Public Sector Punjab National Bank (PNB) also offers car loans to its customers at attractive rates and facilities. If you want to buy a car, there are important things to know before applying for a Punjab National Bank loan.
It is important to understand the interest rate, surcharge and other factors. PNB offers loans for new cars, vans, jeeps, SUVs and MPV vehicles under Auto Loans. Not only this, you can also apply for an auto loan to buy an old car up to the age of three.
Car loans can be obtained from PNB through personal or joint account. Business people or people working in the corporate sector can also take a car loan. One thing to keep in mind is that according to the information given on the official website of PNB, your monthly income should be at least Rs 25000. If you want to buy a new car, van, MPV or SUV, you only have to pay 84 months EMI. Similarly, if you are buying an old car (not more than three years old) then you will have to pay in 60 EMIs for yourself. If the customer is a farmer then there is a payment facility on a half or annual basis at the time of harvest.
There is no charge on pre-payment if you take a car loan at a floating interest rate. But if the loan is at a fixed rate, a 2 per cent charge is payable on the pre-paid balance. However, if the customer prepaid the loan from him, then there will be no pre-payment charge.
According to the Punjab National Bank website, the bank is currently charging a minimum rate of 8.75 per cent on car loans. Of this, at least Rs 1596 EMI per lakh is being given.
The customer must also pay the processing charge on the car loan. On a PNB car loan, you have to pay a processing charge of 0.25 per cent of the total loan amount, which is a minimum of Rs.1000 and a maximum of Rs.1500. To get a car loan, you need to visit your branch and make an agreement with the bank officer.