Vehicle Loan Credit Policy & Eligibility Rules
Vehicle loan LTV, tenure, income and credit score requirements.
How lenders evaluate applications
Auto loans are secured by the vehicle. Lenders cap LTV (e.g. 80–90% of on-road price), and assess income and FOIR.
New vs used vehicle and make/model may affect LTV and tenure.
Eligibility at a glance
| Parameter | Typical Requirement |
|---|---|
| Minimum Income | Often ₹15,000+/month |
| Minimum CIBIL Score | Typically 650+ |
| FOIR limit | Usually 50–60% |
| Maximum LTV | Often 80–90% (new vehicle) |
| Maximum tenure | Up to 7 years |
Policy rules
Typical vehicle loan parameters.
LTV
Loan as % of on-road price; lower for used vehicles.
FOIR
EMI to income ratio; typical cap 50–60%.
Income
Stable income with salary slip or ITR.
Credit score
CIBIL used for approval and pricing.
Example eligibility scenario
Sample borrower
Example inputs
- Vehicle price: ₹10L
- Loan amount: ₹8L
- Income: ₹45,000/month
Result
LTV 80% – within typical cap
LTV 80% is standard. Confirm FOIR with proposed tenure.
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