Giving wheels to your dreams

What is a Vehicle Loan?

A vehicle loan is a financing solution that allows you to arrange funds for purchasing a vehicle (two or four wheeler). The lender makes a direct payment to the dealer on behalf of the buyer, and this loan amount can be repaid in equated monthly instalments (EMIs) over a specific tenure. This is a type of secured loan where the vehicle itself is used as collateral.

Types of Vehicle Loan

Muthoot Finance offers different types of vehicle loans. These include:

Car Loan: As the name suggests, a car loan can be availed to purchase a brand-new car of your preferred brand. You can avail car finance up to 80-90% (variable) of its on-road price, while the remaining amount needs to be paid as a down payment. The loan amount has to be repaid in EMIs throughout the loan tenure. Usually, a car loan comes with a repayment tenure of 7 years. However, you have the option to choose a tenure as per your convenience. Muthoot Finance gives the option to apply for a car loan online as well.

Two-Wheeler Loan: A two-wheeler loan helps you arrange the required funds for any type of two-wheeler vehicle (including geared motorcycles and non-geared scooters). Also commonly known as a bike loan, this financing option allows you to avail a loan for up to 100% (conditions applicable) of the on-road price of the vehicle. Similar to a car loan, you can apply online to avail a two-wheeler loan as well.

Used Car Loan: Also known as a second hand car loan, this car finance option helps you buy a pre-owned vehicle without having to make the complete payment at the time of purchase. You can avail a loan up to 75% (again, variable) of the final value of the car.

Features

Here are a few salient features of Muthoot Finance’s car and bike loan:

High-value financing: LTV, or Loan to Value ratio, is the ratio of the loan amount against the market value of the car that you are going to purchase. Muthoot Finance offers the best possible LTV ratio on every type of vehicle loan so that you do not have to worry about making a hefty down payment.

Best Interest Rates: Muthoot Finance offers the most competitive interest rates on different types of vehicle loans, including new car loans, used car loans and two-wheeler loans.

Quick Loan Disbursals: We make sure that your loan amount gets disbursed in no time once your loan application gets approved. This allows you to purchase and register your vehicle without any delay.

Flexible Repayment Option: At Muthoot Finance, we offer a range of repayment options along with the flexibility to choose the loan tenure at your convenience. The tenure of repayment depends on the type of vehicle loan you are applying for. Generally, the repayment tenure of a car loan is 7 years and that of a bike loan is 2 years.

Hassle-free documentation: Gone are the days when applying for a loan used to be a complicated and time-consuming process. At Muthoot Finance, we give you the option to apply for a car or a 2-wheeler loan online and provide scanned copies of your ID, address, and other documents.

Eligibility Criteria

The eligibility criteria for a vehicle loan can vary depending on the type of loan you are applying for i.e. car loan, bike loan, used car loan, etc. However, in order to become eligible for availing a vehicle loan, an individual should have a stable source of income and a good credit score.

Required Documents

The essential documents for a vehicle/car loan that you need to keep handy while applying are: -

• Proof of Income - Form 16, salary slips, Income Tax Return documents
• Proof of Identity - Aadhar card, Driving Licence, Passport or PAN card
• Bank Statement of three to six months
• Proof of Age - Matriculation Certificate or Aadhar Card or Birth Certificate
• Proof of Address - Aadhar card or Driving Licence or Ration Card (Family Card) or Passport or Voter ID

Why Choose Muthoot Finance?

Muthoot Finance is India’s leading and most trusted financing solutions provider. We understand the specific needs of our customers and offer easy car loans to both salaried and self-employed individuals. You can explore our extensive range of different types of vehicle loans available at competitive interest rates. We also offer a number of schemes for car and bike loans that you can choose from as per your requirements. Here, you can enjoy a variety of other benefits, such as quick loan disbursal, minimum documentation, and flexible repayment options.

Quick loan processing

Attractive interest rates

Minimal Documentation

Pocket-friendly EMIs to suit your needs

Quick Pay

Pay your installments