Kotak Mahindra Bank Car Loan

With Kotak Mahindra bank, your craving of owning your Dream Car can now become a reality with minimum efforts as the bank offers you funds starting from Rs. 75,000 to utmost 90% of the ex-showroom price within 48 hours of approval. The Processing Fee charge by the bank is Rs. 3,300 to as high as Rs. 4,750 with applicable service tax. You can repay your loan within a tenure of 12 months to as long as 84 months ( 1 Year to as long as 7 Years).


Kotak Mahindra Bank is a good fit for you if?

If You've Monthly income of Rs. 15,000 or above - Whether you are a Salaried applicant or a Self-Employed applicant, Kotak Mahindra Bank could be a good choice for you if you are earning a minimum of Rs. 15,000 monthly.

Kotak Mahindra Bank Car Loan at a glance

Annual Interest Rate

11.50% - 13.50%

Loan Term

12 months - 84 months

Loan Amount

Rs. 75,000 to up to 90% of the ex-showroom price.

Time of Funding

Within 48 hours

Pre-Payment Charges

Up to 5.21% of the prepaid amount

After 6 months of availing loan

Kotak Mahindra offers you fund starting from Rs. 75,000 to as high as 90% of the ex-showroom price. Within 48 hours of approval of the loan amount. You can repay your loan amount within a tenure of 12 months to as long as 84 months. It charges a Processing Fee of Minimum Rs. 3,300 to up to maximum of Rs. 4,750 with applicable service tax. The Annual Interest Rate charged by the bank is ranging from 11.50% to up to 13.50% per annum and no prepayment is allowed within 6 months of availing loan and the fee charged by the bank on this pre-payment is up to 5.21% of the amount prepaid.

Why Choose Kotak Mahindra Bank?

Quick Disbursal Time – If you are rid of waiting and now can't wait to buy your dream car then availing loan for your car from Kotak Mahindra could be a good fit for you as it provides loan within 48 hours of submitting documents.

Offers Advance EMI Scheme - Availing loan from Kotak Mahindra could be a good choice for you as it offers advance EMI Scheme so that you can pay your monthly installments quicky in the advance EMI scheme as compared to other banks or financial institutions which does not offer any such benefit.

Offers marginal money scheme - Kotak Mahindra Bank could be a good fit for you as it provides marginal money scheme in which the bank will offer you funds for purchasing your dream car of up to 90% of the ex-showroom value and the applicants can pay this marginal money either to the dealer directly or to the bank.

Guarantor not mandatory – No need to waste your loan on searching for a guarantor / Co-applicant as Kotak Mahindra Bank does not require any co applicant or a guarantor for applying car loans. So availing loan from Kotak Mahindra Bank could be a good choice for you to easily get loan amount without any guarantor.

Prepayment is allowed after first 6 EMIs – Choosing Kotak Mahindra Bank for availing loan for your dream car could be a good fit for you as part payment is allowed after first 6 EMIs and then you will have to pay 5.21% as a prepayment charges.

What to watch out for?

High Interest Rate – If you want to avail loan from Kotak Mahindra Bank, you must know that the interest rates are very high. It charges interest rate ranging from 11.50% to up to 13.50% per annum which is really a high amount.

High Prepayment Charges – While availing loan from Kotak Mahindra Bank, you must know that it charges a high prepayment charges which is up to 5.21% of the prepaid amount which is really a high amount as compared to other competing banks or financial institutions which charges a low prepayment fee such as Punjab National Bank which does not charge any Prepayment charges.

Compare Kotak Mahindra Bank Car Loans to Other Banks

Bank Name Kotak Mahindra Bank Axis Bank ICICI Bank

Typical APR

11.50% - 13.50%

9.25%

9.75%

Loan Term

12 months - 84 months

Up to 8 years

Up to 7 years

Maximum Lending Amount

Up to 90% of the ex-showroom price

Up to 100% on road price

Rs. 50 Lacs

Processing Fee

Rs. 3,300 - Rs. 4,750

Rs. 3,500 - Rs. 5,500

2% of the loan amount

Max Rs. 15,000.

Time to Funding

Within 48 hours

Within 5 days of approval

Within 7 working days

Pre-Closure

5.21% of the loan amount

5% of the principal outstanding

2.6% to 4.3% of the outstanding loan amount

Kotak Mahindra offers minimum of Rs. 75,000 to up to Up to 90% of the ex-showroom price within 48 hours of approval while ICICI Bank offers loan up to maximum of Rs. 50 Lacs and up to maximum of 100% on road price in case of Axis Bank. Kotak Mahindra Bank charges a processing fee of Minimum Rs. 3,300 to up to maximum of Rs. 4,750 with applicable service tax while Axis Bank charges Rs. 3,500 to up to maximum of Rs. 5,500 and in case of ICICI Bank, it charges 2% of the loan amount.

The tenure to repay your loan is 12 months to as long as 84 months in case of Kotak Mahindra and up to 8 years in case of Axis Bank. In ICICI Bank, you have to repay your loan amount within 7 years. The typical APR charged by Kotak Mahindra Bank is 11.50% to up to maximum of 13.50% per annum while, charges 9.25% per annum in Axis Bank and in case of ICICI Bank, it charges 9.75% per annum as a typical APR. The pre-closure charges are 5.21% of the loan amount in Kotak Mahindra Bank and in case of Axis Bank, 5% of the principal outstanding amount after 180 days from the date of disbursement and in case of ICICI Bank it charges 2.6% to up to 4.3% of the outstanding amount.

Am I Eligible?

For salaried Employed applicant -

  • Age of the Salaried applicant should not be less than 21 years at the time of the loan application
  • Age of the Salaried applicant should not be more than 58 years at the time of the loan maturity.
  • Minimum monthly income of the Salaried applicant should be Rs.15,000 per month.
  • Minimum work experience of 1 year is required for salaried applicant.

For Self-Employed applicants -

  • Age of the Self-Employed applicant should not be less than 21 years at the time of the loan application.
  • Age of the Self-Employed applicant should not be more than 65 years at the time of the loan maturity.
  • Minimum working experience of minimum 1 year is required for Self-Employed applicant.

Loan Offerings

Kotak Car Loan

  • All indian residents are eligible to apply this loan but your income must be Rs. 15,000 per month. Kotak Mahindra provide you funds starting from Rs. 75,000 and you can borrow up to 90% of the car value within 48 hours of approval. It also offers funds for imported cars. The Processing Fee charged by the bank is Rs.3,300 to maximum of 4,750. The tenure to repay your loan is ranging from 12 months to as long as 84 months. The interest rate charged by Kotak Mahindra Bank is ranging from 11.50% per annum to up to maximum of 13.50% per annum. You can prepay your loan amount anytime after the 6 months of availing of the loan with pre-closure fee equal to 5.21% of the loan amount. It offers various schemes such as marginal money scheme in which the bank will offer you funds for purchasing your dream car of up to 90% of the ex-showroom value and the applicants can pay this marginal money either to the dealer directly or to the bank. It also offers advance EMI Scheme under which you can pay off your loan much faster with the advanced installments.
  • Documents required for Salaried Individuals:
    • Copy of Income Tax Return and PAN Card
    • 2 passport size photographs signed by the customer
    • KYC Documents
    • Utility Bill of last 3 months
    • Last 3 months pay slip showing statutory deductions
    • R.C of vehicle and insurance of Car
    • Last 3 months bank statement showing salary credit and any EMI Debit
    • Form number 16 or Income tax returns
  • Documents required for Self-Employed applicants:
    • 2 passport size photographs signed by the customer
    • Audited Balance Sheet of last 3 financial years certified by Chartered accountant
    • KYC Documents
    • Computation of income for the last 2 years certified by Chartered Accountant
    • Copies of income tax returns for the last two years
  • Documents required for Sole Proprietor:
    • 2 passport size photographs signed by the customer
    • Copies of income tax returns for the last two years
    • Computation of income for the last 2 years certified by Chartered Accountant
    • KYC Documents
    • Profit and loss account
    • Bank statement for the last 2 years certified by the chartered accountant
  • Documents required for Partner in Partnership Firm:
    • Partnership deed / Trust deed
    • Letter of authority
    • KYC Documents
    • Computation of income for the last 2 years certified by Chartered Accountant
    • Profit and loss account
    • Bank statement for the last 2 years certified by the chartered accountant
    • Copies of income tax returns for the last two years
    • Memorandum of Association (MOA)
    • Board Resolution Authorising one director to execute the agreement.
  • Documents required for Companies:
    • Memorandum of Association (MOA)
    • Board Resolution Authorising one director to execute the agreement.
    • Computation of income for the last 2 years certified by Chartered Accountant
    • KYC Documents
    • Copies of income tax returns for the last two years.

Kotak Mahindra Bank Car Loan Rate of Interest

Car Loan Type Applicable Interest Rate

Kotak Mahindra Bank Car Loan

11.50% - 13.50% per annum

How do I apply for Kotak Mahindra 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 Kotak Mahindra Bank Branch

    • Walkin to the nearest branch of Kotak Mahindra Bank along with your KYC documents.
    • Fill in the required details and attach your important documents
    • Now, you can submit this application from at any of your nearest branch of Kotak Mahindra Bank

After I Apply?

Check Loan Status

  • Through Status Tracking Page
    • Click here to go to the status tracking page.
    • Enter your reference number and your phone number
    • Now you can click on ''TRACK''
  • Through Customer Care
    • By dialing 1800-209-5732
    • Press 1 for English or press 2 for Hindi
    • Customers from North or east of India press 1
    • Customers from south of India press 2
    • Customers from west of India, Press 3
    • Now, wait for the IVR to connect your call to the customer care executive.

Fees & Penalties

Type of Charge Applicable Charges

Processing Charges

Minimum Rs. 3,300 to maximum Rs. 4,750 with applicable service tax

Foreclosure Charges

Allowed after first 6 EMIs

Up to 5.21%

Account Statement

Rs. 500

Late Payment Penalty / compensation / Additional Finance Charges (monthly)

0.03% of the overdue amount

Repayment Schedule / Account Outstanding Break Up statement

Rs. 250

Swapping Charges

Rs. 500 per swap

LPG / CNG NOC

Rs. 2,000

NOC to convert from private to commercial

Rs. 5,000 (subject to approval)

Check Bounce charges / Instrument Return Charges

Rs. 750

Issue of Duplicate Security Deposit Receipt

Rs. 250 per instance

Copy of agreement / NDC / NOC

Rs. 750

Loan Cancellation

Rs. 2,000

Collection of non PDC cases ( per cheque) for non-payment on due date

Rs. 500

Some key factors must be considered while deciding on a loan provider including their processing fee, documentation charges, late payment penalty, loan cancellation charges etc. So coming to the fees and penalties part, Kotak Mahindra charges a processing fee of Rs. 3,500 to up to Rs. 5,500 and charges a foreclosure fee of 5% of the principal outstanding amount which is allowed only after 180 days from the date of disbursement. The Part-Payment fee is 5% which is charged after 180 days from the date of disbursement. The stamp duty charges are at actuals and the charges 2% per month as a late payment penalty.

Kotak Mahindra charges a fee of Rs. 500 per instance as a Swapping charges and for documentation, it charges Rs. 500 per instance. For registration certificate collection, it charges Rs. 200 per instance and for duplicate no dues certificate / NOC, it charges Rs. 500 Per Instance. It charges Rs. 500 per instance for the registration certificate collection and check bounce or instrument return charges. For duplicate statement issuance and for duplicate prepayment schedule issuance, it charges Rs. 500 per Instance.If you want to cancel your loan or if you want to rebook your loan, the bank charges a fee of Rs. 2,500 per instance and for issuance of credit report, it charges Rs. 50 per instance.

FAQs

What are the documents required for TDS reimbursement?

For the reimbursement of the TDS (Tax deducted at source) which is paid to the government, following documents are to be required :

  • Original cancelled cheque (Name and account number should be clearly mentioned)
  • Original Form 16 A (with stamp in case of proprietorship)
  • Request of refund on letterhead
  • Correct PAN No. of KMPL - AAACK5934A T
Is there any margin money I need to pay to avail the car loan?

The customer needs to pay the margin money (invoice value minus the finance amount) to the dealer directly. He also has an option to pay the margin money to KMCL department upon which which the entire invoice value will be released to the Dealer by Kotak Mahindra.

What cars can be financed using the loan funds?

You can avail the finance for the purchase of a passenger car or a multi-utility vehicle manufactured by India's leading automobile companies. Kotak Mahindra Bank also finance imported cars, depending upon the repayment capability of the borrower.

Can I prepay the entire loan amount?

You can prepay the entire loan amount any time after 6 months of seasoning of the loan. A small prepayment fee on the outstanding loan amount will be charged from you as the prepayment charges.

Do I need a guarantor?

Generally, there is no need to have a guarantor to avail Kotak Mahindra Bank Car Loan. However, if your income / age does not meet our credit criteria, then you may need a guarantor to stand surety for your loan.