4 Mins Jan 6, 2022
Joseph and Ruth Miranda have their tenth wedding anniversary coming in a month. To celebrate it they have decided to gift themselves a new car. They plan to apply for a car loan online.
Here is what they will have to do:
Choose the car model
A car is as much a reflection of the owners' personality as a vehicle that will get them from point A to point B. The Mirandas should therefore choose a model that they like but also suits their budget.
Choose a lender
The market is flooded with financiers offering car loans. The couple should compare the various terms and conditions offered to them. Apart from interest rates, the factors they should compare include –
Loan to Value (LTV) ratios, tenure, processing fees, part pre-payment charges and foreclosure charges. Only after this should they decide upon the lender.
Most banks have similar but slightly different car loan eligibility criteria. Joseph and Ruth should check these
carefully to ascertain that they qualify for a loan based on income, age, employment details among others.
Figure out loan amount and tenure
The next step is to figure out the amount they want to borrow and for what period. In taking this decision, the Mirandas should consider that a lower down payment means a higher loan amount.
Similarly, a longer tenure would mean a lower EMI. Check on the car loan EMI calculator to know more. In both these cases, however, the interest outgo will be higher. Ideally, they should strike a balance that works best for them.
[Also read: Six points to keep in mind while taking a loan for a new car]
The Mirandas should check if the bank they have an existing relationship with – it could be an account or a loan - is offering them a pre-qualified loan. Opting for such a loan will save them a lot
Document required for sanction
The most important part of the process of applying for a new car loan is the document submission. Typically, the Mirandas will have to upload
salary and bank statements/ ITR if self-employed, if they do not have a pre-qualified offer. If they are eligible for a pre-qualified 24x7 Car Loans, document upload will not be required.
The sanction can be availed within minutes. Joseph and Ruth will then be free to drive off in their new car!
Axis Bank 24x7 Car Loan
One of the easiest ways to get funding for a new car is the Axis Bank 24x7 Car Loans. You just need to use your Axis Bank app or Net Banking and choose your car model, variant and price. Post sanction
you can finalise your dealer and submit for disbursement. A few clicks and you can get your loan sanctioned seamlessly in an instant manner. Click here for 24x7 Car Loans
Axis Bank offers attractive car loan interest rates. It also has many exciting offers, which you can avail of right
from your home.
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