Car loans in Mumbai: eligibility, documents, down payment and comparing bank offers
By Arjun Ramanarayanan, IndiCar · Published 18 October 2026 · Tips
SBI's car loan guide asks for at least Rs 3 lakh a year in income and a credit score generally above 700. Here is what lenders check, what they fund and how to compare offers before you book.
To get a new-car loan from SBI you need to be 21 to 70 years old at sanction, earn at least Rs 3 lakh a year (Rs 4 lakh for agriculturists), and generally have a credit score of 700 or more. Some lenders fund up to 100% of the on-road price. The difference between offers lies less in the advertised rate than in processing fees, prepayment terms and the rate written into your sanction letter. Below is what lenders check, what they ask for, and how the numbers look on a real Mumbai on-road price.
Eligibility: age, income and credit score
SBI's own guide sets the age band at 21 to 70 years at the time the loan is sanctioned. A CreditMantri page gives a narrower band of above 21 and below 65. Where the two disagree, go by the bank's own guide, and treat the third-party figure as a sign that some products or lenders may be stricter.
- Income: SBI lists a minimum annual income of Rs 3 lakh for salaried, self-employed and business applicants, and Rs 4 lakh for agriculturists. BankBazaar's page on the SBI scheme gives Rs 3,00,000 for the applicant and co-applicant combined. A co-applicant can therefore help you clear the bar.
- Credit score: SBI generally looks for 700 or more. For government employees with SBI salary accounts, the figure is 650 or more.
- Loan size: for regular employees, SBI's maximum loan is up to 48 times net monthly income, according to BankBazaar. Your income caps the loan as well as qualifying you for it.
Documents you will need
The core set is identity proof, address proof, income proof and bank statements. That is SBI's standard list. In more detail:
- Income documents, either salary slips or ITRs, and bank statements for the last 6 months (SBI).
- For salaried applicants, BankBazaar lists Form 16 or the latest pay slip, ITRs or Form 16 for the last two years, and 2 passport-size photographs.
- PAN: on SBI's Assured Car Loan page, a PAN copy is not needed if the bank already has it on record, and is mandatory if it does not.
- A price document for the car. SBI lists a vehicle quotation from the dealer among the documents for a branch application.
When you buy through IndiCar, you do not deal with a dealer. IndiCar gives you the itemised written price breakup before you book, and you can share it with your lender. Check with the lender whether it needs the quotation in a particular format.
Down payment: what lenders fund
Your down payment is whatever the lender does not fund, and some lenders fund the whole on-road price. A financial calculator site lists HDFC's maximum funding at up to 100% of the on-road or invoice price. BankBazaar says some lenders go up to 100% of on-road. A CreditMantri page says SBI finances the on-road price, including registration, insurance, extended warranty, AMC and accessories.
This is why the on-road figure matters more than the ex-showroom figure. Here is the cheapest MG Windsor EV in Mumbai for an individual buyer, from IndiCar's price list dated 22 September 2026:
| Item | EXCITE Electric Automatic |
|---|---|
| Ex-showroom price | Rs 14,69,800 |
| RTO registration and road tax (Mumbai, individual) | Rs 1,770 |
| Insurance (first-year comprehensive) | Rs 96,208 |
| TCS | Rs 14,698 |
| FASTag | Rs 850 |
| On-road price | Rs 15,83,326 |
The on-road price is Rs 1,13,526 above ex-showroom. Insurance accounts for most of that gap. If your lender funds on-road, the base for your loan is Rs 15,83,326, not Rs 14,69,800. If it funds only part of the price, you pay the rest upfront. Run your own car through the on-road price calculator to see the figure your lender will work from.
Comparing bank offers: rate, fees and prepayment
Compare the total cost, not the headline rate. Budgetcar.in advises checking the interest rate, EMI, processing fee, other charges and total repayment before you apply. That advice holds up, because the published rates disagree with each other:
- BankBazaar, updated 5 October 2026, says rates start from 7.45% p.a. across SBI, HDFC, ICICI and others. It lists HDFC Bank from 8.15% and ICICI Bank from 8.35%.
- PaisaSeekho says HDFC's official rate page lists new car loans from 9.40%.
- Another site says HDFC's 7.60% to 14.00% range is the disclosed rate on loans actually booked, not a card rate.
Three sources give three different starting points for the same bank. The only rate that counts is the one in your sanction letter.
Processing fees vary widely. Business Standard reported in September 2025 that public-sector banks usually cap processing charges at 0.25% of the loan amount, while ICICI Bank and HDFC Bank charged up to 1-2% of the loan. A lower rate with a higher fee can end up costing more, so ask each lender for the fee in rupees.
Prepayment is governed by RBI rules. Regulated lenders cannot charge pre-payment penalties on floating-rate loans taken by individuals for non-business purposes. This applies to loans sanctioned or renewed on or after January 1, 2026. Fixed-rate loans can carry foreclosure charges, but the lender must disclose them upfront. For loans outside the rule, any pre-payment charges must appear in the sanction letter, the loan agreement and the Key Facts Statement. Ask your lender whether your loan is fixed or floating and what it would charge if you close early. These sources do not compare what fixed and floating loans cost over the full term, so weigh that separately.
What moving up the Windsor EV range does to your loan
The spread across the range is Rs 4,53,831, and all of it lands on your loan or your down payment. IndiCar prices 5 variant and powertrain combinations of the MG Windsor EV in Mumbai, all electric and all automatic. The range starts at the EXCITE at Rs 15,83,326 on-road (ex-showroom Rs 14,69,800) and tops out at the ESSENCE PRO at Rs 20,37,157 on-road (ex-showroom Rs 18,99,800).
The feature differences between the variants are not covered here. IndiCar gives you the feature sheet for each variant before you book, so you can judge whether a step up is worth the extra borrowing. Running costs are also not covered. Full variant prices are on the MG Windsor EV page.
What IndiCar confirms before you book
Before you book, IndiCar gives you in writing:
- The itemised on-road breakup, line by line as in the table above, for your lender's file.
- Stock availability for your variant and colour.
- Your delivery date.
- The feature sheet for the variant you choose, and what in the price is compulsory.
How to buy through IndiCar
Choose your car and variant on indicar.in, or browse all new cars with Mumbai on-road prices. Book at IndiCar's itemised on-road price with a refundable reservation. IndiCar sources the car from partner dealer stock, and the authorised dealer invoices it. IndiCar handles registration, insurance and delivery in Mumbai, Navi Mumbai and Thane, and you deal only with IndiCar throughout. Arrange your loan with the lender whose sanction letter gives you the lowest total cost.
Sources
- SBI Guide: Car Loan Interest Rates, Eligibility, Features, Benefits
- CreditMantri: SBI Car Loan Eligibility
- BankBazaar: SBI New Car Loan Scheme
- SBI Assured Car Loan
- Financial Calculator: HDFC Car Loan Interest Rate
- BankBazaar: Car Loan Interest Rates 2026
- PaisaSeekho: Car Loan Interest Rate 2026
- Budgetcar.in: Car Loan Interest Rates
- Business Standard: Festival season car loans
- News On Air: RBI bars pre-payment charges on floating rate loans
- Nestara: What RBI allows banks to charge on foreclosure
- Poonawalla Fincorp: RBI rules about loan foreclosure
Buying a new car through IndiCar
IndiCar arranges new-car purchases in Mumbai, Navi Mumbai and Thane. You book a new car on IndiCar at the on-road price shown on its car page, with every line itemised: ex-showroom, registration, insurance, TCS and FASTag. You book online with a refundable reservation, and IndiCar sources the car from partner dealer stock and handles the registration, insurance, paperwork and delivery.
You deal only with IndiCar from quote to delivery. Your phone number is never passed to a dealer, and you do not need to take the quote to a showroom to negotiate. See on-road prices and book or get a WhatsApp quote on +91 85916 41004.
Frequently asked questions
What is the minimum income for an SBI car loan?
SBI's guide lists a minimum annual income of Rs 3 lakh for salaried, self-employed and business applicants, and Rs 4 lakh for agriculturists. BankBazaar gives Rs 3,00,000 for the applicant and co-applicant combined.
What credit score do I need?
SBI generally looks for a score of 700 or more. For government employees with SBI salary accounts, it is 650 or more.
Can a car loan cover the full on-road price?
Some lenders fund up to 100% of the on-road price, according to BankBazaar. A CreditMantri page says SBI finances the on-road price, including registration, insurance, extended warranty, AMC and accessories.
Can my bank charge me for closing a car loan early?
Under RBI directions, regulated lenders cannot charge pre-payment penalties on floating-rate loans taken by individuals for non-business purposes and sanctioned or renewed on or after January 1, 2026. Fixed-rate loans can carry foreclosure charges, but the lender must disclose them upfront.
How much are processing fees?
Business Standard reported in September 2025 that public-sector banks usually cap processing charges at 0.25% of the loan amount, while ICICI Bank and HDFC Bank charged up to 1-2%.
What price document do I give my lender if I buy through IndiCar?
IndiCar gives you the itemised written on-road breakup before you book, and you can share it with your lender. Check with the lender whether it needs the quotation in a particular format.
Tags: car loans, mumbai, car finance, mg windsor ev, on road price