Corporation Bank Auto Loan

Can you provide me the features of Auto/Car Loans as offered by Corporation Bank as I am planning to apply for it so want to know the details?

[Shaleen]

Corporation Bank is a public sector banking company headquartered in Mangalore, India. It is one of the leading Public Sector Banks in India, catering to a wide range of customers - from individuals to corporate clients. Continue reading to view more details about this loan.

Corporation Bank Auto/Car Loan

Income qualification is low
Corpration bank offer car loan applications from salaried and self employed individuals.

Business concerns like partnership firms, companies, Huff’s, institutions and trusts are also eligible to apply.

The minimum annual income is just Rs. 1,20,000 per annum, which makes loans from it, one of the most valuable and customer friendly.

Flexibility of Co Application
One can apply for it along with co applicants to supplement repayment of loan which adds weightage to the bank car loan application in terms of incomes of all applicants being considered to determine eligibility.

If annual income is low, one have the advantage of bringing a co applicant who would equally be liable, thereby giving bank more leverage to approve the loan.

Upper cap on loan amount is high
It finances up to 1 crore of the car price that includes registration charges, insurance and road taxes (ex showroom price). In addition, accessories are also financed under the loan scheme.

Low interest rates
The car loan interest rate is one of the lowest in the market. The interest percentage is linked to the base rate, which is fluctuating.

The actual interest rate is 10.25(base rate) +0.40 for cars under 50 lakhs and +0.90 for cars costing above.

Repayment Period
The bank gives ample time to pay the loan.
The repayment tenure can be up to 84 months for both new and used car loans.
That is a whopping 7 years.
If one is staring at a vast repayment period to balance expenses and family budget, it scheme helps.

Loan Security
The bank asks for a guarantor to secure the loan amount at the time of processing the application. A guarantor is a person who guarantees loan repayment on behalf of the applicant, if one is unable to repay the loan in future.
The car is hypothecated to the bank until all EMIs are paid and the loan account is closed.

Zero pre closure charges
No pre closure charges levied.
One is free to pay off the outstanding balance anytime and close the car loan account. So when one has surplus money, go ahead and pay off the loan to save money on interest.

Service Charges
The bank bills charges towards processing the car loan application.
Details of the fee can be obtained from the bank representatives.
One can also look out for promotions where service charges can be waived.