SBI Car Loan: Interest Rates, Eligibility Criteria, Documents

SBI Car Loan: SBI is the leading bank which offers car loan in different segments to meet customer’s requirement. The SBI offers you the best of deals on your dream car,

Raju Choudhary

SBI Car Loan

SBI Car Loan: SBI is the leading bank which offers car loan in different segments to meet customer’s requirement. The SBI offers you the best of deals on your dream car, if you are planning to buy a car and dreaming this for long, now you need not have to wait for years as SBI offers you the best deal. The dream of owning a dream machine could soon be reality with the help of SBI’s Car Loan.

With the best of deals in car loan segment the bank also offers and charges the lowest of interest rates and the lowest EMI’s. Also the bank requires minimal paper work and quick disbursement of the loan. The bank offers car loan in different categories such as New Car Loan, Combo loan, Pre-owned car loans, Loyalty car loan, used car loan, NRI loan scheme and many more.

The details for SBI car loan are as follows:

Interest rates – others8.75%
Interest rates for women8.70%
Processing feesZero
Lowest EMIRs 1594/Lakh
Repayment optionsUpto 7 years
Prepayment chargesNil
Maximum financeUpto 300 percent of on road price
Min. Income2.50 Lakh annual
Maximum loan amountUpto 4 times of net annual income

Interest Rates:

Current SBI car loan interest rates for the year 2021 are as follows:

SchemeInterest Rate w.e.f. 10.06.2020 (1 year MCLR: 7.00%)
i) SBI Car Loan, ii) NRI Car Loan, iii) Assured Car Loan Scheme From 7.75% to  8.45%
SBI Car Loan, NRI Car LoanFrom 7.70% to 8.40 % (CIC Based rates are applicable)
Certified Pre-owned Car Loan SchemeMen: 2.25% above 1 year MCLR i.e. 9.25% p.a. For Women: 2.20% above 1 year MCLR i.e. 9.20% p.a.
Certified Pre-owned Car Loan SchemeFrom 9.50% to 10.50% (CIC Based rates are applicable).
Super Bike Loan Scheme3.25% above 1 year MCLR i.e. 10.25% p.a
SBI Two-Wheeler Loan9.05% above 1 year MCLR i.e. 16.05% p.a.
SBI Car Loan LiteCibil Score >=757 3.00% above 2 Yr MCLR i.e. 10.20% p.a. From 689 to 756 4.00% above 2 Yr MCLR i.e. 11.20% p.a.

Some Important features of SBI car loan are as follows:

  • Financing on “On-Road price”. (which includes registration, extended warranty and insurance Annual maintenance contract and service package/ cost of accessories.)
  • Zero Advance EMI
  • SBI Life insurance cover is available and is also optional
  • No pre-payment penalty or Foreclosure charges
  • Overdraft facility is available with SBI car loan
  • Zero processing fee for new cars
  • 51% processing fee for used cars

SBI Car Loan Eligibility Criteria

The eligibility criteria to avail the SBI car loan are as follows:

Applicant should be between 21 and 65 years of age to avail a car loan.

CategoryIncome criteriaMax. Loan Amount
Regular employee of state/

Central Government, Public Sector Undertaking (PSU), Private Company or a reputed establishment.

The net annual income of the applicant and/or co-applicant if any, together should be a minimum of Rs. 2,50,000/-48 times of the Net monthly income.
Professionals, self-employed, businessman,

Proprietary/partnership firms

Who are income tax assesses

Net Profit or Gross Taxable income of Rs 4,00,000/-p.a.

(income of co-applicant can be clubbed together)

4 times Net profit or gross Taxable income as per ITR after adding back depreciation and repayment of all existing loans.
Person engaged in agriculture and allied activitiesNet annual income of applicant and/or co applicant together should be  a minimum of Rs. 4,00,000/-3 times of Net annual income

Before finalizing your lender, you should calculate the total amount payable and not only compare the rate of interest or EMI. The SBI charges 0.51% of loan amount as processing fee on certified pre-owned car loan. The minimum processing fee is Rs. 510 while the maximum payable amt is Rs. 10,530.

Documents Required:

To apply for SBI Car loan, the following document must be submitted to the bank:

  • Bank account statement for last six months
  • Two passport-size photographs
  • Copy of passport, PAN, and voter ID card
  • Address proof
  • Salary Slip mentioning details
  • Form 16 (of income tax return) of the last two years if you belong to a salaried class and three years if you are a professional, self-employed person or a businessman. The ITO should duly accept the form.
  • If you are a non- salaried individual, you will also have to submit proof of official address.

Apply Online

Click Here to Apply online

Terms & Condition On SBI Car Loan:

MARGIN: New/ used vehicles: 15% of the On road price (which includes insurance of the car, one time road tax, accessories and registration charges.)

REPAYMENT: SBI offers longest repayment period in the industry, i.e., of seven years (84 months)


SBI offers finance reimbursement at the interest rate applicable on a new car, i.e, if you have purchased a car from your own resources and if it is not more than three old.

SECURITY: As per bank’s extant instructions.


What makes of cars does SBI finance?

SBI finance all makes of new cars, and second hand cars which are all less than five years old. Thus, the customer is free to choose any vehicle they want to own.

How does SBI car loan compare with those offered by other institutions?

There is total transparency with regards to the rate of interest and the fee charges which are applied by SBI.

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