How much of a loan can I get on Rs. 40000 salary is the only factor that concerns you as a loan applicant. Given to applicants having a consistent source of income, loans are a type of credit facility. Even though an applicant's income determines their ability to repay a loan, banks and NBFCs have flexible repayment policies.
The typical loan amount for a car is 85% of the automobile's worth, and your ability to repay the loan will also be considered when determining how much money you can borrow.
Customers are urged to limit their car loans to not more than 20% of their monthly income. For example, suppose your monthly income is Rs 40,000, your car loan EMI should not be higher than Rs 8,000.
However, the customer's creditworthiness also plays a role in the loan eligibility requirements. If you have an excellent credit score, lenders will be prepared to give you large loans at cheap interest rates. Therefore, it would be best to take care of all of your problems before applying for a loan if you have any negative accounts with overdue dues that need to be paid off. When lenders discover that you still owe money, they could reject your loan application.
Car EMIs are computed using variables such as the loan amount, interest rate and term. You can determine the estimated EMI that will apply to you with the aid of a car loan EMI calculator. The principal and the interest charged to make up the EMI. Therefore, the principle sum and any applicable interest will both be included in the EMI that must be paid.
For the duration of the loan, the EMI payment must be made monthly and will not change. For example, if you obtain a loan for Rs 1,50,000 with a 8.20% interest rate and a 2-year term, your EMI will be Rs 6,798. The total sum due will be Rs 1,63,147, including Rs 13,147 in interest.
The Maha Super Car Loan scheme from the Bank of Maharashtra offers lucrative interest rates with prices ranging from 8.20% to 11.70%. The Bank of Maharashtra has introduced several features, including low EMI, larger loan amounts, tie up with approved vehicle dealers, streamlined disbursement, zero processing fees with no additional fees, and no pre payment penalties, among others. Additionally, Bank offers following benefits:
- Maximum Funding up to 90%
- Interest Charged on Daily Reducing Balance
- 0.25% Concession in ROI for Corporate Salary Account Holders and Existing Housing Loan/MSME Borrowers.
- There are no charges on prepayment, pre closure, or partial payment fees.
- Quick turnaround time with hassle free processing
As per Maha Super Car Loan scheme, the rate of interest is determined by the customer's credit score. If the credit score is greater than 800, the rate of interest is 8.20% annually, and if it is between 750 and 799, the rate of interest is 8.45% annually. The customer's credit history affects the interest rates. Therefore, maintaining a healthy credit history is important to obtain a car loan with cheap interest rates.
There is also Certified pre-owned car loan schemes (for old Cars) at interest rates starting from 11.85% p.a.