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Introduction

Magma Fincorp Limited is a Non-banking Finance Company that was established in the year 1989 and was registered as an Asset Finance Company. Magma Finance Corp has a huge network of more than 300 branches across the country and is predominantly present in semi-rural and rural areas.

It offers easy finance solutions to all applicants for purchasing cars, used cars, tractors, construction equipment, houses, insurance and more. Magma Fincorp finance solutions are available at easy documentation and at very affordable rates as compared to many other available options. Loan options are available for all types of used commercial vehicles from Small Commercial vehicles to tractor trailers.

Eligibility and Documentation for Magma Used Car Loan

Magma Fincorp Used Car Loan

The eligibility and documentation requirement for Magma Used Car Loans is mentioned expressly for the

  • First Time Users
  • Tatkal Express Schemes
  • Existing Vehicle Owners.

The details of the same are given below.

CategoryRequirement

First Time Users

  • 1 Property Ownership
  • Guarantor (not required in certain cases)

Tatkal Express Schemes

  • No Guarantor Required
  • Only KYC documents required

Existing Vehicle Owners

  • Declaration and proof of ownership of current fleet

Another criterion for eligibility is the residential status as well as the amount of time that the person has stayed in the current residence. Magma Fincorp requires a minimum of 2 years of occupation of the current residence for stability reasons.

The other documents required are basic KYC Documents (for applicant and Guarantor) and commercial vehicle ownership documents.

Features and Benefits of Magma Used Car Loans

Magma Fincorp Loans for purchasing used cars are available at minimum documentation and processing time. The features and benefits of the used car loans offered by Magma Fincorp are mentioned below.

Amount of loan sanctioned –

The maximum loan that can be sanctioned by Magma Fincorp is up to 90% of the value of the used car. Magma Fincorp sanctions a differential amount of loan for existing vehicle owners as well as Tatkal express category of applicants.

Category% of loan that can be sanctioned
Existing Vehicle Owner (having a track record of 12 months)80% or 90% of the old vehicle value
Tatkal Express65% of the old vehicle value

Magma Fincorp does not put any upper limit on the amount of loan that can be sanctioned to any category of applicants. The maximum amount to be sanctioned depends on the credit score of the applicant, repayment capacity, etc.

Tenure – 

The maximum tenure for the used car loans offered by Magma Fincorp Limited is 4 years. This tenure is in line with many banking institutions offering finance in this category.

In certain cases, the tenure offered can be as long as 15 years.

Rate of interest – 

The rate of interest of Magma Used Car Loans is very reasonable and in line with the general interest in this category. Magma Fincorp offers 12% to 16% rate of interest on its used car loans depending on many factors like credit score of the applicant, amount of loan required, tenure, etc.

Guarantor – 

The applicant is not required to provide a guarantee under Tatkal Express Scheme, however, guarantee may be required in certain other cases.

Pre-payment charges – 

Magma Fincorp allows prepayment of the used car loan taken after the completion of 6 months from the time that the said loan was taken.

Borrowers are required to pay a prepayment charge of 5% on the outstanding loan amount at the time of such prepayment.

Foreclosure charges – 

According to the available guidelines, Magma Fincorp does not permit foreclosure of the used car loan taken before completion of 6 months of the loan disbursed. It may, however, allow such foreclosure in certain extraordinary circumstances after charging the lock-in period charges.

Late payment charges – 

The company charges late payment charges to the extent of 3% per month in case of any overdue EMIs or default.

Other salient features – 

The other salient features offered by Magma Fincorp are,

  • No income proof requirement for persons having experience of commercial vehicle usage.
  • No mandatory need for a bank account to apply or avail for a used car loan
  • Repayment of loans can be made through post-dated as well as via cash payment, auto-debits, ECS (Electronic Clearing Services).
  • Applicants can apply for a loan for purchasing a used car by visiting the nearest branch of the bank.
  • The bank can offer finances for used car loans to applicants that are within 125 Kms of the location of the branch.

Magma Fincorp EMI Calculator

Magma Fincorp provides the facility of easily estimating the proposed EMIs on the variety of loans that it offers (including used car loans). Applicant has to provide the following details in order to get the estimated EMI, total interest payable and the total amount paid by the applicant at the end of the tenure.

  • Outstanding Principal
  • Rate of Interest
  • Tenure (in months/years)

Applicants can get the detailed monthly amortization table for the entire tenure of the loan.

Magma Fincorp Customer Care

Customers can connect the organization for any queries that they may have regarding the used car loans or any other products of the organization. They can also provide their feedback or complaints regarding any of the products of the company. The contact channels for the same are,

  • Toll-free number – 1800 266 3202
  • Email Id – customercare[at]magma[dot]co[dot]in
  • Postal Address – Registered Office

    Development House,

    24 Park Street,

    Kolkata – 700 016

Customers can also fill an online form for complaints, feedback, customer service or any general inquiry. This form is available at the following link

Home  Contact us

FAQs: Magma Used Car Loan

1. Can a person apply for the used car loan of the company through online application?

Magma Fincorp has the option to request a call back from the customer care service of the company by filling the personal details like name, contact number and loan requirements at the bank’s portal. Applicants can also contact the nearest branch of Magma Fincorp to apply for their used car loans.

2. What is the loan amount that can be sanctioned under Tatkal Express?

The maximum amount that can be sanctioned as loan under Tatkal Express category of the company is restricted to a maximum of 65% of the value of the old vehicle.

3. What are the pre-payment charges of Magma Used Car Loans?

The prepayment charges on Magma Used Car Loans are 5% of the outstanding loan amount.

4. Does Magma Fincorp require KYC documents of the Guarantor?

Yes. Magma Fincorp requires KYC documents of the Guarantor as well.

5. What is the toll free number of Magma Fincorp Limited?

The toll free number of Magma Fincorp Limited is 1800 266 3202.

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