Factors affecting your Used Car Loan eligibility

Learn about the various factors that can impact the eligibility of your used car loan.
Used Car Loan
3 min read
01 April 2024

You may have always wanted that sleek, luxury sedan. Or perhaps you are keen to go off-roading in your favourite black SUV. Owning a car is a dream most Indians have. But buying one often comes with a hefty price tag. If you don’t have the means to buy a new four-wheeler, you may want to consider a pre-owned car.

The market today has plenty of second-hand cars that are in good condition and don’t pinch the pocket as much as a new vehicle. And while a used car will still cost money, you have the option of considering a used car loan to manage the expenses.

What is a used car loan?

A used car loan is a type of financing that can be used to buy a pre-owned vehicle. Bajaj Finance offers used car loans that come with minimal documentation and flexible repayment tenures of up to 72 months.

If you seriously considering a used car loan, here are the factors that are likely to influence your loan eligibility.

Credit score: Your credit score plays a critical role in determining your eligibility for any loan. You must have a credit score of 700 or higher to get a used car loan from Bajaj Finance.

Age criteria: You must be between 18 and 80 years of age.

Employment and income: Steady employment and a regular source of income are critical factors for loan approval.

  • If you are a salaried individual, you should have at least 1 year of experience and a minimum monthly salary of Rs. 20,000.
  • If you are self-employed, you need to submit an ITR proof for the last 2 years.

Vehicle age and condition: The age of the vehicle and the condition in which you are buying, also impacts the eligibility of your loan. If you are applying for a used car loan from Bajaj Finance, your vehicle should not be older than 12 years.

Now that you know the factors that affect your used car loan eligibility, you can turn your dream into reality without any hassles. With Bajaj Finserv Used Car Finance, you can get a loan of up to Rs. 77 lakh at competitive interest rates. With our flexible repayment tenure, you will be able to buy your dream vehicle, without digging a hole in your pocket.

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