Taking a car loan to finance your dream car is a good option if you do not have adequate fund in hand. HDFC bank is a pioneer in providing car loan services. With HDFC car loans, not only can you take a loan for a new or pre-owned car, but you have the facility to take loan against your existing car via instant cash disbursal. Additionally, you can apply online which saves you a lot of time and effort. Buying a car has multiple benefits, you as well as your family can use it for travelling to work or road trips! If you want to take a car loan from HDFC Bank, there are certain eligibility conditions which have to be met. To begin with, you should check on your CIBIL score. Read more to find out.
Generally HDFC Bank requires a minimum CIBIL score of 700. If your CIBIL score is less than 700, your loan application will most likely get rejected. Here’s why. A CIBIL score is a clear indicator of your financial health, it is derived out of multiple factors, the most important being your recent credit and payment history. Your past payment history is clearly reflected on your CIBIL score, this has a direct impact on your HDFC Bank car loan eligibility. If you have a poor CIBIL history or score, there is a chance that you might not get a car loan at all. Therefore, it is important that you maintain a good CIBIL score and if not, you should start rebuilding it as soon as possible.
An HDFC car loan is available to both salaried as well as non-salaried and self-employed individuals. Mentioned below is a list of eligibility criteria for the three types of HDFC car loans.
| Criteria | Description |
|---|---|
| Age | 21 to 60 years for Salaried
21 to 65 years for Sole Proprietorship |
| Employment | 2 years for Salaried
2 years in business for Sole Proprietorship |
| Minimum Annual Income | - Salaried: Rs. 3,00,000
- Sole Proprietorship: Rs. 3,00,000 - Partnership Firms: Rs. 3,00,000 - Private Limited Companies: Rs. 3,00,000 Public Limited Companies: Rs. 3,00,000 |
| Minimum Turnover | - Partnership Firms: Rs. 3,00,000 |
| Criteria | Description |
|---|---|
| Age | - 21 to 60 years for Salaried
- 21 to 65 years for Sole Proprietorship |
| Employment | 2 years for Salaried
3 years in business for Sole Proprietorship |
| Minimum Annual Income | - Salaried: Rs. 2,50,000
- Sole Proprietorship: Rs. 2,50,000 - Partnership Firms: Rs. 2,50,000 - Private Limited Companies: Rs. 2,50,000 - Public Limited Companies: Rs. 2,50,000 |
| Minimum Turnover | Partnership Firms: Rs. 4,50,000 |
| Criteria | Description |
|---|---|
| Age | 21 to 60 years for Salaried
21 to 65 years for Sole Proprietorship |
| Employment | 2 years for Salaried
3 years in business for Sole Proprietorship |
| Minimum Annual Income | - Salaried: Rs. 2,50,000
- Sole Proprietorship: Rs. 2,50,000 - Partnership Firms: Rs. 2,50,000 - Private Limited Companies: Rs. 2,50,000 - Public Limited Companies: Rs. 2,50,000 |
| Minimum Turnover | Partnership Firms: Rs. 4,50,000 |
| ID Proof | - Salaried Individuals and Businessmen: PAN, Passport, Aadhaar, Voter Id, Driving License.
- Partnership Firms: Partnership Deed. - Private Limited Companies: Memorandum and Articles of Association / Certificate of incorporation. |
| Age Proof | PAN, Passport, Aadhaar, Voter Id, Driving License, Birth Certificate. |
| Address Proof | Ration card, driver’s license, Aadhaar card, Passport, telephone bill, electricity bill, credit card statement with a copy of your credit card, or an employer’s certificate. |
| Proof of Income | - Salaried: HDFC Salary account statement, Bank Statement, Form 16, Latest ITR.
- Businessmen: Latest/previous year’s Income Tax Returns, Latest IT Assessment Order, Advance Tax Paid Challan. - Private/Public/Partnerships: Latest ITR, Balance Sheet, Profit and Loss Statement. |
| Repayment Schedule | 9 months for personal vehicle and for 12 months for commercial vehicles. |
| Prepayment Charges | Not allowed for 6 months; 6% fee from 7-12 months, 5% from 13-24 months, 3% after 24 months. |
| Loan Amount | - Up to 100% of ex-showroom price for new cars. - Up to 80% of market value for used cars. |
| Interest Rate | 8.70% onwards. |
The Lowest EMI offered by HDFC Bank is Rs. 1,594 per lakh loan amount at lowest car loan interest rate of 8.70%, over a maximum tenure of 7 years. Additionally, you can also calculate your EMI and rate of interest with a free HDFC Bank Car Loan Eligibility Calculator. It can be availed online from the official website of HDFC Bank. Simply enter the requested details to find out if you are eligible for the loan. You also have the option to check your exact total cost along with EMI car loan. HDFC also offers special discounts and low vehicle interest rates to customers who have maintained a good relationship with the bank for a long time.
What are the Car loan interest rates offered by HDFC Bank?
HDFC Bank offers car loans at the rate of 8.70 % to 10.25%. However, there are multiple factors such as age, income, relationship with the bank which can affect the rate of interest.
What if I have a low CIBIL score, will HDFC Bank give me a car loan?
If you have a low CIBIL score, you most likely, will not get a car loan as the minimum CIBIL score required for HDFC Bank Loan is 700 and above.
Does skipping HDFC Bank car loan payment affect my CIBIL score?
Yes, if you miss out even a single EMI of your HDFC Bank car loan payment, it will have a negative impact on your CIBIL credit score.
Can I share my wife’s income while applying for a car loan from HDFC Bank?
Yes, you can share your wife’s income and age while applying for a car loan from HDFC Bank.
