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Vehicle financing is one of the most appealing retail loan products offered by the banks. Easy and faster processing with minimum documentation and affordable rates of interest has made owning a car a very feasible reality for the public at large. Such attractive features coupled with the customer service of the bank offered right from the point of applying for the loan to the final payment and beyond in many cases, Car loans have become not only a profitable product for the banks but also an affordable and convenient product for the customers.

UCO Bank is a public sector bank offering vehicle loans for purchase of new cars as well as used or pre-owned cars under its UCO Car Scheme. Loans for pre-owned or used cars are available provided that such cars are not older than 5 years. The Bank also offers a Combo Car Scheme which is exclusively for the Bank’s existing customers that are home loan borrowers. Customers will get the details like eligibility, documents required, salient features of the UCO Car Scheme and highlights of UCO Combo Car Scheme in here.

Eligibility for UCO Bank Car Scheme

Uco Bank Used Car Loan

The Bank has provided the details of the eligibility for the UCO Car Loan Scheme like the eligible persons, their minimum income requirement and the maximum amount that can be availed by them as a car loan under this scheme.

The eligible persons for UCO Car Scheme are,

  • Salaried persons (having a minimum 6 months of service)
  • Established professionals, Self-employed, Businessmen
  • Farmers and agriculturists
  • Corporates and Non-corporates
  • Ex-Staff Members and Pensioners
  • NRIs

The age requirement of the above eligible individuals is

  • Minimum 21 years
  • Maximum 70 years (including repayment period)

The bank has also set a minimum income requirement for certain eligible persons, the details of the same are tabled below

CategoryMinimum Income Requirement

Salaried persons

Rs. 20,000 per month after considering all statutory deductions + existing loan liabilities + proposed EMI

Professionals and Self-employed Business men 

As per the ITR or self assessment of previous year,

  • Rs. 5,00,000 per annum in metro cities
  • Rs. 4,00,000 per annum in other cities

Farmers and agriculturists

Rs. 4,00,000 per annum during previous financial year

Another requirement is that the farmers and agriculturists must have a land holding in their own name.

Corporates and Non-Corporates

  • Must be in profit for past 2 years
  • Cash flows during the tenure of the loan should be sufficient to cover the proposed EMIs after considering all existing liabilities (if any)

UCO Bank permits joint application for loan. Clubbing of the income of the co-applicants is permitted in order to calculate the minimum eligible income requirement as per the guidelines of the Bank. Co-applicants in this case can be either or both the parents of the applicant, spouse or major children.

Documents for UCO Bank Car Scheme

The documentation process of UCO Bank for car loans is very simplified and requires a few basic KYC documents along with certain vehicle specific documents. The details of the same are provided here.

  • Identity proof (Aadhaar Card/ PAN Card/ Driver’
  • Address proof (Aadhaar Card/ Electricity Bill/ Water Bill/ Voter’s ID, etc.)
  • Income Proof ( Form 16/ ITR)
  • Bank statements (last 3 months at least)
  • Recent Photographs

Certain vehicle related documents that will also have to be submitted by the applicant are,

  • Proforma Invoice of the Vehicle
  • RC copy of the Vehicle
  • Insurance Copy of the Vehicle

Customers can contact the Bank to get further details of any additional documents that they may have to submit which may be needed by the bank depending on case to case basis.

Features and Benefits of UCO Bank Car Scheme (Used cars)

UCO Bank used car loans are considered to be among the preferred options in this category as they are very affordable and have a very adequate repayment schedule.

The salient features and benefits of the UCO Car Scheme that make it an attractive option are mentioned below.

Tenure – 

As mentioned above, the tenure of UCO Car Scheme for used car loans is very comfortable and in sync with what is offered by many other lenders in the market. The tenure of the Bank for used car loans is 5 years or 60 months.

Margin – 

The margin requirement of the Bank for used car loans depends on the valuation of the car whether done from a certified pre-owned car dealer or otherwise. The margin requirements in each case are tabled below.

Valuation done by

Margin required

Certified Pre-owned Car Dealer

20% of the valuation of the vehicle

Other cases

30% of the valuation done by the following whichever is lower,

  • Approved valuer
  • surveyor of any general insurance company
  • certified automobile engineer
  • Insured’s Declared value (IDV)

Quantum of loan disbursed – 

The amount that can be dispersed by the bank for used car loans depends from where such used car or pre-owned car is purchased. This criterion of the bank is tabled below.

Purchased from

Maximum amount of loan disbursed

Reputed and Certified Car Dealers

Rs. 15,00,000

Other sources

Rs. 5,00,000

UCO bank has further laid down certain restrictions in this regard on the eligible applicants depending on their income. The details of the same are mentioned below.


Maximum amount of loan to be disbursed

Salaried persons

36 times of gross monthly income

Professionals and Self-employed Business men

3 times the average gross annual income for last 2 years

Farmers and agriculturists

3 times the annual income of the previous financial year

Insurance – 

UCO Bank requires the vehicle to be insured under Comprehensive Insurance with requisite Bank Clause. Such Insurance is preferred to be done through the Bank’s channel partners.

Rate of interest – 

The rate of interest of UCO bank is among the most competitive and affordable rates in the market. UCO Bank offers used car loans at a floating rate of interest. Among other factors like the credit score of the applicant, relationship with the Bank, loan tenure, amount sought as loan, etc., the major deciding factor is the source of purchasing the used/ pre-owned car. The rate of interest in each case is detailed hereunder.

Source of vehicle

Rate of Interest

Certified Car Dealer

9.70% per annum


10.20% per annum

Processing charge – 

UCO Bank charges a nominal amount as processing charge under the UCO Car Scheme which is same for new cars as well as old cars. The processing charge is charged as a percentage of the loan amount sanctioned by the Bank subject to a maximum amount of Rs. 1,500. The processing charge of the Bank is 1% of the Loan amount.

Pre-payment charges – 

UCO bank does not charge any prepayment charges under the UCO Car Scheme. Prepayment of loan at any point during the tenure of the loan or through any source of funds is not subject to any charges from the Bank.

These were some of the salient features of the UCO Bank Car Scheme for used car loans. The Bank also has another used car loan scheme specifically for existing home loan borrowers of the Bank. This scheme is known as UCO Bank Combo Car Scheme.

UCO Combo Car Scheme

The major benefit of this scheme to the existing home loan borrowers is the concession in the rate of interest on used car loans. The concessional rates as well as certain applicable terms and conditions are mentioned below.

Concessional rates of interest under UCO Combo Car Scheme – 

UCO Bank gives the benefit of concessional rate of interest to the existing home loan borrowers of the Bank as part of its loyalty program or a goodwill gesture. The concessional rates are also subject to the source of the vehicle i.e. from where the used car is purchased.

Source of vehicle

Rate of Interest

Certified Car Dealer

9.45% per annum


9.95% per annum

Special Terms and Conditions – 

UCO Bank has laid certain specific conditions regarding the applicability of this combo scheme.

Eligible Applicants

  • Home loan borrowers that have closed their loan accounts after regular payment.
  • Home loan borrowers that have paid regular EMIs for the past minimum 2 years after a moratorium period as well as have been during the entire tenure of the loan.

Non-Eligible Applicants

  • The UCO Combo Car Scheme does not apply to the home loan borrowers whose loan account has been restructured or rescheduled during the tenure of the loan.
  • Other exclusion by the Bank is for those home loan borrowers whose loan accounts have been closed on account of a take-over by other banks.

UCO Bank Customer Care

The customer care service is a major facility that the Bank can provide from the customer’s point of view. From the Bank’s point of view it is the easiest and the fastest way for the Bank to connect with its customers. The customer care service of UCO Bank is available 24x7 for any assistance required by the customers regarding any products or services of the Bank. The details of the same are,

  • Toll-free number - 1800 274 0123
  • Email Id - customercare[dot]calcutta[at]ucobank[dot]co[dot]in (customer feedback / suggestion)

    hopgr[dot]calcutta[at]ucobank[dot]co[dot]in (customer grievances)

Postal address (Corporate Head Office) – UCO Bank Head Office,
    10, B T M Sarani, Kolkata - 700 001
    West Bengal

FAQs - UCO Bank Used Car Loans

1. What is the toll free number of the bank?

The toll free number of the bank is 1800 274 0123.

2. What is the tenure of the loan provided by the bank?

The repayment tenure of UCO Bank for old/ used cars is 5 years.

3. What is the maximum amount that a customer can get as a loan for purchasing used cars?

The maximum amount of loan disbursed by the Bank depends on the source of the vehicle, where the vehicle is purchased from. If a person buys the car from a certified pre-owned car dealer, the Maximum amount of loan is restricted to Rs. 15,00,000, in other cases, it is restricted to Rs. 5,00,000.

4. Does the Bank provide any benefit for existing home loan borrowers?

Yes. UCO Bank provides a concessional rate of interest for eligible existing home loan borrowers.

5. Can an NRI apply for the Bank’s used car loans?

Yes. UCO Bank Car Scheme is applicable to NRI borrowers as well.

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