May 2024 Car Loan Rates from Top Banks

May 2024 sees a spread of car‑loan APRs that can shift a monthly payment by several hundred rupees, making it vital for shoppers to compare offers before signing.

Rates across major lenders

Below is a snapshot of the APR range, typical monthly installment and processing charge each lender posted on 15 May 2024. Figures assume a standard loan amount and term; actual amounts will vary.

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• Union Bank of India: 8.70‑10.45 % | 10,307‑10,735 Rs | 1,000 Rs
• Punjab National Bank: 8.75‑10.60 % | 10,319‑10,772 Rs | 0.25 % (1,000‑1,500 Rs)
• Bank of Baroda: 8.85‑12.70 % | 10,343‑11,300 Rs | up to 2,000 Rs
• Canara Bank: 8.70‑12.70 % | 10,307‑11,300 Rs | 0.25 % (max 2,500 Rs)
• Bank of India: 8.85‑10.85 % | 10,343‑10,834 Rs | 0.25 % (1,000‑5,000 Rs)
• UCO Bank: 8.45‑10.55 % | 10,246‑10,759 Rs | nil
• State Bank of India: 8.75‑9.80 % | 10,319‑10,554 Rs | up to 1,500 Rs
• IDBI Bank: 8.80‑9.60 % | 10,331‑10,525 Rs | 2,500 Rs
• Bank of Maharashtra: 8.70‑13.00 % | 10,307‑11,377 Rs | 0.25 % (1,000‑15,000 Rs)
• Indian Overseas Bank: 8.85‑12.00 % | 10,343‑11,122 Rs | 0.50 % (500‑5,000 Rs)
• ICICI Bank: 9.10 % onward | 10,403 Rs onward | up to 2 %
• HDFC Bank: 9.20 % onward | 10,428 Rs onward | 0.50 % (3,500‑8,000 Rs)
• Karnataka Bank: 8.88‑11.37 % | 10,350‑10,964 Rs | 0.60 % (3,000‑11,000 Rs)
• Federal Bank: 8.85 % onward | 10,343 Rs onward | 2,000‑4,500 Rs
• Punjab and Sind Bank: 8.85‑10.25 % | 10,343‑10,685 Rs | 0.25 % (1,000‑15,000 Rs)
• South Indian Bank: 8.75 % onward | 10,319 Rs onward | 0.75 % (max 10,000 Rs)
• IDFC First Bank: 9.75 % onward | 10,562 Rs onward | up to 10,000 Rs
• City Union Bank: 14.45‑14.95 % | 11,751‑11,882 Rs | 1.25 % (min 1,000 Rs)

Some lenders also market zero‑down options, allowing borrowers to finance the full on‑road price. That can ease cash flow but usually comes with a higher APR.

Key considerations for borrowers

Credit history remains a strong lever; borrowers with scores above 750 often qualify for the lower end of the APR bands. A modest dip can push the APR up by a point or two, inflating the monthly payment.

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Tenure choices affect the payment size. HDFC extends up to eight years for electric models, spreading the cost thinner but raising total interest.