These banks offer the lowest interest on car loans

Last updated on: April 19, 2024

Soaring vehicle prices have made car loans the most feasible option for purchasing a car in India. Due to this reason, banks and financial institutions offer affordable car loans at low-interest rates. However, before applying for a car loan, you must research and find the bank that provides the lowest interest rates on loans, including the ease of acquiring it.

You can find the list of banks offering the lowest interest rates on a car loan in the article below.

List of banks with the lowest interest on a car loan

A car loan is among the cheapest loans in India since your purchased vehicle acts as collateral to secure your borrowing. However, you must go through various banks and financial institutions to find the most affordable rates. Here is the list of banks that offer convenient car loans with the lowest interest rate.

  • IDFC FIRST Bank car loan
    IDFC FIRST Bank is one of the leading private sector banks providing car loans at competitive interest rates. You get a loan tenure of up to 10 years to repay your loan amount conveniently. In addition, you have the option of 100% on-road car cost financing and no foreclosure charges if you wish to close your loan before the tenure.With an online application, you can get your loan sanctioned without any hassle. IDFC FIRST Bank offers loans for both new and used cars.
  • HDFC Bank car loan
    HDFC Bank offers a digital loan application process without any physical proof of submission. With an online application, you can get your loan sanctioned within 30 mins. You can acquire a car loan of up to ₹3 crores, depending on your financial muscle.Visit the official portal of HDFC Bank and apply for a car loan in the comfort of your home.
  • Axis Bank car loan
    Purchase your dream car with Axis Bank’s car loans. The bank offers up to 100% financing on your car purchase. With a tenure of up to seven years, you can conveniently repay your car loan without compromising your lifestyle. You also get easy applications and approvals through digital banking.
  • SBI car loan
    State Bank of India offers car loans at competitive interest rates. You can apply for a car loan online and offline and enjoy easy approvals. The bank offers new car loans at affordable interest rates and loan tenures of up to seven years.
  • Canara Bank car loan
    Canara Bank car loans come with interest rates starting at 7.30% per annum. You can acquire the loans online and offline and repay them conveniently. You can enjoy flexible tenures of up to seven years. The bank also offers additional discounts to woman applicants.

With digital advancement in the banking sector, you can apply for a car loan within minutes and purchase your dream car without any hassles. However, before applying for a car loan, research the banks offering the lowest interest rates on car loans. The list above can help you find the best car loan suiting your needs.