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Car Loan Documents Checklist Criteria for Salaried,Self employed

Car Loan Documents Checklist Criteria for Salaried,Self employed

Car Loan Documents Checklist. Know Residence Address Proof, ID, Signature, PAN Card, Income, Banking and Stability Continuity documents for Auto Loan

 

KYC Document

First and Foremost document is :- KYC Documents -  In Bank Terminology KYC abbreviated as Know your Customer documents. These are basically Identification documents and are required to be mandatory obtained while lending loan or opening an account

» ID Proof (Any document like PAN Card, Election Card, Passport, Driving License etc.)

» Address Proof - Not more than 3 months Old (Nationalized Bank Account Statement, Latest Utility Bill Copy like Electricity / Water, LIC Premium, MTNL/BSNL Landline Bills)

» DOB Proof (PAN Card, Passport, Driving License etc)

» Signature Verification Proof (PAN, Passport or any Signature Verification done by bank in Format)

Normally submitting UID Aadhaar Card or Passport with latest Landline Telephone bill/electricity bill is the best option or you can submit copy of PAN along with latest telephone bill/electricity bill

 

Car Loan Document Checklist

Below are documents required to be submitted. Pre Sanction documents are required for Initial Approval and Post Sanction for Disbursement of loan, once its approved.

  Salaried Self Employed
     
Pre Sanction KYC Documents, Photograph, Signed Application Form Pan Card as KYC Document, Photograph, Signed Application Form. PAN Card Copy
  Latest 6 month Bank Statement Latest 6 month Bank Statement
  Latest 3 month Salary Slip Last 2 yr ITR with Computation
  Last 2 yr Form 16 Business Proof - Service Tax / Current Account Statement / Sales Tax / TDS etc
  Office ID Proof Office Address Proof
  PAN Card Landline / Post Paid Bill required
    3 yr Business Continuity Proof
     
Optional Dox Residence Ownership Proof Residence Ownership Proof
  Permanent Address Proof, if Rented Permanent Address Proof, if Rented
  Copy of Previous RC (if owned) Copy of Previous RC (if owned)
  Repayment Track Record (optional) Repayment Track Record (optional)
     
     
Post Sanction Signed Bank Agreement Copy Signed Bank Agreement Copy
  ICN Note with HP to Financier ICN Note with HP to Financier
  Balance Margin Money Reciept Balance Margin Money Reciept
  Signed ECS / Debit Mandate / PDC Signed ECS / Debit Mandate / PDC
  Security PDC in case of ECS Security PDC in case of ECS

Note -- In case of Used Car, RC and Insurance copy of the vehicle needs to be submitted pre-hand for Valuation and is considered Pre-Sanction Document

 

FAQ's - On Residence Proof for Rented

Q. What if you stay on Rented ?

A. Absolutely no issue. If Field Verification Reports are recommended, along with other documents like Salary, Job Stability and Permanent Address Proof are submitted - you are well eligible for loan

Q. What if dont have Utility Bill, has account in Private Bank but not Nationalized Bank Account Statement or other prescribed document

A. Its cause of concern, as even there would be an issue in Car Registration too. Suggest to get address change in Bank Passbook and issue a statement - it generally does not take more than 7 to 10 days. the address as mentioned in bank statement is well considered as an address proof for loan purpose

Q. Are Credit Card Statements or Rent Agreement considered

A. No - they are not considered as Address Proof documents as per KYC Policy of the Bank

Q. Stays on Rent and dont have Permanent Address Proof too

A. Only in cases where other Merits - like Salaried with MNC along with descent Job Stability, Good CIBIL score and Stability at present address is good - Bank sanctions but restricts loan with a higher Margin down payment from customer, funding is generally restricted to 70% of ex-showroom price of car

 

Auto Loan Process

- Loan Application along with Pre Sanction documents are submitted in Bank

- Bank Initiates Field Verification of Applicant at Residence and Office Address

- Tele Verification Check is also done at mobile and landline number of office along with call to references

The backend team processes the documents - through Internal Checks for Frauds and an Eligibility is Determined

- The credit officer determines final eligibility and hence sanction or rejection

- If loan application is approved. A bunch set of Post Sanction documents in required to be submitted

- Bank Disburses loan in favor of dealer on receipt of Post Sanction documents. EMI starts from the following month

Recommended - Check your Loan Eligibility Online

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Important: If you seek advise or recommendation, pls raise query in Car Forum instead of posting in comments

 

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Monday, 20 November 2017

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