• Investment
  • Car
  • Bike
  • Taxi
  • Term Life
  • Health
  • Travel

CIBIL Score for SBI Car Loan

The State Bank of India is the largest banking institution operating in India. It provides a huge range of car loans to potential borrowers. The following are the different schemes offered by SBI under the car loan category.

  • SBI New Car Loan
  • Certified Pre-Owned Car Loan
  • SBI Loyalty Car Loan
  • SBI Assured Car Loan
  • SBI Car Loan Lite With so many different schemes, SBI has set a standard criteria for eligibility under which your CIBIL score plays an important role. Read more to find out.

Importance of CIBIL Score for getting an SBI Car Loan

Your CIBIL score comprises of your financial history with respect to credit and lending. This includes your existing debts, EMIs, credit card bills and upcoming payments. SBI has declared a minimum CIBIL score requirement of 750 for availing a car loan. So when you decide to take a car loan from SBI, ensure that you have a high CIBIL score or else your loan application will most likely get rejected. Banks require CIBIL score as they want to avoid the risk associated with a person with a poor payback capacity. A good CIBIL score helps banks and lending institutions determine the creditworthiness of an individual. A high CIBIL credit score indicates that you have had a successful payment history in the past and have maintained a healthy line of credit. Therefore, a CIBIL score is a very important factor which SBI will take into consideration before disbursing your car loan.

SBI Car Loan Information

Note: All product information has been directly sourced from the official website of State Bank of India. SBI New Car Loan - As the name suggests, this is a car loan offered by SBI to help you purchase new cars ranging from small compact cars to large multi utility vehicles and sports utility vehicles.

Features:

  • Lowest Interest Rates & EMI
  • Longest Repayment Tenure (7 years)
  • Financing on On-Road price: On-Road price includes Registration, Insurance and Extended Warranty/ Total Service Package/ Annual Maintenance Contract/

Cost of Accessories

  • The rate of interest is calculated on the Daily Reducing Balance.
  • No Prepayment Penalty or Foreclosure Charges
  • No Advance EMI
  • Optional SBI Life Insurance cover available
  • Min age is 21 years while maximum is 65 years
  • Finances up to 90% of On-Road price

Eligibility and Documentation

CategoryIncome CriteriaMax Loan Amount
Regular employee of State / Central Government, Public Sector Undertaking, Private Company or a reputed establishmentNet Annual Income of applicant and/or co-applicant if any, together should be a minimum of Rs. 2,50,000/-48 times of the Net Monthly Income
Professionals, self-employed, businessmen, proprietary/partnership firms who are income tax assessesNet Profit or Gross Taxable income of Rs. 3,00,000/- p.a. (income of co-applicant can be clubbed together) 4 times Net Profit or Gross Taxable income as per ITR after adding back depreciation and repayment of all existing loans
Person engaged in agricultural and allied activitiesNet Annual income of applicant and/or co applicant together should be a minimum of Rs. 4,00,000/-3 times of Net Annual Income
SalariedNon-Salaried/ Professional/Businessmen
Statement of bank account for last 6 months.Statement of bank account for last 6 months.
2 passport size photographs2 passport size photographs
Proof of IdentityProof of Identity
Address ProofAddress Proof
Income Proof: Latest Salary Slip, Form 16Income Proof: ITR for last 2 years
I.T. Returns or Form 16 for the last 2 years.I.T. Returns or Form 16 for the last 2 years.

Certified Pre-Owned Car Loan -

This is a loan offered by SBI to help you purchase a car from a certified used car dealer, not more than 5 years old.

CriteriaDescription
Loan AmountRs. 3 lakhs - min Rs.10 lakhs - max
Cost of the vehicleSalaried - NAI- Rs. 2,50,000 & Above
Self Employed and Professionals & Other - NAI - Rs. 3,00,000 & Above
Persons engaged in Agriculture & allied activities - NAI - Rs. 4,00,000 & Above
Age of the vehicle8 years
Repayment 8 years minus age of vehicle maximum 5 years.

SBI Loyalty Car Loan Scheme -

This type of loan is offered to existing customers of SBI home loan department.

CriteriaDescription
MarginNIL-100% On Road finance
Age 21- 65 years
Eligibility- Regular employees of State/Central Govt., Public Sector Undertakings, corporations, private sector companies, and reputed establishments
- Professionals, Self-employed, Businessmen, proprietary/partnership firms and others who are income tax assesses can avail of the loan facility
- Persons engaged in agriculture and allied activities can also avail the car loan. Income Tax return is not required in case of agriculturists
Minimum IncomeRs. 2,00,000/-
Maximum Income75% of present market value of the house property less present outstanding in the Home Loan account and Home Equity, if any.
Repayment Tenure7 years

SBI Assured Car Loan - This is an assured scheme where you can get a loan of up to 100% of your Fixed Deposit amount.

CriteriaDescription
Margin100% of Fixed Deposit for On Road price
Age 18 years - min
NIL - max
Income RequiredMin: Rs. 2 lakhs
Max: No Limit
Repayment Tenure3-7 years

SBI Car Loan Lite Scheme - This a basic variant of the car loan services offered by SBI

CriteriaDescription
Margin25% of On Road price
Loan to value : 75% of On-road Price (Including Taxes & Insurance)
Age 21-65 years
Income RequiredMin: Rs. 2.5 lakhs
Max: Rs. 4 lakhs
Repayment TenureMaximum 5 years

Interest Rates

SchemeInterest Rate w.e.f. 10.12.2018 (1 year MCLR: 8.55%)
SBI Car Loan, NRI Car Loan, Assured Car Loan Scheme, SME Retail Car Loan Scheme (excluding Taxi, Transport Operators and fleet segments in SME)From 9.30% to 9.80%
Loyalty Car Loan SchemeSBI Car Loan, NRI Car Loan and Combo Loan Scheme For Men: 1.15% above 1 year MCLR i.e. 9.70% p.a.
For Women: 1.10% above 1 year MCLR i.e. 9.65% p.a.
(CIC Based rates are applicable)
Certified Pre-owned Car Loan Scheme Men: 2.25% above 1 year MCLR i.e. 10.80% p.a.
For Women: 2.20% above 1 year MCLR i.e. 10.75% p.a.
Certified Pre-owned Car Loan SchemeFrom 11.05% to 12.05% (CIC Based rates are applicable).
Super Bike Loan Scheme3.25% above 1 year MCLR i.e. 11.80% p.a
SBI Two-Wheeler Loan9.05% above 1 year MCLR i.e. 17.60% p.a.
SBI Car Loan Lite
CIBIL ScoreRate of Interest
>=7502.80% above 2 Yr MCLR i.e. 11.45% p.a.
From 650 to 7493.80% above 2 Yr. MCLR i.e. 12.45% p.a.

New Car Loans Based on Credit Information Companies

Type of customersCIC scoresInterest Rate w.e.f. 10.11.2018 (1 year MCLR: 8.50%)
Corporate Salary Package customers Not applicable0.75% above 1 year MCLR i.e., 9.30% p.a.
Other than Corporate Salary Package customersCICs score of 750 and above
CICs score of 700 and upto 749
CICs score of less than 700
0.75% above 1 year MCLR i.e., 9.30% p.a.
0.95% above 1 year MCLR i.e., 9.50% p.a.
For Men: 1.25% above 1 year MCLR i.e., 9.80% p.a.
For Women: 1.20% above 1 year MCLR i.e. 9.75% p.a.

Probable Reasons for SBI Car Loan Rejection

  • Bad Credit History - If you have defaulted on loan or been in a bankruptcy, you are most likely to have a poor credit rating and CIBIL score. This is the most dominant cause of loan rejection.
  • Income - If you have insufficient income or do not have the minimum annual income requirement, the bank will most likely reject your car loan application.
  • To many loans and credit cards - If you already have multiple loans and credit cards, your loan application will get rejected by SBI. This is because your existing debt can make it difficult for you to payback a new car loan.

Tips for improving CIBIL score to get SBI Car Loan

  • Payback all your existing debts, outstanding dues, bills and payments in full.
  • Ensure that you do not miss out on any of your existing credit card bills and EMIs.
  • Do not make multiple applications for credit cards or loans at the same time.
  • Do not apply for another loan while the current application is still under process. The same applies for a credit card.

FAQs

What if I have a low CIBIL score, will i still get a car loan from SBI?

No, you would not get a car loan. To get one, you need to have a minimum CIBIL score of 750 in order to avail a car loan from SBI.

Does skipping an SBI car loan payment affect my CIBIL score?

Yes, if you miss out on any of the EMI payments for SBI car loan account, it will have a negative impact on your CIBIL score.

Does SBI provide a loan for a used car?

Yes, SBI provides car loan for a new as well as certified used cars.

What is the penalty for not paying the EMI on time?

The penalty is not charged for loans up to Rs.25,000/-. For Loans above Rs.25000/- , the penalty charge is would @2% p.a.

Leave a rating!
1.0 (0 votes)