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Karnataka Bank Car Loan Customer Care

Karnataka Bank is one of the oldest banks in the country, incorporated in the pre-independence era, and has grown from humble beginnings to being the twelfth largest bank in the country. The bank has a huge customer base of over 10 million customers and a variety of products and services to provide the best and utmost service to the customers in the best possible manner.

Karnataka Bank Car Loan Customer Care
Karnataka Bank Car Loan Customer Care

What is the Karnataka bank Car Loan Customer Care?

Karnataka Bank Car Loan Customer Care

Karnataka bank has a centralised customer care number to handle all kinds of queries or concerns that the customers may have regarding any of the banking transactions or any of the product and services offered by the bank. Customers can contact the customer care service that is available 24x7. The contact details of the customer care of the bank are given below.

What is a Car Loan?

Car loan is an easy financing option available to the customers who desire to own a car/vehicle but do not have the adequate means or resources for the same. Car loans come with easy documentatiareon and less processing time provided that all the required criteria set by the lending bank met.

Details of Karnataka Bank Car Loans

Karnataka Bank offers car loans for the purpose of purchasing new or used (second hand cars). The bank has a stipulation in case of used cars that they should not be older than 5 years from the date of manufacture. Some of the features of the car loans offered by the bank are detailed below.

  • Eligibility – 

The eligible applicants for this scheme of the bank are the individual income tax assesses, NRIs, company/ trust/firm/association/societies that avail a loan in the name of the said entity or executive or managerial personnel of that entity, agriculturalists that own an agricultural property. The bank also has the minimum age criterion in case of individual applicants that they should be at least 18 years of age.

  • Amount of loan sanctioned – 

The bank has laid down an upper limit for the amount of loan that can be disbursed under the scheme for new cars as well as used/second hand cars. For new cars – 85% of on road price or Rs.75,00,000 whichever is lower. For second hand/used cars – Maximum of Rs. 20,00,000

  • The bank offers a maximum tenure of 34 months in case of second hand/used cars and 7 years (84 months) in case of new cars.
  • The rate of interest applicable for car loan depends on the applicant’s profile, his/her credit score, relationship with the bank, etc. The details of rate of interest applicable for the bank’s car loans are given below:


            Effective Rate

            KBL_Car Finance (purchase of car)


            New Vehicles/Electric Car

            9.09% - 10.94%

            Old /Second hand vehicle


The bank requires a security of a third party co-obligation /guarantee for individual applicants and the car so purchased will be deemed to be collateral as per the policy of the bank which will be eligible for hypothecation in the event of non-repayment of the loan.

The margin requirement for the new cars is to the extent of 15% of the on road value of the vehicle whereas that for old cars is 25%-30% of the same.

Grievance Redressal

The bank has a detailed grievance redressal policy to deal with any issues or concerns or complaints raised by the customers regarding any of the banking process or the products and services offered by the bank.

  • Customers can 
  • file an online complaint by visiting the bank’s website through its online grievance redressal portal
  • contact the customer care service of the bank
  • visit the bank’s branch and register a complaint there with the Branch Head
  • email the same (from their registered email id in case of existing customers)
  • Customers can further escalate the complaint to the Regional Offices of the bank. The contact details of the same are available at the bank’s website.
  • The next stage of escalation is approaching the Head office of the bank at the following postal address,

Chief Manager,

Karnataka Bank Ltd.,

Customer Service & Grievance Redressal Cell,

Head office, Mahaveera Circle, Kankanady,

MANGALURU - 575 002

Karnataka State.

Customers have to mention their registered mobile number, email id and their 16 digit account number in all the correspondences with the bank.

In the event that the customer has not received a response or any satisfactory response from within the bank’s grievance redressal system within 30 days of registering the complaint, he/she can approach the Banking Ombudsman appointed by the RBI in this regard.

About the bank

Karnataka Bank is one of the largest banks of the country with a huge network of about 848 branches and 1540 ATMs and a presence in 22 States and 2 Union Territories of the country. The bank has a presence in various segments like retail banking, corporate banking, treasury and other banking operations.


1. What is the bank’s requirement for security/collateral for availing the loan?

The bank needs third party co-obligation or guarantor for individual applicants and the vehicle so purchased out of the loan is considered as collateral for the purpose of this loan.

2. What is the maximum tenure offered by the bank for used/second hand cars?

The bank offers a maximum period of 34 months for repayment of car loan secured for used/second hand cars.

3. Does the customer have the right to sell his vehicle before the entire loan of the bank is repaid?

The bank has to provide a NOC (No Objection Certificate) to the borrower which is mandatory in case of sale of a vehicle that is collateral for the loan taken. Such certificates can only be issued by the bank upon full repayment of the loan or foreclosure of the loan.

4. What is the margin requirement of the bank for getting a car loan?

The bank requires the applicant to provide a margin of 15% of the on road value of the vehicle in case of new cars and 25%-30% on road value of the vehicle in case of old/second hand vehicles.

5. Does the bank charge any penalty or charges for prepayment of the car loan?

The bank levies no extra/ hidden charge or penalty for foreclosure or prepayment of the car loan.

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