Axis Bank Car Loan EMI Calculator 2018
%
Monthly EMI:
₹0
Total Interest:
₹0
Total Payment:
₹0
Processing Fee:
₹0
Comprehensive Guide to Axis Bank Car Loan Interest Rates & EMI Calculator (2018)
In 2018, Axis Bank offered competitive car loan interest rates ranging from 9.25% to 13.50% per annum, depending on factors like loan amount, tenure, customer profile, and the vehicle model. This guide provides an in-depth analysis of Axis Bank’s car loan offerings in 2018, how to use our EMI calculator effectively, and key considerations before applying for a car loan.
1. Axis Bank Car Loan Interest Rates in 2018
Axis Bank’s car loan interest rates in 2018 were structured as follows:
| Loan Amount Range | Minimum Interest Rate (p.a.) | Maximum Interest Rate (p.a.) | Typical Tenure |
|---|---|---|---|
| ₹1,00,000 – ₹3,00,000 | 11.50% | 13.50% | 1-5 years |
| ₹3,00,001 – ₹6,00,000 | 10.50% | 12.50% | 1-7 years |
| ₹6,00,001 – ₹15,00,000 | 9.75% | 11.75% | 1-7 years |
| ₹15,00,001 – ₹30,00,000 | 9.25% | 11.25% | 1-7 years |
| Above ₹30,00,000 | 9.00% | 11.00% | 1-7 years |
2. Key Features of Axis Bank Car Loans in 2018
- Loan Amount: Up to 100% of the car’s on-road price (varies by model and customer profile)
- Loan Tenure: Flexible repayment options from 1 year to 7 years
- Processing Fees: Typically 2% of the loan amount (minimum ₹3,000, maximum ₹10,000)
- Prepayment Charges: 5% of the principal outstanding for prepayments made within 12 months
- Foreclosure Charges: 5% of the principal outstanding if foreclosed within 12 months
- Part-Payment Allowed: Yes, after 12 EMIs with charges applicable
- Age Criteria: 21 years to 65 years (salaried) or 60 years (self-employed)
- Minimum Income: ₹2,00,000 per annum for salaried, ₹2,50,000 for self-employed
3. How to Use the Axis Bank Car Loan EMI Calculator
Our calculator helps you determine your Equated Monthly Installment (EMI) based on:
- Loan Amount: Enter the amount you wish to borrow (minimum ₹1,00,000)
- Interest Rate: Input the applicable rate (use 9.5% as a default for 2018 rates)
- Loan Tenure: Select your preferred repayment period (1-7 years)
- Processing Fee: Choose between percentage (typically 2%) or fixed amount
- Prepayment Option: Indicate if you plan to make partial prepayments
The calculator will instantly display:
- Your monthly EMI amount
- Total interest payable over the loan tenure
- Total amount payable (principal + interest)
- Processing fee amount
- Visual breakdown of principal vs. interest components
4. Factors Affecting Your Car Loan Interest Rate
Several factors influenced the interest rate Axis Bank offered in 2018:
| Factor | Impact on Interest Rate | Typical Rate Difference |
|---|---|---|
| Credit Score (CIBIL) | Higher score (750+) gets better rates | 750+: 9.25%-10.5% 650-749: 10.5%-12% <650: 12%-13.5% |
| Employer Category | Government/PSU employees get preferential rates | 0.5%-1% lower than private sector |
| Loan Amount | Higher loan amounts get better rates | ₹10L+: 0.5% lower than ₹3L loans |
| Loan Tenure | Longer tenures may have slightly higher rates | 5-7 years: 0.25%-0.5% higher than 1-3 years |
| Customer Relationship | Existing Axis Bank customers get discounts | 0.25%-0.5% lower for salary account holders |
| Vehicle Type | New cars get better rates than used cars | New: 9.25%-12% Used: 11.5%-13.5% |
5. Comparison with Other Major Banks in 2018
Here’s how Axis Bank’s car loan offerings compared with other major banks in 2018:
| Bank | Interest Rate Range | Processing Fee | Max Loan Tenure | Max Loan Amount |
|---|---|---|---|---|
| Axis Bank | 9.25% – 13.50% | Up to 2% | 7 years | No upper limit |
| HDFC Bank | 9.50% – 13.75% | Up to 2.5% | 7 years | ₹30 lakhs |
| ICICI Bank | 9.75% – 14.00% | Up to 2.25% | 7 years | ₹25 lakhs |
| State Bank of India | 9.00% – 12.50% | 0.50% (min ₹1,000) | 7 years | ₹30 lakhs |
| Punjab National Bank | 9.25% – 12.75% | 0.50% (min ₹1,500) | 7 years | ₹20 lakhs |
6. Documents Required for Axis Bank Car Loan in 2018
Axis Bank required the following documents for car loan applications:
For Salaried Individuals:
- Identity Proof: PAN Card, Aadhaar Card, Passport, Voter ID, Driving License
- Address Proof: Aadhaar Card, Passport, Utility Bills, Ration Card
- Income Proof: Last 3 months’ salary slips, Form 16, last 6 months’ bank statements
- Employment Proof: Employment certificate, appointment letter
- Photographs: 2 passport-size photographs
- Vehicle Documents: Quotation from dealer, RC book (for used cars)
For Self-Employed Individuals:
- Identity and Address Proof (same as above)
- Income Proof: Last 2 years’ ITR with computation of income, audited financials
- Business Proof: Business registration certificate, shop establishment certificate
- Bank Statements: Last 12 months’ bank statements (savings and current account)
- Photographs: 2 passport-size photographs
- Vehicle Documents: Quotation from dealer, RC book (for used cars)
7. How to Improve Your Chances of Getting a Lower Interest Rate
- Improve Your Credit Score: Maintain a CIBIL score above 750 by paying bills on time and keeping credit utilization below 30%
- Show Stable Income: Salaried individuals with 2+ years at current job or self-employed with 3+ years in business get better rates
- Increase Down Payment: Higher down payment (30-40%) reduces the loan amount and can negotiate better rates
- Leverage Existing Relationship: If you’re an existing Axis Bank customer (especially with salary account), you can negotiate better terms
- Choose Shorter Tenure: Opting for 3-5 years instead of 7 years may get you a slightly lower rate
- Apply During Festive Seasons: Banks often offer discounted rates during Diwali, New Year, etc.
- Compare Offers: Use our calculator to compare Axis Bank’s offer with other banks before finalizing
8. Tax Benefits on Car Loans in 2018
In 2018, car loans offered limited tax benefits compared to home loans:
- For Self-Employed: Could claim interest as business expense if car was used for business purposes (under Section 37 of Income Tax Act)
- For Salaried: No direct tax benefits unless employer provided car allowance (then could claim under Section 10(14))
- Depreciation Benefit: Business owners could claim 15% depreciation on car value annually
For detailed tax implications, refer to the Income Tax Department’s official website.
9. Common Mistakes to Avoid When Taking a Car Loan
- Not Comparing Offers: Many borrowers accept the first offer without comparing rates across banks
- Ignoring Processing Fees: High processing fees (2% on ₹10L loan = ₹20,000) significantly increase total cost
- Opting for Longest Tenure: While 7-year loans have lower EMIs, you pay much more in interest
- Not Reading Fine Print: Missing prepayment charges, foreclosure terms, or insurance requirements
- Skipping Insurance: Comprehensive insurance is mandatory but some try to skip it to save costs
- Not Checking Eligibility: Applying without checking eligibility leads to rejections that hurt credit score
- Ignoring Total Cost: Focusing only on EMI without considering total interest paid over the tenure
10. Axis Bank Car Loan Customer Care (2018)
For any queries regarding your Axis Bank car loan in 2018, you could contact:
- Customer Care Number: 1860-419-5555 / 1860-500-5555
- Email: customer.service@axisbank.com
- SMS: Send ‘HELP’ to 56161600
- Branch Locator: Axis Bank Branch Locator
11. Alternative Financing Options in 2018
Besides bank loans, these were popular alternatives for car financing in 2018:
- NBFC Loans: Companies like Bajaj Finserv, Mahindra Finance offered loans at 11%-15% but with faster processing
- Dealer Financing: Many car dealers offered 0% interest schemes (but often with hidden charges)
- Personal Loans: Could be used for car purchase but had higher rates (12%-20%)
- Leasing: Some companies offered lease options with lower monthly payments but no ownership
- Company Car Policies: Some employers provided car loans at subsidized rates
12. Future Outlook: How Car Loan Rates Have Changed Since 2018
Since 2018, car loan interest rates have evolved due to:
- RBI Policy Changes: Repo rate cuts in 2019-2020 led to lower car loan rates (now starting at 7.5%)
- Increased Competition: More banks and NBFCs entering the market drove rates down
- Digital Lending: Online approvals and disbursals reduced processing costs
- Electric Vehicles: Special lower rates (starting at 7%) for EV purchases
- Credit Score Importance: CIBIL score weightage increased in rate determination
For current car loan trends, refer to the Reserve Bank of India’s official reports.
Frequently Asked Questions About Axis Bank Car Loans (2018)
Q1. What was the minimum salary required for an Axis Bank car loan in 2018?
The minimum annual income requirement was:
- ₹2,00,000 for salaried individuals
- ₹2,50,000 for self-employed individuals
Q2. Could I get 100% financing for my car in 2018?
Axis Bank typically financed up to 90% of the on-road price for most cars. However, for certain models and for customers with excellent credit profiles, they sometimes offered 100% financing.
Q3. What was the typical processing time for an Axis Bank car loan in 2018?
The standard processing time was:
- 2-3 working days for salaried individuals with complete documents
- 3-5 working days for self-employed individuals
- Same-day approvals were possible for pre-approved customers
Q4. Could I transfer my existing car loan to Axis Bank in 2018?
Yes, Axis Bank offered car loan balance transfer facilities. The key benefits were:
- Lower interest rates (could be 0.5%-1% lower than existing rate)
- Top-up loan facility available
- Longer repayment tenure options
- Processing fee waivers for balance transfers
Q5. What happened if I missed an EMI payment?
Axis Bank’s policy for missed payments in 2018 included:
- Late payment charges of 2% per month on the overdue amount
- Impact on credit score after 30 days of missing payment
- Possible repossession after 90 days of non-payment
- Option to regularize the account by paying all dues with penalties
Q6. Could I prepay my Axis Bank car loan in 2018?
Yes, prepayment was allowed with these conditions:
- No charges for prepayments made after 12 EMIs
- 5% of principal outstanding as prepayment charge if done within 12 months
- No limit on the number of prepayments
- Minimum prepayment amount was typically 1 EMI
Q7. Did Axis Bank offer any special schemes for women borrowers in 2018?
Yes, Axis Bank had special offers for women borrowers:
- 0.25% lower interest rate
- Reduced processing fees (1% instead of 2%)
- Higher loan-to-value ratio (up to 95%)
- Special offers during Women’s Day promotions
Q8. What insurance options were available with Axis Bank car loans in 2018?
Axis Bank offered these insurance options:
- Comprehensive Insurance: Mandatory for all financed cars, covering damage, theft, and third-party liability
- Zero Depreciation Cover: Optional add-on that provided full claim without depreciation deduction
- Engine Protect Cover: Optional cover for engine damages due to water ingress or oil leakage
- Personal Accident Cover: Optional cover for driver and passengers
- Gap Insurance: Covered the difference between insurance payout and outstanding loan in case of total loss
Q9. How did Axis Bank determine the interest rate for my car loan?
Axis Bank used a risk-based pricing model considering:
- Credit score and credit history (35% weightage)
- Income stability and repayment capacity (25% weightage)
- Loan amount and tenure (20% weightage)
- Customer relationship with Axis Bank (10% weightage)
- Vehicle type and model (10% weightage)
Q10. What were the foreclosure charges for Axis Bank car loans in 2018?
The foreclosure charges were:
- 5% of the principal outstanding if foreclosed within 12 months
- 3% of the principal outstanding if foreclosed between 13-24 months
- Nil foreclosure charges after 24 months