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Dream Car

Purpose :


  • Purchase of new Vehicle for personal use/official use
  • Purchase of pre-owned vehicle, not more than 3 years old
  • The term Vehicles includes: Car, Van, JEEP, Multi Utility Vehicles (MUVs).
  • Target Group :

  • Our existing corporate customers, their directors and employees
  • Salaried persons, Professionals & Self-Employed, Businessmen, Firms, Companies, Agriculturist and Pensioners of Central, State Govt. and our Bank having regular income to liquidate the loans
  • Eligibility (Income)


  • Salaried Person : Minimum monthly gross income of Rs.25,000/- and above per month, having a net take home pay of at least 40%, after adjustment of the monthly installments of proposed loan, within the permissible repayment period.
  • Agriculturist : Minimum 5 acres of irrigated land should be owned. Income per Acre per year to be taken as Rs.40000/- for calculation of loan eligibility and it should be supplemented by self certification by Farmer / Agriculturist.
    However, take home criteria after deduction of proposed installment will be 40%, after adjustment of all existing deductions (If any) including the monthly installment of proposed loan.
  • Professional & Self-Employed / Businessmen :An IT assessee having Gross Annual Income of Rs.3.00 Lac & above as per latest ITR. It should be ensured that ITR has been filed on regular basis (i.e. on yearly basis). However, take home criteria after deduction of proposed installment will be 40%, after adjustment of all existing deductions (If any) including the monthly installment of proposed loan.
  • Retired individuals : Drawing monthly pension of Rs 20000/- and above. However, net take home pension of at least 40% of gross pension after considering all existing deductions (If any) including the monthly installment of proposed loan.
  • Firm/ Companies: Firm/Companies should be in profit during last 2 years. Net profit & cash generation during pendency of loan should be sufficient for repayment of Car Loan.
  • Margin :

  • For New Vehicle 15% of the cost of vehicle on Road (i.e. one time registration + first time Road tax & insurance charges etc.).
  • For Pre-owned Vehicle - 85% of the "Agreed Purchase Price" as valued by Approved Automobile Valuer or 60% of the Valuation of the Vehicle or Insured Declared Value as per latest Insurance policy, whichever is lower.
  • Eligibility (Service Period of Applicant/ Repayment Age/Age of Firm & Company) :

  • Salaried Person : The applicant should be a permanent employee and the loan should be repaid at least three months before his date of retirement from service. In case of Government employees (eligible for Pension) drawing salary from our Bank and willing to undertake that pension will also be drawn from Branch of our Bank, repayment period may be extended up to 65 years of age subject to minimum take home pay (post retirement) of 40%.
  • Retired IndividualPensioner up to Age of 65 Years & drawing pension from Branch of our Bank will be allowed to repay the loan till attainment of 70 years of Age.
  • Other than Salaried person / Retired Individual :Repayment period will be allowed in such a way that loan is repaid before attaining the age of 70 years
  • Retired Individual
  • Firm/ Companies : should have been in existence for at least 2 years
  • Loan Limit :

  • For Salaried Class Maximum 48 times of Gross Monthly Salary.
  • For Retired IndividualMaximum 36 times of Gross Monthly Pension.
  • For Farmers & AgriculturistsMaximum 3 times of net annual income of previous financial year. Income of Rs.40000 Per acre per year.
  • For OthersMaximum 3 times of Average Net Annual Income for the last two years as per latest Income Tax Returns.
  • In case where loan is fully secured by liquid security, ITR / Income details are not required and loan amount up-to 100% of face value of liquid security is permitted.

    No of vehicle :

  • No restriction in the maximum number of cars that can be financed to Individuals, Partnership Firms and Companies.
  • Click here for Rate of interest

    Click here for Processing Fees, Prepayment Penalty, Documentation Charges, Mortgage and other charges

    Security In both cases (New / Pre-owned Vehicle) :


  • Primary : Hypothecation of Vehicle

  • Collateral :
  • For Loan up to Rs. 20 Lac :
  • Spouse should be a co-borrower if his/her income is considered for eligibility. No Collateral, No guarantee.
  • For Loan above Rs. 20 Lac :
  • Guarantee of one person and Collateral security in form of FDR/NSC/KVP etc. or Mortgage of House/Flat.
  • If margin offered is more than 25%, no guarantee and collateral security is required.

  • Repayment Period :

  • For New Vehicle :
  • Individuals: Maximum 84 Months
  • For Firm/ Companies: Maximum 60 Months

  • For Pre-owned Vehicle : Maximum 60 months / Residual life of the vehicle, whichever is lower