About State Bank of Patiala
State Bank of Patiala (SBP) is among the 5 associate Banks of State Bank of India founded in the year 1917. Originally, State Bank of Patiala was named as Patiala State bank and was founded to foster growth of agriculture, trade and industry, but in April 1960, when it became subsidiary of State Bank of India, it was renamed as State Bank of Patiala. Today, the bank has over 1300 branches and access to over 52000 group ATMs/CDMs spread throughout the country. For State Bank of Patiala, consumer is the top most priority, which is even revealed from its various slogans like, "Pure Banking, Nothing Else", "With You – All The Way", "The Banker to Every Indian", "A Bank of the Common Man", "The Nation Banks on Us", and "Grahak Devo Bhav". Living by its motto, SBP offers several banking and finance services specially designed for the consumers.
State Bank of Patiala Car Loans: Overview
State Bank of Patiala car loan is a savior for those who need to buy a car of their dreams but due to financial crunch only postponing the dream seems viable option. Today, owning a car is not a luxury statement but a necessity, so postponing buying it is difficult decision. However, with State Bank of Patiala car loans, there is no need to take this hard decision, or exhaust years of money savings. Intended car buyers can easily apply for a State Bank of Patiala car loan and mortgage the loan amount one needs to buy the car. Appreciated for features such as affordable rate of interest, easy tenure for a car loan, high loan quantum and easy repayment policies, these car loans have huge demand.
With State Bank of Patiala, salaried professional can apply for an State Bank of Patiala car loan for a loan amount up to 48 times of their net monthly income. They even get to avail the benefit of flexible loan tenure which can be anywhere between or up to 7 years. Also, the processing fee for State Bank of Patiala car loan is very nominal and there no extra charges are charged for converting from floating to fixed rate, and vice versa.
Features of State Bank of Patiala car loan
- Loan for every car: car loans by State Bank of Patiala can be availed for new as well as pre owned cars of every make. There is no restriction on the car type to avail State Bank of Patiala car loan.
- Car Loan interest rates: Car loan interest rates are offered by state bank of Patiala at floating interest rate at very competitive rate. Being a government owned bank, State bank of Patiala charges only 0.45% above MCLR for State Bank of Patiala car loan.
- Long tenure for a car loan: Car loans from SBP Bank are offered for flexible duration for maximum repayment tenure of 84 months.
- Permissible LTV: SBP Car loans are provided for a maximum permissible LTV ratio i.e. 85% of ‘on road price’ of the car.
- Personal Accident Insurance: State Bank of Patiala offers free group personal accident insurance cover along with SBP car loans (death only).
State bank of Patiala has a car loan plan for a car buyer who is looking for finance options to buy a new car or old car, as it offer both new car loan as well as pre used car loan.
- SBP Bank Loan for a New Car
State Bank of Patiala New Car Loan is a car mortgage plan that is offered to fulfill dreams of several people who wish to drive and own a new car. SBP car loan is a precisely designed loan plan to finance money for purchasing new passenger jeeps, cars, Multi Utility Vehicles (MUVs) and SUVs. State Bank of Patiala offers car loan for new car on floating interest rate & attractive conditions. The new car loan is offered by SBP Bank to self-employed professionals, businessmen, as well as agriculturists.
Highlights of New car loans offered by SBP Bank
- Loan amount: State Bank of Patiala has set a minimum and maximum loan amount for availing car loan on new cars.
Minimum loan amount:
- Term loan : No limit
- Overdraft : Rs.3 lacs
Maximum loan amount:
- For Salaried: 48 Times the Net Monthly Income (NMI)
- For Self Employed: 4 Times the Net Annual Income (NAI)
For Agriculturists: 3 Times the Net Annual Income (NAI)
- SBP car loan term: The SBP car loans for new car are offered for a maximum of 7 years subject to loan liquidation before the borrower attains 70 years of age.
- SBP car loan interest rate: For term loan, SBP offer 9.95 % p.a. (0.45% above MCLR ) and for Overdraft SBP offers 10.45% p.a. (0.95% above MCLR )
Processing fee for State Bank of Patiala car loan: 0.51% of the loan amount minimum of Rs.1020 & Maximum of Rs.10200
- SBP Pre Owned Car Loan
State Bank of Patiala has designed special terms and conditions for pre-owned car loan. The financial assistance offered by the State bank of Patiala for purchasing a pre-owned car is a boon for several individuals who had a year’s long wish to buy a car, no matter a pre used car. The Used Car Loan plan by SBP is sanctioned by the State Bank of Patiala for buying passenger cars, Multi Utility Vehicles (MUVs) or SUVs. To apply for a State Bank of Patiala car loan, the intended car buyer has to ensure that the used cars against which he needs mortgage amount should not be more than five years old.
Highlights of SBP Pre Owned Car Loan:
Loan amount: State Bank of Patiala has set a maximum loan amount for availing car loan on pre used cars.
- Minimum loan amount : No Limit
Maximum loan amount: Rs.15 lacs
- SBP car loan term: The SBP car loans for used car are offered for a maximum of 84 months subject to loan liquidation before the borrower attains 70 years of age.
- SBP car loan interest rate: For pre used car loan, SBP offer 6.50% above MCLR i.e. 16.00% for loan lesser than or up to 3 years and 6.75% above MCLR i.e. 16.25% for loan between 3 years to 7 years.
- Processing fee for State Bank of Patiala car loan: 0.51% of the Loan Amount with a Minimum of Rs.1020 & Maximum of Rs.10200
Eligibility for SBP Car Loan
To get the loan amount, every applicant has to meet eligibility requirements for SBP Car Loan:
- Age Criteria: SBP car loans are approved if an applicant meets the set age criteria of minimum & maximum age.
- The minimum age requirement for SBP car loan eligibility is 21 years
- The maximum age requirement for SBP car loan eligibility is 65 years
- Income Criteria: SBP Car loan applicants must have a regular source of income as per the bank’s requirement.
- Employment type: SBP car finance plans can be availed by a self-employed professional, salaried individual as well as agriculturist.
Applicable Interest Rates
For Used Cars
Up to 3 Years: 6.50% above MCLR Rate i.e. 16.00%
>3 Years to 7 Years: 6.75% above MCLR Rate i.e. 16.25%
For New Cars
9.95% P.A. - Term loan
10.45% P.A. - Overdraft
Documents for SBP Car loan
For applying for the State Bank of Patiala car loan, an applicant needs to submit following list of documents as proof:
- Duly filled and signed SBP car loan application form
- Birth certificate
School 10th certificate
- Ration card
- Driving License
- Voters ID card
- Telephone Bill
- Electricity bill
Life Insurance policy
- PAN Card
- Voters ID card
- Proof of regular source of income
- Last 6 months bank statements
- Proof of IT return
With so many options of applying for the State Bank of Patiala car loan, any intended car loan borrower might get confused in decided from where to take the car loan. To simplify the car loan process, and get guidance about choosing right car finance plans, PaisaBazaar.com is a viable choice. At PaisaBazaar.com intended car loan borrowers can find exclusive deals on car loans by different leading banks.
For the comfort of the car loan mortgagors, PaisaBazaar.com has made it easy to apply for a car loan online in with few clicks only. Within seconds, any individual can find out best car loans in India, know whether they are eligible to apply for a car loan plan and then can easily apply. So with PaisaBazaar.com you can find SBP car loan online and can apply for the same and even enjoy pre-approved car loans. For pre-approved car loans, loan borrowers simply have to ensure that they submit all the required documents.
PaisaBazaar.com, even offers free and easy to use tools like SBP car loan eligibility calculator, SBP car loan EMI Calculator, which car loan borrowers can take a great advantage of. These tools at PaisaBazaar.com helps in making the loan taking process simpler by easily calculating equated monthly car loan payments and finding out best suitable car loan deals by trying different combinations of SBP car loan interest rates and SBP car loan tenure.
For clarity about whether you are eligible for State Bank of Patiala car loan, you can Check Your Car Loan Eligibility at PaisaBazaar.
Why should you use State Bank of Patiala car loan eligibility calculator at Paisa Bazaar?
There are a lot of benefits of using State Bank of Patiala car loan eligibility calculator, some of which are:
- It helps in saving tiresome efforts: Paisa Bazaar’s State Bank of Patiala car loan eligibility calculator is an automatic tool which can be easily used by car loan borrowers to test their car loan eligibility for different car finance plans. The SBP Car loan eligibility calculator at PaisaBazaar.com displays all the possible alternative car loan plans that car loan borrowers can consider for purchasing car loan.
- It helps in saving valuable time: With the help of Paisa Bazaar’s State Bank of Patiala car loan eligibility calculator an intended car loan borrower can save a lot of crucial time as by using this calculator, the SBP car loan borrower can skip the need of visiting SBP bank branch and taking appointments of SBP Bank representatives to know about car loan plans. Also, intended State Bank of Patiala car loan borrowers can instantly check their eligibility and make their car loan taking decisions accordingly.
- It makes it easy to compare and choose the best: Every car loan borrower hopes to get the car loan deal at lowest rate of interest and easy to follow terms & conditions. Paisa Bazaar’s State Bank of Patiala car loan eligibility calculator helps the car loan borrower in getting good deals on car loans with its comparison feature. Intended borrowers can easily make comparison between different car loan offers to find best car loans in India.
How to check eligibility for SBP Bank Car loan at Paisa Bazaar?
To check car loan amount eligibility at PaisaBazaar is a child’s play, as all one needs to do is click on State Bank of Patiala car loan eligibility calculator and reach at the SBP Car Loan online eligibility calculator tool page. It is simple to use this tool for checking eligibility for SBP car loan. To use this tool, an individual would just need to have to State Bank of Patiala car loan details and share few basic personal questions, like the type of car he is looking for; city he is currently residing in, make of the car, time for buying the car, loam amount he intends to borrow, duration of loan he wishes to take for, employment status, etc. Once done, the tool automatically calculates possible outcomes of car loan plans.
To compute the EMI, an individual just need few minutes along with bank car loan details like loan amount required to purchase car, car loan interest rates offered by SBP bank, and tenure for a car loan. With these three base car loan details, anyone can easily calculate EMI for State Bank of Patiala car loan with car loan EMI calculator at Paisa Bazaar.
What to do to calculate car loan EMI for State Bank of Patiala car loans? Use the slider to adjust the loan amount figures, rate of interest figures, and loan tenure figures. As soon as you enter the details, the calculator would automatically calculate figures in the right hand box. The displayed figure is the monthly State Bank of Patiala car loan EMI amount you need to pay.
1. What is the maximum loan amount that I am eligible for?
Ans: The maximum loan amount varies in case of new and old cars.
In case of a new car-
- 48 times the net monthly income for salaried persons
- 3 times the net annual income for agriculturists
- Up to 4 times the net annual income for others
In case of a used car-
- Maximum loan amount is Rs.15.00 lac
2. What are the documents needed to be furnished as security?
Ans: The documents needed as a primary security include hypothecation of vehicle and noting of hypothecation charge in the books of R.T.O
3. How much processing fee I need to pay?
Ans: For both new and used car processing fee that is charged is 0.51% of the loan amount (Minimum Rs.1020 & Maximum Rs.10200) and Rs.5100/- for Mercedes car.
4. What is the tenure of the loan?
Ans: State Bank of Patiala offers repayment tenure of up to 7 years. The borrower can choose the tenure best suited to them.
5. Can I foreclose my loan? How much I need to pay to foreclose my loan?
Ans: Yes, you can foreclose your loan before the repayment tenure. You can avail this foreclosure option at no extra charges.
6: On which date does State Bank of Patiala issues annual outstanding balance statement?
Ans: State bank of Patiala issues annual outstanding balance statement on 31st march every year.
7. Does State bank of Patiala offer special discount on SBP car loan interest rate?
Ans: Yes, State Bank of Patiala offers special rebate of 0.10% in the Rate of Interest for the following:
- Current Home Loan customers (Satisfactory repayment record)
- State/Central or Semi Govt. Employees
- PSU Employees and reputed profit making corporates
- Employees of are working in reputed colleges such as- Affiliated with universities approved by UGC / Govt. / AICTE / AIBMS / CMR etc. / approved by Indian Medical Council/Deemed Universities/ NEC accredited colleges.
8. How would I come to know about any changes in SBP rate of interest?
Ans: You can get to know about any change in SBP car loan interest rates at bank's website -www.sbp.co.in & entry in statement of loan account.
9. What does SBI charges as penalty for delayed payments of SBP car loans?
Ans: State Bank of Patiala charges penal interest @ 1 % above and over and the applicable rate on the entire outstanding amount of the loan for the period of such default will be charged if the EMIs remain unpaid for a period of 30 days from the due date for any reason including bounced cheque.
Also, in respect of bounced PDC (Post Dated Cheque) obtained for repayment of loan, a penalty of Rs.281/- (including service tax) will be recovered in addition to the Penal Interest
10. How can I repay my State Bank of Patiala car loans?
Ans: You can repay your State Bank of Patiala car loans in Equated Monthly Installments.
11. How to apply for SBP car loan for new car?
Ans: To avail new car loan from SBP Bank, an intended car loan borrower needs to first check his eligibility for SBP car loan at PaisaBazaar.com using eligibility calculator. By doing this the borrower can know his car loan amount eligibility easily, and can choose the most suited SBP plans for car loans. Once done, you need to start the process of car loan application. For this, you can either make a personal visit to SBP bank nearest branch office or download Car loan application form from the state bank of Patiala official website. Fill this form and submit all the documents for SBP car loan. Once the bank representative verifies all the documents for car loan, bank would proceed towards car loan disbursals.
12: What is EMI? How is it calculated?
Ans. EMI stands for the Equated Monthly Installments which a loan borrower is obliged to pay to the lender for the borrowed loan amount. The amount of car loan EMI comprises of principal amount as well as interest amount of the availed loan. For calculating monthly installments, one can easily use free SBP Car Loan EMI Calculator online at Paisa Bazaar.
13: Is it necessary to have a SBP bank account to apply for State Bank of Patiala car loans?
Ans: No, it is not necessary to have a SBP bank account to apply for its car loan.
14: Is it possible to apply for the State Bank of Patiala car loan online?
Ans: Yes, State Bank of Patiala offers the ease of applying for the car Loan online. To apply for car loan online, one can visit either Paisa bazaar.com or State Bank of Patiala’s official website.
15: From where can I get Car Loan Application Form for State Bank of Patiala?
Ans: You can either download SBP Car Loan application form from the official website of State Bank of Patiala or visit their nearest SBP branch to apply for car loan provided by SBP Bank.
16: Why do banks consider CIBIL score for car loan approval? Can low CIBIL Score prevents banks to disburse car loans that I have applied for?
Ans. CIBIL Score of the borrower helps banks in determining borrower’s repaying capacity, thus it impacts the car loan approval process to a great extent. The State Bank of Patiala considers CIBIL Score of borrowers to know whether they would be easily able to re pay loan amount or not. In case your CIBIL score is low, then State Bank of Patiala can disapprove your car loan application.
17. What makes of car does SBP bank finance?
Ans. State Bank of Patiala finances new cars as second hand cars of all makes. The only condition of state bank of Patiala to approve car loans is to repay the loan within 7 years, thus buyers are free to purchase car of their choice.
18. Can I include my spouse’s income for calculating the car loan amount?
Ans: Yes, you can include your spouse’s income however; he/she must join as co-borrower.
19. How long does state bank of Patiala takes to process new car loan application?
Ans. State bank of Patiala takes approximately 2 days to verify documentation and process the loan application.
20. What happens if the car is stolen or meets with an accident?
Ans: In that case, contact your car insurer. The insurance company will assess the extent of damage and pay the claim proceeds to the bank.
21. How does SBP car loan compare with those offered by other institutions?
Ans: These car loans are different from bank car loans provided by other institutions in several ways.
- There is total transparency with regards to the rate of interest and the fees charged by us.
- We offer loans for a tenor of 84 months
- We also finance new vehicles as well as old cars (not more than five years old)
- We provide finance for one-time road tax, registration, fee and insurance premium also.
- No prepayment charges.