New Car Loan
Finance for a brand-new car, secured against the vehicle itself — a straightforward, competitively priced way to drive home your next car.
A new car loan finances the purchase of a brand-new vehicle, with the car itself serving as security — which is why rates on car loans are generally more attractive than unsecured borrowing. It’s one of the most straightforward loans to process, since the dealer’s invoice and the vehicle’s value give the lender a clear basis for approval.
Whether you’re buying your first car or upgrading, the loan amount, tenure and down payment work together to shape your EMI — our EMI calculator gives you a quick sense of what to expect. With 90+ banks and NBFCs on our panel, we help find you competitive terms rather than settling for whatever your dealer’s in-house financier offers.
Who it suits
- Salaried and self-employed individuals buying a new car
- First-time car buyers as well as those upgrading
Eligibility
- Age typically 21–65 years at loan maturity
- Stable income — salaried or self-employed
- CIBIL score and existing EMIs are reviewed, though the vehicle itself secures the loan
Documents you'll need
- PAN card and Aadhaar card
- Income proof — salary slips/Form 16, or ITR for self-employed
- Bank statements, typically 3–6 months
- Proforma invoice of the car from the dealer
A quick sense of the EMI
For example, ₹8,00,000 over 5 years at an indicative 11% works out to about:
₹17,394/month
Indicative only — your actual EMI depends on the amount, tenure and rate you're offered.
Try the full calculatorCommon questions about new car loan
How much of the car's on-road price can I finance?
Lenders typically finance a large majority of the on-road price, with the balance as your down payment — the exact proportion depends on the lender and your profile.
What is the usual tenure for a new car loan?
Commonly 3 to 7 years, chosen based on the EMI you're comfortable with and the lender's policy.
Is the car registered in my name or the lender's?
The car is registered in your name, with the lender noted as a hypothecation holder (a lien) on the registration certificate until the loan is fully repaid.
Can I prepay my car loan?
Most lenders allow part-prepayment or foreclosure, often after a minimum number of EMIs, sometimes with a small charge — we'll clarify the exact terms for your matched lender.
Ready to talk about your new car loan?
Tell us your need and we'll match you to the right lender from our panel of 90+ banks & NBFCs.