Buying your own vehicle can give you an exhilarating sense of freedom but is also accompanied by some natural concerns—how to find the best car loan suited to your credit needs, with the lowest interest rates.

With a plethora of financing options available in the market to choose from, it is now easier than ever before to buy a new car. The leading private commercial lender Federal Bank gives attractive offers on Car Loans. Read on to know more about the car loan offers in Federal Bank.

About Federal bank

Federal bank is a leading private commercial bank headquartered at Aluva, Kerala. Federal Bank has more than 1000 branches and ATMs across India. The financial institution was incorporated in 1931 under the Travancore Companies regulation, 1961. Federal Bank is the pioneer among traditional banks to switch to digital technology in India. Moreover, it is the first private bank to computerize all its branches.

The services offered by the bank include internet banking, mobile banking, on-line bill payment, online fee collection, depository services, Cash Management Services, merchant banking services, insurance, mutual fund products and many more.

Features and Benefits of Car Loan in Federal Bank

Taking a car loan from Federal Bank can benefit you in multiple ways. Following are some of the benefits you can enjoy on your car loan application.

  • You can get funding up to 100% of ex-showroom price

  • Up to 84 months of repayment period

  • Attractive interest rates

  • Free Personal accident insurance up to Rs. 10.00 lakhs for individuals

  • No charges levied on pre-closure

  • Avail loans for buying new car, used car and new two-wheelers

  • Re-imbursement within 1 month of car purchase date

  • No-income document scheme

  • Quick processing and loan disbursal

Documents Required

  • Two passport size photos

  • Identity Proof – Passport / Voters ID / Driving License/ PAN Card / Aadhaar Card

  • Address Proof – Passport / Voters ID / Driving License / Aadhaar Card

  • Age Proof – Passport / Birth Certificate / Driving License / SSLC or AISSE Certificate

  • Additional documents for Non-Resident Customers - Certified copy of Passport, Visa, Work Permit, ID card

For Salaried

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  • Salary Slip of last three months

  • IT Returns and Form 16 of last 2 years

  • Latest 6 month's Bank Account statement

    • For Self-Employed

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  • Proof of Business existence & Business Profile

  • Bank statement of last 12 months

  • IT returns for last 2 years supported by Tax calculation sheet & Tax paid challans

    • Eligibility Criteria to Avail a Car Loan from Federal Bank

    • You should have minimum income of INR 20,000 after meeting the EMI commitments.

    • Must be an Indian Resident or documented NRI

    • Must be at least 21 years of age

    Interest Rate

    The interest rate is linked to MCLR and it will depend on the risk profile of the customer. For car loans, the interest rate generally ranges between 9.50% to 10.10%.

    Conclusion

    Before applying for a car loan with Federal Bank, check your credit score as a good score lowers the rate of interest on the loan. Moreover, ensure that you fulfil all the eligibility criteria put forth by the lender.