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HDFC is the fifth largest bank in India offering good deals on car loans such as:

  • Competitive interest rates, as compared to other banks
  • Part payment options to conclude the loan before tenure

Read on to know more.

HDFC Car Loan Details

All you need to know about car loans from HDFC

Interest Rate 8.40% – 10.35%
Loan Tenure 7 years (maximum)
Loan to Value Ratio 100% of ex-showroom
EMI per Lakh Rs. 1,622
Loan Processing Fee Rs. 4,720 (maximum)
Pre Closure Charges Allowed after 6 months at 6% of principal outstanding plus GST

HDFC Car Loan Eligibility

Find out your eligibility for Car Loan from the information below

Eligibility Criteria Eligibility Requirements
Age 21-60 years
Minimum Annual Income 2 lakhs
Minimum CIBIL Score 700
Job Stability if employed 2 years

Documents required for HDFC Car Loan

Salaried employee Self-Employed
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 this with a simple example:

Let’s assume a scenario. Sujit a business professional has to travel to his factory in the neighbouring district several times a week to check on his business. Public transport does not work for him as timing, distance and comfort is important to him. Purchasing a car is a top priority for him and his business. The cost of an SUV car is roughly Rs. 20 lakhs. Sujit currently does not have sufficient funds needed for the SUV, therefore Sujit plans to approach HDFC for a car loan.

Sujit finds out about the car loan from HDFC and learns that there is a down payment and monthly EMIs that he has to pay. Sujit decides to save for the down payment and EMIs on his own. He decides to give himself 2 years to save for the down payment of Rs 4 lakhs (approximate).

Vehicle Value 20 lakhs
Down Payment 20% of Loan value = 4 lakhs (approximate)
Time required to save for down payment 2 yrs. (24 months)

What should Sujit do to save Rs. 4 lakhs in roughly two years? 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 Sujit can save money for his down payment on the car loan and for other expenses in the next 2 years:

Type of Investment Interest Rate Maturity Amount after 2 Years
Savings Account 4% Rs. 4,17,084 (Gains=Rs. 17,084)
Recurring Deposit 7% Rs. 4,30,497 (Gains =Rs. 30,497)
SIP 14-18% Rs. 4,84,364  (Gains = Rs. 84,364)

From the above table, SIP seems to be the most rewarding savings scheme as compared to the others. SIP invests your money in equity shares of companies across market capitalisation. This diversification helps in safer and higher returns.

ClearTax Save allows you to choose from handpicked SIPs designed to fulfil your goals. This is particularly useful for people who do not have the time or patience to research and invest wisely.

Similar Banks Offering Car Loans 

Axis Bank Indian Bank 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

If you had invested Rs 10,000
every month for last 25 years
in equity funds, you could make

₹ 3.3 Crores
at 15%* annual returns

Invested
Rs 30 Lakhs

Received
Rs 3.3 Crores

Invest Now