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Used Car Loan Finance

Mahindra Finance recognises the growing demand for second-hand cars in India, and we want to help you get the best deal. With our used car loans, you can enjoy affordable EMIs, flexible repayment options and competitive interest rates, making your dream car more affordable. We offer used vehicle financing for a diverse range of car models, so you can find the perfect fit for your needs. To ensure the long-term viability of your loan and the resale value of the vehicle, we carefully assess the chosen used car model. This includes consideration of both the car’s age and its current production status. Ideally, the combined total of the car’s age and the loan term should not exceed 8-10 years.

So, don’t let high costs hold you back, apply for a used vehicle loan from Mahindra Finance today and start saving!

Used Car Loan Features and Benefits

Wide Variety of Vehicles

We provide Pre-Owned Car Loans for a variety of cars, MUVs and SUVs less than 10 years old.

Affordable Interest Rates

You can avail competitive rates and EMIs that are lower than other unsecured loans.

Flexible Tenures

Enjoy custom tenure options, from 1 year to 5 years based on the age and condition of the vehicle.

Easy Documentation Process

Available to salaried/self-employed individuals and partnership firms. The application process requires minimal documentation.

Speedy Disbursement

With over 1386+ branches, the process of obtaining a Pre-Owned Car Loan is quick and smooth with us.

No hidden charges

We prioritize building trust through complete transparency. Our used car loans come with no hidden fees. All terms, conditions, and costs are clearly outlined, ensuring an informed decision.

Flexible Loan Terms

Enjoy manageable monthly payments (EMIs) with our extended loan terms of up to 72 months. This allows you to comfortably fit your used car loan into your budget.

Used Car Loan EMI Calculator

Calculating your Used Car Loan EMI has never been easier. Use our second hand car EMI Calculator to input your desired amount, interest rate and tenure, and view an instant summary of your EMI amounts. Easily determine your monthly payment (EMI) with our user-friendly used car loan calculator. Explore various loan amounts to find the perfect fit for your budget.. You can also simply adjust the amount and tenure to see how it affects your EMI repayments. Get in the driver’s seat faster with our Used Car Loan EMI Calculator.

Select Your Loan Type

1L 1Cr
6% 26%
12 60
Total Amount Payable

  • Principal Amount

  • Total Amount

Monthly EMI

How to apply for a Used Car Loan

Our Pre-Owned Car Loan application process is easy with a quick turnaround. Similar to other NBFCs, Mahindra Finance offers used car loans typically ranging from 80-90% of the car's value, with repayment terms ranging from 1 to 5 years. To ensure manageable payments, the combined car age and loan term should not exceed 8-10 years. Our expert valuation process guarantees a fair loan amount based on your car's condition. You can apply for used car loan online, talk to a Mahindra Finance representative at your local vehicle dealership or go to your nearby Mahindra Finance Branch. Our quick 4-step online process is described below:

Step 1: Fill in your contact details

Start the process by simply submitting your Name, Number and Pin Code.

Step 2: Get a Call Back

Our executive will contact you for additional details.

Step 3: Document Verification & Approval

Submit the requested documents for eligibility check and verification

Step 4: Successful Disbursal

Once verified and approved, your funds will be sanctioned and disbursed.

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Used Car Loan Eligibility and Documents

To ensure a smooth loan application process, the following second hand car loan eligibility criteria must be met:

  • Citizenship: Indian Citizen
  • Age: 21 to 60 years old
  • Credit Score: A CIBIL score above 700 is generally considered favorable.
  • Employment Status: We offer loan options for salaried individuals, self-employed individuals, and partnership firms. Minimum income requirements will vary based on the chosen vehicle model, its age, and the desired loan repayment term.

Application Form with a recent colour photograph

KYC Documents

Proof of Address, Identity and Income

Disclaimer: MMFSL reserves the right to approve/disapprove the loan after the submission of documents.

Used car loan Interest Rates and Charges

Financing your dream car shouldn't require a brand-new price tag. Mahindra Finance offers used car loans, providing you with the financial flexibility to acquire the vehicle you desire at a budget-friendly cost. Understanding used car loan interest rate is crucial for making an informed decision. By exploring our diverse second hand car loan options and familiarizing yourself with the rates and associated fees, you can potentially achieve significant savings on your overall loan cost.

Interest and Charges

Attractive Interest Rates based on your eligibility*

Interest Rates

Charged based on product-specific, document, and stamp fees based on the prevailing rates set by the statutory authority and the location of the contract execution.


Frequently Asked Questions (FAQs)

Get all the answers to your Pre-Owned Car Loans FAQs with Mahindra Finance

How do I approach Mahindra Finance for a pre-owned car loan?

Contact or visit your nearest Mahindra Finance branch. You can even apply online and we’ll get in touch with you shortly.

What are the eligibility criteria for availing a pre-owned car loan?

Eligibility for a pre-owned car loan from Mahindra Finance depends on the individual appraisal and the product, and all loans are given at the sole discretion of the company.

What are the minimum and maximum loan amounts given?

It depends on the age and condition of the vehicle and repayment capability of an individual.

What are the tenure options under pre-owned car loans?

Minimum 1 year and maximum 5 years, depending on the age and condition of the vehicle.

How much time will it take for a pre-owned car loan to be approved?

Our extensive network of branches at over 1386 Locations have speedy and simple documentation processes and with the capability of our executives to make quick, smart decisions, the process of obtaining a used car loan is a quick and smooth one.

What is the processing fee for a used car loan?

At Mahindra Finance, our processing fee for used car loans is competitive. The exact amount may vary depending on the specific loan details. We encourage you to contact us or visit your nearest branch for a personalized quote.

What does bounce charge mean?

bounce charge is a fee levied by your financial institution if a scheduled loan payment cannot be processed due to insufficient funds in your account. To avoid bounce charges and potential late payment penalties, ensure you have sufficient funds available before your EMI payment is due.

How do you calculate a used car loan interest rate?

Several factors influence your used car loan interest rate at Mahindra Finance, including:

  • Your credit score: A higher credit score typically qualifies you for a lower interest rate.
  • Loan amount and term: Longer loan terms or larger loan amounts may result in a slightly higher interest rate.
  • Car age and condition: The age and overall condition of the used car can also impact the interest rate offered.

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Get Affordable Financing for Pre-Owned Cars now!