Types of Car Loans
04 Apr 2021
Types of Car Loans
Car Loans are for those looking to finance their car purchase at relatively attractive interest rates.
At Bank of Baroda, you can get financing of up to 90% of the on-road price of a brand new car of your choice if you opt for Car Loan . Anyone can avail of a Bank of Baroda Car Loan, subject to their eligibility. These are available for a maximum loan tenure of 7 years, and the loan amount can be as much as Rs 1 crore. The bank gives a 0.25% concession on the interest rate to its existing home loan customers with a clean credit history. What's more, Concession of 0.50% in rate of interest on Car Loans to those applicant/s who offer minimum 50% of Loan limit as liquid collateral security e.g. Fixed Deposit of our Bank, NSC, KVP or LIC Policy.
The cars are hypothecated with Bank of Baroda until the full and final repayment of the entire loan amount.
Types of Car Loans in India
While there are generally three types of Car Loans available in India, there may be lender-specific customised options on offer. Most banks and financial institutions in the country offer new car loans, old car loans or Electric Car . Let's understand in brief these different types of car loans.
New Car Loan
As the name suggests, such loans are offered by banks to fund the purchase of new cars. You can get a car right out of the showroom without worrying about where to arrange the funds from. Banks will come to your rescue and offer loan options to choose from. You can compare interest rates and other charges being levied, along with some benefits associated with the loan product, and accordingly select your lender and loan option.
To promote Electric Vehicle Bank of Baroda is offering concession in ROI.
Pre- owned Car Loan
Some banks also help you buy second-hand cars or used vehicles, although the financing available for the same would generally be lower than that available in the care of new vehicles.
Bank of Baroda offers Car Loans to purchase a new hatchback, sedan, MUV or SUV for private use. The documentation is minimal, and the interest rates and processing fee are among the best.
List of Documents Required for Home Loan
List of Documents Required for Home Loan
When you apply for a Home Loan, a bank needs proof to verify your identity and assess your creditworthiness, before sanctioning. It does that by requesting you to provide several documents. As such, you should ensure you provide all the documents required for Housing Loan as mentioned on the loan application form.
Here is a list of the primary Home Loan documents you need while applying for a home loan, along with specific documents required from salaried and self-employed Applicants.
Necessary Documents Required for Housing Loan
There are five types of primary Housing Loan documents you need to provide. These include
The duly-filled and signed Home Loan application form available at your nearest Bank of Baroda branch or the bank’s website.
2 Passport size photographs; one of which should be attested on the application form.
A copy of your identity proof document could be your PAN or Aadhaar Cards, passport, driver’s license, or voter ID card. Essentially, it should be any government-approved document with your photograph on it.
A copy of your age proof eligible for the loan could be your PAN or Aadhaar Card, passport, driver’s license, birth certificate, etc.
A copy of your address proof document could be your, Aadhaar Card, passport, driver’s license, bank passbook, utility bills etc. The document should have your permanent address mentioned on it.
List of Documents Required from Salaried Applicants
As a salaried individual, you need to provide all of the Housing Loan documents mentioned above. You also have to give a few additional, income-specific documents, enabling the bank to assess your eligibility. They are as under:
A duly filled Form 16
A letter from your employer certifying your employment status and the duration of your employment
Your salary slips of the last 3-6 months
Your filed IT Returns of the last three years
Investment proofs (shares, fixed deposits), if any.
Account statement showing credit of salary.
List of Documents Required from Self-employed Applicants
Self-employed applicants also need to provide a few additional documents certifying their source of income. These include
Business address proof
Their duly filed tax returns of the past three years
Company Balance Sheet, Profit and Loss Statements, duly audited/attested by a Chartered Accountant
Their business license/professional practice (for doctors, lawyers, etc.) documents
Copies of registration certification for establishments like shops, factories, clinics, offices, etc.
Account statement of business.
Property documents Required for Home Loan
Apart from your basic and income-specific documents required for Home Loan, you also have to provide the documents of the property you intend to buy through the loan. These include:
A No Objection Certificate (NOC) provided by the society or the builder
The original, registered sale deed, letter of allotment or stamped agreement of sale, provided by the builder
Occupancy Certificate for ready-to-move-in properties
Maintenance and electricity bills, along with property tax receipts
Original receipts showcasing any advance payments made to purchase the property
A copy of the building plan for purchasing flats, villas, bungalows, etc.
Original receipt showcasing the land tax paid, along with possession certificate issued by the relevant authorities.
Bank account statements showing any payments made to the seller or builder.
A detailed estimate of construction costs (in the case of construction loans).
To ensure your loan is approved without any hurdles, you must provide all the Home Loan documents mentioned in the loan application form. You may also be required to provide few other documents based on your employment, property type etc. So do you have your documents ready? Go ahead; apply for a Home Loan from Bank of Baroda today!
What is a Home Loan?
What is a Home Loan?
For those looking to own a home, banks and other financial institutions offer loans for that purpose at competitive interest rates. So if you already have that dream house in sight, the next step isn't too hard. You can use a Home Loan to buy a plot of land, a flat or an apartment, build your own home from the ground up, and even extend or renovate your existing residence.
Bank of Baroda offers loans for homes to residents and Non-Resident Indians (NRIs), let us take at the types of loans you can get:
Types of Home Loans
Home Loan Advantage
Now you can have a Home Loan sanctioned that will be linked to your savings account. How it works is you can apply for a Home Loan and reduce your interest burden by the balcne amount in your savings bank account . What's more is, no interest will be will paid on the linked Savings Bank account.
Home Improvement Loan
A loan isn't just to buy a new home; you can also get a loan to renovate or have repairs done in your current residence. Moreover, you can use a Home Improvement Loan from Bank of Baroda to buy new furniture and fittings. That makeover you wanted for your home is now just a few steps away. Tax benefits are also availbale.
Home Loan Takeover
If you have a Home Loan from any other bank, housing finance companies (HFCs), non-banking financial companies (NBFCs) and financial institutions (FIs), you can switch it to the Bank of Baroda for better floating interest rates. We offer easy takeover for loans where more than 12 EMI`s are already repaid and certain under conditions are fulfilled.
Pre-approved Home Loan
Want to have more flexibility to negotiate with builders and sellers? A Pre-approved Home Loan can help you do just that, as it gives you a loan sanction as it provides in-principal approval for the loan before you have finalised the property you wish to purchase.
Home Suvidha Personal Loan
To help you finance those home purchase-related costs, like insurance, registration, stamp duty or goods and services tax and club membership .Bank of Baroda offers Baroda Home Suvidha Personal Loan.
Pradhan Mantri Awas Yojana (PMAY)
Government of India's PMAY scheme aims to ensure housing for all in urban areas by 2022, a mission that is to be realised across the country. Bank of Baroda offers Credit-Linked Subsidy Scheme (CLSS) under the government's PMAY mission, wherein interest subsidies on housing loans are made available to certain beneficiaries. 1st time home ownership is promoted through this initiative of the government.
Interest Subsidy Scheme for Housing the Urban Poor (ISHUP)
Targeting mainly the EWS and LIG segments, the scheme aims to help address the said categories' home finance needs.
Credit Risk Guarantee Fund Scheme for Low Income Housing (CRGFS)
The government has set up a CRGFS Trust, which provides credit risk guarantees to lending institutions, against housing loans sanctioned to customers belonging to the EWS and LIG segments, without the need for any collateral.
Questions to Ask When Applying for a Home Loan
Here are some of the common questions applicants ask when they apply for a Home Loan:
What is the maximum duration/period for which I can get the loan?
Bank of Baroda grants a Home Loan for a maximum tenure of 30 years. The loan term will under no circumstances exceed the age of retirement or completion of 65 years of age, whichever is earlier. The Home Loan tenure also varies based on the loan amount and the income of the borrower.
Can I prepay the loan ahead of schedule?
Yes, you have the option to prepay the loan either in part or in full.
Who is eligible to avail of a Home Loan from the Bank of Baroda?
All resident and non-resident Indians (NRIs) between the age of 21 and 60 are eligible for a Home Loan from the Bank of Baroda.
How much does the Bank of Baroda lend?
The Home Loan amount is determined based on your repayment capacity. Other factors like age, income, dependents, assets, liabilities, occupation stability, continuity of income, savings, etc., also play an essential role
What is the mode of repayment?
You can repay your loan amount via Equated Monthly Installments (EMIs).
What is the security for the loan
The security for the loan is the equitable mortgage of the property to be financed.
A Home Loan helps you buy a house where raising funds appear challenging. Moreover, at Bank of Baroda, the application process is online and convenient where you can upload documents from the place of your convenience. You also can view all the types of Home Loans on the bank's website.