Under Car Loan Interest Rates 2024, information about interest rates in banks from SBI to Axis.
Business Desk: If you are planning to buy a car this festival season and are planning to take a loan for it, then first of all you need to know what interest rates are being offered by different banks on car loans. Choosing the right bank can not only get you a better interest rate but can also simplify the loan process. Interest rates of major banks (2024):
- State Bank of India (SBI): Starting from 8.95%
- Indian Overseas Bank: Starting from 8.85%
- Canara Bank: Starting from 8.75%
- HDFC Bank: Starting from 9.40%
- ICICI Bank: Starting from 9.10%
- Karur Vysya Bank: Starting from 9.55%
- South Indian Bank: Starting from 9.41%
- IDBI Bank: Starting from 8.85% (floating), Starting from 8.80% (fixed)
- Karnataka Bank: Starting from 8.88%
- Federal Bank: Starting from 8.85%
- Punjab National Bank (PNB): Starting from 8.75% (floating), Starting from 9.75% (fixed)
- Union Bank of India: Starting from 8.70%
- Axis Bank: Starting from 9.30%
- Bank of Baroda: Starting from 8.95% (Fixed), Starting from 9.40% (Floating)
- Bank of India: Starting from 8.85%
Interest rates and loan tenure
Car loan interest rates can be fixed and floating. Fixed interest rates remain unchanged throughout the loan tenure, while floating interest rates vary depending on market trends. Long-term loans may have higher interest rates, so it may be beneficial to take a short-term loan.
Impact of credit score
Loan interest rates depend on your credit score. A good credit score can make it easier for you to get a loan at a lower interest rate. Many banks also offer special offers and schemes during the festive season, which you should keep in mind.
Pre-closure penalty
Before taking a loan, also make sure that the bank is not charging a pre-closure penalty. Pre-closing means that the entire loan amount is repaid before the stipulated period. This penalty may vary across banks, so check it beforehand.
Conclusion
It is important to choose the right bank while taking a car loan so that you get low interest rates and convenient terms. Always get complete information about the loan processing fees, interest rate and pre-closure penalty and avail special offers during the festive season.