INDIAN OVERSEAS BANK CAR LOAN

Income eligibility

In confirmed service with a take home pay of more than 50% of the gross salary, after PF and Insurance deductions

The total monthly income of the applicant including that of spouse and other income should be not less than Rs.8000/- in the case of loan for purchase of car and Rs.5000 in the case of loan for purchase of 2-wheeler.

Eligibility – Permanent employment in a…

• A Government Office, A public secto1r undertaking, A reputed private enterprise or, A self-employed professional
• The loan can be applied for in the name of the firm or company
• Non Resident Indian can also apply.
• (For NRIs subject to condition of obtaining a suitable guarantee from Resident Indian
• acceptable to the Bank)

Interest Rates on Car Loans/ Two wheeler loans: 10.75%

Loan amount

New car – Upto 90% of the cost of the car.

Used car – Upto 75% of the market value of the car.

New two-wheeler – 90% of the cost of the vehicle or 10 times the gross monthly income or Rs.60,000/- whichever is lower.

Repayment

New car – repayable in 84 equated monthly installments

Used car – Flexi repayment shall be fixed with a maxiumum of 84 months, less age of the vehicle.

New Two-wheeler – repayable in 72 equated monthly installments

Security

Hypothecation of  the vehicle purchased

The Banks lien on the vehicle should be marked in the R.C. book

Vehicle should be insured for the full value with the bank clause

Processing charges 

For loan upto Rs. 2 lakh,  Rs. 134/- in rural areas and Rs. 168/- in other areas as processing charges (subject to change).

For loan above Rs. 2 lakh,  Rs. 134/- per Rs. 1 lakh or part thereof, in rural areas and Rs. 168/- per Rs. 1 lakh or part thereof, in other areas as processing charges (subject to change).

Documents

Salary certificate, IT return or assessment order as a proof of income

Quotation/proforma invoice – for a new car/ new two-wheeler

Valuation certificate from two reputed auto dealers – for  used car