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- Loan On Used Car
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Overview Documents Required Application Process
- EMI Calculators
EMI Options
Related Products
- Loan On Used Car
- Overdraft Loan
Looking to secure a loan against a car for a used four-wheeler? Enjoy low interest rates, a seamless digital process, high loan amounts, and flexible loan tenure with Tata Capital.
What is a Loan Against Car?
Are you facing an unexpected financial requirement? Do you need cash quickly to fund an emergency? We've got you covered. Get instant access to funds with Tata Capital'sloan on used carand deal with all your big-ticket expenses conveniently without dipping into your savings. From personal emergencies to business requirements, our multi-purposeloan on used carorloan on used carcan be used for any of your sudden requirements.
With Tata Capital, you can also avail of atop-up loan on existing car loans. Now, you can easily deal with all your emergencies at affordablecar top-up loan interest rates. What's more? You get to enjoy minimal documentation and a quick application process. Apply for atop-up loan on an existing car loanwith Tata Capital today.
Loan on Vehicle Amount
₹1,00,000 – ₹50,00,000
Loan on Vehicle Tenure
Up to 72 months
Loan on Existing Car Interest Rate Starting at
12.99% onwards
Features of Loan on Used Car
Flexible Tenure forLoan On Used Car
You have the freedom to repay yourLoan On a carover a period of 72 months.
Quick Processing forLoan On Second-hand Car
With minimal paperwork and a quick online application process, you can get your loanin no time. You just need to fill in our application form, and we will take care of your loan request. Whether you're looking for ashort-term Loan On Used Car, you can get access to credit instantly with Tata Capital.
Flexi EMI Options forTop-Up Loan on Used Car Loan
Our Flexi EMI Loans allow you to repay your loan according to your convenience. You can choose a tenure that best fits your requirements to repay your loan on used carcomfortably.
Competitive interest rates for aLoan On old cars
Our interest rates are the best in the industry. We offer affordable rates and tools that will benefit you the most. You can also use our EMI calculator to calculate your potential EMIs in advance.
Instant Online Approval
Once we successfully verify your Loan On Used Car application and documents, you will receive instant approval through our secure platform. We will also sanction and disburse the loan amount directly to your bank account to ensure you enjoy a quick and hassle-free application process.
Avail TATA Capital loans directly from WhatsApp
Apply via WhatsApp
Eligibility Criteria for Loan Against Used Car
Eligibility Criteria for Loan Against Used Car
Age must be between 21 and 60
Minimum monthly salary of Rs 20,000
Minimum of one year of work experience
Eligibility Criteria for Loan Against Used Car
The Applicant must be the proprietorof the business
Age must be between 21 and 65
Business must be in existence for at least three years
Minimum income of 2 lakhs per annum
Eligibility Criteria for Loan Against Used Car
Either the applicant or the partner must have a minimum income two lakhs per annum
Three months’ bank statements
ABB should be 0.5x the EMI
Eligibility Criteria for Loan Against Used Car
Minimum income of 2 lakhs per annum
Three months’ bank statements
ABB should be 0.5x the EMI
As you can see how straightforward the eligibility criteria are, you can make an informed decision much more easily now. Furthermore, with the different options available, you can choose one that suits your situation or explore alternatives too.
Applicable Fees & Charges of Loan Against Car
| Type of fee | Applicable charges |
|---|---|
| Interest rate | 9.50% to 22% per annum |
| Processing fee | Up to 2.95% (inclusive of taxes) |
| Documentation charges | Rs. 2,360 (inclusive of taxes) |
| Pre-payment charges |
|
| Bounce charges | Rs. 1,500 per bounce |
| Penal charges | Up to Rs. 25 per day per instalment |
| Stamp duty | At actuals |
| Legal and incidental charges | At actuals |
| Repossession charges | Up to Rs. 50,000 (inclusive of taxes) |
| Auction charges | At actuals |
| Valuation charges | At actuals |
| Stockyard charges | Rs. 118 per day for 60 days |
| Loan rebooking charges | Rs. 1,000 (inclusive of taxes) |
| Loan cancellation charges | Rs. 2,360 (inclusive of taxes) |
| Duplicate NOC | Rs. 500 (inclusive of taxes) |
| PG facility charges | Rs. 11 (inclusive of taxes) |
How to Avail Credit with Tata Capital's Loan Against Car?
When it comes to availing of a loan, your car can be your asset too. With Tata Capital'scar top-up loan, you can pledge your car as collateral and avail of aninstant Loan On Used Carto meet your financial requirements. That's right. Availing of aLoan On a used carhas never been easier.
Here's how-
-
Refinance
Car refinance enables you to avail of credit against your car. Through car refinancing, you can raise quick funds by pledging your car as collateral. Tata Capital allows you to Refinance acar top-up loanon an existing finance-free car to meet your personal expenses/working capital requirement.
When you refinance acar top-up loanwith Tata Capital, you can get up to 90% of your Car value.
-
CNC- car and cash
CNC is atop-up car loanprogram where we take over the loan of your existing car, and you will receive cash in hand to meet your personal or business requirements. In this option, Tata Capital will fund up to 180% of the Car Value.
-
Multiplier
A multiplier is a one-of-its-kind hybridtop-up car loanprogram where you can secure funds up to 250% of your Car Value. This will depend on a good CIBIL score and a clean repayment history.
-
Repurchase
A used car, a pre-owned vehicle, or a second-hand car is a vehicle that has previously had one or more retail owners. Such cars are sold through a variety of outlets, including franchise and independent car dealers, rental car companies, leasing offices, auctions, and C2C transactions.
Re-purchase is atransaction where you buy a car from another customer or a Used Car dealer. In such asituation, Tata Capital will fund up to 100% of the value of the Car. For premium segment cars, we fund up to 110% LTV. In this option, the car ownership will get transferred.
Pre-approved offers for new customers
Almost every category of loan has pre-approved offers. Whether it be personal loans or home loans, these pre-approved offers act as major incentives for customers to avail of loans.
The good news is that apart from existing customers, new customers can avail of pre-approved offers for used car loans too. This can be useful for reasons such as the following:
Interest rates
Because interest rates are of primal importance when it comes to choosing a loan, better interest rates can make repayments easier. With loans against car eligibility pre-approved offers, you can avail of a used car loan at competitive interest rates that are the best in the market.
Quicker processing and disbursem*nt times
No one likes to wait a long time to know if their loans are processed. Generally, the quicker the process, the happier the customer will be. With pre-approved offers, this can be made a reality. Priority is given to such initiatives as this would make the application process much faster than the standard process.
So if you are ever in a hurry or would like to move things quickly, you can always shop around for pre-approved offers with us.
Other benefits
Sometimes, the benefits of pre-approved loans go beyond money. They can include other products, too, such as a free credit score check or even availing of insurance alongside the loan. Such initiatives can be helpful if you’d like more than just the loan, especially if you intend to save money.
Tata Capital, too, offers such pre-approved offers on loans. Get in touch with us online or through a phone call, and we’ll brief you in on more details.
How to Apply for a Loan On a Used Car loan with Tata Capital?
1
Online Application
You can easily avail of aLoan On Used Car onlineby filling out an application form. This form includes your personal as well as financial information.
2
Document Submission
Whether you're availing offinance against carsortop-up loans on a car, you'll have to submit minimal documentation for the application process. The documents required will depend on your type of employment- salaried or self-employed.
3
Verification
After you submit theLoan On existing carapplication and documents, we will verify them to process your request.
4
Approval
After we successfully verify your application and find no discrepancies, you will receive instant approval for your loan on used car.
5
Loan Disbursal
After we approve your LAC ortop-up loan on an existing car loanrequest, we will sanction your loan and disburse the amount directly to your bank account. That's it! You can now use the loan amount to find all your big-ticket expenses.
Payment Options
Pay online
You can pay your Loan On existing vehicle EMIs through our website or using your mobile anytime and anywhere.
Drop a cheque
For an offline approach, you can select a nearby Tata Capital branch, write a cheque, and drop it off at your convenience.
What Our Customers Say About Us
Always had a pleasant experience with Tata Capital.
VIKRAM RAJ BORDOLOI
Used Car Loan | 10 Jul, 2024
Tata Capital is a very good and a friendly company. They help trusted people who are helpless.
RAMAMOORTHY B
Used Car Loan | 01 Jul, 2024
Dear Team Tata Capital has provided the best service.
AFROZKHAN RAHIMKHAN ITAGI
Used Car Loan | 01 Jul, 2024
Thank you for the service all my queries and problems have been solved by the Tata capital team. I am really satisfied.
ASHISH GHOSH
Used Car Loan | 16 Jun, 2024
I am totally satisfied from your service. Thank you for funding me when I required.
AMMUTY RADHAKRISHNA ANANTHNAG
Used Car Loan | 02 May, 2024
I appreciate your service and cooperation during the COVID period especially for providing sufficient time to pay the balance.
VISHNU INDUSTRIAL PRODUCTS
Used Car Loan | 25 Apr, 2024
I am highly obliged by the resolution provided by you people. Really appreciate your help and cooperation. Thanks a lot. God bless you.
DOKADIA MOHD ZAHEER ABDUL SAMAR
Used Car Loan | 13 Apr, 2024
I've had a great opportunity to obtain a loan from Tata Capital without any delays or issues. I'll definitely refer my friends or relatives if they're interested.
K RAMESH BABU
Used Car Loan | 13 Apr, 2024
It's great Experience with the Tata Capital as you solved my issues on time. So I am happy
HANUMAN SAHAY MEENA
Used Car Loan | 26 Mar, 2024
Read All
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Know more about Used Car Loans
Abhi office jaane mein no jhig-jhig. Turn your aspirations into reality and enjoy a hassle-free ride now. Upgrade your daily ride journey with easy used- car loans. Apni khwahish puri karo with Tata Capital used car loans!
8th May 2020 1:00
Eligibility and Documents required for Used Car Loan
20th September 2022 1:57
Popular FAQS
Can I reduce or change my EMI?
No, your EMI will remain the same throughout the2nd hand car loan. However, you can enjoy flexible solutions with Tata Capital that fit your2nd hand car financerequirement.
How can I repay the Used Car Loan?
You can repay your loan through ECS, Direct debit, and post-dated cheques drawn on "Tata Capital Limited".
What are the minimum and maximum loan amounts for a 2nd hand car loan?
With Tata Capita, you can avail of a Loanstarting from ₹ 1,00,000/- up to ₹ 50,00,000/- depending on your eligibility.
How does a used car loan work?
When you avail of a loan for buying a used car, you receive the loan amount in a lump sum after the submission and verification of relevant documents. You have to repay this principal amount along with the applicable interest over a pre-determined tenure. You can apply for aused car loanonlinefor faster loan processing.
What are the benefits of a used car loan?
Availing of aused car loanhas the following benefits –
Easy car purchase –Bring home your favourite car in only a few simple steps.
No collateral needed –Your four-wheeler will serve as theused vehicle loansecurity. You don't have to pledge any other asset while availing offinance for used cars.
High loan amount –You can get a loan as high as Rs. 50 lakhs to buy the car of your choice.
Minimum paperwork –You can apply forused car loans onlineto avoid any hassle related to lengthy paperwork.
Repayment flexibility –You can choose between fixed and flexi EMI plans to repay your2nd hand car financecomfortably.
What are the minimum and maximum used car loan amounts?
Every lender has a minimum and maximum amount you can borrow as a loan. Tata Capital offersused car financethat covers a wide bracket - from Rs. 1 lakh to Rs. 50 lakhs.
What is the interest rate for a used car loan?
Used four-wheeler loan interest rateis the rate at which you have to pay interest on the principal loan amount for a pre-determined tenure. Tata Capital’s used four-wheeler loan rates start at just 15% - one of the most competitive interest rates in the market.
What is the maximum tenure available for a used four-wheeler loan?
Loan tenure is the period within which you need to repay your loan, including the interest. Tata Capital's maximum tenure is 72 months or 6 years.
What are the second-hand loan eligibility and documents required for salaried individuals?
For salaried individuals, theloan eligibilitycriteria are –
The age of the applicant must be between 21 and 65 years.
The minimum monthly salary must be Rs. 20,000.
At least one year of work experience is mandatory.
Photo identity proof documents
Income proof documents
Salary slips for the past three months
Address proof documents
Vehicle Registration Certificate
Telephone or mobile bill
Salaried individuals need to furnish –
What are the second-hand loan eligibility and documents required for self-employed individuals?
The following are thesecond-hand car loaneligibility criteria for self-employed individuals –
Age must be between 21 and 65 years.
A minimum annual income of Rs. 2 lakhs.
The business must have been in existence for at least three years.
Identity proof
Copy of their signature
Address proof
Income proof for the past three months
Telephone or mobile bill
Self-employed individuals need to furnish –
How long does it take to process a used four-wheeler loan?
An online approval takes only about 30 minutes. However, the entire process, from documentation to loan sanctioning can take anywhere from 24 to 36 hours.
Who can be the co-applicants of the used four-wheeler loan?
A co-applicant is a person who applies for a loan along with the main borrower. They will be equally responsible for the loan repayment in case of any default by the primary borrower. If you want to improve your loan eligibility, you can have a co-applicant apply along with you.
The following are the acceptable co-applicants for asecond-hand car loan–
Spouse
Family member
Blood relatives
Do you need collateral for a loan to buy second-hand car?
No, you don't need any additional collateral or security for the loan. The car for which you take the loan is itself the collateral that is needed, hypothecated to Tata Capital documentation.
How do I approach Tata Capital for a second-hand car loan?
You can apply for aused car loan financingwith Tata Capital in the following ways –
Apply online through our website.
Email our customer support team.
Call us on our toll-free number – 1860 267 6060.
Take the help of our virtual assistant, TIA.
Visit a nearby branch and talk to our lending experts.
What is the used car loan eligibility for Tata Capital?
To avail of a loan from Tata Capital as a salaried individual, you must pass the followingused car loan eligibility check–
Age – Between 21 to 65 years
Monthly salary – at least Rs. 20,000
Work experience – minimum of one year
Age – 21 to 65 years
Business stability – minimum three years
Annual income – minimum Rs. 2 lakhs
For self-employed individuals, you must pass the followingused car loan eligibility check–
How does monthly income affect your eligibility for getting a loan?
To determine yourused car loan eligibility, checkyour current and potential income. You will need to repay your loan in Equal Monthly Instalments or EMIs. Income plays a key role in determining how much money you can spend each month to pay yourloan EMI. The higher your income, the higher will be your eligibility and vice-versa. A high income also makes you eligible to borrow a higher loan amount.
What are the factors that affect used car loan eligibility?
The following factors affect an applicant’sused car loan eligibility–
Credit or CIBIL score –A high CIBIL or Credit score, preferably 750 or above, increases your eligibility.
Income –The higher the income, the more eligible you will be to opt for a higher principal loan amount.
Work stability –Your work stability will also impact your eligibility for apre-owned car loan. It is important to have a stable employment status (in the case of salaried individuals) and business status (in the case of self-employed individuals).
Car type –Since the car will be the collateral for theused four-wheeler loan, lenders will also consider its age and make. A car with a high resale value and young age will increase loan eligibility.
Is a car valuation required prior to loan approval?
Yes, a car valuation is required before approving your loan on the car at Tata Capital. This is because the used car acts as collateral and determines your loan eligibility. This makes verification doubly necessary.
With Tata Capital’s loans on cars, you can finance the purchase of second-hand passenger vehicles, including hatchbacks, sedans, SUVs, MUVs, etc. That said, remember that car models that are now out of production are not eligible for a loan on used cars.
How does a Loan Against Car Work?
A loan against a car is a simple and hassle-free way to access a loan amount of up to Rs. 50 lakhs to buy a vehicle without dipping into your savings.
In this loan, your vehicle acts as collateral against which a loan amount is disbursed to your account. All new passenger vehicles, including hatchbacks, sedans, SUVs, MUVs, etc., are eligible for a loan on used car finance.
Note that commercial cars, yellow plate vehicles and car models that are now out of production are not eligible for a loan against vehicles.
How much loan can I get against my car?
You can get a loan against car eligibility pre-approved offers ranging between Rs.1 lakh to 50 lakhs with Tata Capital. You also get a flexible loan repayment tenure that can be extended up to 72 months. We also offer online and offline payment methods to help you pay the loan conveniently.
What is the rate of interest on a loan against a car?
Tata Capital offers the industry's lowest loan against car interest rates, starting at 12.99%. Such low interest rates mean you pay lower overall interest on your car loan. This reduces your monthly EMIs.
Note that the interest rate is determined by various factors such as your eligibility, income, the car against which the loan is requested, and so on.
A high down payment, for instance, highlights that you are a financially responsible individual and can repay the loan, reducing your loan against car interest rates. Whereas, a high CIBIL score (750 or above) and a healthy loan repayment pattern indicate that you are more likely to pay off your debts on time.
While a higher and more stable income may indicate a better loan repayment ability, a better used car will have a higher value. You can get a used car loan at a lower interest rate in all these instances.
Is a guarantor required for a loan against car?
No, typically a guarantor is not required for a loan against a car. The car itself serves as collateral, reducing the need for additional guarantees.
What is the minimum CIBIL score required to get a loan against car?
The minimum CIBIL score required to get a loan against a car usually ranges from 650 to 750, depending on the lender. A higher score improves the chances of approval and may result in more favourable terms.
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