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Unlock instant cash using your car as collateral and keep driving it daily. Rates from 11% p.a. | Up to 150% car value | 30+ lenders | 24-hour approval & disbursement
Apply Now Call +91 7015189618A Loan Against Car (LAC) is a secured loan where you pledge your existing car as collateral to borrow money. Unlike a car loan where you purchase a new vehicle, LAC lets you borrow against a car you already own—and you continue to drive it daily. The car's Registration Certificate (RC) is transferred to the lender as security, but you retain full ownership rights and driving privileges.
Express Credit Hub partners with 30+ banks and NBFCs to offer you the lowest Loan Against Car interest rates in India. Whether you need funds for an emergency, business expansion, education, or debt consolidation, a LAC provides quick access to cash at competitive rates. The entire process—from application to disbursement—takes just 24 hours, making it one of the fastest ways to raise funds without selling your vehicle.
Fill out the quick online form with your car details, phone number, and income information. Takes less than 2 minutes.
Our experts assess your car's market value based on age, make, model, and condition. Valuation done within 2-4 hours.
CIBIL check and income verification done instantly. Loan amount sanctioned within 8-12 hours of application.
Upload documents online or submit in person. RC transferred to lender for 6-48 hours (varies by lender).
Loan amount credited directly to your bank account within 24 hours. Start repaying as per agreed schedule.
Express Credit Hub compares rates from India's leading banks and NBFCs. Here's how major lenders stack up for Loan Against Car:
| Lender | Interest Rate | Max Loan Amount | Max Tenure | Processing Fee | Min Car Age |
|---|---|---|---|---|---|
| Tata Capital | 11.0% | ₹25 Lakh | 5 years | 1.5% | Under 7 yrs |
| ICICI Bank | 11.5% | ₹20 Lakh | 5 years | 1.5% | Under 7 yrs |
| HDFC Bank | 11.5% | ₹20 Lakh | 4 years | 2.0% | Under 6 yrs |
| Bajaj Finance | 12.0% | ₹25 Lakh | 5 years | 1.5% | Under 8 yrs |
| Mahindra Finance | 13.0% | ₹15 Lakh | 4 years | 2.5% | Under 10 yrs |
| Shriram Finance | 14.0% | ₹20 Lakh | 5 years | 2.0% | Under 12 yrs |
Note: Rates listed are approximate and vary based on CIBIL score, income, car condition, and lender approval. Express Credit Hub compares all lenders and gets you the best available rate.
Note: Document requirements vary by lender. Our team will guide you on exact documents needed once your application is processed.
Confused about which loan product is right for you? Here's a detailed comparison of the three most popular options:
| Feature | Loan Against Car | Personal Loan | Top-Up Loan |
|---|---|---|---|
| Interest Rate | 11-15% | 12-24% | 9-14% |
| Max Loan Amount | Up to 150% car value (₹50L) | Up to ₹25 Lakh | 25-50% of original loan |
| Collateral Required | Car (you keep driving) | None (unsecured) | Existing loan |
| Approval Speed | 24-48 hours | 24 hours | 48-72 hours |
| CIBIL Score Required | 600+ (preferred 700+) | 700+ (strict) | 650+ |
| Prepayment Charges | Minimal/nil | Usually free | Varies by lender |
| Best For | Car owners needing quick cash | Good credit, no collateral | Existing borrowers |
A Loan Against Car works best in specific financial situations. Here are 5 scenarios where LAC is your ideal choice:
Unexpected hospitalization or medical emergency? LAC offers quick funds at 11% compared to 18%+ for personal loans. Keep your car for daily use.
Need capital for inventory, equipment, or expansion? LAC provides ₹10-50 lakh at lower rates without affecting your business assets.
Multiple high-interest loans? Consolidate into one LAC at 11-13% and reduce monthly EMI by 20-30% instantly.
Children's higher education or professional courses? Borrow up to ₹25 lakh at 11% and repay flexibly over 5 years.
Kitchen, bathroom, or structural repairs? LAC is faster than home loan and you don't lose driving privileges.
No need to sell your car. Pledge it, get cash, keep driving. Rates from 11%.
Apply Now → WhatsApp UsIf you default on EMIs, the lender can repossess your car after 90-180 days of non-payment. Once repossessed, the car is auctioned to recover dues.
Most lenders install a GPS tracker on your car for security. While non-intrusive, some users find this uncomfortable. Tracker is removed after loan closure.
The RC is transferred to the lender. You cannot sell the car until the loan is fully repaid. Early repayment is the only way out.
Missing even one EMI hurts your CIBIL score significantly. This impacts future loans, credit cards, and even job applications.
If you delay payments, penalty interest is added on top of regular interest. ₹10,000 loan can become ₹12,000 in just 2 months of delay.
If you still owe a car loan EMI and take LAC on the same car, you have dual EMI obligations. Budget carefully to avoid default.
Yes, most lenders accept cars up to 10-12 years old depending on brand and condition. However, the loan amount decreases for older vehicles. For a 10-year-old Maruti Swift, you can expect ₹3-5 lakh. The car must have valid insurance, registration, and no outstanding dues. Newer cars (2-5 years) attract higher loan amounts up to ₹10-20 lakh.
Most lenders require some form of income proof. However, if you're self-employed, a bank statement showing regular deposits for 6-12 months can substitute traditional salary slips. Alternatively, your ITR (Income Tax Return) or business registration certificate may be accepted. Some lenders may approve based purely on car value and CIBIL score if you have a strong credit history.
Yes, you can pledge a car that is still on EMI. However, the RC will show dual ownership (original lender + new lender). You must be current on your original car loan EMI—no defaults. The loan amount will be lower (typically 50-70% of car value instead of 150%) because the lender takes on higher risk. You'll have two EMIs to manage, so budget carefully.
For a new Maruti Swift (up to 2-3 years old), you can get ₹7-10 lakh since current market value is ₹5-7 lakh and lenders offer 150% of value. For older models (5-7 years), expect ₹5-7 lakh. For 8+ year old Swift, typically ₹3-5 lakh. The exact amount depends on car condition, mileage, accident history, and lender policy. Get a free valuation from us today.
Yes, you can get a loan against two-wheelers including motorcycles and scooters. Interest rates are similar (11-15%) but the maximum loan amount is lower, typically ₹50,000 to ₹3 lakh depending on vehicle value and condition. The process is the same: RC transfer, documents, 24-hour approval. Two-wheelers depreciate faster, so lenders offer 80-100% of current market value (not 150%).
Missing an EMI triggers a penalty (2-3% of EMI amount) and your CIBIL score drops immediately. After 90 days of non-payment, the lender can initiate car repossession. After 180 days, your car may be auctioned without further notice. Payment defaults also impact future loans and credit cards. Contact your lender immediately if you face difficulty—many offer payment plans or restructuring options.
Over 10,000+ happy customers have raised funds using Express Credit Hub. Average approval time: 24 hours. No hidden charges. Zero prepayment penalty.
Apply Now in 2 Minutes →Or call us: +91 7015189618 | Email: expresscredithub.in@gmail.com