Resolved SBI Car Loan Vs ICICI HDFC Axis Bank Car Loan. What are Pros n Cons

Hello Radhika

Salient Features of SBI Car Loan :-

SBI Car Loan Plus Points
- SBI Works on Floating Interest Rate (Base Rate + Margin) as against Fixed Interest Rate Regime of Private Banks (though both are reducing EMI Schemes). Thus, while the Interest rates are locked up without any fluctuation with Private Banks, but in SBI Car Loans - the Changed Base Rate (aka PLR would impact in loan tenure)

- Flexibility in Pre-payment with NIL Pre-Payment Charges Clause after 6 months of loan disbursement as against Private Banks which charges pre-payment penalty in event of pre-closure (based on loan tenure) with as high as 5.6% of loan amount

- Low or even Waived off Processing Fees in SBI as on time to time

- SBI Car Loan does not have differential rate of Interest on car models as against ICICI Bank, HDFC or Axis Car Loan which has differential pricing basis car models. For Instance - Alto to Mercedes Benz - all are financed at the same Interest Rate with SBI, while Private Banks offers differential Interest rate based on model

Some Concerns on SBI Car Loan
- If you are Salaried, but has transferable Job or plan to shift to some other city - may have to reconsider the fact that SBI do not offer in Inter State Transfer NOC. For Instance - if you working in Delhi and take a car loan from SBI, now after 2 years - your company transfer you to say Bangalore - SBI does not issue in Inter State Transfer NOC and thus you would not be able to reregister vehicle in Bangalore
While in Private Banks - they selectively offer Inter State NOC for re-registration provided - the new location is within Geo Limits of Bank and also has clean repayment record. Though - this is again subjective and at discretion of Bank

- Though above features seems to be working highly in favor of SBI to go in for. Biggest hurdle as per customer feedbacks - been documentation and loan processing - which private banks gets seems have better turn around time. Hope so - in near future - if this bottleneck of TAT (turn around time) is taken care of - we may see SBI emerging as much larger Bank in Retail Car loans as against all private banks put together even in Metro Cities too

Below Links/Discussion will also be of Interest
> Car Loan Eligibility

> SBI Car Loan

> Car Loan Interest Rates

Hi I applied for car loan at SBI branch and guy believe me within 36 Hrs I had Bankers cheque in my hand and they were ready to finance 100% of On Road price , though i refrained. Plus option of choosing 7 yrs . SBI has changed dramatically .Please give a try before going to other bank
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This is Awesome !!

If service and disbursement time becomes like that - SBI will turn around the Auto loans market like anything
Just to make compare - Pvt Banks operates on 12.5% - 13% on car like Alto and SBI at 10.75% - isnt that a huge difference

Hi

I took loan from SBBJ ( State bank of bikaner and jaipur). the loan with disbursed in 3 days... awesome speed..
No processing fees.. no prepayment charges, part prepayment allowed... superb....

I took from ICICI. Though the approval time and disbursement was smooth, post loan the service is bad.
And also there are pre-closure charges and there is no part payment facility. My friends took in SBI. There also processing and disbursement was smooth. But the advantages are no part-payment and pre-closure charges.

So, its better go for SBI than any other pvt bank.

I always plan up my things
If you are not in a hurry wherein you looking to buy in 2 to 3 days - but has good 10 to 15 days.

SBI Car loan or PNB Car loans - i mean nationalized bank car loan are the best as they offer
> Zero Prepayment charges
> Flexibility in prepayment - i once got 50,000 rs and made partial prepayment in pnb which was not possible in icici
> No hidden clause - no advance emi
> Also once my installment got bounced - then there were low bounce charges of rs 200 with low interst

its good to go with nationalized
icici, hdfc, axis, kotak - private banks works on commercial interest and has higher rates and offering

Hi, I GET MY CAR LOAN APPROVAL WITH IN SINGLE DAY (CONDITION - ALL DOCUMENT REQD. GIVEN) at 10.7%. SERVICE IS AMAZING.

NO PRE PAYMENT PENALTY / 0.25 % PROCESSING FEE/7 YEAR TENURE/90% LOAN/FLEXIBILITY TO CHOOSE ANY DAY OF MONTH FOR PAYMENT

I other way round have a bad experience when it comes to SBI, I went to Nerul Palm Beach Branch (Navi MUmbai) and the branch manager rejected my application based on the IT returns filed 2years together in the same financial year. Also she mentioned that Current Account statement which I have provided with proper bank seal 'ye to koi bhi bana sakta hai'
It's strange and bad to see a lady branch manager in such a position commenting on current account statement of ICICI.
Anyways I got my loan sanctioned from ICICI BANK within two days.
Bad experience and disappoint statement from SBI Bank branch manager after having my saving account with same bank and same branch from over 5years.

My cibil is 807



Ankur Goel