Bank of Baroda (BoB) offers competitive car loan options for individuals looking to purchase new or used vehicles. BoB’s car loans have attractive interest rates, flexible repayment options, and minimal documentation. Here’s a detailed overview of BoB car loan interest rates and features.
Key Features of BoB Car Loan:
- Loan Amount:
- Bank of Baroda offers car loans for up to 90% of the car’s on-road price for new vehicles.
- Up to 75% of the valuation price is provided for used cars as a loan.
- Flexible Repayment Tenure:
- Loan repayment tenure can range from 12 months to 84 months (7 years), providing ample flexibility for borrowers to choose a tenure that suits their financial situation.
- Attractive Interest Rates:
- BoB offers competitive interest rates starting from 8.85% per annum for new cars and varies based on factors such as the applicant’s credit score, loan amount, and tenure.
- Minimal Processing Fees:
- The processing fee is 0.50% of the loan amount, with a minimum of ₹1,500 and a maximum of ₹10,000, plus applicable GST.
- No Prepayment Penalty:
- BoB does not charge a prepayment penalty if the borrower decides to repay the loan amount before the end of the tenure after 6 months.
- Eligibility:
- Both salaried and self-employed individuals are eligible to apply for a car loan.
- Income criteria: Minimum annual income of ₹3 lakh for salaried individuals or business income for self-employed professionals.
BoB Car Loan Interest Rates
| Type of Loan | Interest Rate |
|---|---|
| New Car Loan | Starting at 8.85% |
| Used Car Loan | Starting at 10.00% |
Eligibility Criteria
- Age: The applicant should be between 21 to 60 years.
- Employment: Both salaried and self-employed individuals are eligible to apply.
- Income: Minimum annual income of ₹3 lakh for salaried individuals or equivalent business income for self-employed applicants.
- Credit Score: A higher credit score (700 or above) increases the chances of getting a better interest rate.
Documentation Required:
- Identity Proof: Aadhaar card, PAN card, passport, voter ID, or driving license.
- Address Proof: Utility bills, bank statements, or rental agreements.
- Income Proof: Last three months’ salary slips (for salaried) or income tax returns (for self-employed).
- Bank Statements: Last six months’ bank statements.
- Car Quotation: Proforma invoice or quotation from the car dealer.
How to Apply for a BoB Car Loan:
- Online Application: Visit the official Bank of Baroda website or use their mobile app to apply for a car loan.
- Fill in Details: Provide personal, financial, and vehicle details on the application form.
- Submit Documents: Upload the required documents online for faster processing.
- Loan Approval: Once the application is reviewed and approved, the loan amount will be disbursed directly to the car dealer.
Conclusion
Bank of Baroda’s car loans are an excellent option for individuals looking for a hassle-free process, competitive interest rates, and flexible repayment options. With interest rates starting at 8.85% per annum, BoB offers one of the more affordable options for financing both new and used cars in India. Make sure to compare car loan offers and choose the one that best suits your needs and budget.
