Are you looking for a car loan? If so, you’ve probably noticed that there are tons of financial institutions offering auto financing in Pakistan, but which one should you choose?
If you’ve ever looked at the price tags of new cars, you know how expensive it can be to purchase your dream ride. There are quite a few things to consider before you pick the bank that will finance your new wheels.
Fortunately, there are plenty of ways to get around this roadblock and take home your new vehicle without emptying your bank account like taking out a car loan.
You just need to pick the right bank and the right loan for your situation, which are the topics we’ll explore in this guide on the top 5 banks in Pakistan to get a car loan.
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Car Loan In Pakistan | Car Loan Without Down Payment In Pakistan
Table of Contents
- Car Loan In Pakistan | Car Loan Without Down Payment In Pakistan
State Bank Of Pakistan Car Loan
If you’re looking to get a car loan, the State Bank of Pakistan is one of the best options. The first thing to do is find out how much money you want to borrow and then fill out an application with your details.
Once you’ve been approved, they will issue an agreement and lend the agreed amount. You’ll need to pay back the loan according to the terms of this agreement which typically includes interest payments.
Some banks might require collateral if you are unable to get a car on time, while others might offer flexible payment plans.
Requirements
| Criteria/Feature | Details |
|---|---|
| Minimum Salary Requirement | Rs. 40,000 per month |
| Job Duration Requirement | 1 year at any company |
| Loan Amount Range | Up to Rs. 75,000 |
| Average Loan Amount | Rs. 30,000 |
| Reserved Loans for Women | 50% of the loans |
| Eligibility for Roshan Apni Car | Non-Resident Pakistanis with Roshan Digital Accounts (RDAs) |
| Application Process for Roshan Apni Car | Fully digital, apply through the bank portal where RDA is held |
| Loan Approval Time | 4 days from application submission |
| Flexible Tenors | 2 to 7 years |
| Delivery Time Reduction | Up to 50% faster delivery |
| Special Markup Rates | SBP Floor Rate plus 1% |
| Insurance Rates | As low as 1.4% |
| Financing Modes | Conventional and Sharia-compliant modes available |
| Car Financing Rates – Floating (Lien Based) | SBP Floor Rate + 1% |
| Car Financing Rates – Floating (Non-Lien) | KIBOR + 1% |
| Car Financing Rates – Fixed (Lien Based) | COD + 1% |
| Car Financing Rates – Fixed (Non-Lien) | PKRV + 1.5% |
| Multiple Car Allowance | Up to 3 cars for Non-Resident Pakistanis |
The National Bank Of Pakistan Car Loan
The National Bank of Pakistan offers car loans to anyone who holds a Pakistani National ID card. The loan amounts vary, but this bank provides the most competitive rates for car loans.
National Bank of Pakistan has a very stringent credit policy and is one of the few banks that will not provide financing for a car loan if your credit score does not meet their requirements.
In order to get a car loan from the National Bank of Pakistan you must have at least 3 years of experience as an employee or self-employed individual.
If you are unemployed, you need to prove that you have enough money to support yourself for at least 6 months before considering getting a car loan from this bank. If you qualify for the loan, it usually takes about 3 weeks to process your application.
Requirements+Features
| Criteria/Feature | Details |
|---|---|
| Eligibility to Get a Car Loan | Must have an active account with NBP, be 18 years or older, and earn more than Rs. 40,000/month |
| Account Requirement | Must have had an account for at least three months and not be under any debt management program |
| Processing Time | 2-4 weeks |
| Notification Method | Email notification containing all details once approved |
| Application Methods | Online via a portal or through branches |
| AHAF Mode of Financing | Shariah Compliant mode (Diminishing Musharakah) |
| Processing Fee | Rs. 2,000 at the time of application submission |
| Pricing/Rental Mechanism | Variable rate based on 6 Months KIBOR, revised every 6 months |
| Maximum Vehicle Cost | Rs. 10 Million |
| Types of Vehicles Financed | New unregistered locally manufactured/assembled or new imported vehicles (up to 4 years old) |
| Eligible Applicants for AHAF | NBP employees, government institutions, armed forces, and other salaried individuals in reputable companies |
| Age Requirement for AHAF | 23 to 55 years |
| Minimum Monthly Income Requirement for AHAF | Net Monthly Income of Rs. 50,000 |
| Equity Contribution | Minimum 15%, Maximum 50% of vehicle cost |
| Financing Tenure Options | 2, 3, 4, and 5 years |
| Nationality Requirement | Only resident Pakistani nationals with a valid CNIC/SNIC |
| Credit History Requirement | Clean eCIB and data check history |
| Maximum Debt Burden Ratio (DBR) | Should not exceed 50% of net income |
| Vehicle Registration | In the name of the customer with an HPA mark in favor of NBP |
| Insurance Method | Takaful (Shariah-compliant insurance) |
| Loss/Theft Handling | Termination of partnership on total loss/theft, customer compensates bank if loss due to negligence |
| Monthly Installments Start | From the date of vehicle delivery |
| Penalty for Late Payment | No penalty; charity amount @ 24% p.a. to be paid for late payments, used for charitable purposes |
| Becoming Sole Owner | Gradual purchase of Musharakah units until sole ownership at the end of the financing period |
| Vehicle Repossession | Initiated if the customer’s account is overdue for 90 days |
The Muslim Commercial Bank Car Loan | MCB Car Loan
There are a lot of Pakistani banks that offer car loans but the Muslim Commercial Bank is one of the best. The bank has a history of offering high-quality customer service and offers a variety of loan options for customers.
This makes it an excellent choice for people looking to get a car loan because they won’t have to settle for anything less than what they want.
When you first walk into the bank, you’ll be greeted by friendly staff members who will help you with whatever you need throughout the process.
To get a car loan from this bank, all you have to do is fill out an application which should only take five minutes, and then meet with one of their experienced loan officers who will help guide you through the rest.
Requirements+Features
| Criteria/Feature | Details |
|---|---|
| Minimum Salary | Rs. 45,000 per month |
| Tenure | At least 2 years |
| Car Age Requirement | The car should be less than 3 years old |
| Income Proofs Required | Income tax return form (if not filled), latest salary slips, and latest bank statements |
| Documents Required | Copy of CNIC, copies of latest salary slips, latest bank statements, credit card bills for last 6 months |
| Net Income | PKR 40,000 per month |
| Minimum Age Requirement | 21 years |
| Maximum Age at Loan Maturity | 65 years (salaried) and 70 years (self-employed) |
| Employment Length (Salaried) | Minimum 6 months |
| Business Length (Self-Employed) | Minimum 1 year |
| Remittance History | Minimum 6 months remittance history through banking channel |
| Eligible Income Sources | Salaried, self-employed, self-employed businessmen, professionals, agriculturists, landlords, foreign remittances, income from fixed/term deposits |
| Joint Borrowing | Allowed with a spouse through income clubbing option |
| Minimum Documentation | Copy of CNIC, 2 passport-sized recent photographs, bank statement (6 months to 1 year), salary slip/proof of business |
| Key Features | Competitive pricing, finance tenor up to 7 years, finance up to 80% of vehicle value, comprehensive insurance, option to finance a second or third car, prepayment option, upgrade without penalty, lease variant available, deferred installment plan |
| Product Variants | Residual Value (balloon payment option), Post-Booking loan, upgrade with no penalty |
| Special Convenience/Services | No processing fee if loan not approved, immediate vehicle delivery, 160+ approved auto dealerships, quick processing, quick NOC issuance, consumer offices in 11 major cities |
| Standard Pricing (Tenor: 1 – 5 Years) | MCB Account Holders: 1Yr KIBOR + 4%, Non-MCB Account Holders: 1Yr KIBOR + 4.5% |
The Habib Bank Limited Car Loan | HBL Car Loan
Getting a car loan from Habib Bank Limited is an easy process. The bank provides car financing for a variety of types of cars, including four-wheelers and two-wheelers (bikes).
To apply for a car loan from Habib Bank Limited, fill out the application form on their website and submit it before you leave your home. Applicants must have at least one good credit history, a stable job, and no criminal record. As soon as the bank approves your loan request, they will email you a detailed proposal.
After receiving the proposal, you can review all terms and conditions carefully before accepting or declining them. You will also receive paperwork explaining all of the financial obligations that come with borrowing money from this bank.
Requirements+Features
| Criteria/Feature | Details |
|---|---|
| Eligibility Requirements | Employment letter, personal bank account with HBL, valid Pakistani driver’s license or international driving permit |
| Loan Options | Secured and unsecured loans for new and used cars |
| Processing Fees | No additional processing fees |
| Interest Rates | Low interest rates |
| Account Requirement | Active current account in good standing with HBL |
| ID Requirement | Valid ID card |
| Financing Limit | PKR 200,000 to PKR 3,000,000 |
| Repayment Period | Up to 5 years |
| Vehicle Eligibility | Locally manufactured vehicles, new or used |
| Financing Coverage | Up to 70% of the vehicle’s value |
| Insurance | Secured insurance with tracker facility |
| Partial Payment Facility | Available at convenience |
| Dealer Network | Over 150 eligible dealers |
| Branch Network | Over 1600 branches |
| Application Channels | Nearest branch or alternate channels |
| Support | 24/7 support through HBL Phone Banking |
| After Sales Service | Dedicated service available |
| Criteria | Salaried Individuals |
| Nationality | Pakistani citizen |
| Age Requirement | 22 years or more, max 60 or retirement age (whichever is lower) |
| Minimum Monthly Income | PKR 35,000 |
| Pension Account Relationship | N/A |
| Documents Required | Salaried Individuals |
| CNIC Copy | Verified |
| Photographs | Two recent passport-size |
| Bank Statement | Last three months |
| Proof of Income | Latest original salary slip |
The Bank Alfalah Car Loan
Pakistan’s top-ranked bank and one of the largest private banks, The Bank Alfalah offers car loans to help you buy a new or used car. Plus, they have extended their services to include the latest models of cars that are available in the market today.
There are many steps to take when applying for a car loan. First, you need to have a clean credit score and complete all the necessary paperwork. Second, you should get your car inspected. This is because it will help to give you an idea of the cost of repairs that may come up later on.
Third, make sure your insurance is already taken care of or if there are any gaps that need to be addressed before taking out a loan. Lastly, make sure you have enough cash on hand to cover the down payment and other expenses related to this process.
Requirements+Features
| Criteria/Feature | Details |
|---|---|
| Minimum Salary | Greater than Rs. 50,000 per month |
| Tenure | 3 years |
| Age Criteria | At least 25 years old and a minimum age of 18 at the time of taking a car loan |
| Bank Account Requirement | Account with Bank Alfalah for at least 1 year prior to getting the car loan |
| Family Member Account | At least one family member with an account at Bank Alfalah for more than a year if the applicant doesn’t have an account |
| Maximum Cars | Up to five new or used cars in one calendar year (premium customers only) |
| Bank Charges | Applicant must cover all bank charges |
| Co-applicant Option | Available if the applicant doesn’t meet the criteria but has a family member who does |
| Vehicle Options | Locally assembled/manufactured new or used cars |
| Markup Rates | Affordable, variable rates based on KIBOR |
| Financing Coverage | Residual value option to lower installments, partial payment option available |
| Insurance & Registration | Option to defer insurance and registration charges, zero charges on car replacement |
| Flexible Financing Tenure | Minimum 2 years, Maximum 5 years (vehicles up to 1000 CC), Minimum 2 years, Maximum 3 years (vehicles above 1000 CC) |
| Documents Required | Complete application form, CNIC copy, SBP undertaking, 2 recent photographs |
| Additional Documentation | Salaried Individuals: Salary Slip/Salary Letter, 6 months Bank Statement Self-Employed/Professionals: 6 months Bank Statement, Proof of occupation/business Agriculturist: Fard/Mukhtar e Kar/Ownership Certificate, 6 months Bank Statement Rental Income: Rental Agreement, Title Document, 6 months Bank Statement Foreign Remittance: Income/Job Proof, Remitter’s Passport, 6 months Remittance Slips or 6 months Bank Statement of Remittee |
| Eligibility Criteria | Pakistani National Identity Card Holder |
| Minimum Gross Salary | PKR 30,000/- for salaried individuals |
| Age Requirement | 21 to 65 years at loan maturity for private sector employees, 60 years for government sector employees |
| Job Status | Permanent: Currently employed, total employment experience of 6 months Contractual: Currently employed, total employment experience of 1 year |
| Minimum Gross Income (Self-Employed) | PKR 50,000/- per month |
| Business Status | Minimum 1 year in current business |
| Customer Segments | Salaried individuals, professionals, self-employed individuals, landlords, housewives, retired individuals |
| Income Sources | Employment, business, rental income, agricultural income, remittances from abroad, co-borrowers income |
| Markup Rates | Brand New Vehicles: KIBOR + 3.50% (2 years), KIBOR + 4.00% (3 years), KIBOR + 4.50% (4-5 years) Used Vehicles: KIBOR + 5.00% Semi Commercial Vehicles: KIBOR + 5.00% |
| Additional Markup | 1% additional markup for deferred insurance and registration financing |
FAQs | Car Loan
Which Pakistani bank gives a Riba-free Car Loan?
Meezan Bank gives Riba-free car loans in Pakistan, based upon Islamic financing called Ijara.
Best Pakistani banks to get a car Loan?
National Bank, Meezan Bank, MCB, and Bank Al Falah are one of the best banks in Pakistan to get a car loan.
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If you have any questions contact us (email) at Contact@personalloan.pk | Personalloan.pk@gmail.com or leave us a comment, we would love to answer all of your queries. Thanks for reading!
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