The SBI Loyalty Car Loan is a special car loan product offered by the State Bank of India (SBI) specifically for its existing home loan borrowers. This program offers some benefits to compensate the customer’s loyalty. One of the key advantages is the affordable interest rates which are usually lower than for non-customers at SBI resulting in significant savings on the whole period of borrowing.
Also, SBI can give discounts on processing fees or even waive them, thereby making it more affordable to apply for such type of credit. The shortened processes for old customers also lead to quicker approvals, thus enabling them to drive before long. Moreover, these customers might be provided with preapproved loans by SBI so that they do not have to go through all registration procedures.
What are the benefits of SBI loyalty car loan?
Not to mention the other gains loyalty brings, the SBI Loyalty Car Loan comes with all the general advantages that one can expect from a car loan:
- SBI car loans cater for a wide range of vehicles, and hence they allow you to make payments for your dream vehicle.
- Loan repayment can be stretched over a period of up to 84 months, making monthly EMIs manageable.
- The application process is often simple, with less documentation needed, thus ensuring a better experience for existing customers.
What are the eligibility criteria for SBI Loyalty Car Loan?
- The applicant must be an Existing home loan borrower Of State Bank of India.
- He or she must satisfactorily repay the loan at least 12 months after the moratorium period
- applicant must take the possession of house
- It must create a valid, equitable mortgage on an existing home loan
- applicant must maintain a security margin of at least 15% in his or her existing home loan
- Applicant income must not be less than Rs 2.00 Lakh per annum
What is Documentation Required For SBI Loyalty Car Loan?
There is minimal paperwork required when applying for a loan through SBI Loyalty Car Payment. Below are the things you generally need:
- Documents Proof of Identity: Passport, Aadhaar card, Voter ID or Driving License.
- Proof of Address: Utility bills, rental agreement or passport.
- Income Proof: Salary slips, bank statements or income tax returns.
- Existing Relationship Proof: Documents showing SBI relationships, such as account statements/passbook
How to Apply for SBI Loyalty Car Loan
There are two ways to apply for an SBI Loyalty Car Loan, mainly:
- Branch Visit – Go to your nearest SBI branch and talk to a loan officer specializing in car loans. They will help you with the application process and collect the documents that are necessary.
- Online Application (if available) – Sometimes SBI may provide an online application service for car loans. For information on this visit the SBI website and see eligibility criteria for online applications.
Interest Rates and Other Charges For SBI Loyalty Car Loan
As a rule of thumb, interest rates charged by the State Bank of India on his/her back products such as loyalty car loans tend to be lower than those charged on non-existing customers. However, it is important to note that your exact rate could be determined by certain factors including:
Credit Score: A credit score should be higher, leading to a lower interest rate.
Loan tenure: longer loan tenures might come with slightly higher interest rates.
Loan amount-The loan amount matters with respect to the interest rate given to the borrower.
Prevailing Interest Rates in Banks-SBI’s car loan interests may change due to market variations due to its changing nature of calculation based on prevailing interests starting from 2007 till today.
Other charges associated with taking out this loan apart from interest include;
Processing fees: Once-off cost that you incur during the processing of your loan application form.
Prepayment charges – There could be prepayment penalties if one decides to pay off the debt before the tenure ends.
Conclusion
An SBI Loyalty Car Loan is a great option for existing SBI customers looking forward to financing their dream cars. It is a customer-friendly product that comes with low processing fees, flexible repayment options as well as attractive interest rates. This loan might be just what you need if you are planning to buy a car and are an account holder in State Bank of India for this enables easy realization of your aspirations.
Remember having a car not only adds comfort to one’s life but also improves mobility and independence. The dream can be realized by simply accessing the SBI Loyalty Car Loan in a few clicks. For more information on how you can achieve that goal, visit www.sbi.co.in or go down to any nearest branch.
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