Car Loan Interest Rates

Car Loan Interest Rates

Sales soared at Volkswagen, which is on track for its best year in the U.S. since 1973. The results ... more attractive. The average interest rate on a 60-month new-car loan is 4.5 percent, down from 6.98 percent two years ago, according to Bankrate.com. Car sales stay strong as low interest rates pull in buyers

www.thehomeworkguy.com Kevin Hunter is a TV and Radio host of "CAR TIPS" in Minnesota. With either Good Credit or Bad Credit, you still deserve the best interest rate you qualify for on a car loan. If you're shopping for a car, contact The Homework Guy today for the best car buying advice available. Through his role in the car business, he has access to virtually every make and model of car, truck, van, or SUV on the market, and has contacts with many of the best car loans and financing programs out there. He can even give you tips on repairing your credit so you qualify for better interest rates in the future. For more information, visit our website at www.thehomeworkguy.com or find us on facebook at www.facebook.com

http://tommieedgar.com// Auto Financing Tips - by The Homework Guy

When it comes to buying a car the most important factor apart from deciding which one to buy is to find the best possible car loan interest rates. Acquiring a car loan in the best terms possible is very essential to feeling good about your newly acquired asset. Earlier Car loans used to come at a fixed rate of interest. That means that it would remain static all throughout the loan tenure giving you a steady EMI. Now they have moved on to floating rates. This has its advantages and disadvantages. The advantage being that the EMI comes down with the amount you pay off increasing. The disadvantage being that the floating rates means that you can suddenly be paying more than your original rate of interest if the rates get revised during the tenure of your loan. The following comparisons will give you a good idea of which bank offers you loans at what rate and should help in getting a bird’s eye view of it all in the same place without having to go from site to site.

Car Loan Interest Rates Offered By different Indian Banks


• ICICI Bank-
o New Car loan (floating rate of interest) starts at 11% uptill 15.25%.

tenure offered from 12 to 60 months.
o For used cars the rate is between 16% to 17.5 %
o Processing fees is Rs 2500 to Rs 5000.

• HDFC Bank-
o Starts at 11.5 % to 12.25 % from 36 to 60 month tenures.
o For used cars the rates can vary from 15.25% (26-60 mnths), 15.75% to 18.75 %(12-24mnths) and special Corporate
o Rates of 13.75% to 15.75 % (36-60 mnths)
o Processing fees- Rs 2325 to Rs 4275.

• SBI-  
o 11.25 % on new cars and between 17.25% to 17.50% (upto 36 months) on used cars. The processing fees is 0.5% of loan amount


• Kotak Mahindra-
o 11.50% to 13.50% (reducing method) for new cars, for used cars its 17% to 20% with a processing fee ranging between Rs3,300 to Rs 3,500.

• Axis Bank-
o Reducing method rate of 11.5% to 14.5 % on new cars and 16.5% to 18% on used cars with a processing fees of Rs 3000 to Rs 3500

Bottomline of it all is that most Car loans will start at an approximate 11 percent rate of interest and go upto 16.25 percent at a reducing rate method. Each bank will have its own requirement and assessment of processing fees. However, on and average you are looking at something like INR 3,000. Car loan tenures will vary from as low as a 1 year loan up to 5 years maximum and all banks will charge you for foreclosing the loan. Suggest Car Loan Interest Rates Articles