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  1. Navroj Singh
  2. Finance, Insurance
  3. Thursday, January 31 2013
Hello, I am director of a private limited company (2 years and 9 months in business). I wanted to buy Jaguar XFS V6 Diesel (on road in Bangalore about Rs 60 lkh). I stay in rented apartment, alone. Is it possible to avail loan without income proof. I can pay upto Rs 15 lakhs (and at most Rs 20 lakhs) from my side and look for remaining amount as loan. I have seen HDFC bank website where they state that if person contributes 40%, HDFC bank avails the remaining 60%. Can you please advise what are the options available? I am looking for tenure of 3 years and above.

Thank you!
Admin Accepted Answer
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Hello,

By saying without Income tax proof, does it mean that you do not file ITR or is that a loss in business income !
A Bank before sanctioning a high ticket loan generally considers factors like :

a) how are the financials for last 2 years - is it a cash loss (i.e even after depreciation there is a loss), the trend of Loss - it it increasing or decreasing
b) OD A/c in business, whats the utilization - is it more than 80%, any cheque bounces
c) Business Profile, Income source
d) Previous Cars owned
e) Repayment Track Record with CIBIL Score of Company and Director
f) Audited Provisional's, if the financials of the latest year are loss making

Generally, before sanctioning a high ticket loan for self employed and without ITR :-
a) A co-applicant as company is required, subject to company financials been profits and showing strength
b) Previous Cars, Repayment Details
c) Assets owned by Individual
d) CIBIL Scoring

What Online or Bank sites refers for NIP (No Income Proof) funding are mostly applicable on Entry to Sedan Segment, however the luxury car's are exceptions to it where a banker would take a complete overview of the financials, profile to determine the funding levels

All the Best !!


  1. more than a month ago
  2. Finance, Insurance
  3. # 1
Navroj Singh Accepted Answer
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Votes
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Hello Admin,

Thanks a lot for taking out your time to reply.

I want to apply Individual as Director of a company and not company applying for loan.

I have filed ITR for 2009 and 2010 - both Rs 2.5 lakhs taxable income. Both of them are individual tax filings.
I haven't filed for year 2011 and 2012..

a) I don't own other assets
b) Do not have previous loans but credit cards of Rs 60k and Rs 20k limit for last 2 years with regular usage and in time repayments

My thoughts were if I can get loan without income proof, I would be filing taxes approx Rs 2.5 lakhs for last 2 years as well and make the down payment of 40% of invoice to get the loan. However if no income proof loan requires other things like owned house or previous loan record etc, then it makes more sense to just file ITR last 2 years so that I am eligible to get the loan based on income strength.

So my question is given the above facts, do I get loan without income proof? If yes then what all conditions I should be able to meet and how much % of invoice I should be making as downpayment.

Second case - If I would like to get loan based on income proof -
a) Would last year's ITR be the used for assessment or last 2 years?
b) Can last 2 year ITR be considered when they are filed without any gaps (I was rejected home loan previously because they required ITR gap of 6 months to consider)
c) How much should the taxable income/ITR filed should be to be eligible for Rs 60 lakhs car loan.

Thanks a lot :)


  1. more than a month ago
  2. Finance, Insurance
  3. # 2
Admin Accepted Answer
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Votes
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Hello - Well, where an individual applies for a high ticket loan (and is a director in a pvt limited company) , then most of the banks do have internal policy guidelines to take company as co-applicant . Unless the individual is showing multiple source of his income then the banks may take an exception on above.

The card and repayment details does not seem sufficient enough for a high ticket loan sanction.

In response to other queries
a) Would last year's ITR be the used for assessment or last 2 years?

Yes

b) Can last 2 year ITR be considered when they are filed without any gaps (I was rejected home loan previously because they required ITR gap of 6 months to consider)

Well if the gap in itr filing is less than 6 months , yes its considered a major deviation during loan appraisal process

c) How much should the taxable income/ITR filed should be to be eligible for Rs 60 lakhs car loan.
Its not dependent on taxable income but many factors
- Owned House or Not
- Financial Ratios and Analysis done including Income Stream, Debt with Trend
- Last 6 month banking, avg float, transactions, Average Bank Balance
- Previous Cars, Repayments and Seasoning of Repayments
- CIBIL Score of Individual and Company

Am sorry - if sound negative on above, but to our best experience this holds true with most of the banks
You may still get in touch with your relationship officer in bank and discuss with him further to process for loan application

All the Best !!


  1. more than a month ago
  2. Finance, Insurance
  3. # 3
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