If you are planning to buy your dream car, comparing interest rates on car loans can save you thousands of rupees over time.
Here’s a quick look at the introductory rates offered by top 10 lenders in India, so you can make an informed decision:
Punjab National Bank (PNB) and Union Bank of India lead the pack with the lowest starting rates. PNB offers loans starting at 8.75% with an EMI of ₹ 2,459 per lakh, while Union Bank’s EMI is even lower at 8.70% with an EMI of ₹ 2,456.
Canara Bank matches Union Bank with an introductory rate of 8.70% and the same EMI of ₹2,456 per lakh, making it a great option for budget-conscious buyers.
State Bank of India (SBI) and ICICI Bank offer competitive rates of 9.10%, resulting in an EMI of ₹2,474 per lakh.
HDFC Bank, a popular choice for car loans, starts at 9.40% with an EMI of ₹ 2,488 per lakh.
Bank of Baroda offers loans starting at 9.00% with an EMI of ₹2,470 per lakh — a slightly better deal than most.
Axis Bank, at 9.30%, offers slightly higher EMIs of ₹ 2,484 per lakh compared to other private sector peers.
Indian Bank and Bank of India offer attractive rates at 8.75% and 8.85%, respectively, with corresponding EMIs of ₹ 2,459 and ₹ 2,463 per lakh.
Note that typically the lowest rates on car loans only apply to electric vehicles. Loans for ICE vehicles will have higher rates in most cases.
These rates are applicable for eligible borrowers and are based on a loan of ₹ 1 lakh for a tenure of 4 years. Take advantage of these offers and bring your car dreams to life.
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