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Union Bank Car Loan

Union Bank of India Auto Loan- Loan for Car

Last Updated 16th Jul 2021

Features and Eligibility Union Bank of India New Car Loan Scheme Union Bank of India Used Car Loan Scheme
Rate of Interest 7.40% Floating 10.40% Floating
Loan Amount Eligibility 85% of on-road price 50% of market value
Lowest EMI per Lakh ₹ 1,529 ₹ 2,144
Apply for Car Loan @ 8.65%*

Union Bank Car Loan

Factors Affecting Union Bank Car Loan Interest Rates

Interest rates on car loan varies from bank to bank. Car Loan interest rate in Union Bank of India depends upon

  • Loan amount: Generally banks offer lower interest rates for higher amount. However Union Bank of India offers 85% of on-road price of your car.
  • Your Salary: Higher salary bracket individuals are offered loans at lower interest rates. Union Bank of India interest rate varies with your net monthly income.
  • Employer Category: Employer category of the borrower is a major deciding factor in order to determine his/her rate of interest. Union Bank of India has a list of company categories of salaried individuals to which they avail car loan. So, a higher company category leads to a low rate of interest.
  • Relationship with the Bank - Union Bank of India offers special rates, offers and charges to the existing account holders of the bank. Those who have managed their accounts and made all the payments on time in the past will get the benefit of low Union Bank of India Car loan interest rate.
  • Loan Tenure - Union Bank car loans are of longer repayment tenure of 7 years.
  • Repayment Capacity - Before giving loan to the borrower, Union Bank of India checks the repayment capacity of the borrower. Bank verifies the repayment capacity of the customer through CIBIL as it has all the details of previous loans taken and their repayments. CIBIL also gives the information of credit card bills payment.

Union Bank of India Car Loan Eligibility

Eligibility of car loan in Union Bank relies upon different factors but the most important factor is your ability to repay the loan. The main factors on which the eligibility of an applicant depends are

  • Age: Age plays an important role to know your eligibility and repayment capacity. Union Bank offers car loan to those who are atleast 18 years old at the time of loan approval and maximum 65 years at the time of loan maturity.
  • Income: Union Bank of India car loan calculator calculates your eligibility based upon your income. Usually bank set minimum levels of income to apply for car loan. Union Bank of India asks for net annual income of minimum Rs. 0.00 lakh.
  • Job stability and Profession: Job stability is important to improve your status and eligibility for car loan from Union Bank of India. You must be in a full time job for at least 12 months. If you are working with a reputed company, probability of getting a Car loan from Union Bank of India increases as the income is considered to be more stable and the bank offers low interest car loan to the employees of reputed companies.
  • CIBIL Score: Your past CIBIL history and repayment record of existing loans and credit cards has a direct impact on your Union Bank of India car loan eligibility. If you have a poor repayment record, then you may not get the loan but on the other side, a regular repayment record increases your car loan eligibility.
  • Loan Amount: Union Bank of India gives you a car loan depending upon your income. Union Bank of India gives you 85% of on-road price depending upon the value of the car. To improve chances of approval, apply for a loan amount that you can comfortably service.

How to increase Union Bank of India Car Loan Eligibility?

The dream to own a car that you thought you couldn't afford in this lifetime can now be fulfilled by a car loan. Getting a car loan is easy if you improve your car loan eligibility by following these tips.

Tips to improve your car loan eligibility

  • Opting for pre-approved car loans: Like every bank, Union Bank of India also provides better offers in the form of less paperwork, instant loan approval, and loan disbursal than its competitors. It is done to retain existing customers. You should not miss such car offers as if you apply for the car loan with the existing bank, you can save yourself from cumbersome paperwork and approval process.
  • Maintaining a good credit score: To improve your eligibility for availing a car loan without any hurdle, you should clear all your credit card dues, make the payment of other loans on time and also, strike a balance between secured and unsecured loans.
  • Opting for a co-applicant: You can opt for a co-signer or co-applicant for your car loan. A co-applicant with good credit history and score can improve the chances of approval of a car loan.
  • Using the online eligibility calculator: You can use the online eligibility calculator to determine the tenure of the loan. The lower mandate would imply higher EMI's and vice versa. The online eligibility calculator can also help to maintain a low debt-to-income ratio, which may improve your chances of getting a loan approved.

Union Bank of India Car Loan EMI

Car Loan EMI of Union Bank of India is a fixed amount that you pay each month towards the repayment of your car loan till the end of tenure. Lowest EMI offered by Union Bank of India is Rs. per lakh loan amount at lowest car loan interest rate of 7.40%. Car Loan EMI of Union Bank of India depends on factors like:

  • Rate of interest is an important factor which affects your EMI. Higher the interest rate, higher will be the EMI
  • Loan tenure matters equally as longer tenure reduces your monthly EMI per lakh
  • Your EMI depends upon the amount of loan you are going to borrow. Loan EMI will be high if you apply for a high loan amount

Documents Required for Union Bank Car Loan

Car loan Union Bank of India documents for salaried employees

  • Filled up loan application form
  • 2 Passport Size Photo
  • Copy of Income Tax PAN
  • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
  • Quotation of car
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Income Documents – 3 months payslip, 2 years Form 16, 3 months bank statement showing salary credit and any EMI debit
  • R.C of Vehicle and Insurance of Car.

Car loan Union Bank of India documents for self-employed

  • Filled up loan application form
  • 2 Passport Size Photo
  • Copy of Income Tax PAN
  • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
  • Quotation of car
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Income Documents – 3 months payslip, 2 years Form 16, 3 months bank statement showing salary credit and any EMI debit
  • R.C of Vehicle and Insurance of Car.

Fee and Charges on Car Loan Union Bank of India

  • Foreclosure Charges - These charges are to be paid in case you want to repay your entire loan amount before the end of tenure period. Union Bank of India allows prepayment of car loan after paying 1 EMI’s with Nil from own sources; 2% in case of loan takeover

Union Bank of India Car Loan Top up, Balance Transfer

  • Union Bank offers car loan balance transfer from another bank. This is subject to your meeting other eligibility criteria of Union Bank of India
  • You can avail additional top-up car loan from Union Bank of India, subject to your eligibility

FAQs

How much interest is charged by Union Bank of India on car loan?

Union Bank car loan interest rates today are 7.40% to 7.50%.

What is the lowest EMI per lakh on Union Bank of India car loan?

If you apply for a car loan from Union Bank of India, your lowest EMI per lakh will be Rs. 1528.9.

What is the maximum tenure of Union Bank of India car loan?

You can repay your car loan from Union Bank of India in a flexible period of 7 years.

How much car loan can I borrow from Union Bank of India?

Union Bank of India offers you 85% of on-road price of the car as loan.

Is age an eligibility factor to get car loan from Union Bank of India?

Yes, age is an important eligibility factor to get Union Bank of India car loan as you should be at least 18 years old at loan approval time and 65 years old at loan maturity time.

Are there any prepayment charges on Union Bank of India car loan?

You can take a car loan from Union Bank of India with Nil from own sources; 2% in case of loan takeover prepayment charges.

Can I add my spouse's income while applying for car loan from Union Bank of India ?

You can combine your income with the income of your spouse to increase your loan eligibility and to get a higher loan amount.

Compare Car Loan Interest Rates of Union Bank with other banks

Union Bank of India Car Loan in India

Union Bank of India Car Loan Customer Care Number, Email, Application Status, Branches
City Customer Care Number
Agra 1800-208-2244
Ahmedabad 1800-208-2244
Ambala 1800-208-2244
Anand 1800-208-2244
Aurangabad Bihar 1800-208-2244
Bangalore 1800-208-2244
Bhilai 1800-208-2244
Bhilwara 1800-208-2244
Bhiwadi 1800-208-2244
Bhopal 1800-208-2244
Bhubaneswar Cuttack 1800-208-2244
Bikaner 1800-208-2244
Chandigarh 1800-208-2244
Chennai 1800-208-2244
Cochin 1800-208-2244
Coimbatore 1800-208-2244
Dehradun 1800-208-2244
Delhi 1800-208-2244
Durg 1800-208-2244
Faridabad 1800-208-2244
Gandhinagar 1800-208-2244
Ghaziabad 1800-208-2244
Goa 1800-208-2244
Greater Noida 1800-208-2244
Gurgaon 1800-208-2244
Guwahati 1800-208-2244
Gwalior 1800-208-2244
Hyderabad 1800-208-2244
Indore 1800-208-2244
Jabalpur 1800-208-2244
Jaipur 1800-208-2244
Jalandhar 1800-208-2244
Jodhpur 1800-208-2244
Kanpur 1800-208-2244
Karnal 1800-208-2244
Kolhapur 1800-208-2244
Kolkata 1800-208-2244
Kota 1800-208-2244
Kozhikode 1800-208-2244
Lucknow 1800-208-2244
Ludhiana 1800-208-2244
Madurai 1800-208-2244
Meerut 1800-208-2244
Mehsana 1800-208-2244
Mohali Sas Nagar 1800-208-2244
Mumbai 1800-208-2244
Mussoorie 1800-208-2244
Nagpur 1800-208-2244
Nashik 1800-208-2244
Noida 1800-208-2244
Noida Extn 1800-208-2244
Panipat 1800-208-2244
Patna 1800-208-2244
Pondicherry 1800-208-2244
Pune 1800-208-2244
Raipur 1800-208-2244
Rajkot 1800-208-2244
Ranchi 1800-208-2244
Rohtak 1800-208-2244
Roorkee 1800-208-2244
Salem 1800-208-2244
Shimla 1800-208-2244
Sonipat 1800-208-2244
Surat 1800-208-2244
Trichy 1800-208-2244
Udaipur 1800-208-2244
Vadodara 1800-208-2244
Varanasi 1800-208-2244
Vijaywada 1800-208-2244
Vizag 1800-208-2244

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*Terms and conditions apply. Credit at sole discretion of lender, which is subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and collected from public sources. Read More
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