Bank of Maharashtra Car Loan
Last Updated : Dec. 30, 2017, 12:09 p.m.
About Bank of Maharashtra Car Loan
Bank of Maharashtra, a major public sector bank founded about 8 decades back in 1935, has grown stronger with the years that have gone by in its journey. It’s been possible due to the custom suite of products that the bank offers to various customers depending on their needs. In today’s times, most wish to have a car and you can get that dream materialized with Bank of Maharashtra that offers a car loan at eye-catching interest rates. Even charges like processing fee and others are kept to a level that you can be affordable for many. So, let’s gear up to be in the driving seat via Bank of Maharashtra Car Loan.
Bank of Maharashtra Car Loan Interest Rate
| Particulars | Details |
|---|---|
| Interest Rate | 6.40% onwards |
| Loan Amount | New Cars : Upto 36 times of the net monthly salary or pension, Upto 2 times average annual income based on ITR for the last 2 years. Pre-owned Cars: Upto 5 years |
| Loan Tenure | New Cars :Upto 7 Years Pre-owned cars(not older than 3 years) : 5 years |
| Processing Fee | New Cars : Waived off uptil 31.12.2017 Pre-owned cars: 0.25% of the Loan Amount (Min.:₹ 500/-) |
| Prepayment Penalty | As Applicable |
Bank of Maharashtra Car Loan Eligibility Criteria
Bank of Maharashtra puts in place a list of necessities that the borrowers need to meet so as to enjoy a hassle-free car loan approval. You can take a look below to find out the eligibility criteria.
- Permanent employees of state and central government, public sector firms, along with corporate salary account holders with a minimum 1 year of confirmed service in the existing organization.
- Pensioners of central and state government or any PSU having a pension of atleast ₹ 25,000
- Businessmen or self-employed individuals with their ITR of last 2 years showing a regular source of income.
- Sole proprietorship concerns, partnership firms and companies must put 2 year IT return or their income stability through audited balance sheet and profit & loss account.
- Farmers with 5 acres of land with sufficient income are also eligible to apply for a loan
- While salaried and pensioners must have a net annual income of ₹ 3 lakhs, the others must have an annual income of ₹ 4 lakhs.
Bank of Maharashtra Car Loan EMI Calculator
A clarity on the amount of Equated Monthly Installment (EMI) is what many like you would like to have. Here, you can use the bank’s car loan EMI calculator to compute the monthly installment. But before that, you should be aware of what EMI constitutes. It combines the portions of interest and principal amount towards a loan. In the initial tenures, the interest portion in EMI would be more compared to the principal amount. But as the loan approaches the fag end, the principal repayment amount becomes higher than interest. The EMI calculation is contingent upon three factors- loan amount, interest rate and the tenure. So, just enter these variables and find the result. The calculator also shows the amount of interest that would go out of your pocket over the loan tenure. For example- If you want to avail a car loan of ₹6 lakhs for a period of 7 years, what would be the EMI and interest outgo at the existing interest rate?
Table Showing Repayment of EMI, Interest Outgo and Total Outflow Over the Loan Term
| Loan Amount (In ₹) | Tenure | Interest Rate (In ₹) | EMI (In ₹) | Total Interest Outgo (In ₹) | Total Payout ((In ₹) |
|---|---|---|---|---|---|
| 6,00,000 | 1 | 6.40% onwards | 52,401-52,471 | 28,816-29,651 | 6,28,816-6,29,651 |
| 6,00,000 | 2 | 6.40% onwards | 27,342-27,411 | 56,210-57,860 | 6,56,210-6,57,860 |
| 6,00,000 | 3 | 6.40% onwards | 19,010-19,080 | 84,364-86,874 | 6,84,364-6,86,874 |
| 6,00,000 | 4 | 6.40% onwards | 14,860-14,931 | 1,13,275-1,16,689 | 7,13,275-7,16,689 |
| 6,00,000 | 5 | 6.40% onwards | 12,382-12,455 | 1,42,940-1,47,301 | 7,42,940-7,47,301 |
| 6,00,000 | 6 | 6.40% onwards | 10,741-10,815 | 1,73,354-1,78,703 | 7,73,354-7,78,703 |
| 6,00,000 | 7 | 6.40% onwards | 9,577-9,653 | 2,04,510-2,10,890 | 8,04,510-8,10,890 |
Amortization Schedule of Loan Repayment
| Year | Principal (In ₹) | Interest (In ₹) | Outstanding Balance (In ₹) |
|---|---|---|---|
| 1 | 64996 | 49934 | 5,35,004 |
| 2 | 70916 | 44014 | 4,64,088 |
| 3 | 77377 | 37553 | 3,86,712 |
| 4 | 84425 | 30505 | 3,02,286 |
| 5 | 92116 | 22814 | 2,10,171 |
| 6 | 1,00,507 | 14423 | 1,09,663 |
| 7 | 1,09,663 | 5267 | 0 |
Documents Checklist to Avail Bank of Maharashtra Car Loan
| Documents | Salaried | Self-employed |
|---|---|---|
| Identity Proof | Passport/ Voter ID/ PAN Card/Aadhaar Card | Passport/ Voter ID/ PAN Card/Aadhaar Card |
| Residence Proof | Passport/ Utility bill/ Allotment Letter/Aadhaar Card | Passport/ Utility bill/ Allotment Letter/Aadhaar Card |
| Income Proof | Latest Salary Slip, Form 16 | ITR, Profit & Loss A/c and Audited Balance Sheet for Last 2-3 Years |
| Bank Statement | Last 6-month Bank Statement | Last 6-month Bank Statement |
| Business Establishment Proof | Utility Bills of Firms, Tax Registration Copy |
Bank of Maharashtra Vehicle Loan Application Form
You can access the car loan application form online by visiting the official website of Bank of Maharashtra. The form can be accessed by clicking ‘Apply Now’ under Online Vehicle Loan. Upon a click, you will be directed to a page asking you to submit your personal, professional and car details before submitting the same to the lender for processing your application. Bank of Maharashtra would disburse the loan only when it is convinced about the details submitted by you in its investigation process.
