Axis Bank, originally founded in 1993 as UTI bank is the third largest private-sector bank in India delivering a variety of financial services. Axis bank has a workforce of more than 55,000 employees and is headquartered in Mumbai.
Axis Bank offers you great benefits on car loans such as
- Low-interest rates, as compared to other banks
- No required guarantor for loan approval,
- Nil pre-closure charges if you decide to settle the loan earlier than the tenure
Read on to know more.
Axis Bank Car Loan Details
Everything you need to know about car loans from Axis Bank
|Loan Tenure||7 years (maximum)|
|Loan to Value Ratio||90% of ex-showroom|
|EMI per Lakh||Rs. 1,584|
|Loan Processing Fee||Rs. 3,500 – 5,500|
|Pre Closure Charges||Nil|
Axis Bank Car Loan Eligibility
Find out your eligibility for Car Loan from the information below
|Eligibility Criteria||Eligibility Requirements|
|Minimum Annual Income||1.80 lakhs|
|Minimum CIBIL Score||700|
|Job Stability if employed||2 years|
Documents required for Axis Bank Car Loan
|Filled up loan application form||Filled up loan application form|
|2 Passport Size Photo||2 Passport Size Photo|
|Identity Proof – Passport/ Driving Licence/ Voter ID/ PAN||Identity Proof – Passport/ Driving License/ Voter ID/ PAN|
|Residential Address Proof – Leave and License/ Registered Rent Agreement/ Utility Bill (up to 3 months old), Passport||Residential Address Proof – Leave and License/ Registered Rent Agreement/ Utility Bill (up to 3 months old), Passport|
|Income Documents – 6 months payslip, 2 years Form 16, 6 months bank statement showing salary credit and any EMI debit||Business proof such as GST registration, incorporation details in case of companies, business address proof, profit and loss account and balance sheets certified by CA, copy of partnership deed and proof of business existence and business profile|
So, are you ready to buy a Vehicle?
If the answer is YES, you must be having a lot of questions in your mind like:
- What is the down payment amount?
- Which bank offers the lowest Interest rate?
- How much is the monthly EMIs?
The Car loan EMI calculator is a great tool to help you find out EMIs and other details
Let’s understand with a simple example:
Let’s assume a scenario. Ajay a young entrepreneur has to travel throughout the city to meet his clients. Public transport does not work for him as timing and multiple stops are important to him. Purchasing a car is a top priority for him and his business. The price of a sedan car is approximately Rs. 10 lakhs. Ajay does not have the required savings to buy a new car. Therefore Ajay plans to approach Axis Bank for a car loan.
Ajay inquires about the car loan from Axis Bank in detail and learns that there is a down payment and monthly EMIs that he has to pay. Ajay decides to save for the initial down payment and EMIs on his own. Ajay decides to give himself 2 years to save for the down payment of Rs 1 lakh (approximate).
|Vehicle Value||10 lakhs|
|Down Payment||10% of Loan value = 1 lakh (approximate)|
|Time required to save for down payment||2 yrs. (24 months)|
What should Ajay do to save Rs. 1 lakh in the shortest possible time? In general, people start saving their money in either of these options, say RD (Recurring Deposit), Savings account or SIP (Systematic Investment Plan) in mutual funds.
Let’s find out the best way Ajay can save money for down payment on the car loan and for other expenses in the next 2 years:
|Type of Investment||Monthly Investment||Interest Rate||Maturity Amount after 2 Years|
|Savings Account||Rs. 4,166||4%||Rs. 1,04,258 (Gains=Rs. 4,258)|
|Recurring Deposit||Rs. 4,166||7%||Rs. 1,07,611 (Gains =Rs. 7,611)|
|SIP||Rs. 4,166||14-18%||Rs. 1,21,077 (Gains = Rs. 21,077)|
From the above table, SIP seems to be the most rewarding savings scheme as compared to the others. SIP generally invests your money in mutual funds enabling you to earn better while protecting your investments from a potential market crash.
ClearTax Save allows you to choose from handpicked SIPs designed to fulfil your goals. This is particularly useful for people who are beginners or do not have the time to research and invest wisely.
Similar Banks Offering Car Loans
|Indian Bank||HDFC||State Bank Of India||ICICI|
|OBC||Andhra Bank||Central Bank of India||PNB|
|Union Bank of India||IDBI||Federal Bank||IndusInd Bank|
|Bank of India||Bank of Maharashtra||Corporation Bank||Car Loan EMI Calculator|