Bank of Baroda Cuts Car Loan Interest Rates by 30 bps; Floating Rates Now Start at 7.60% p.a.

Bank of Baroda (BoB), India’s International Bank, has announced a 30 basis points reduction in its car loan interest rates, making vehicle financing more affordable for customers. With immediate effect, the Bank’s floating rate car loans now start at 7.60% p.a., down from 7.90% p.a., while fixed rate car loans begin at 8.50% p.a.

The revised floating interest rate of 7.60% p.a. is applicable on the purchase of new cars and is linked to the borrower’s credit profile.

In a further boost to customers, Bank of Baroda has waived prepayment and part-payment charges on floating rate car loans for individual borrowers. Both fixed and floating rate loans are calculated on the Daily Reducing Balance method, ensuring lower overall interest outgo.

Borrowers can also opt for an extended repayment tenure of up to 84 months, offering greater financial flexibility.

Commenting on the rate cut, Shri Sanjay V. Mudaliar, Executive Director, Bank of Baroda, said:

“The reduction in car loan interest rates makes Bank of Baroda one of the most competitive players in the market and reflects our continued focus on offering affordable and accessible credit to consumers. The Bank remains committed to delivering customer-centric, digitally-enabled financing solutions to support the growing aspirations of car buyers across the country.”

Customers can avail Baroda Car Loans seamlessly through the Bank’s Digital Lending Platform, via the bob World app, the official website, or by visiting any Bank of Baroda branch nationwide.