With competitive car loan interest rates starting from 7.70%, loan tenures up to 8 years, and a low processing fee of only 0.20%, State Bank of India is a great lender to consider whether you are seeking a new car, used four-wheeler, or electric vehicle. However, it's important to note that high income earners and borrowers with good CIBIL scores will avail the best car loan deals at SBI.
|Summary of SBI Car Loan|
|New car loan rates from 7.75%|
|Used car loan rates from 9.50%|
|Loans for electric cars available|
|Car loan tenures up to 8 years|
Table of Contents
What Makes SBI Car Loans Stand Out to Borrowers
Whether you're seeking a new or used car loan, SBI offers great car loan packages for borrowers who are seeking low EMIs and processing fees. Below, you can find the range of car loan schemes offered by State Bank of India, including what makes them stand out amongst the competition.
|SBI Auto Loan||Features|
|SBI New Car Loan|
|SBI Certified Pre-Owned Car Loan|
|SBI Assured Car Loan Scheme|
|SBI Car Loan Lite Scheme|
|SBI Green Car Loan|
|SBI Loyalty Car Loan Scheme|
|SBI New Car Loan Scheme for NRIs|
SBI Car Loan Interest Rates
SBI's minimum car loan interest rate lands within the top 10 lowest interest rates amongst the lenders our financial team reviewed.
For new car loan interest rates, SBI charges between 7.75% and 8.45%, which is relatively lower than our calculated average of 9.06%. In addition, women with CIBIL scores between 600 and 649 can receive a 0.05% concessional interest rate on their car loan. If you are a woman or applying with a female co-applicant, you should consider SBI to avail lower car loan interest rates.
SBI pre-owned car rates range from 9.50% to 10.50%, with an average lending rate of 9.52%. Compared to the average lending rates of other banks — for instance, HDFC's average lending rate of 13.33% — you are more likely to avail a lower interest rate at SBI as long as you match the lender's eligibility criteria.
|SBI Auto Loan||Interest Rate Range|
|SBI New Car Loan Scheme||7.75% - 8.45%|
|SBI New Car Loan Scheme for NRIs||7.75% - 8.45%|
|SBI Certified Pre-Owned Car Loan||9.50% - 10.50%|
|SBI Green Car Loan||Not advertised.|
|SBI Assured Car Loan Scheme||7.75% - 8.45%|
|SBI Car Loan Lite Scheme||10.20% - 11.20%|
|SBI Loyalty Car Loan Scheme||7.70% - 9.20%|
SBI Car Loan Eligibility Criteria
SBI car loan eligibility criteria is more inclusive than other lenders we analysed. First, to be eligible for the car loan application, you should be between the ages of 21 and 67. Therefore, if you are a senior citizen in need of a car loan, consider SBI as many other lenders have an age cutoff from 60 to 65 years old.
Regarding car eligibility for used car loans, SBI finances pre-owned cars up to 8 years old. Additionally, it's important to note that your car loan tenure depends on the age of your secondhand car. Your final loan tenure will be calculated as 8 years minus the age of your car (with a maximum of 5 years). In other words, you're eligible for a used car loan tenure between 3 and 8 years. New car loan buyers, on the other hand, benefit from a long loan tenure maximum of 7 years no matter the model of the car.
Depending on the SBI car loan scheme you apply for, you may be subject to higher than average income requirements and varying funding margins. Below, you can find income requirements and car loan financing based on your vehicle loan of choice and job position.
|SBI Auto Loan||Income Requirement||Margin|
|SBI New Car Loan Scheme||90%|
|SBI New Car Loan Scheme for NRIs||USD 1000 p.m. or USD 12,000 p.a.||85%|
|SBI Certified Pre-Owned Car Loan||Not advertised.||80%|
|SBI Green Car Loan||90%|
|SBI Assured Car Loan Scheme||NIL||100%|
|SBI Car Loan Lite Scheme||Rs. 2.5 lakhs p.a.||75%|
|SBI Loyalty Car Loan Scheme||Rs. 2 lakhs p.a., including income of co-applicant||100%|
SBI Car Loan Processing Fee and Other Charges
|SBI Auto Loan Scheme||Processing Fee|
|SBI New Car Loan Scheme||0.20%, minimum of Rs. 500, maximum of Rs. 3750|
|SBI Pre-Owned Car Loan Scheme||0.20%, maximum of Rs. 5000|
|SBI New Car Loan Scheme for NRIs||0.25%, maximum of Rs. 5000|
|SBI Loyalty Car Loan Scheme||0.125%, minimum of Rs. 250, maximum of Rs. 2500|
|SBI Car Loan Lite Scheme||0.50%|
|SBI Assured Car Loan Scheme||Not applicable.|
|SBI Green Car Loan||NIL|
In addition to competitive interest rates, the SBI used car and new car loan have very low processing fees of 0.20%. It's important to calculate your car loan costs with processing fees in mind, as some banks can charge up to 2.00% of the total car loan amount and significantly drive up your total cost of borrowing.
Other SBI charges like a 1.00% prepayment penalty, 2.00% late payment fee, and 3.00% foreclosure fee are also comparably lower than other banks we reviewed, making the SBI car loan a good option for saving costs in the future.
SBI Car Loan: Apply Online
You can begin your car loan application online or in person. Applicants who want to apply for an auto loan online will benefit from SBI's step-by-step application process.
Documents Required for Car Loan from SBI
State Bank of India requires minimal documentation for proof of address, identity, income, and car purchase. Used car loans and new car loans require different documents, which is standard amongst car loan lenders.
However, there are a few exceptions depending on your qualifications. For new car loans, salary account holders who have an SBI branch account for more than 12 months do not need to submit a Form-16, ITR or 6 months bank statements. Additionally, agriculturalists have a specific set of required documents and do not need to submit an ITR.
SBI Car Loan Customer Care
If you have any queries regarding the SBI car loan application process, you can reach out to SBI customer care.
- SBI Customer Care Number: 1800 11 2211
- Begin your online car loan application process here.
- Click here to find an SBI Branch.