VEHICLE LOAN

PURPOSE

• Loan can be availed by individuals for personal use:

• Purchase of New 4-Wheeler
• Purchase of Old 4-Wheeler, not older than 3 years
• Purchase of a New 2-Wheeler
• Loan can also be availed by Companies / Firms for professional use i.e. purchase of vehicle for usage by their Directors / employees.

VEHICLE LOAN ELIGIBILITY

• Resident Indian citizen and Non-Resident Indians (NRIs).
• Minimum age - 18 years and maximum age - 75 years.
• Individual, either singly or jointly with family members.
• Companies / Firms for purchase of vehicle for usage by their Directors/employees.

QUANTUM OF LOAN

• Minimum – No ceiling
• Maximum - as under:
  • New 4-wheeler - No ceiling
  • Old 4-wheelers (not older than 3 years) - Rs.20 Lakh
  • New 2-wheeler - Rs.10 Lakh

VEHICLE LOAN MARGIN, I.E. YOUR SHARE

REPAYMENT

• New 4 Wheeler - 84 months
• New 2 Wheeler - 36 months
• Old 4 Wheeler - 60 months

MORATORIUM

• No moratorium permitted under the scheme.

VEHICLE LOAN RATE OF INTEREST

• Please click here to know our latest interest rates

PREPAYMENT PENALTY

• There is NO prepayment penalty if loan adjusted from own verifiable source.

SECURITY

• Hypothecation of vehicle purchased out of Bank's finance
• Bank's lien to be noted with the Road Transport authorities

GUARANTEE

• No guarantee required for individual borrowers with CIBIL score of 700 and above.
• Guarantee of a local resident Indian having means equivalent to loan amount, is to be provided by the NRI applicant.
• In case of companies guarantee of the promoter/director is required.
• In case of partnership firm, guarantee of all the partners is required.

VEHICLE LOAN EMI CALCULATOR

• Please Click here for EMI Calculator

*Conditions Apply*

*Contact our nearest Branch for more details*

Click here for apply online loan

FAQ: UNION MILES

• What is the Normal time required for disbursement of Vehicle Loan ?

Answer: It takes only 2 working days to get the Vehicle Loan sanctioned from Union Bank of India after submission of requisite documents and papers.

• What does the own contribution (Margin) mean ?

Answer: Own contribution (Margin) means is the total on road cost of the Vehicle minus Loan.

• What is On-road price of the Vehicle ?

Answer: On-road price of the vehicle includes Ex-showroom price, RTO registration, Insurance and basic accessory cost.

• What is EBLR ?

Answer: EBLR stands for external benchmark lending rate. Union Bank of India has adopted Repo rate as the External benchmark to link its floating rate home loans with effect from 01.10.2019.

• When will my interest Rate changes under EBLR regime?

Answer: The External Benchmark shall be reset at least once in three months or any other frequency as prescribed by Bank / RBI.

• How will union bank of India decide the loan amount I am eligible for?

Answer- We will determine Vehicle Loan Eligibility largely by your income and repayment capacity. Other important factors include your age, co-applicant’s income (if any), margin offered by you, continuity of occupation and Credit Information Bureau (CIBIL/Experian etc.) track record.

• Can I get instant digital approval?

Answer: Instant In-principal approval can be obtained.

• How do I make a Union Miles Loan Application?

Answer:-You could collect an application form from our nearest branch or simply download it from our website and submit it along with documents and the Processing fees Cheque at any Union bank of India Branch. Alternatively you have the option to make online application on our website.

• Is it mandatory to buy insurances policy?

Answer: For a borrower to understand the same better, there are two types of insurance covers available:

• Vehicle Insurance: Mandatory as per Motor Vehicle Act.
• Liability Insurance or Life Insurance: This is optional and purely at the discretion of the Borrower.

• Can I apply for a Loan to Purchase second hand Vehicle?

Answer:  Yes, Union Bank offer loans for purchase of 4 wheelers not older than 3 years.