been clubbed with the applicant’s income and considered as eligibility. For a loan above Rs. 20 lakh, a guarantee of an individual, as well as collateral security in the form of mortgage of property, or as KVP/ NSC/ FDR, etc. is required.
- If the margin given is more than 25% then there is no requirement for a guarantee or collateral security.