Corporation Bank Car Loan

Corporation Bank offers Car Loan to every individual whether you are a individual, professional, businessmen, salaried class, self employed applicants, sole proprietorship, partnership firms, Hindu Undivided families, Companies, trustees and institutions. It offer funds as high as Rs. 1 Crores. The interest rate is 9.60% per annum for the applicants who are availing loan up to Rs. 50 Lacs and for the applicants who are availing loan above Rs. 50 Lacs, the interest rate is 10.10 per annum, and for the employees of Central / State Government & Defence Personnel who are availing loan up to Rs. 50 Lacs, the interest rate charged by the bank is 8.95% per annum.


Corporation Bank is a good fit for you if?

If You're Earning minimum Rs. 1.20 Lacs per annum – Whether you are a Salaried-Employed applicant, a Self-Employed professional or a Self-Employed businessman earning a minimum of Rs. 1.20 Lacs per annum, choosing Corporation Bank for availing loan could be a good choice for you to fulfill your desire of having your own car as it offers loan who are having a minimum of Rs. 1.20 Lacs per annum.

Corporation Bank Car Loan at a glance

Annual Interest Rate

8.95% - 10.10%

Loan Term

12 months - 84 months

Loan Amount

Up to Rs. 1 Crores

Time of Funding

Within 7 working days

Pre-Payment Charges

Nil

Corporation Bank offers funds as high as Rs. 1 Crore with a interest rate ranging from 8.95% to up to 10.10% per annum while the tenure to repay your loan amount is 12 months to as long as 84 months. The Bank doesn't charge any Pre-Payment charges.

Why Choose Corporation Bank?

Zero prepayment charges – Choosing Corporation Bank for availing car loan could be a good choice for you as it does not charge any prepayment fees as compared to other competing banks or financial institutions which charges a high Prepayment fee such as Indusind bank which charges 3% of the outstanding amount and HDFC Bank which charges 3% to up to 6% of principal outstanding which is quite a high amount.

Offers higher funds – Unlike other competing banks or financial institutions which offers lower funds such as Bajaj Finserv which offers up to Rs. 25 Lacs, Corporation Bank offers funds as high as Rs. 1 Crores to fulfill your dream of owning your dream car.

Offers High Amount of Upto Rs. 1 Crore – Unlike other competing banks or financial institutions which offers lower funds such as Bajaj Finserv which offers up to Rs. 25 Lacs, Corporation Bank offers funds as high as Rs. 1 Crores to fulfill your dream of owning your dream car.

What to watch out for?

Co-applicant is mandatory – If you want to avail car loan from corporation bank, you must know that it is mandatory to have a Co-applicant who will take the responsibility to pay your debt or who has the ability to repay your loan as per the bank standards. A co-applicant can be your family member or your friend who is willing to help you.

Compare Corporation Bank Car Loans to Other Banks

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Bank Name Corporation Bank Federal Bank Indusind Bank

Typical APR

8.95% - 10.10%

8.65% - 9.20%

10.60% - 10.65%

Loan Term

Maximum 84 months

12 months - 84 months

Up to 5 years

Maximum Lending Amount

Up to Rs. 1 Crore

Up to 100% of ex-showroom price

Up to 85% of showroom price

Processing Fee

1% of the loan amount

Minimum Rs. 1,000

Rs. 1,500 to Rs. 2,500

1% of the loan amount

Minimum Rs. 2,500

Time to Funding

Within 7 working days

Within 5 working days

Within 48 hours

Pre-Closure

Nil

Zerot to 2% on the principal outstanding

3% on the principal outstanding

Starting from the maximum lending amount, Corporation bank offers loan as high as Rs. 1 Crores which is quite high as compared to other competing banks such as Indusind Bank which lends up to 85% of ex-showroom price and federal bank which lends up to 100% of ex-showroom price. So if you want higher amount of funds, you can avail your loan from Corporation bank or Federal Bank. in case of Corporation bank, the tenure to repay your loan amount is ranging from 12 months to as long as 84 months, while in case of Federal Bank, the tenure to repay your loan amount is ranging from 12 months to as long as 84 months for salaried applicants, and 12 months to as long as 60 months for non-salaried applicants, and up to 5 years in case of Indusind Bank. So if you want longer tenure, you can opt for Corporation bank or you can opt for Federal bank if you are a non salaried applicant.

The Processing fee charged by the bank is 1% of the loan amount or minimum Rs. 1,000 in case of Corporation bank, while Federal bank charges Rs. 1,500 from the applicants who are availing loan amount below Rs. 5 lacs and Rs. 2,500 from the applicants who are availing loan amount above Rs. 5 Lacs as compared to Indusind bank which charges 1% of the loan amount or minimum Rs. 2,500. So if you don't want to pay extra money on these charges, you can opt for Federal bank where the processing charges are quite lower than other competing banks.

Now, Coming to the Interest Rates charged by banks, Corporation Bank charges interest rate ranging from 8.95% to up to maximum of 10.10% per annum while indusind bank charges interest rate ranging from 10.60% to up to maximum of 10.65% per annum and Federal Bank which charges interest rate ranging between 8.65% to up to maximum of 9.20%. So you can opt for Corporation bank or you can choose Federal bank for availing loan if you don't want to pay unnecessary charges. The Corporation bank doesn't charge any Pre-Closure fee while Indusind bank charges 3% of the outstanding amount and in case of Federal bank, the bank doesn't charge any pre-closure fee from individuals and for non-individuals, the bank charges 2% on the principal outstanding. You can opt for Corporation bank or you can choose federal bank in case if you are an individual, as the bank doesn't charge any Pre-closure fee.

Am I Eligible?

  • Age of the applicant should not be less than 21 years at the time of the loan application
  • Age of the applicant should not be more than 60 years at the time of the loan maturity
  • In case of Salaried class, the repayment period shall not exceed retirement of the borrowers
  • In case of others, the repayment period shall not exceed 70 years of age of the borrowers unless the co-applicant has independent income to service the loan.
  • The minimum net annual income of the applicant should be Rs. 1.20 Lacs per annum.

Loan Offerings

Corporation Bank New Car Loan

  • Whether you are a individual, professional, businessmen, salaried class, self employed applicants, sole proprietorship, partnership firms, Hindu Undivided families, Companies, trustees and institutions, Corporation Bank offers funds as high as Rs. 1 Crore and you can repay your loan amount within a tenure ranging from 12 months to as long as 84 months. The age of the applicant should not be less than 21 years at the time of loan application and should not be more than 60 years at the time of loan maturity. In case of salaried class, the repayment period shall not exceed retirement of the borrowers while in case of other borrowers, the repayment period shall not exceed 70 years of age of the borrowers unless the co-applicant has independent income to service the loan. The minimum net annual income of the applicant should be Rs. 1.20 Lacs per annum to avail this loan.
  • The applicant's spouse / close relative may join to supplement repayment capacity while in case of company / firm / trust / directors / trustees having regular / independent income may join as a co-applicant to supplement repayment capacity and in case of salaried applicants, the applicant shall be confirmed in the service. The interest rate is 9.60% per annum for the applicants who are availing loan up to Rs. 50 Lacs and for the applicants who are availing loan above Rs. 50 Lacs, the interest rate is 10.10% per annum, and for the employees of Central / State Government & Defence Personnel who are availing loan up to Rs. 50 Lacs, the interest rate charged by the bank is 8.95% per annum. While the processing fee charged by the bank is 1% of the loan amount or minimum Rs. 1,000. The Bank doesn't charge any Pre-Payment charges.
  • Documents required For Salaried Applicants:
    • Signed application form along with your photographs
    • KYC Documents
    • Last 3 months pay slip
    • 2 passport size photographs signed by the customer
    • Bank statement of last 6 months
    • Form number 16 or Income tax returns
  • Documents required for Self-Employed Applicants:
    • Signed application form along with your photographs
    • KYC Documents
    • 2 passport size photographs signed by the customer
    • Last 3 years income tax returns
    • Profit and loss account of last 3 years certified by chartered accountant
    • Profit and loss account of last 2 years
    • Audited balance sheet of last 3 years certified by chartered accountant

Corporation Bank Car Loan Rate of Interest

Personal Loan Type Applicable Interest Rate

Corporation Bank New Car Loan

8.95% - 9.60% per annum

The applicable interest rate charged by Corporation Bank is ranging from 8.95% to up to 9.60% per annum.

How do I apply for Corporation Bank Car Loan?

At Paisa

    • Click on ''APPLY NOW'' button
    • Fill the necessary details such as
      • Desired Loan Amount
      • Purpose of your loan
      • Your monthly salary
      • Select whether you are salaried or self-employed
      • Your name, email-id, contact no etc.
    • Click on ''SUBMIT''

At Corporation Bank Branch

    • Walkin to the nearest branch of Corporation Bank along with your KYC documents. Click here to download the application form of Corporation Bank Car Loan
    • Fill the application form and attach all the required documents.
    • Now, you can submit this application from at any of your nearest branch of Corporation Bank car loan.

After I Apply?

Check Loan Status

  • Through Customer Care
    • By dialing 1800-425-2407 (Toll Free Number) / 1800-425-555 (Toll Free Number) / 080-26600587 (Charges Applicable) / 26602500 (Charges Applicable)
    • For English press 1, for Hindi Press 2, For kannada Press 3
    • Now Press 9 to talk with customer care executive.

Fees & Penalties

Type of Charge Applicable Charges

Processing Charges

1% of the loan amount

Minimum Rs. 1,000

Foreclosure Charges

Nil

The Processing fee charged by Corporation Bank is 1% of the loan amount or minimum Rs. 1,000. Unlike other competing banks or financial institutions such as Sundaram Finance car loan which charges 3% of principal outstanding amount as a foreclosure fee and AU Finance Car loan which charges 3% to 5% of the outstanding amount, Corporation bank doesn't charge any foreclosure fee.

FAQs

What is the margin required by the bank on car loan?

For loans up to Rs. 1 Crore, 15% margin is required while for loans above Rs. 1 crore, 20% margin is required.

What is the MCLR?

MCLR for 3 months is 8.50% while 8.95% for one year.

What expenses will be covered in sanctioned Corp Vehicle Loan availed for New Vehicle?

The sanctioned loan amount will cover cost of the vehicle inclusive of Accessories, Registration Charges, Road tax, Insurance premium, Bodybuilding charges etc.