What are the requirements for Car Loan?
Buying a car is akin to an investment. You typically use the car for a few years, which is why you must do all the due diligence to ensure you choose the right vehicle. But your research should not end with selecting the car, especially if you intend to apply for a Car Loan. You must ensure you meet the various requirements for a Car Loan. The Xpress Car Loan application process takes you a step closer to bringing your dream car home at record speed.
Requirements for a Car Loan
The requirements for an Auto Loan are primarily categorised into two types – the eligibility criteria and the documents required for a Car Loan.
The Eligibility Requirements
Today, you can apply for Car Loans online and get speedy disbursals than before . But before you send your loan application, you should check the Xpress Car Loan eligibility factors. Lenders generally set standard eligibility criteria for Car Loans. Essentially, you should be:
- A Resident Indian
- Above the age of 18 years
- A salaried professional, a self-employed professional, or a business owner earning at least ₹25,000 per month.
- Available for Aadhar OTP based eKYC/Video KYC
- In India, during the loan application and video KYC process
- Creditworthy with a good credit score.
The Documentation Requirements
Most lenders provide a detailed list of documents needed for a Car Loan. During the eKYC and Video KYC stage, you would be requested for the following documents along with your duly-filed Car Loan application form.
- A copy of your PAN Card.
- A copy of a valid ID proof document featuring your name and date of birth (i.e. proof of age). The list of accepted documents includes PAN, Aadhaar, Passport, Driver’s License, Employee ID card, etc.
- A copy of a valid address proof document featuring your name and permanent/current residential address. The list of accepted documents includes Aadhaar, Passport, Driver’s License, utility bills, bank passbook, etc.
- Copies of your income proof documents, such as your latest salary slip and Form 16.
Customers who get an online offer do not have to submit all documents mentioned above.
If you opt for the online Xpress Car Loan application process, you can do away with physical documentation and provide scanned copies of the documents required for an auto loan. However, you also need to provide some additional documents if you opt for Xpress Car Loans. They include the following:
- Documents stating your internet banking credentials or bank account statements of the last six months in pdf format. These details are required for the purpose of income analysis only if your required loan amount exceeds the initial approval limit.
- Post loan disbursal documents such as the invoice, margin money receipt from the dealer, signed key fact sheet etc. You must submit these within 10 days from the time your digital Xpress Car Loan is disbursed to the auto dealer.
Other Requirements for a Car Loan
Besides complying with the eligibility criteria and providing the documents required for a Car Loan, you must make the down payment on the car, up to a certain percentage, based on your loan eligibility. You may also need to furnish details of your guarantor if you don’t meet the bank’s eligibility criteria.
Xpress Car Loan Benefits with HDFC Bank
HDFC Bank offers Xpress Car Loans that come with a host of benefits. You can apply for the loan in three simple steps and get approved within 30 minutes. Enjoy 90% on road funding on select cars, along with loans worth ₹20 lakhs and 7-year repayment terms. Click here to start the process of bringing your dream car home.
Read more on how to improve your chances of getting a Personal Loan, by clicking here.
*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Xpress Car Loan at the sole discretion of HDFC Bank limited. Loan disbursal is subject to documentation and verification as per Banks requirement.