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Magma Fincorp Car Loan Eligibility

If you have procrastinated your dream of buying a car due to lack of funds, Magma  Fincorp car loan can help you achieve it. As an elite customer, you may receive the total value of the car as the loan amount. The bank has certain terms and conditions that need to be fulfilled before you apply for a car loan and the eligibility criteria are one among them. You will have to meet with the bank’s eligibility criteria if to get the loan sanctioned. These eligibility criteria are set because the bank does not want any default repayments from your side..

The bank offers car loans to the below.

a. Salaried Customers

b. Self Employed Individuals

Magma Car Loan Eligibility Criteria for Salaried Individuals

Magma Fincorp Car Loan Eligibility

a. When the person approaches for a loan, their minimum age should be 21 years and when the loan maturity ends the age should not go beyond 60 years.

b. The individual should have a minimum net income of Rs 1.50 lakhs.

c. The person must be working under the same employer for a minimum of 2 years.

d. The address of the person must be the same for a minimum of one year.

Magma Car Loan Eligibility Criteria for Self Employed Individuals

a. The minimum age of self-employed professionals should be 21 years when the loan tenure starts and the maximum age should be 67 years at the end of loan maturity.

b. The self-employed individuals must have been in the same business or profession for a minimum of 2 years.  

c. The person should have a minimum annual income of Rs 1 lakh.

d. The address of the individual must be the same for a minimum of one year. 

e. The credit score of the applicant must be well within the limits.

Additional Information for Magma Car Loan

a. The customers can get up to 100 % of the total value of the car as the loan amount

b. The bank offers different repayment options such as auto-debit, instalments, post-dated checks, and ECS payments.

c. Magma Car Loans are offered to buy a new car as well as pre-owned cars.

d. Salaried individuals can get three times their annual salary as a loan amount

e. The self-employed applicants can get 6 times their annual income as the loan amount.

f. Existing Magma customers who hold a good credit score can have the loan sanctioned without submitting the income documents.

g. For salaried persons, the repayment period is 7 years. For self-employed, it is 1-5 years

h. There is a processing fee of Rs 3500 for loan up to 2.5 lakhs

Major Factors Affecting Magma Car Loan Eligibility 

1. Credit Score – The credit score plays a major role in the bank’s decision to sanction the loan or reject it. Credit Bureaus have all your banking detail records. If you have taken a loan previously and not repaid it correctly or defaulted it, or it has been written off due to non-payments, the chances are pretty high that you do not have a good credit score. If you have a credit score much less to what the bank wants then your loan will not be sanctioned.

2. Income – It is important that you have a regular income before you apply for a car loan. Regular income is an assurance to the bank that you have the repayment capacity. This is the reason why the bank insists to have a minimum annual income of Rs 1.50 lakhs. If you keep on changing jobs within a year, there is a high possibility that the bank may reject your loan application.

3. Age- As per the bank, age is one of the factors that determine whether you can repay the loan. If you are 25 years old, then you have a lot of working years left. That is an assurance to the bank.

Documents Required to Apply for Magma Car Loan

For Salaried individuals

a. ID proofs such as passport, voter ID, aadhaar card, driving license, etc.

b. Address proof such as utility bills, passport, voter ID, aadhaar card, etc.

c. Residence proof such as utility bills to show that the person is residing there for a minimum of one year

d. Signature proof such as bank records, driving license, etc.

e. Past two years Form 16, three months’ salary statement, or proof of employment under the current employer for not less than 2 years.

For Self-Employed Applicants

a. Last 6 months’ salary statement

b. Signature proof such as pan card, bank records, etc

c. 2 years Income Tax Returns with computation of income

d. CA audited financial statements

e. ID proof such as pan card, aadhaar card, passport, voter’s id, driving license, etc

How to improve the eligibility for Magma Car Loan?

If you follow certain steps you can improve your credit score and  thereby improve the eligibility

  • Repayment – When you take a loan from the bank, it is your responsibility to repay the terms correctly. The bank can forgive one defaulted payment. However, if you default the payment continuously three times, the bank will bar you as a defaulted payer and it will adversely affect your credit score. To get a good credit score, you will have to repay any debt that still stands. 
  • Joint Loans – You can take the loan jointly with your spouse, or working children. When a joint loan application form is submitted that means your repayment capacity has been increased.

FAQs on Magma Fincorp Car Loan

1. Where can I find Magma Fincorp Car Loan application form?

You can either download the application from the official website of Magma Fincorp or you can walk into any of the branches. In the official website, you have the facility to upload the necessary documents as well.

2. What is the maximum car loan tenure option for Magma Fincorp Car Loan?

The bank offers the customers a repayment tenure between 12 to 60 months. For salaried customers, the bank can extend the tenure to 84 months.

3. What is Magma Fincorp car loan Interest Rate?

Magma Fincorp car loan Interest Rate is 12 % -16 % per annum.

4. Do I need a guarantor for taking a car loan from Magma Fincorp?

No, the bank doesn’t require a guarantor.

5. Can an agriculturist apply for Magma Fincorp Car Loan?

Yes, agriculturists can apply under Agri land-based funding scheme.

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