IDFC First Bank Car Loan

IDFC First Bank Car Loan Key Features Jan 2021

Interest Rate 7.25%* per annum
Min Loan Amount ₹ 100,000
Max Loan Amount
(Loan to Value)
Loan up to 85% of On Road Price
or 100% of Ex-showroom Price
Loan Tenure 1 year to 7 years
Lowest EMI / Lac ₹ 2,311
Minimum Net Monthly Income ₹ 15,000
Minimum ITR for Self Employed ₹ 300,000
Age Criteria Salaried: 21 years to 60 years
Self Employed: 21 years to 65 years
Types of Cars For All New Passenger Cars, Multi Utility Vehicles (MUVs), and Sport Utility Vehicle (SUVs).
Processing Fee Up to 0.40% Only
Foreclosure Charges  5% of the principal outstanding
Basic Documentation ID Proof, Address Proof, Salary Slip, Bank Statement, and Car Quotation

About IDFC First Bank Car Loan

IDFC First Bank is an Indian banking company with headquarters in Mumbai that forms part of IDFC, an integrated infrastructure finance company. The bank started operations on 1 October 2015. IDFC FIRST received a universal banking license from the Reserve Bank of India (RBI) in July 2015.

IDFC First Bank provides Car Loans at attractive rates of interest to the consumer for buying their dream car whether new or second hand. It is an easily available loan that can be procured by anyone even by ones who have a slightly low credit/CIBIL score.

Advantages of IDFC First Bank Car Loan

IDFC First Bank Car Loan

IDFC First Bank Car Loan Eligibility

Salaried Individual
  • Age – 21-60 years of age
  • Net Monthly Income – should be a minimum of ₹ 15000
  • Employment Duration – Minimum 1 year
  • Income Eligibility – Depends on Form 16 and Salary Slip
Self-Employed Individuals
  • Age – 21-65 years of age
  • Minimum ITR  – Rs. 4 lakh, Rs. 18 lakhs (for selected car models)
  • Employment Duration – Minimum 3 years
  • Income Eligibility – Depends on the latest Income Tax Returns
Self-Employed Non-Individuals (Company/Partnership)
  • Minimum ITR  – Rs. 4 lakh, Rs. 18 lakhs (for selected car models)
  • Employment Duration – Minimum 3 years
  • The applicant has to present IT returns and audited financials of 2 years with Calculated Income.
Priority Customers
  • Applicant should have a vintage of at least 6 months
  • Average Quarterly Balance – Minimum Rs.1 lakh for last 2 quarters
  • Maximum Loan Amount – 3 X Average Quarterly Balance of Last 2 quarters

IDFC First Bank Car Loan Interest Rate, Fees, and Charges

Charges New Car Loan Used Car Loan
Interest Rate  7.25% p.a. 14.80% p.a. to 16.80% p.a.
Processing fee Up to 0.40% Only 0.40% 
Issuance of Duplicate Repayment Schedule Charges Rs.500 per instance Rs.500 per instance
Foreclosure Charges 5% of the principal outstanding 5% of the principal outstanding
Penal Interest 2% per month 2% per month
Part Payment charges 5% of the paid amount 5% of the paid amount
Cheque/Instrument Swap Charge Rs.500 per instance Rs.500 per instance
Documentation Charge Rs.500 per instance Rs.500 per instance
Issuance of Duplicate No Dues Certificate Charges Rs.500 per instance Rs.500 per instance
Registration Certification Collection Charge Rs.200 per instance Rs.200 per instance
Cheque Bounce/Instrument Return Charges Rs.500 per instance Rs.500 per instance
Issuance of Duplicate Statement Charges Rs.500 per instance Rs.500 per instance
Loan Cancellation/Re-booking Charges Rs.2,500 per instance Rs.2,500 per instance
Issuance of Credit Report Rs.50 per instance Rs.50 per instance

How to Increase Your Eligibility for IDFC First Bank Car Loan

  • Apply for a shorter tenure – When you go for a short tenure, to repay the money, the EMI that is to be paid by you each month will be higher. This will prove that you have the capability to repay the loan amount which will automatically build a sense of confidence in you. So, if you wish to increase your eligibility for a car loan, you can opt for a shorter repayment tenure.
  • Keep your credit score in check – To increase your eligibility for an IDFC First Bank car loan, you have to ensure that you have a credit score of over 750. You may use the Free Credit Score tool to check your credit score. This will let you take corrective measures to improve it in case your score is low.
  • Maintain a low debt-to-income ratio – A low debt-to-income ratio means that you can balance between your earnings and your spendings. Before any bank decides to lend to you, they will check the percentage of your earnings that goes into paying your debts and a low debt-to-income ratio will indicate your high repayment capacity. To enhance your eligibility for a car loan, you have to check that you maintain a low debt-to-income ratio.
  • Apply for a loan for a lower amount – By applying for a loan of a lower amount, you can increase your eligibility for an IDFC First Bank car loan. A lower loan amount will mean that the loan will be repaid faster and this will give the bank all the confidence it needs.

Factors Affecting IDFC First Bank Car Loan Eligibility

The eligibility for availing of an IDFC First Bank car loan will depend on the below-given factors:

  • Income – If your income is on the higher side, there is a good chance that your eligibility for an IDFC First Bank car loan will be higher. This is because a higher income indicates a higher repayment capacity. To be eligible for an IDFC First Bank car loan, your yearly income should be at least Rs.3 lakh.
  • Loan amount – Your eligibility for a car loan from IDFC First Bank will be higher if you apply for a lower loan amount as if the loan amount is lower, the bank knows that the loan will be paid off quicker. Hence, they will be more confident to give you the loan.
  • Repayment tenure – Choosing a longer repayment tenure can decrease your eligibility for a car loan. It might give an impression to the bank that you do not possess the ability to pay the loan. This is because longer repayment tenure results in lower EMIs and the lender will think that you cannot afford to pay higher EMIs. Therefore, the bank may be reluctant to lend to you.
  • Credit score – This is an important factor that every bank, including IDFC First Bank, considers when finding out your eligibility for a car loan. A credit score of 750 and above is considered to be a healthy credit score by most lenders. If you have a healthy credit score, banks will be happy to offer you a car loan and your eligibility will be much higher.
  • Relationship with the bank – IDFC First Bank offers instant car loans to their existing customers through the special feature which allows IDFC First Bank customers to can avail themselves of loans instantly, at their convenience, with very few documents required. This indicates that your relationship with the bank is an important factor while determining your eligibility.

IDFC First Bank Car Loan Documents Required

Salaried Individual

Category Documents Required
Identity Proof

 

(Any 1)

Driving Licence
Aadhaar Card
Passport
PAN
Voter ID
Address Proof

 

(Any 1)

Driving Licence
Aadhaar Card
Passport
PAN
Voter ID
Date of Birth Proof

 

(Any 1)

Birth Certificate
Passport
Driving Licence
PAN
Signature Proof

 

(Any 1)

Passport
Bankers Verification
PAN
Income Proof Latest Form 16 and Salary Slips
Bank Statement Bank statement of last 3 months
Employment Continuity Proof Work Experience Certificate
ITR of Form 16
Salary Slip with Joining Date
Appointment Letter
Letter of Relieving

Self-Employed Individuals

Category Documents Required
Identity Proof (Any 1) Driving Licence
Aadhaar Card
Passport
PAN
Voter ID
Address Proof (Any 1) Driving Licence
Aadhaar Card
Passport
PAN
Voter ID
Date of Birth Proof (Any 1) Birth Certificate
Passport
Driving Licence
PAN
Signature Proof (Any 1) Passport
Bankers Verification
PAN
Income Proof Latest Form 16 and Salary Slips
Bank Statement Bank statement of last 3 months
Employment Continuity Proof Shop & Establishment Act Certificate
Current Account Statement
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Business Proof Current Account Statement
Telephone Bill
Electricity Bill
Shop & Establishment Act Certificate
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Registered Lease Document with other utility bills

Self-Employed Non-Individuals:

1. Partnership Firms/Societies

Category Documents Required
Identity Proof (Any 1) Driving Licence
Aadhaar Card
Passport
PAN
Voter ID
Address Proof (Any 1) Driving Licence
Aadhaar Card
Passport
PAN
Voter ID
Income Proof Audited Balance Sheet
P&L Account and ITR for the previous 2 years
Bank Statement Bank statement of last 3 months
Business Continuity Proof Shop & Establishment Act Certificate
Current Account Statement
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Additional documents Authority Letter/PAN cards

2. Private Limited/Limited Companies

Category Documents Required
Identity Proof Copy of Latest MOA
Copy of Incorporation
Copy of Latest AOA
Address Proof (Any 1)
Current Account Statement
Telephone Bill
Electricity Bill
Shop & Establishment Act Certificate
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Registered Lease Document with other utility bills
Income Proof Audited Balance Sheet
P&L Account and ITR for the previous 2 years
Bank Statement Bank statement of last 3 months
Business Continuity Proof Shop & Establishment Act Certificate
Current Account Statement
SSI or MSME Registration Certificate
Sales Tax or VAT Certificate
Additional documents
List of Directors and Shareholding Partners
PAN Card
Board Resolution
Certificate of Commencement of Business for Ltd. Co.

IDFC First Bank Car Loan EMI Calculator

The applicant has the option to know the EMI’s before availing of a Car Loan. Thus, you can easily check through the link below:

Car Loan EMI Calculator

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IDFC First Bank Car Loan Types

IDFC First Bank offers different types of car loans to its customers. You have the option of choosing the offer which suits your need the best. It offers the following types of Car Loans:

  1. New Car Loan –  Those who wish to buy a new car, this is the scheme for you. You can take IDFC First Bank Car Loan for a minimum of Rs. 1 lakh and a minimum tenure of 7 years.
  2. Used Car Loan – If you wish to buy a used car then you can choose this scheme which offers a minimum loan of Rs. 1 lakh and a minimum tenure of 5 years.
  3. Loan Against Car – You can opt for this scheme if you require urgent funds where you can keep your cars as collateral with the bank where you can get Rs. 10 lakh or up to 50% of your car’s value.

IDFC First Bank Car Loan Pre Calculated EMI

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How to Apply for IDFC First Bank Car Loan?

  1. Visit Truthsawer 
  2. Go to IDFC First bank page.
  3. Complete the car loan application form.
  4. Wait for a call from our Relationship Manager who will guide you throughout the process.
  5. You can compare different offers from banks and NBFCs and choose the one which suits your needs.
  6. Thus, easily apply for a Car Loan through Truthsawer and enjoy the best offers.

Tips to decide the right amount of EMI

  • Ascertain the amount you need to borrow: You should inform the bank about the amount of loan you need to borrow before you actually apply for it and limit your loan amount after accounting for your own available funds. Based on the EMI you can service, try to opt for the lowest tenure of loans, and long tenure loans can result in huge interest outgo.
  • Review your current obligations: Before you take a loan, it is advisable to check your expenses first, including any EMI obligations that you have on your current loans. This will let you figure out the amount of EMI which you will be able to pay comfortably after taking into account other obligations. Once you arrive at the EMI, you can also decide on the right loan tenure.
  • Calculate your IDFC First Bank car loan eligibility: Your eligibility is an assessment of your repayment capacity that is based on your monthly income. IDFC First Bank provides an LTV up to 100 % of the ex-showroom price. They also expect the borrower to fund the remaining value of the property by own money.
  • Multiplier-based loan amount eligibility – IDFC First Bank also calculates your eligibility by applying a multiplier to your net take-home salary. This is the simplest method for calculating loan eligibility used by banks. Usually, it is 2.5 to 3 times the annual salary for salaried individuals and 6 times the annual income for self-employed professionals. The multiplier depends on the bank’s internal categorization of your company that is based on its reputation, stability, size, and growth in turnover.
  • FOIR based loan amount eligibility – IDFC First Bank will also estimate your Fixed Income to Obligations Ratio (FOIR) to find out the maximum EMI you can service based on your current income and other monthly expenses. The bank applies a certain ratio to your income to estimate your monthly expenses and then adds your other EMI obligations to calculate your fixed obligations. The proportion of fixed income to your calculated fixed obligations gives your FOIR. Generally, banks lend up to a maximum FOIR of 0.50. Based on the FOIR, the bank will also estimate the maximum amount of EMI you can service as a borrower. IDFC First Bank’s assessment may be different from your own assessment. Any differences in assessment may require you to readjust your loan amount requirement. You may also consider paying back other running short-term loans to improve your eligibility.

The car loan EMI – EMI changes in case of prepayment

In case you prepay your vehicle loan, the bank will issue a small penalty. Prepayment in IDFC First Bank is 5% from 13-24 months, 3% after 24 months. When you prepay, the outstanding balance on your vehicle loan reduces. IDFC First Bank gives you two options:

  • Reduce your loan tenure and keep EMI on your car loan unchanged
  • Reduce the amount of EMI and keep your loan tenure the same

How to Calculate EMI on IDFC First Bank Car Loan

Before availing of a car loan from IDFC First Bank, you should know how much amount you will be paying every month. This is simply known as EMI  and it offers an easy way to repay your car loan. By calculating the EMI, you will be able to budget your monthly expenses better.

You can also calculate the EMI for your car loan by using the below-given formula:

E = P*r*[(1+r) ^n/((1+r) ^n-1)]

In the above formula, E is the EMI, P the principal amount, r the interest rate, and n the number of years or tenure of the loan.

You can also calculate the EMI by using the EMI Calculator tool wherein you just need to enter the loan amount, interest rate, repayment tenure, processing fee, etc. The tool will calculate the EMI and display it to you.

IDFC First Bank Car Loan for Top Selling Cars

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Other Available Products from IDFC First Bank

IDFC First Bank Personal Loan IDFC First Bank Gold Loan IDFC First Bank Home Loan
IDFC First Bank Credit Card IDFC First Bank Two Wheeler Loan IDFC First Bank Education Loan

Compare IDFC First Bank Car Loan With Other Banks In India

Car loan Banks Interest Rates EMI per Rs 1 lakh for 7 Years
Bank Of Baroda Car Loan 8.80% – 10.55% Rs. 1,599 – Rs. 1,689
Canara Bank Car Loan 8.70% – 9.35% Rs. 1,594 – Rs. 1,627
Corporation Bank Car Loan 8.75% – 9.50% Rs. 1,596 – Rs. 1,634
IDFC First Bank Car Loan 8.50% – 11.25% Rs. 1,584 – Rs. 1,725
ICICI Bank Car Loan 8.82% – 12.75% Rs. 1,600 – Rs. 1,806
Union Bank Car Loan 8.85% – 11.85% Rs. 1,601 – Rs. 1,757
SBI Car Loan 8.65% – 9.70% Rs. 1,609 – Rs. 1,645

FAQs for IDFC First Bank Car Loan

✅ What is the IDFC First Bank Car Loan?

IDFC First Bank car loan is the credit amount granted to its consumers by the organization for the latest or old car.

✅ How can I get a Car Loan from IDFC First Bank?

  1. Minister Truthsawer and fill a card.
  2. Please wait for a proposal from our Relationship Director who will lead you during the process.
  3. You can examine distinct offers from banks and other companies and choose the one which suits your requirements.
  4. Thus, instantly apply for a Car Loan through Truthsawer and enjoy the most suitable offers.

✅ How does IDFC First Bank Car Loan work?

When you apply for a car loan, then you will get a call from our agent and then, there will a record verification process. Then, the loan expense will be charged to your account.

✅ What is the Car Loan Interest Rate in IDFC First Bank?

The percentage rate on a car loan in the IDFC First Bank is 7.25% only.

✅ How to Check Car Loan status in IDFC First Bank?

You can follow your car loan status online on the Car loan status website.

✅ How to Calculate Car Loan Interest in IDFC First Bank?

Use Truthsawer’s EMI calculator to determine the interest as well as the EMI on your loan.

✅ What is the maximum loan amount I can avail of on a Car Loan from IDFC First Bank?

The greatest loan sum you can avail of on a car loan is up to 90% of the On Road Price.

✅  What is the loan tenure of the IDFC First Bank Car Loan?

The loan tenure of the IDFC First Bank Car Loan is a maximum of 7 years.

✅ Can I get a 100% Car Loan from IDFC First Bank?

Yes, you can get a 100% Ex-showroom Price car loan from IDFC First Bank.

✅ How much Processing Fee applies to the IDFC First Bank Car Loan?

IDFC First Bank imposes a processing expense of 0.40% Solely.

✅ What are the EMI options available on the IDFC First Bank Car Loan?

IDFC First Bank Affords pair EMI options Step-up EMI and Balloon EMI.

✅ What are the charges for Prepayment in IDFC First Bank Car Loan?

You can prepay/foreclose your IDFC First Bank Car Loan with 5% as foreclosure costs.

✅ Can I get a top-up loan on my existing IDFC First Bank car loan?

You can get a top-up loan on your current car loan from IDFC First Bank for up to 150% of its value.

✅ Do I need to provide a guarantor to avail myself of a car loan from the IDFC First Bank?

Generally, you don’t need a sponsor for a car loan. However, you may need a guarantor if you don’t fulfill the eligibility standards.

✅ How to get the IDFC First Bank Car Loan Statement?

Get the report in person by touring your office and demanding a detailed report.

                            or

You can perceive the statement online. To do this, you should have IDFC First Bank internet funding initiated.

✅ How to Pay IDFC First Bank Car Loan Interest Online?

Just logon to online IDFC First Bank debt to ‘see and pay’ your bills. You also get an electric acknowledgment for every bill paid by you practicing e-PAY. You can also pay through Paytm.

✅ What if I can’t pay the interest on IDFC First Bank Car Loan for 3 months?

IDFC First Bank imposes 24% of the exceptional amount or a Fee ranging from Rs.500 to Rs.5000 for not paying the EMI for three months.

✅ How can I apply for EMI Moratorium on IDFC First Bank Car Loan?

You can apply for EMI Moratorium on IDFC First Bank Car Loans instantly from the IDFC First Bank website’s Loan corner.

✅ What is the number for the IDFC First Bank Car Loan agent?

Call Truthsawer at 7876737599 as it is one of the most advanced IDFC First Bank Car Loan agents. Truthsawer even ensures the best suggestions on your Car Loan.

✅ Can I close the IDFC First Bank car loan online?

IDFC First Bank car loans can be secured by visiting the nearest branch and clearing the outstanding amount.

✅ What is the IDFC First Bank Car Loan Customer Care Number?

Call 7876737599 and clear any of your questions with us anytime.

✅ How can I get NOC from the IDFC First Bank for a Car loan?

You can get NOC immediately from the branch for IDFC First Bank Car Loans.

✅ What is the IDFC First Bank Car Loan closure procedure?

  • Just go to the bank with the documents.
  • Write a letter for pre-closure of the IDFC First Bank Car Loan account.
  • Pay the pre-closure charges as per IDFC First Bank Car Loan.

✅ What are the IDFC First Bank Car Loan preclosure charges?

IDFC First Bank Car Loan preclosure charges are up to 6%+ GST.

✅ What is the IDFC First Bank Car Loan maximum tenure?

The IDFC First Bank Car Loan’s maximum tenure is 7 years.

✅ What is the IDFC First Bank Car Loan minimum tenure?

The IDFC First Bank Car Loan minimum tenure is 1 year.

 

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