I’m a NRI working in Dubai. Can I get car loan?
Yes! An NRI can get a Car Loan in India. Any Indian citizen residing abroad who has a salaried job or is self-employed in his country of residence qualifies as an NRI and can apply for an NRI Car Loan. An NRI Car Loan can be taken to purchase a new as well as a used car.
Although you, as a borrower, will be the one paying the EMIs on the Car Loan, if you happen to be an NRI, you will not be able to buy the car in your name. You will have to buy it in the name of your next of kin who is a resident citizen of India.
This person then becomes the borrower of the Car Loan and you, as an NRI, will become the guarantor for the loan. The car will be registered in the name of your relative while the repayment of the loan will be done by you.
Banks have their own list of ‘approved’ countries and if you happen to reside in any of these countries, then it will be rather easy for you to get a Car Loan.
Countries such as the US, the UK, Malaysia, Singapore and West Asian countries are on the approved list of most banks. You will have to check with your respective bank in case you’re residing in a country other than the ones mentioned above.
As with regular Car Loans given out to Indian residents, NRIs too need to have a sustainable income and have to be above a certain income level in order to be considered eligible.
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