Car Loan Interest Rates

Car Loan Interest rates are expressed as Annual Percentage Rates (APR) and are based on a variety of factors including your income, debt and credit score, value of the vehicle, the amount of the Car Loan, its duration and the RBI Repo Rate. The interest rate on a Car Loan is not directly influenced by the kind of vehicle, although it may be impacted by the car's price. Our Car Loan interest rates are amongst the lowest.

ICICI Bank offers you the best deals for financing your new car at Low Interest Rates, Low EMIs, minimal paperwork and quick disbursement. Apply for a Car Loan now.

  • New Car: Interest rate* is based on Car Segment, CIBIL Score, Customer Relationship, Tenure of Loan, etc

  • User Car: Interest rate* is based on Customer Relationship, Age and Segment of Car, Product Variant like Purchase, Top up, Refinance, etc

Car Loans - Indicative lending rates effective from 16th Jun, 2022
Tenure of credit facility 12-35 months 36-38 months39-96 months
New Car Loans Attractive Interest Rate from 8.80% Attractive Interest Rate from 8.3% 7.85%* onwards based on CIBIL score and car model.
Used Car Loans 11 % to 15.50% based on car segment

Popular FAQs

Define a Car Loan Interest Rate?

A Car Loan Interest Rate is the Interest Rate charged by ICICI Bank for a loan to buy a car/vehicle. It shows the percentage of principal you will pay each month, in addition to a part of the principal, the sum of which represents your EMI.

How does the tenure affect my Car Loan Interest Rate?

If the tenure of your Car Loan is short, the Car Loan Interest Rate will be higher as compared to a longer tenure. If we increase the tenure, the Car Loan repayment is spread over a longer time, thus decreasing the EMI to be paid each month.

Will the Car Loan interest be Fixed or Fluctuating?

The Car Loan interest will be Fixed i.e. The Car Loan interest rate will stay constant for the duration of the loan. Market changes will have no effect on the fixed interest rates.

What is the normal interest rate on a Car Loan?

The Car Loan Interest Rate for pre-approved ICICI Bank customers starts at 7.85% p.a.* and 7.99% p.a.* for non-pre-approved customers.

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