When the borrower executes the car loan’s early payment, either the partial or entire amount of loan, then it is known as prepay in car loan. However, there are several other benefits of prepayment in a car loan that can be availed by the borrower.

In this article, we will discuss the benefits followed by the prepayment charge calculation. But, before that, let us have a look at the car loan fore-closure procedure.

IndusInd Bank offers instant and hassle-free car loan to customers. Click here to know more.

What are the Steps of Car Loan Foreclosure Procedure?

• When purchasing a car, the loan sanctioning bank’s name will be mentioned on the RC (Registration Certificate) of the car.
• The borrower has to collect all the post-dated cheques issued to the bank at the time of foreclosing the car loan.
• The borrower has to ask for No Objection Certificate (NOC) from the bank stating that no dues are pending. The borrower should submit the NOC insurance provider and RTP (Regional Transport Office).
• At the foreclosure of a loan, the borrower must have all the essential documents like tax papers, Insurance documents, Emission Certificate, and Original copy of RC.
• Ask the bank to provide you Form 35, stating that the mortgage terms have been terminated between the borrower and the bank.
• Submit the photocopies of the updated records like RC, Insurance records, and NOC to the insurance provider. So, the insurance provider can serve a mortgage termination letter to the borrower.

What are the Benefits of Prepayment in Car Loan?

Savinginterest costs

The borrower has to pay a monthly EMI payment.However, prepayment in car loan can reduce the cost of borrowings, i.e.Interest amount of loan. But, it will depend on the terms of the loanagreement.

Unlockfinancial resources for other expenditures

This is one of the essential benefits of Prepayment in a Car loan that can be unlocking the funds for other expenses and investments. Even the borrower can use the funds to repay other financial debts like home loan, educational loan, etc. Looking to apply for a car Loan? Click here to get started!

How to do Prepayment Charge Calculation?

Prepayment Charges is a mandated charge imposed by the bank on the early repayment of the car loan. Prepayment Charge Calculation has to be done based on the car loan’s issuing date, tenure of the loan, interest rate, original amount of loan, etc. Some of the calculations require number of months left for the payment of loan EMI’s. However, all the inputs will be varied as per the terms of the loan agreement.

Are you looking for a car loan at lucrative interest rates? Turn to IndusInd Bank car loans. We offer loan options for both new-car and used-car. Our documentation is minimal, and loan processing is quick and hassle-free. So, get in touch today!

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.

If you want to buy your dream car, the best option you have is to apply for a car loan. It is not a complicated process to avail a car loan, and bank can sanction the loan by analyzing your report. For a hassle-free documentation process, you must be ready with required documents before applying for a car loan. Looking for the perfect car loan? Click here to know how to get the best option!

Let us understand some tips and tricks that can help you get the car loan without any complications.

Understand your budget

A car loan is becoming accessible for everyone, but it iscrucial to understand the amount of the car you are opting for. It will helpyou manage the car loan in easy ways, and you can prepare the repayment planbased on your earnings. Always prefer the amount based on your budget andexpenditures.

Loan repayment tenure is crucial to make a budget plan that gives you the idea to pay for the loan. An online EMI calculator can also help you get the right options to apply for the loan.

Check the eligibility

Not every bank needs to give loans for pre-owned cars, so before applying for a car loan, consider with a lender about the deals. Several banks offer multiple plans for car loans as per the eligibility and the modal of the car. Check your eligibility for IndusInd Bank car loans.

Maintain a good credit score

You can create trust among the lenders if your creditscore is high. A good score can help you get the loan amount per your needs,and the lenders don’t ask for several futile documents.

Are you looking for a vehicle loan at lucrative interest rates? Turn to IndusInd Bank. We offer loan options for both new-car and used-cars. Our documentation is minimal, and loan processing is quick and hassle-free. So, get in touch today!

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.

Owning a car is no more a luxury to people. However, some of us still think extensively before buying a car due to fund scarcity. Also, even a new car loan could not be in your budget because of its high-interest rates, processing fees, etc. If so, you can consider the used car loan as the best alternative.

Yes, you heard it right. This blog discusses used car loans with some of its benefits and important things to remember while applying for a used car loan. To apply for an IndusInd Bank used car loan, click here.

What is a used car loan?

Borrowing of funds from financial institutions for buying a well maintained second-hand car is known as used car loan or pre-owned car loan. Many banks and NBFCs offer used car loans at attractive interest rates. Like a new car loan, it also has flexible loan repayment tenure.

Who can apply for used car loan?

Any salaried person and self-employed individuals whether they have sole proprietorship, private / public limited company, HUF or partnership firm are eligible for used car loan. However, all lenders have different set of terms and conditions that need to be fulfilled for used car loan’s approval. Looking to apply for a pre-owned car loan? Click here to get started!

Benefits of used car loan

• Some banks and NBFC provide upto 100% finance on car with longer repayment tenure.
• The depreciation and insurance costs are comparatively less than the new car.
• Most of the banks have a facility of online application for used car loan, which saves time and manual documentation work.
• The borrower can also negotiate on the terms and conditions of used car loan offered by NBFC’s and Banks. In simple words, lenders offer flexible repayment policies.

Points to remember while applying for used car loan

The borrower should keep in mind that all thesecond-hand car documents like sale deed, R.C, pollution certificate, NOC, etcare readily available.

If you are in need of a pre-owned car loan, IndusInd Bank has some lucrative options for you. The vehicle loans come with attractive interest rates and flexible repayable tenures. Enquire now at IndusInd Bank to know more about the used car loans.

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.

Cars are not just a machine with four wheels, it’s an emotion for us. When you buy a car on loan, you are prone to make several mistakes that can shatter your dream of having a car. Always remember to avoid these mistakes while applying for a car loan. IndusInd Bank offers instant and hassle-free car loan to customers. You can apply for a car loan here.

Choosing an irrelevantloan partner can lead to several complications in a car loan. Here is a list offive common mistakes to avoid for a car loan.

• Not tracking the credit score: Your credit score is the key to make your dream of owning a car come true. You can create trust in your lender based on your credit score, and you can check your credit score by using to online credit score toolsto a certain extent.

• Not comparing the loans: Many people directly apply for the loan without comparing the plans. Never forget to compare the interest and benefits from lender to lender.

• No Down Payment: Down payment gives a benefit to reduce the interest rates and loan repayment tenure. Make sure to do some percent of the down payment from the actual value of the car.

• Over borrowing: When you are eligible for a car loan, don’t go for a loan amount more than required. It will always affect your repayment plans.

• Long tenures: Long tenures make you pay more, so always make sure to choose the repayment tenure based on your financial plans.

Are you looking for a vehicle loan at lucrative interest rates? Turn to IndusInd Bank. We offer options for both new car loan and used car loan. Our documentation is minimal, and loan processing is quick and hassle-free. So, get in touch today!

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.

If you are planning to get a loan for your new two-wheeler, you shouldknow about the CIBIL Score or simply putting, CIBIL score for bike loan.

CIBIL score is altogether a credit score. Usually, credit score variesbetween 300 to 900; however, a score past 750 is considered a satisfactorycredit score.  Your credit score is proofof how responsible you are as a debtor. Thus, it makes the whole process ofbuying a two-wheeler trouble-free and comfortable for you by enabling a lowerrate of interest for your purchase.

Your credit/CIBIL score means a good credit rating for bike loan, and you become more capable of getting suitable loan. This even helps you when you look for down payments or minimum EMIs for a bike loan. Click here to apply for your IndusInd Bank two wheeler loan now!

To prevent yourself from paying a large amount, a helpful recommendation is that, first, you should enhance your credit score, and then apply for a bike loan to get reasonable loan conditions that can be easily affordable for you.

Credit Information Bureau India Limited or CIBIL is a Credit InformationCorporation or Company of our nation that maintains the official records anddocuments of all individuals and companies engaged in credit-related activitiesthat include loans and credit cards. CIBIL has an ISO 27001 certification,which is considered as majestic security criteria globally.

The information it provides to various economic organizations andcreditors has a direct impact on them when they screen petitions for crediting.

How can you check your CIBIL Score?

If you want to know about your credit score for bike loan, you can follow these steps to get your Credit Score either offline or online.

Steps to check CIBIL Score Online:

1. Log on to the website https://www.cibil.com
2. Click on “Get your CIBIL score”, placed at the right-hand corner of the page at the top.
3. Now, choose your membership plan for 1 month, 6 months, or 1 year and complete your payment.
4. Register on the site by providing all your details.
5. Your account will get created and you can check your CIBIL score now.

Steps to check CIBIL Score Offline:

1. Download the form from the official CIBIL website.
2. Fill out the form accurately with all your details.
3. Make and attach a demand draft courtesy of TransUnion CIBIL.
4. Mail this form with your Demand Draft to CIBIL’s official address.
5. Your detailed CIBIL report and CIBIL score will be mailed to the address you provided.

If you are in need of a two wheeler loan, IndusInd Bank has some lucrative options for you. The vehicle loans come with attractive interest rates and flexible repayable tenures. Enquire now at IndusInd Bank to know more about the vehicle loans.

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.