Indian Overseas Bank Car Loan

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Indian Overseas Bank Car Loan

Indian Overseas Bank Car Loan Key Features Jun 24 2024

Indian Overseas Bank Car Loan Interest Rate

7.35% per annum

Min Loan Amount ₹ 100,000
Max Loan Amount
(Loan to Value)
Loan up to 90% of On Road Price
or 100% of Ex-showroom Price
Loan Tenure 1 year to 7 years
Lowest EMI / Lac ₹ 2,083
Minimum Net Monthly Income ₹ 8,000
Minimum ITR for Self Employed ₹ 96000
Age Criteria Salaried: 21 years to 60 years
Self Employed: 21 years to 65 years
Types of Cars For All New Passenger Cars, Multi Utility Vehicles (MUVs), and Sport Utility Vehicle (SUVs).
Processing Fee Up to 0.40% Only
Foreclosure Charges No foreclosure charges
Basic Documentation ID Proof, Address Proof, Salary Slip, Bank Statement and Car Quotation

About Indian Overseas Bank Car Loan

Indian Overseas Bank (IOB) is a major public sector bank based in Chennai, India, with about 3,400 domestic branches, about 6 foreign branches, and a representative office. Founded in February 1937 by Shri. M. Ct. Chidambaram Chettiar with double intentions of specializing in foreign commerce business and overseas banking.

Indian Overseas Bank provides Car Loans at attractive rates of interest to the consumer for buying their dream car whether new or second hand. It is an easily available loan that can be procured by anyone even by ones who have a slightly low credit/CIBIL score.

Advantages of Indian Overseas Bank Car Loan

Indian Overseas Bank Car Loan

Indian Overseas Bank Car Loan Eligibility

Salaried Individual
  • Age – 21-60 years of age
  • Net Monthly Income – should be a minimum ₹ 15000
  • Employment Duration – Minimum 1 year
  • Income Eligibility – Depends on Form 16 and Salary Slip
Self-Employed Individuals
  • Age – 21-65 years of age
  • Minimum ITR  – Rs. 4 lakh, Rs. 18 lakhs (for selected car models)
  • Employment Duration – Minimum 3 years
  • Income Eligibility – Depends on the latest Income Tax Returns
Self-Employed Non-Individuals (Company/Partnership)
  • Minimum ITR  – Rs. 4 lakh, Rs. 18 lakhs (for selected car models)
  • Employment Duration – Minimum 3 years
  • The applicant has to present IT returns and audited financials of 2 years with Calculated Income.
Priority Customers
  • Applicant should have a vintage of at least 6 months
  • Average Quarterly Balance – Minimum Rs.1 lakh for last 2 quarters
  • Maximum Loan Amount – 3 X Average Quarterly Balance of Last 2 quarters

 

Indian Overseas Car Loan Interest Rate, Fees and Charges

Charges New Car Loan Used Car Loan
Interest Rate7.35% p.a. to 11.30% p.a.  

7.35% per annum

14.80% p.a. to 16.80% p.a.
Processing fee 0.40% 0.40%
Issuance of Duplicate Repayment Schedule Charges Rs.500 per instance Rs.500 per instance
Foreclosure Charges 5% of the principal outstanding 5% of the principal outstanding
Penal Interest 2% per month 2% per month
Part Payment charges 5% of the paid amount 5% of the paid amount
Cheque/Instrument Swap Charge Rs.500 per instance Rs.500 per instance
Documentation Charge Rs.500 per instance Rs.500 per instance
Issuance of Duplicate No Dues Certificate Charges Rs.500 per instance Rs.500 per instance
Registration Certification Collection Charge Rs.200 per instance Rs.200 per instance
Cheque Bounce/Instrument Return Charges Rs.500 per instance Rs.500 per instance
Issuance of Duplicate Statement Charges Rs.500 per instance Rs.500 per instance
Loan Cancellation/Re-booking Charges Rs.2,500 per instance Rs.2,500 per instance
Issuance of Credit Report Rs.50 per instance Rs.50 per instance

How to Increase Your Eligibility for Indian Overseas Bank Car Loan

  • Opt for a shorter tenure: When you opt for a shorter tenure to repay the money, the EMI you will pay each month will be higher in Indian Overseas Bank. This will be an indication of your higher repayment capacity for the Indian Overseas Bank Car Loan, which will build a sense of confidence in you.
  • Keep your credit score in check: If you wish to increase your Eligibility for a Car Loan for an Indian Overseas Bank car loan, ensure that you have a credit score of over 750. You can use the Free Credit Score tool to check and maintain such a healthy credit score for Indian Overseas Bank Car Loan.
  • Maintain a low debt-to-income ratio: A low debt-to-income ratio in Indian Overseas Bank means you have a good balance between your earnings and your spending. This is because before Indian Overseas Bank decides to lend to you, they will check the percentage of your earnings that goes into paying your debts, and a low debt-to-income ratio will indicate your high repayment capacity for Indian Overseas Bank Car Loan.
  • Apply for a loan for a lower amount: By applying for a loan for a lower amount, you can increase your eligibility for an Indian Overseas Bank car loan. In addition, a lower loan amount means that the loan will be repaid faster; therefore, the chances of you being eligible for an Indian Overseas Bank loan are higher.

Factors Affecting Indian Overseas Bank Car Loan Eligibility

The eligibility for availing of an Indian Overseas Bank car loan will depend on the below-given factors:

  • Income: If your income is on the higher side, there is a good chance that your eligibility for an Indian Overseas Bank car loan will be higher. This is because a higher income indicates a higher repayment capacity. To be eligible for an Indian Overseas Bank car loan, your yearly income should be at least Rs.3 lakh.
  • Loan amount: Your Eligibility Criteria for Car Loan from Indian Overseas Bank will be higher if you apply for a lower loan amount as if the loan amount is lower, Indian Overseas Bank knows that the loan will be paid off quicker. Hence, they will be more confident to give you the loan for Indian Overseas Bank Car Loan.
  • Repayment tenure: Choosing a longer repayment tenure can decrease your eligibility for a car loan in Indian Overseas Bank. It might give an impression to the bank that you do not possess the ability to pay Your Indian Overseas Bank loan.
  • Credit score: This is an important factor that every bank, including Indian Overseas Bank, considers when determining your car loan eligibility. A credit score of 750 and above is considered to be a healthy credit score by Indian Overseas Bank and most lenders.
  • Relationship with the bank: As stated earlier, Indian Overseas Bank offers instant car loans to their existing customers, which allows Indian Overseas Bank’s customers to avail a loan instantly, at their convenience, with very few List of documents required for a Car Loan.

Indian Overseas Bank Car Loan Documents Required

Salaried Individual

Category Documents Required
Identity Proof

(Any 1)

Driving License
Aadhaar Card
Passport
PAN
Voter ID
Address Proof(Any 1) Driving License
Aadhaar Card
Passport
PAN
Voter ID
Date of Birth Proof(Any 1) Birth Certificate
Passport
Driving License
PAN
Signature Proof(Any 1) Passport
Bankers Verification
PAN
Income Proof Latest Form 16 and Salary Slips
Bank Statement Bank statement of last 3 months
Employment Continuity Proof Work Experience Certificate
ITR of Form 16
Salary Slip with Joining Date
Appointment Letter
Letter of Relieving

Self-Employed Individuals

Category Documents Required
Identity Proof (Any 1) Driving License
Aadhaar Card
Passport
PAN
Voter ID
Address Proof (Any 1) Driving License
Aadhaar Card
Passport
PAN
Voter ID
Date of Birth Proof (Any 1) Birth Certificate
Passport
Driving License
PAN
Signature Proof (Any 1) Passport
Bankers Verification
PAN
Income Proof Latest Form 16 and Salary Slips
Bank Statement Bank statement of last 3 months
Employment Continuity Proof Shop & Establishment Act Certificate
Current Account Statement
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Business Proof Current Account Statement
Telephone Bill
Electricity Bill
Shop & Establishment Act Certificate
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Registered Lease Document with other utility bills

Self-Employed Non-Individuals:

1. Partnership Firms/Societies

Category Documents Required
Identity Proof (Any 1) Driving License
Aadhaar Card
Passport
PAN
Voter ID
Address Proof (Any 1) Driving License
Aadhaar Card
Passport
PAN
Voter ID
Income Proof Audited Balance Sheet
P&L Account and ITR for the previous 2 years
Bank Statement Bank statement of last 3 months
Business Continuity Proof Shop & Establishment Act Certificate
Current Account Statement
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Additional documents Authority Letter/PAN cards

2. Private Limited/Limited Companies

Category Documents Required
Identity Proof Copy of Latest MOA
Copy of Incorporation
Copy of Latest AOA
Address Proof (Any 1)
Current Account Statement
Telephone Bill
Electricity Bill
Shop & Establishment Act Certificate
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Registered Lease Document with other utility bills
Income Proof Audited Balance Sheet
P&L Account and ITR for the previous 2 years
Bank Statement Bank statement of last 3 months
Business Continuity Proof Shop & Establishment Act Certificate
Current Account Statement
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Additional documents
List of Directors and Shareholding Partners
PAN Card
Board Resolution
Certificate of Commencement of Business for Ltd. Co.

Special Note: An individual must check the documents required for a car loan before deciding.

Indian Overseas Bank Car Loan EMI Calculator

The applicant has the option to know the EMI’s before availing of a Car Loan. Thus, you can easily check through the link below:

Car Loan EMI Calculator

Indian Overseas Bank Car Loan Types

Indian Overseas Bank offers different types of car loans to its customers. You have the option of choosing the offer which suits your need the best. It offers the following types of Car Loans:

  1. New Car Loan –  Those who wish to buy a new car, this is the scheme for you. You can take Indian Overseas Bank Car Loan for a minimum of Rs. 1 lakh and a minimum tenure of 7 years.
  2. Used Car Loan – If you wish to buy a used car then you can choose this scheme which offers a minimum loan of Rs. 1 lakh and a minimum tenure of 5 years.
  3. Loan Against Car – You can opt for this scheme if you require urgent funds where you can keep your cars as collateral with the bank where you can get Rs. 10 lakh or up to 50% of your car’s value.

Indian Overseas Bank Car Loan Pre Calculated EMI

Loan Amount 2 Years 3 Years 5 Years 7 Years
1 Lakh ₹  4,480 ₹  3,090 ₹  1,982 ₹  1,512
3 Lakh ₹  13,439 ₹  9,270 ₹  5,947 ₹  4,535
5 Lakh ₹ 22,398 ₹ 15,450 ₹  9,912 ₹ 7,559
10 Lakh ₹ 44,795 ₹ 30,900 ₹ 19,825 ₹ 15,117

How to Apply for Indian Overseas Bank Car Loan?

  1. Visit Dialabank and fill a form.
  2. Wait for a call from our Relationship Manager who will guide you throughout the process.
  3. You can compare different offers from banks and choose the one which suits your needs.
  4. Thus, easily apply for a Car Loan through Dialabank and enjoy the best offers.

Tips to Decide the Right Amount of EMI

  • Ascertain the amount you need to borrow: It is important that before approaching Indian Overseas Bank for a loan, you inform them about the amount of loan you need to borrow. Limit your Indian Overseas Bank loan amount after accounting for your available funds.
  • Review your current obligations: Before taking an Indian Overseas Bank loan, it is advisable to check your expenses, including any EMI obligations that you have on your current loans. This assessment will help you estimate the amount of EMI you will be able to pay comfortably for the Indian Overseas Bank Loan after taking into account other obligations.
  • Calculate your Indian Overseas Bank car loan eligibility: Your Indian Overseas Bank eligibility is an assessment of your repayment capacity based on your monthly income. Indian Overseas Bank provides an LTV up to 100 % of the ex-showroom price and expects the borrower to fund the remaining value of the property with their own money.
  • Multiplier-based loan amount eligibility: Indian Overseas Bank also calculates your eligibility by applying a multiplier to your net take-home salary. This is the simplest method for calculating Your Indian Overseas Bank loan eligibility.
  • FOIR based loan amount eligibility: Indian Overseas Bank will also estimate your Fixed Income to Obligations Ratio (FOIR) to find out the maximum EMI you can service based on your current income and other monthly expenses. Indian Overseas Bank applies a certain ratio to your income to estimate your monthly expenses and then adds your other EMI obligations in Indian Overseas Bank or other banks to calculate your fixed obligations.

The Car Loan EMI – EMI Changes in Case of Prepayment

In case you prepay your vehicle loan, the bank will issue a small penalty. Prepayment in Indian Overseas Bank is 5% from 13-24 months, 3% after 24 months. When you prepay, the outstanding balance on your vehicle loan reduces. Indian Overseas Bank gives you two options:

  • Reduce your loan tenure and keep EMI on your car loan unchanged
  • Reduce the amount of EMI and keep your loan tenure the same

How to Calculate EMI on Indian Overseas Bank Car Loan

Before you avail of a car loan from Indian Overseas Bank, you may want to know how much amount you will be paying every month. This is simply known as EMIs or equated monthly instalments and it offers an easy way to repay your car loan. By calculating the EMI, you will be able to budget your monthly expenses better.

You can calculate the EMI for your car loan by using the below-given formula:

E = P*r*[(1+r) ^n/((1+r) ^n-1)]

In the above formula, E is the EMI, P the principal amount, r the interest rate, and n the number of years or tenure of the loan.

You can also calculate the EMI by using the EMI Calculator tool wherein you just need to enter the loan amount, interest rate, repayment tenure, processing fee, etc. The tool will calculate the EMI and display it to you.

Indian Overseas Bank Car Loan for Top Selling Cars

Other Available Products from Indian Overseas Bank

Indian Overseas Bank Personal Loan Indian Overseas Bank Gold Loan Indian Overseas Bank Home Loan
Indian Overseas Bank Credit Card Indian Overseas Bank Two Wheeler Loan Indian Overseas Bank Education Loan

Compare Indian Overseas Bank Car Loan With Other Banks In India

Car loan Banks Interest Rates EMI per Rs 1 lakh for 7 Years
Bank Of Baroda Car Loan 8.80% – 10.55% Rs. 1,599 – Rs. 1,689
Canara Bank Car Loan 8.70% – 9.35% Rs. 1,594 – Rs. 1,627
Corporation Bank Car Loan 8.75% – 9.50% Rs. 1,596 – Rs. 1,634
Indian Overseas Bank Car Loan 8.50% – 11.25% Rs. 1,584 – Rs. 1,725
Private Bank Car Loan 8.82% – 12.75% Rs. 1,600 – Rs. 1,806
Union Bank Car Loan 8.85% – 11.85% Rs. 1,601 – Rs. 1,757
SBI Car Loan 8.65% – 9.70% Rs. 1,609 – Rs. 1,645

FAQs for Indian Overseas Bank Car Loan

What is the Indian Overseas Bank Car Loan?

Indian Overseas Bank car loan is the loan sum provided to its customers by the bank for a new or used car.

How can I get a Car Loan from Indian Overseas Bank?

  1. Visit Dialabank and fill a form.
  2. Wait for a call from our Relationship Manager who will guide you throughout the process.
  3. You can compare different offers from banks and choose the one which suits your needs.
  4. Thus, easily apply for a Car Loan through Dialabank and enjoy the best offers.

✅ How does Indian Overseas Bank Car Loan work?

When you will Apply For a Car Loan, then you will get a call from our representative and then, there will be a document verification process. Then, the loan amount will be credited to your account.

✅ What is the Car Loan Interest Rate in Indian Overseas Bank?

The car loan interest rate in Indian Overseas Bank is

7.35% per annum

only.

✅ How to Check Car Loan status in Indian Overseas Bank?

You can track your car loan status online on the Car loan status website.

✅ How to Calculate Car Loan Interest in Indian Overseas Bank?

Use Dialabank’s EMI calculator to find out the interest as well as the EMI on your loan.

What is the maximum loan amount I can avail of on a Car Loan from Indian Overseas Bank?

The maximum loan amount you can avail of on a car loan is up to 90% of the On Road Price.

What is the loan tenure of the Indian Overseas Bank Car Loan?

The loan tenure of the Indian Overseas Bank Car Loan is a maximum of 7 years.

✅ Can I get a 100% Car Loan from Indian Overseas Bank?

Yes, you can get a 100% of Ex-showroom Price car loan from Indian Overseas Bank.

How much Processing Fee applies to Indian Overseas Bank Car Loan?

Indian Overseas Bank charges a processing fee of 0.40% Only.

✅ What are the EMI options available on the Indian Overseas Bank Car Loan?

Indian Overseas Bank Provides two EMI options Step-up EMI and Balloon EMI.

What are the charges for Prepayment in Indian Overseas Bank Car Loan?

You can prepay/foreclose your Indian Overseas Bank Car Loan with nil foreclosure charges.

Do I need to provide a guarantor to avail myself of a car loan from Indian Overseas Bank?

Generally, you don’t need a guarantor for a car loan. However, you may need a guarantor if you don’t fulfil the eligibility criteria for a car loan.

How to get the Indian Overseas Bank Car Loan Statement?
Get the statement in person by visiting your branch and requesting a detailed statement.

or

You can get the statement online. To do this, you should have Indian Overseas Bank internet banking activated.

How to Pay Indian Overseas Bank Car Loan Interest Online?

Simply log on to online Indian Overseas Bank payment to ‘see and pay’ your bills. You also get an electronic acknowledgment for every bill paid by you using e-PAY. You can also pay through Paytm.

✅ What if I can’t pay the interest on Indian Overseas Bank Car Loan for 3 months?

Indian Overseas Bank imposes 24% of the exceptional amount or a Fee ranging from Rs.500 to Rs.5000 for not paying the EMI for 3 months.

How can I apply for EMI Moratorium on Indian Overseas Bank Car Loan?

You can apply for EMI Moratorium on Indian Overseas Bank Car Loans directly from the Indian Overseas Bank website’s Loan corner.

✅ What is the number for the Indian Overseas Bank Car Loan agent?

Call Dialabank at 9878981166 as it is one of the most trusted Indian Overseas Bank Car Loan agents. Dialabank even ensures the best offers on your Car Loan.

✅ Can I close the Indian Overseas Bank car loan online?

Indian Overseas Bank car loans can be closed by visiting the nearest branch and clearing off the outstanding amount.

✅ What is Indian Overseas Bank Car Loan Customer Care Number?

Call 9878981166 and clear any of your queries with us anytime.

✅ How can I get NOC from Indian Overseas Bank for a Car loan?

You can get NOC directly from the branch for Indian Overseas Bank Car Loans.

✅ What are the Indian Overseas Bank Car Loan preclosure charges?

Indian Overseas Bank Car Loan preclosure charges are up to 6%+ GST.

✅ What is the Indian Overseas Bank Car Loan closure procedure?

  • Just go to the bank with the documents required for a car loan.
  • Write a letter for pre-closure of the Indian Overseas Bank Car Loan account.
  • Pay the pre-closure charges as per Indian Overseas Bank Car Loan.

✅ What is the Indian Overseas Bank Car Loan maximum tenure?

The Indian Overseas Bank Car Loan maximum tenure is 7 years.

✅ What is the Indian Overseas Bank Car Loan minimum tenure?

The Indian Overseas Bank Car Loan minimum tenure is 1 year.