Bank of Baroda on Monday slashed car loan interest rates to 7 percent from 7.25 percent, along with concession charges, for a limited time until June 30, 2022. For the purchase of a new car, the new rate, which starts at 7 percent per year, is combined with the concessionary processing charges.

The bank also announced in a statement that processing fees have been cut to a fixed fee of Rs. 1,500 (plus GST) for a limited time till June 30, 2022. For the purchase of a new car, the new interest rate, which starts at 7 percent per year, as well as the concessionary processing charges, apply. According to the statement, this unique rate offer is related to a borrower's credit profile.

"While the pandemic and ensuing lockdown hampered the auto industry, we have since seen a steady rise in demand for car loans as the economy has opened up and people are ready to drive in their own vehicles," said HT Solanki, General Manager - Mortgages & Other Retail Assets, Bank of Baroda. Consumers will find it easier and affordable to acquire a car of their choosing thanks to a lowering in the Baroda Car Loan interest rate and a cut in processing fees."

He went on to say that, to make the process of getting a car loan easier, Bank of Baroda offers a seamless digital platform for pre-approved customers to apply for a loan, receive sanction, and receive disbursement.

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