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Own your dream car with ICICI Bank Car Loan, offering interest rates starting from 9.1%* per annum with 100% on-road funding and flexible tenures. Enjoy the convenience of low EMIs and minimal documentation, making the application process hassle-free.
When you are applying for a Car Loan, it is important to understand the factors that influence the interest rates, which are as follows:
- Credit score: Your credit history plays an important role. A higher credit score can lead to lower interest rates as it indicates a lower risk to the lender.
- Loan amount and tenure: The amount borrowed and the loan tenure affect the rate. Generally, a higher loan amount or a longer tenure might attract higher interest rate.
- Type of car: The interest rate can vary depending on whether you are buying a new car or a pre-owned (used) car. The interest rates for new cars are lower compared to pre-owned (used) cars.
- Income level and stability: Your income level and job stability reassure lenders of your repayment capacity, potentially affecting your interest rate.
- Market conditions: Economic factors and RBI policies may influence Car Loan interest rates.
ICICI Bank offers competitive interest rates, ensuring your dream car is within your reach.
The Car Loan Interest Rate for ICICI Bank customers is 9.1%* minimum.
Car Loan Rates
Car Loan interest rates are expressed as Annual Percentage Rates (APRs) and are based on a variety of factors including your income, debt, credit score, value of the car, loan amount, loan duration and RBI Repo Rate. Although the type of car purchased does not directly influence the rate, its price may. Car Loan interest rates offered by ICICI Bank are among the lowest in the market.
ICICI Bank offers the best deals for financing your car at lower interest rates and EMIs with minimal paperwork and quick disbursement.
New Car: The interest rate for a new car is based on the car segment, CIBIL Score, customer relationship, tenure of the loan, etc.
Used Car: The interest rate for a used car is based on the customer relationship, age of the car, segment of the car, loan variants like Top-up, Refinance, etc
Car Loan Interest Rates: Effective from 1st January, 2024
| Tenure of credit facility | 12-35 months | 36-84 months | |
|---|---|---|---|
| New Car Loans | 10.20% onwards based on CIBIL score and car segment | 9.10% onwards based on CIBIL score and car model. | |
| Used Car Loans | 11.25 % onwards based on CIBIL score and car segment | ||
Car Loan Interest Rate FAQs
Car Loan interest rate is of two types: Fixed interest rate and Floating interest rate. A Fixed interest rate remains constant throughout the repayment tenure. On the other hand, a Floating interest rate will fluctuate as per the market conditions. You can choose either of them depending on your financial feasibility.
A Car Loan interest rate is expressed as Annual Percentage Rate (APR) and is based on a variety of factors. It is charged by the lender on the loan amount availed by the borrower to purchase a car. Although the type of car purchased does not directly influence the rate, its price may. ICICI Bank offers competitive rates, ensuring lower EMIs, minimal paperwork and quick disbursement for financing your car.
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.
The Car Loan interest will be Fixed i.e. the rate will stay constant for the entire duration of the Loan. Market changes will have no effect on the fixed interest rates.
While applying for an ICICI Bank Car Loan one does not require a guarantor. However, an applicant with a limited credit history or low income may be required to present a guarantor to get quick loan approval.
ICICI Bank offers flexible tenure ranging from 1 year to 7 years. However, the ideal tenure for availing a Car Loan depends on the individual preferences and other factors like budget, repayment capacity etc.
Besides Car Loan, ICICI Bank offers various types of loans such as Personal Loans that are tailored to individual requirements, Business Loans to support entrepreneurial ventures and Home Loans for purchasing or constructing residential properties. With flexible tenures and competitive interest rates, ICICI Bank offers a diverse range of financing solutions to meet various needs.
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