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CIBIL Score for ICICI Bank Car Loan

Are you planning to purchase your dream car in the near future? If yes, why buy it in the future when you can get it today with an ICICI Bank car loan. ICICI Bank offers an extensive range of credit such as car loan, new and pre-owned car loan ad even a loan against your car. The ICICI Bank car loan is easy to apply and the entire process can be availed online. Existing customers can avail instant approval and quick processing, along with a repayment tenure of 7 years with an attractive rate of interest. With so many benefits and features, ICICI Bank has also set a standard criteria for eligibility. To begin with, you need to know about CIBIL score. Read more to find out.

Importance of CIBIL Score for getting ICICI Bank car loan

The CIBIL score of an individual is an important indicator of their financial health and credit history. It is generated by TransUnion CIBIL as a part of your credit information report. The CIBIL score is dependent on a variety of factors such as your credit limit and your past/recent payment patterns. ICICI Bank generally prefers customers with a high credit score as these people have proven themselves in the past of their creditworthiness. Such a customer is looked upon by the bank as a potential borrower. With a good credit score, ICICI Bank will likely offer him/her better deals on loan amount, interest rates and tenure. The minimum CIBIL score required for ICICI Bank car loan is 750. Therefore, it is ideal for you to have a good credit score before applying for an ICICI Bank car loan.

ICICI Bank Car Loan Information

ICICI Bank car loans are one of the most secured and popular car loans across India. Apart from this, you can also check the additional features provided by ICICI Bank such as ICICI Bank Car Loan EMI, Eligibility and Interest Calculator for free. You can also check your loan application status online.

ICICI Bank New Car Loan - Features

  • Loan up to 100% of on road price.
  • Loan tenure up to 7 years.
  • Attractive rate of interest.
  • Easy documentation.
  • Insurance cover for Loan Liability available, repayable along with EMI.

ICICI Bank Pre-owned Car Loan

  • Loan up to 80% of the valuation of the car.
  • Loan tenure up to 5 years.
  • Attractive rate of interest.
  • Easy documentation.

Loan Against Car

Refinance - ICICI Bank offers loan on an existing car which is not hypothecated to any bank/financial institution or is hypothecated, but with nil outstanding. The features are mentioned below:

  • Max refinance is upto 140% of car valuation.
  • Attractive rate of interest.
  • Easy documentation.
  • Faster processing.

Top-Up - ICICI Bank also provides additional Top-Up loans to existing car loan customers which can be used for personal purposes. The features are mentioned below:

  • Attractive rate of interest.
  • Ease of Documentation.
  • Faster processing.

KYC and Documentation

DocumentsSalariedSelf Employed ProfessionalSelf Employed Non Professional
Application formYesYesYes
KYC
PhotographsYesYes
Identity ProofYesYesYes
Address ProofYes
Age ProofYesYesYes
Bank StatementsYesYesYes
Signature VerificationYesYesYes
Income Proof
Latest Salary Slip / Form 16Yes
Income Tax returns of 2 previous financial years along with complete financial/audit report.Yes
Income Tax Returns of 2 previous financial years.
Other Documentation
Business Stability proof / Ownership proofYesYes
Employment Stability ProofYes
Partnership deed and Letter signed by all partners authorising one partnerYes
Companies and Societies: Resolution by Board of Directors (or such managing body) and Memorandum and Articles of AssociationYes

Interest Rate and Charges

MinimumMaximumMean
New Car Loan8.40%14.51%9.43%
Used Car Loan10.25%17.51%14.30%

Note: The above information has been sourced from the official website of ICICI Bank.

  • The range of interest rates provided above is with respect to loans to individuals disbursed during Quarter 2 - FY: 2018-19.
  • It includes fixed rate of interest and is based on factors such as customer relationship, car segment and tenure of loan etc.
  • Interest rate for used car loan is based on age and segment of car, tenure of loan and product variant like top up, refinance etc.
  • It excludes subsidy and government schemes.
  • Mean rate = Sum of rate of interest of all loan accounts / Number of all loan accounts.
DescriptionCharges
Non Refundable Loan Processing FeesGross Loan Amount
- <2.5 Lakhs
- 2.5 to 3.99 Lakhs
- 4 to 4.99 Lakhs
- 5 to 9.99 Lakhs
- >10 Lakhs
Processing Fee Amount - Rs.3,500 - Rs.5,000 - Rs.6,000 - Rs.7,000 - Rs.8,500 For a used car, it is 2% of loan amount or Rs. 15,000 whichever is lower.
Prepayment Charges5% on principal outstanding or interest outstanding for unexpired period of loan (whichever is lower).
Charges for late payment of loans2% per month on the outstanding installment.
Loan Cancellation ChargesRs. 3,000 per loan
Age- 23 years - min
- 70 years - max

Note: The above information has been sourced from the official website of ICICI Bank.

Probable reasons for ICICI Bank Car Loan Rejection

  • Poor CIBIL Score - As mentioned before, a good CIBIL score is a mandatory requirement for availing an ICICI Bank car loan. A good CIBIL score proves that you have a credible background and are worthy of lending.
  • Multiple Existing loans - They increase your Debt-To-Income ratio. Increased debts affect your eligibility for ICICI Bank car loan.
  • Age - This is also an important factor. The closer you are to the maximum age limit, the more likely are the chances of loan rejection. Higher age means there is lesser time for repayment of the loan amount.
  • Minimum Income - This is a general eligibility criteria across all banks. You need to have a stable income in hand in order to avail a car loan. The minimum income also determines the loan amount which you will receive from ICICI Bank.
  • Employment status - Apart from stable income, you are required to have stable employment as well. Too many job shifts can list you as having an unstable source of income.

Tips for improving CIBIL Score to get ICICI Bank Car Loan

  • If you have a low CIBIL score, you can always look for a co-applicant with a better CIBIL score and income. This will help you in availing an ICICI Bank car loan along with improving your overall CIBIL score and credit rating.
  • Non-payment of your EMIs is the number one cause of a depleting CIBIL score. Therefore, you should pay all of your EMIs, existing credit card bills on time.
  • Clear off all your existing debts as soon as possible and over a few months’ time, your CIBIL score will improve automatically.
  • Have a stable source of income for at least a minimum of two years.

ICICI Bank Loan EMI Calculator

ICICI Bank lets you calculate your EMI instantly for free. Simply visit the official website of ICICI Bank and switch to the car loan section. Fill up the mentioned details such as loan amount, tenure and interest rate. You can also modify the above parameters in order to determine the exact EMI. Knowing your EMI is as important as your payback capacity. Purchasing a car is not an easy task as it requires capital expenditure. You need to avoid all financial constraints as the tenure is for a long time. To help you counter such situations, you need to know the exact loan as well as EMI amount as it will help you avoid unnecessary stress.

FAQs On CIBIL Score for ICICI Bank Car Loan

What are Car loan interest rates for ICICI Bank Car loan?

The rate of interest offered by ICICI Bank for a car loan depends on the type of car. For a new car loan, the interest rate varies from 8.40%-14.51%. For a used car, the interest rate varies between 10.25%-17.51%.

What If I have a low CIBIL score, will ICICI Bank still give me a car loan?

No, the minimum CIBIL score required by ICICI Bank is 750 for a car loan.

Does skipping an ICICI Bank car loan payment affect my CIBIL score?

Yes, skipping even a single EMI or car loan payment will further downgrade your CIBIL score. Ensure that you do not miss out on these payment.

Does ICICI Bank provide the facility of prepayment?

Yes, the prepayment charges are 5% on principal outstanding or interest outstanding for unexpired period of loan (whichever is lower).

Do I have options for ICICI Bank loan tenure?

Yes, the tenure depends upon a number of factors. For new cars, it varies between 1-7 years and for pre-used cars, it is up to 5 years.