Buying a new car or house is a big deal. It’s exciting to finally get those wheels you’ve admired for years or the perfect family home. But financing these dreams can get confusing with so many options to weigh. Continue reading to learn about car and home loans to finance your dream.
Car Loans: Cruising Towards Vehicle Ownership
Car loans facilitate vehicle purchases by financing up to 90% of the car’s on-road price. Their quick processing and flexible tenure options, from 1 to 7 years, make them ideal for immediate mobility needs. Car loans offer strategic advantages like ownership pride, lifestyle upgrades, tax benefits, and asset creation.
1. Key Information
Owning a car is a dream and a milestone for many. Car loans simplify financing the purchase through customised tenures and competitive interest rates:
- Interest Rates – Rates range from 8.5% to 15% based on income, credit score, loan amount, tenure, etc. Used cars, higher down payments, and shorter tenures attract cheaper rates.
- Affordability – EMIs are aligned with repayment capacity through customised tenures up to 7 years.
- Eligibility – Individuals with monthly income are eligible. Salaried and self-employed profiles are also considered.
2. Application Process
The application process is smooth and efficient, leveraging offline and digital channels:
- Documents Needed – Income proof, identity proof, residence proof, credit report, and bank statements are required. NRI applicants require additional overseas income documents.
- Applying – Involves branch visits, form filling, document submission, loan approval, and agreement signing.
- Tracking – Digital processes like online tracking systems and eligibility calculators ease the application.
Home Loans: Building Your Dream Home
Home loans finance the purchase of ready-to-move-in homes or plots for construction. The strategic benefits of property ownership, like rental income prospects, capital appreciation, and collateral creation for future loans, establish home loans as attractive long-term investment tools.
1. Key Features
The following are the key features of home loans:
- Competitive Interest Rates – Home loans offer the most competitive interest rates, starting from attractive rates and continuing. Additional rate concessions are available for NRI and women borrowers.
- Customised Tenure – Salaried applicants are offered longer tenure. Self-employed applicants offered decent tenure aligned to income streams.
- Tailored Products – Features like fixed/floating rates, flexi EMIs, overdraft against property, and top-up loans provide flexibility. NRI-specific features are also available.
- Streamlined Eligibility – Online calculators allow easy eligibility checks. Applicants over age with regular income are eligible. Relevant income documents are needed as proof.
- Fast Verification – Efficient verification concludes quickly through dedicated teams and digitised processes.
2. Application Process
Applying for a home loan is easy and can be completed in three simple steps:
- Step 1: Provide your basic personal and financial details online or offline. Keep your identity, income, residence, and other documents handy.
- Step 2: The details entered will be verified by the lender. Processing fees may need to be paid.
- Step 3: Documents like identity proof, income statements, etc., need to be submitted by uploading online or through other specified channels. After the documents are verified, a confirmation of loan approval will be sent.
Conclusion
Whether you’re looking for a car loan for an aspirational set of wheels or a home loan to build your abode, borrowing products must align with income streams and lifestyle needs. Assess short—and long-term financial goals, study market interest rates, and choose loan products that provide the best value in terms of cost and convenience. With more than 90 years of trust, Karnataka Bank has the best car and home loans suitable to its customers’ needs. Contact KBL today to get the loan and fulfil your dreams.