Vehicle Loan
Vehicle Loan Eligibility Checker
Vehicle loans are secured against the vehicle itself, so lenders can often offer competitive rates even to first-time borrowers with a reasonable income and credit profile. Banks run separate programmes for cars, two-wheelers, three-wheelers and commercial vehicles, and most also finance used vehicles at a lower loan-to-value. Eligibility depends on income, existing EMIs, the vehicle type and whether it is new or used.
Vehicle Loan at a Glance
| Interest Rate | 8.4% - 12.5% p.a. |
|---|---|
| Loan Amount | Up to ₹1 Crore |
| Tenure | Up to 7 years |
Eligibility Criteria
Who Typically Qualifies
- Age typically 18-65 years
- Minimum monthly income of ₹20,000+ depending on lender, city and vehicle type
- Credit score of 650+ improves approval chances and rate offered
- Lower existing EMI burden relative to income (FOIR)
- Used vehicles: typically 70-75% of valuation funded vs 80-100% of on-road price for new
Documents Needed
Keep These Ready
- PAN card and Aadhaar card
- Income proof - salary slips or ITR
- Bank statements for the last 6 months
- Vehicle quotation/proforma invoice (or valuation report for a used vehicle)
See Your Vehicle Loan Eligibility Score
Answer a few questions about your income and profile to get an instant, free eligibility estimate - no impact on your CIBIL score.
Check Eligibility Now21 Lenders Offering a Vehicle Loan
Each lender's own vehicle loan criteria - age, income, credit score, rates and documents - on its page.
- AU Small Finance Bank
- Axis Bank
- Bajaj Finserv (Bajaj Finance)
- Bandhan Bank
- Bank of Baroda
- Canara Bank
- Central Bank of India
- Cholamandalam Investment & Finance
- DCB Bank
- HDFC Bank
- ICICI Bank
- IDFC FIRST Bank
- Indian Bank
- IndusInd Bank
- Kotak Mahindra Bank
- L&T Finance
- Punjab National Bank
- RBL Bank
- State Bank of India
- Tata Capital
- Union Bank of India
Vehicle Loan FAQs
Yes, most lenders offer used-vehicle loans, though the loan-to-value ratio, interest rate and maximum tenure are usually less favourable than for a new vehicle - expect roughly 70-75% of the valuation to be funded.
Yes. Most banks and several NBFCs run dedicated two-wheeler, three-wheeler and commercial vehicle loan programmes, each with its own rate card and income criteria - commercial vehicle loans in particular also look at the vehicle's earning potential.
Lenders typically finance 80-100% of the on-road price for new vehicles, so you should plan for the remainder as a down payment. There is no RBI-mandated ceiling on vehicle loan LTV - the margin is each lender's own policy.
Yes - a high existing EMI burden relative to your income (FOIR) reduces the loan amount lenders are willing to extend, regardless of your overall income level.
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