Federal Bank Used Car Loan Interest Rate & EMI Calculator 2026
Verified Federal Bank used car loan rates starting from 10.25% – 14% p.a. — calculate your exact EMI, down payment, total interest & loan amortization.
Six Lakhs rupees
One Lakh Fifty Thousand rupees
| Particulars | Amount |
|---|---|
| On-Road Car Price | ₹6,00,000 |
| Down Payment Paid | ₹1,50,000 |
| Loan Principal | ₹4,50,000 |
| Total Interest Payable | ₹1,26,997 |
| Total Cost of Ownership | ₹7,26,997 |
Planning an early payoff?
Check penalty charges & interest saved
Federal Bank Foreclosure Charge Calculator
See exactly what closing this loan early would cost you — and whether the interest you save makes it worth it.
Closing now leaves you ₹84,221 better off
₹84,221 interest avoided − ₹0 fee = ₹84,221 net benefit.
| Close after | Outstanding | Fee | Net benefit |
|---|---|---|---|
| 6 mos | ₹4,14,615 | Nil | ₹1,04,683 |
| 12 mos | ₹3,77,377 | Nil | ₹84,221 |
| 24 mos | ₹2,96,950 | Nil | ₹49,249 |
| 36 mos | ₹2,07,880 | Nil | ₹22,919 |
| 48 mos | ₹1,09,240 | Nil | ₹6,160 |
Official Federal Bank Foreclosure & Prepayment Terms
Published schedule of charges • Verified banking disclosure
“Nil”
Federal Bank Used Car Loan Rates & Charges (2026)
Comprehensive schedule of interest rate range, processing fees, tenure, and prepayment terms
Every figure below is taken directly from Federal Bank's officially published rate card and is periodically verified by our automated rate tracker.
| Particulars | Federal Bank Used Car Loan Terms |
|---|---|
| Interest Rate | 10.25% - 14.00% p.a. |
| Rate Benchmark | Fixed rate; product-page rate card |
| Processing Fee | 1% of loan amount, min Rs. 5,000, max Rs. 2,50,000 |
| Foreclosure / Prepayment | |
| Maximum Funding (LTV) | Up to 90% of the car's valuation |
| Maximum Tenure | 7 years (84 months) |
- Funding up to 90% of vehicle value for pre-owned cars; loan period + vehicle age must not exceed 10 years
- 2026-10-20: retail-loans page (Present Repo Rate 5.50%) reads "Car Loan (Used) From 10.25% to 14.00%" (min was 10.15%).
- Official product-page rate table (22-09-2026 check): "Car Loan (Used) From 10.15% to 14.00%" (min moved up from 10.00% previously). Floating-rate figure (previously 15.05%) no longer published; only the fixed-rate table lists car loans now.
Federal Bank Used Car Loan Scheme-wise Rates
Federal Bank prices used car loan variants separately based on the specific loan program and applicant credit tier.
| Loan Scheme / Segment | Interest Rate (p.a.) |
|---|---|
| Fixed | 10.25% - 14.00% |
Federal Bank Used Car Loan EMI Table (2026)
Monthly EMI at Federal Bank's lowest published used car loan rate of 10.25% p.a. (maximum tenure 7 years). Your actual rate depends on credit score, car model and scheme - use the calculator above for an exact figure.
| Loan Amount | 3 Years | 5 Years | 7 Years |
|---|---|---|---|
| ₹2,00,000 | ₹6,477/mo | ₹4,274/mo | ₹3,346/mo |
| ₹3,00,000 | ₹9,715/mo | ₹6,411/mo | ₹5,019/mo |
| ₹5,00,000 | ₹16,192/mo | ₹10,685/mo | ₹8,365/mo |
Compare Federal Bank with Other Used Car Loan Providers (2026)
Used car loan interest rates across banks and NBFCs, from each lender's official rate card, sorted by lowest starting rate.
| Lender | Interest Rate (p.a.) | Est. Monthly EMI | Calculated Processing Fee | Total Payable (incl. fees & interest) |
|---|---|---|---|---|
| 8.00% - 25.00% | ₹9,124 | Not published | ₹5,47,440 | |
| from 8.86% | ₹9,311 | Up to ₹18,000 | ₹5,76,660 | |
| 8.95% - 11.10% | ₹9,330 | ₹1,328 | ₹5,61,128 | |
| 9.50% - 17.00% | ₹9,451 | Up to ₹4,500 | ₹5,71,560 | |
| 9.50% - 29.00% | ₹9,451 | ₹11,948 | ₹5,79,008 | |
| 9.55% - 12.90% | ₹9,462 | ₹4,500 | ₹5,72,220 | |
| 9.65% - 11.80% | ₹9,484 | Not published | ₹5,69,040 | |
| 9.70% - 13.25% | ₹9,495 | ₹1,500 | ₹5,71,200 | |
| 9.75% - 16.50% | ₹9,506 | ₹10,620 | ₹5,80,980 | |
| 9.75% - 11.40% | ₹9,506 | Not published | ₹5,70,360 | |
| 9.95% - 12.45% | ₹9,550 | Not published | ₹5,73,000 | |
| 10.00% - 21.00% | ₹9,561 | Not published | ₹5,73,660 | |
| 10.00% - 17.51% | ₹9,561 | Up to ₹9,000 | ₹5,82,660 | |
| 10.00% - 36.00% | ₹9,561 | Up to ₹22,500 | ₹5,96,160 | |
| 10.00% - 18.25% | ₹9,561 | Up to ₹13,275 | ₹5,86,935 |
Live figures calculated for ₹4,50,000 over 60 months. Rates and fee formulas sourced directly from each lender's official website (last verified 20 Oct 2026) and auto-refreshed. GST at 18% is added where charged by the lender.
Federal Bank Used Car Loan Calculation Walkthrough
Illustrative breakdown for ₹4,50,000 @ 10.25% p.a. over 60 months (5 yrs)
Itemized Cost & Disbursal Breakdown:
Federal Bank Used Car Loan Eligibility Criteria
Key qualification parameters for salaried & self-employed buyers
Applicant must meet the minimum age at loan origination.
Higher thresholds may apply for luxury vehicle segments or co-borrower loans.
Credit score decides your starting rate in Federal Bank's 10.25% – 14% bracket.
At least 6–12 months in current employment or 2+ years of business continuity.
All existing monthly loan installments plus the new car EMI should not exceed 50% of take-home pay.
Documents Required for Federal Bank Used Car Loan
Checklist for paperless verification & fast disbursal
Proof of Identity & Signature (Any one)
PAN Card (Mandatory), Aadhaar Card, Passport, Voter ID, or Driving License.
Proof of Residence (Any one)
Aadhaar Card, Utility Bill (Electricity / Water / Piped Gas < 3 months), Registered Rent Agreement, or Passport.
Income Proof
Salaried: Latest 3 months salary slips, Form 16 / ITR for the previous financial year.
Self-Employed: Last 2 years ITR with computation of income, audited balance sheet & P&L.
Vehicle Documentation
Copy of vehicle RC (Registration Certificate), insurance certificate, and seller valuation inspection report.
How to Get the Lowest Federal Bank Used Car Loan Interest Rate
1. Keep CIBIL Above 750
Auto loan interest rate cards are tiered heavily by credit scores. Maintaining 750+ unlocks Federal Bank's lowest rack rate starting at 10.25% p.a.
2. Make a Higher Down Payment
Paying 20%–30% upfront lowers your Loan-to-Value (LTV) ratio, reduces interest outgo, and decreases the lender's risk margin.
3. Check Existing Relationship
If you hold a salary, savings, or wealth account with Federal Bank, look for pre-approved car loan offers with zero processing fees and instant sanction.
Car Loan Hypothecation (HP): Process, Fees & Removal Guide
Understanding the legal lender endorsement on your vehicle Registration Certificate (RC)
When you purchase a vehicle using a car loan from Federal Bank, the car acts as primary collateral. Under the Motor Vehicles Act, a legal lien called Hypothecation (HP) is endorsed on your vehicle's Registration Certificate (RC) and registered with the Regional Transport Office (RTO) via Form 34. This gives Federal Bank legal ownership rights until the loan is paid off in full.
1. HP Addition (At Loan Disbursal)
- • RTO Endorsement Fee: Standard RTO charge of ₹500 – ₹1,500 (varies by state and Parivahan portal fees).
- • Stamp Duty / Documentation: Approx. ₹200 – ₹500 for state-level agreement stamp paper.
- • Process: The dealer/bank files Form 34 so your Smart Card RC prints: “Hypothecated to Federal Bank”.
2. HP Termination (After Loan Closure)
- • Bank NOC: Federal Bank issues a No Objection Certificate (NOC) + 2 signed copies of Form 35 upon final EMI clearance.
- • RTO Cancellation Fee: ₹100 – ₹500 for smart card reissue without the lender lien.
- • Important: You must submit the NOC to your RTO within 90 days to obtain a clean RC for hassle-free resale or insurance claims.
Federal Bank Used Car Loan FAQs
Frequently asked questions about Federal Bank used car loan interest rates, EMI calculation, hypothecation, charges, and loan terms in 2026.