[Keyur Shah]

I have noticed that SBI only favors customers having a salary account with them. I remember applying with them years ago and it was a longer processing period with my application getting rejected.

It's nothing like I'm against them or holding any grudges but had a much better experience with HDFC Bank. The loan rate getting revised from 8.9 to 9.3% is something to look out for as I never really experienced it with my lender.

[balenoed_]

Looking for a car loan and SBI offering with a fixed interest of 7.85% for a 7 years tenure. Is this a good deal?

[7000plusrpm]

Originally Posted by balenoed_

Looking for a car loan and SBI offering with a fixed interest of 7.85% for a 7 years tenure. Is this a good deal?

Depending on your CIBIL score, I think you can get a little lower rate of interest.
For example, Canara bank offers 7.35% if the CIBIL score is above 780, 7.5% if the score is above 750. Similar rates are applicable if financed thru the Bank of Baroda.
The charges for processing the loan and conditions for foreclosure would be the same, but you can check and compare them.

[pjallipalli]

Is IndusInd good to go for car loan? Was offered, 6-7 % Interest rate. HDFC is offering 7.65%. SBI is 7.85%

This is for Tata Nexon petrol auto top end model, loan amount aroung 8 lakhs with tenure 4-5 years

Have good credit score.

[vinu_h]

Came across an article that covers almost all aspects of a vehicle loan.ARTICLE. Here's a screengrab of the ROI

[AMT]

I went ahead with SBI, through YONO. Although I have a dormant account with them, I checked netbanking and got an instant in-principle sanction with 0 processing fee. Rate of interest is 7.5% although Axis was offering 7.25%

Advantage with a PSB is that you can repay in parts at the end of 2 years - with no cap on the amount.

Those with SBI netbanking, do check the YONO page for offers. I got accessories worth 22k free through expressing interest.

[hrishig]

Kotak bank is giving car loans at 6.5 %. Lots of penalties for pre-payment and defaults. But if 6.5% is a fixed rate then it will be historically the cheapest car loan I have seen in the last 20 years.

[Pancham]

Originally Posted by hrishig

Kotak bank is giving car loans at 6.5 %. Lots of penalties for pre-payment and defaults. But if 6.5% is a fixed rate then it will be historically the cheapest car loan I have seen in the last 20 years.

Can you please let us know where you got this deal from? I am their so called privy league customer and the best they could give me was 7.4%.

[vinu_h]

Folks, despite funds being available, my lender is yet to debit my account. Nearly 6 days late they are. Majority of the staff are C+ apparently and the branch is shut for now.

What's my recourse if they penalise me and/or report to CIBIL ?

[avira_tk]

Originally Posted by AMT

I went ahead with SBI, through YONO. Although I have a dormant account with them, I checked netbanking and got an instant in-principle sanction with 0 processing fee. Rate of interest is 7.5% although Axis was offering 7.25%

Advantage with a PSB is that you can repay in parts at the end of 2 years - with no cap on the amount.

Those with SBI netbanking, do check the YONO page for offers. I got accessories worth 22k free through expressing interest.

Do you have any information on how long this in principle approval is valid? My approval is six months old, but my car is expected only in June.

[AMT]

Originally Posted by avira_tk

Do you have any information on how long this in principle approval is valid? My approval is six months old, but my car is expected only in June.

Not sure but from what I know it’s typically valid for 6 months. Best to check with them and have it extended.

Although I understand that interest rates have since reduced - May be good option to reinitiate the process and apply afresh.

[Pancham]

Guys, I recently booked a car and the showroom guys have come back to me with a pretty decent offer:

R.O.I - 7.25%.
Processing Fee - Nil.
Part Payment Yes.
Pre Payment after 12 months is Nil.

The only issue is the Bank - it is State Bank of India. I have had pretty terrible experiences with the Bank. I wanted to seek some suggestions on people's recent experiences.

1. How easy is it to pre-close SBI car loans? Is there anything I need to be mindful of?

2. How easy is part payment?

3. Should I be worried about the rate of interest - as in if it is fixed or floating. I remember when we closed one of our loans in 2016, at the end of the last EMI, SBI asked us to pay around 25K extra due to interest fluctuations. I want to avoid that given the loan amount is relatively high this time.

4. Is there any additional offer I can get through the YONO app?

5. Is there anything else I should be mindful of?

[padmrajravi]

Originally Posted by Pancham

5. Is there anything else I should be mindful of?

I was also offered the same deal this week. I had a good experience with my previous car loan with SBI which I preclosed in 3 years. It was hassle free. Every month, I used to pay additional amount and the interest amount reduced straight away. Though they call it fixed rate loan, in my case the interest rate did change once when Govt changed some rate.

In 2020, SBI changed the part payment policy and started charging 1% penal interest. Starting this month to Jan 2022, they have an offer running with this penal interest waived off and zero foreclosure charges after one year.

From my research, only Bank of Baroda offers a better deal with zero foreclosure charges and zero prepayment penalty. If you have a good credit rating above 780 or so, the interest rate can go down till 7 for BOB. For me they only offered a 7.4 interest rate for 7 year loan. SBI offered a 7.35 interest rate for 7 year loan. For 5 year loan, SBI offered 7.25. Considering all things I am tilted to go with SBI since I already have a long standing relationship with them and there is little chance of me foreclosing under 1 year.

[Torq]

Originally Posted by Pancham

R.O.I - 7.25%.
... State Bank of India.

My dad has a salary account with SBI and he was recently offered, rather insisted upon, a car loan at 6.7%
Do check in again with your branch manager.

[Pancham]

Originally Posted by padmrajravi

I was also offered the same deal this week. I had a good experience with my previous car loan with SBI which I preclosed in 3 years. I

So just to confirm, in addition to the monthly EMIs (through ECS), I can keep depositing whatever amount I like every month (even before the month no. 12) and that way the loan period will also come down. Correct?

If pre-payment is not allowed before 12 months, part payment should also be prohibited. No?

Originally Posted by Torq

My dad has a salary account with SBI and he was recently offered, rather insisted upon, a car loan at 6.7%
Do check in again with your branch manager.

Yeah, I can check but I dont have a salary account with them so not 100% confident about making the trip to the Bank (its a bit far from my house). Also this offer came up from the dealer side.