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Note: The car loan interest rates mentioned on this archived page are from October 2018 and have changed now. In order to know the latest rates please visit the Union Bank of India website.
About the Bank
Union Bank of India (UBI) was established on 11th November 1919 with its headquarters in Mumbai. Union Bank of India is one of the largest government-owned banks of India Furthermore, Union Bank of India has won various honors, the most recent being 6 IBA Banking Technology Awards 2015-16 under different categories.
Currently, Union Bank of India is operating in the country from over 4000 plus branches and over 6,400 ATM’s, where around 31,000 bankers are employed. The bank has a wide base of customer and is today offering banking services to more than 49 million customers. The Union Bank of India offers a huge gamut of personal banking services to the customers, ranging from Accounts, Retail Loans, Online Payments, Cards, Insurance Services, and Investment Services.
About Union Bank of India Car Loan
The Union Bank of India car loan is for people who wish to fulfill their desire of having a car but call off their car finance plans every time due to financial reasons. This Union Bank of India car loan, the Union Miles, is a special scheme to purchase a four-wheeler, be it a brand new car or a pre used car (up to 3 years).
Features of Union Bank of India Car Loan
- Type of car: Union Bank of India offers loan for a new car as well as pre used car loan (for car not more than 3 years old)
- Maximum quantum of loan: Maximum loan quantum of Union Bank of India car loan for a new 4-wheeler is Rs. 125 Lakhs and Maximum loan quantum for an Old 4-wheelers is Rs. 20 Lakhs.
- Loan Margin: Union Bank of India car loan margin for new car is 15 % of on-road price and for old car is 40 % of its valuation cost
- Repayment tenure : Repayment tenure of Union Bank of India car loan for new car is 7 years and for old is 5 years
- Processing charges : Processing charges at the rate of 0.50% of the loan amount, subject to maximum of Rs. 15,000 plus service tax as applicable (currently 100% waived till march 2017)
- Penalties: There is no prepayment penalty. But a penalty of 2% on the average balance of the preceding 12 months is charged, if the Union Bank of India car loan is taken over by any other Bank or adjusted by the borrower in lump sum from any third-party source.