PNB Car Loan Interest Rates
Punjab National Bank offers car loans to customers at a minimal interest rate starting from 7.35% with a repayment tenure of 1 year to 7 years. The PNB car loan interest rate depends on various factors such as loan amount, repayment tenure, old or new car, and credit score.
Features of PNB Car Laon 2022
| Interest Rate | 7.35% p.a. |
| The minimum loan amount available | Rs. 2,00,000 |
| The maximum loan amount available | 85% of the on-road amount and 100% of the ex-showroom price |
| Tenure | 1-7 years |
| Lowest EMI/ Lac | Rs 1596 |
| Minimum Monthly Income required | Rs.20,000 |
| Minimum ITR for self-employed | Rs. 3,00,000 |
| Age | Salaried people: 21 yrs to 60 yrs Self-employed: 21 yrs to 65 yrs |
| Types of cars | For All New Passenger Cars, Multi Utility Vehicles (MUVs), and Sport Utility Vehicle (SUVs). |
| PNB car loan processing fees | Up to 0.40% of the loan amount |
| Foreclosure fees | NIL |
| Documents required | ID Proof, Address Proof, Salary Slip, Bank Statement, and Car Quotation |
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PNB car loan interest rate, fees, and charges
| Charges | New Car Loan | Used Car Laon |
| PNB Car Loan Interest rate | 7.35% pa. | From 7.50% p.a. |
| Processing fees | 0.40% | 0.40% |
| Issuance of Repayment Schedule Charges | Rs.500 per instance | Rs.500 per instance |
| Foreclosure Charges | NIL | NIL |
| Penal Interest | 2% per month | 2% per month |
| Part Payment Charges | 2% of the Paid amount | 2% of the Paid amount |
| Cheque/Payment Swab Charges | NIL | NIL |
| Documentation charges | Rs. 1500 per instance | Rs. 1500 per instance |
| Issuance of Duplicate No Dues certificate charges | Nil | Nil |
| Registration certification collection charges | NIL | NIL |
| Cheque Bounce/ Instrument return charges | Rs. 150+ GST | Rs. 150+ GST |
| Issuance of Duplicate Statement Charges | NIL | NIL |
| Loan Cancellation/ Re-Booking Charges | NIL | NIL |
| Issuance of Credit Report | Rs.50 per instance | Rs.50 per instance |
Factors Affecting PBN Car loan rates and eligibility
There are various factors responsible for deciding the PNB car loan interest rates and eligibility:
- Applicant’s Income: If you have a high income, PNB car loan interest rates will be less as you can pay back the loan at costly EMIs. Similarly, with a higher income, you will get the loan quickly. High income indicates a higher repayment capacity. To be eligible for a PNB car loan, your income should be a minimum of Rs.3 lacs.
- Loan Amount: PNB car loan interest rates are lower when you apply for a lower loan amount because the interest rate is calculated on the total loan amount. Similarly, If you apply for a lower loan amount, the chances of approval increase. As bank knows that lower loan amounts can be paid off quickly. They will become more confident to give you a PNB car loan.
- Repayment Tenure: Choose the shorter repayment tenure to reduce the PNB car loan interest rates. Interest rates also depend on the tenure you apply for. Also, If you choose a longer repayment tenure, it reduces the chances of approval. It gives the impression that you don’t have enough sources to pay back the loan.
- Credit Score: A good credit score will help you get the PNB car loan interest rates. A CIBIL of 750 or above is considered a good credit score. If you have maintained a good credit score, the bank will approve your loan quickly.
- Relationship with Bank: PNB bank offers instant car loans to their existing customers at their convenience with minimum documents because the bank knows them already. Bank will also give some relaxation in PNB car loan interest rates to such customers.
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Documents required for PNB car loan
The documents required for a PNB car loan are listed below in the table
| Documents | Salaried individual | Self-employed individual | Partnership firms | Private Limited |
| Identity Proof (Any1) | Driving LicenseAadhar cardPassportPAN CardVoter ID | Driving LicenseAadhar cardPassportPAN CardVoter ID | Driving LicenseAadhar cardPassportPAN CardVoter ID | Copy of latest MOA Copy of incorporation Copy of latest AOA |
| Address proof (Any 1) | Driving LicenseAadhar cardPassportPAN CardVoter ID | Driving LicenseAadhar cardPassportPAN CardVoter ID | Driving LicenseAadhar cardPassportPAN CardVoter ID | 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 |
| DOB (Any 1) | Driving LicensePassportPAN CardBirth Certificate | Driving LicensePassportPAN CardBirth Certificate | — | ——– |
| Signature proof | PassportBankers verificationPAN | PassportBankers verificationPAN | —- | —— |
| Income proof | Latest form 16 and salary slip | Latest form 16 and salary slip | Audit Balance Sheet P&L account previous 2 years ITR | Audit Balance Sheet P&L account previous 2 years ITR |
| Bank statement | Last 3 months | Last 3 months | Last 3 months | Last 3 months |
| Employment/ Business continuity Proof | Work experience certificateForm 16 for ITRSalary slip with joining dateAppointment letterLetter of relieving | Shop & Establishment Act CertificateCurrent Account StatementSSI or MSME Registration certificateSales Tax or VAT certificate | Certificate for Shop & Establishment ActCurrent Account StatementSSI or MSME Registration certificateSales Tax or VAT certificate | Certificate for Shop & Establishment Act Current Account StatementSSI or MSME Registration certificateVAT certificate |
| Additional documents | —- | —– | Authority Letter? PAN Cards | List of Directors and Shareholding Partners PAN Card Board Resolution Certificate of Commencement of Business for Ltd. Co. |
Eligibility criteria for PBN Car loan Rates
PNB has set some criteria the candidate must fulfill before applying for the pnb car loan. So, if you are also willing to apply for pnb car loan, check the eligibility criteria mentioned below:
- Eligibility criteria for Salaried person
Age: Age should be 21 years to 60 years
Monthly Income: minimum Rs 20,000
Employment duration: Minimum 1 year
Income eligibility: Depends on form 16 and pay slip
- For a self-employed person
Age: 21 years to 65 years
Minimum ITR– Rs. 4 lacs to Rs.18 lacs
Employment duration– Minimum 3 years
Income eligibility: Depends on the latest ITR
- For Self employed Non- Individuals (Companies/partnerships)
Minimum ITR– Rs 4 lacs, Rs 18 Lacs
Employment duration: Minimum 3 years
The applicant has to present ITR and Audit financials for the last 2 years with calculated income
- Priority customers
Vintage of at least 6 months
Average Quarterly Balance: Minimum Rs.1 lac for last 2 quarters
Minimum Loan Amount: 3x avg quarterly balance
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PNB car loan Rates and Charges
| Features | New car loan | Used car loan |
| Processing Fee | 1.00% Min Rs. 5000 Max Rs. 10,000 | 2.00% Min Rs. 5000 |
| Loan Tenure | 1-7 years | 1-7 years |
| Lowest EMI | Rs.1,556 per lac | Rs. 1,556 per lac |
| Loan Amount | Up to 100% of Ex-showroom price | Up to 100% of market value |
| Prepayment Charges | 5% from 13-24 months, 3% after 24 months | Not allowed for 6 months, 6% fee from 7-12 months, 5% from 13-24 months, 3% after 24 months |
PNB car loan interest rate pre-calculated EMI
Here are some pre-calculated EMI according to PNB car interest loan rates. It will give you a rough idea of how much EMI you have to pay for a particular loan amount and tenure.
| Loan Amount | 2 years | 3 years | 5 years | 7 years |
| 1 Lac | Rs.4,480 | Rs. 3,090 | Rs. 1,982 | Rs. 1,512 |
| 3 Lacs | Rs. 13,439 | Rs. 9,270 | Rs.5,947 | Rs. 4,535 |
| 5 Lacs | Rs. 22,398 | Rs. 15,450 | Rs. 9,912 | Rs. 7,559 |
| 10 Lacs | Rs. 44,795 | Rs. 30,900 | Rs. 19,825 | Rs. 15,117 |
Tips to Decide the right amount of EMI according to PNB car loan interest rate
Before applying for a PNB car loan, you must be clear about how much EMI you can pay without getting into stress. The following tips will help you determine the amount of EMI you must set for your PNB car loan interest rates.
- Ascertain the amount you need to borrow: Before approaching PNB for a car loan, you must inform them about the loan amount you need. Limit your loan amount according to your other expenses and funds.
- Review your current obligations: Before applying for a loan, you must check your expenses or any EMI obligation on a current loan. It will help you determine the EMI amount you can pay comfortably without disturbing the already existing obligations.
- Calculate your PNB car loan eligibility: The PNB car loan eligibility is an assessment of your repayment capacity. Bank provides LTV up to 100% of the ex-showroom price and expects the borrower to fund the remaining value on their own.
- Multiplier-based loan amount eligibility: PNB calculates your eligibility by applying a multiplier on your in-hand salary. It makes the eligibility calculation easy.
- FOIR-based loan amount eligibility: PNB estimates your FOIR (Fixed income to obligation ratio) to determine the maximum EMI you can pay. So, it’s better to keep lesser obligations.
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Frequently Asked Questions
Q1. How much processing fees are applicable on a PNB car loan?
Ans: PNB charges 0.40% of the loan amount as the processing fees.
Q2. How to pay PNB car loan interest rates online?
Ans: PNB accepts payments through net banking for pnb car loan interest rates.
Q3. What are the types of cars for which PNB is offering loans?
Ans: PNB offers various types of cars on loans, such as Sedans, hatchbacks, jeeps, vans, SUVs, and MUVs.
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