Average Used Car Loan Interest Rate

When you want the best car loans in India there are multiple Banks and NBFCs that are willing to provide you with mouth watering deals. This is the similar case for both; new car loans and pre owned car loans (used car loans).

But how can you choose the best car loan?

Ruloans is the answer. With our amazing web portal, you can compare loan deals of major Banks and NBFCs all over India. On an average, used car loans can be availed at lower interest rates when compared to new car loans.

This is a big benefit as you will save a lot of money on the purchase cost and with lower interest rates you can save a lot of interest money. On an average, used car loan interest rate is between 13-15%. But this rate can fluctuate in or against your favor. Below we have mentioned few banks and the interest rates that they are providing for Car loans. When you apply via Ruloans, you can get a used car loan with these rates.

HDFC Bank 12.50%  onward
ICICI Bank 12.50% onward
Axis Bank 15.00% onward
Kotak Mahindra Prime 15.00% onward
Capital First 15.00% onward
Hero Fin Corp 15.00% onward
Bajaj Finserv 15.00% onward
Au Small Finance Bank 16.00% onward

Your credit score plays an important role along with your loan repayment history. If you can showcase a credit score above 800, Banks might be willing to renegotiate and lower the interest rate for you. Similarly, when your credit score is not up to the mark, Banks might provide you with a higher interest rate.

Your loan repayment history also can help you get a better deal on loans. Yes, if you can show a clean repayment record which is more than 12 months then in the eyes of the Bank you are a credit worthy person. Hence they might provide you with lower interest rates. Similarly if you cannot show a clean repayment record, Banks might provide you with a higher interest rate.

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