Cholamandalam vs TVS Credit Used Car Loan: Which Is Better in October 2026?
60-Second Verdict
With a CIBIL score of 700+ and income proof, TVS Credit is cheaper: 15.25% (salaried) or 15.75% (self-employed) against Cholamandalam's 16.01% to 19.01%. Below 700 CIBIL or without income proof, TVS Credit's fixed grid (18.00% to 20.00%) is more predictable, while Cholamandalam caps its band slightly lower at 19.01%.
Cholamandalam vs TVS Credit: Side-by-Side Comparison (October 2026)
| Parameter | Cholamandalam | TVS Credit |
|---|---|---|
| Interest rate range | 16.01% to 19.01% | 15.25% to 20.00% |
| Salaried, CIBIL 700+ | 16.01% to 19.01% | 15.25% flat |
| Self-employed, CIBIL 700+ | 16.01% to 19.01% | 15.75% flat |
| CIBIL below 700 | Up to 19.01% | 18.00% (salaried) / 19.00% (self-employed) |
| No income proof | Case-by-case field assessment | 17.00% (700+) / 20.00% (<700) |
| Best for | Deep semi-urban & commercial-adjacent buyers | Transparent CIBIL & income grid |
Who wins by CIBIL and income type
What the difference costs: on a ₹5 lakh, 5-year loan for a CIBIL 700+ salaried buyer, TVS Credit's 15.25% versus Cholamandalam's 16.01% saves ₹204 a month and ₹12,240 in interest.
| Borrower Profile | Winner | Rate Comparison |
|---|---|---|
| Salaried, CIBIL 700+ | TVS Credit | 15.25% vs 16.01%–19.01% |
| Self-employed, CIBIL 700+ | TVS Credit | 15.75% vs 16.01%–19.01% |
| No income proof, CIBIL 700+ | TVS Credit (clarity) | Published 17.00% vs 16.01%–19.01% |
| No income proof, CIBIL <700 | Cholamandalam (ceiling) | Caps at 19.01% vs TVS's 20.00% |
When to pick Cholamandalam
Choose Cholamandalam if you live in a Tier 2/3/4 town with a strong Chola branch presence or if your low-CIBIL no-income-proof file gets a sub-19.01% quote.
When to pick TVS Credit
Choose TVS Credit when your CIBIL is 700+ (to get 15.25% or 15.75%) or when you want upfront certainty from its 6-cell rate matrix.
When neither Chola nor TVS Credit is your best option — consider Kotak Mahindra Bank
If you have no income proof but a decent CIBIL score, Kotak Mahindra Bank starts at 14.25% (₹5L+), beating both NBFCs. See Kotak vs TVS Credit. You can also compare all used car loan options on our 27-lender interactive calculator.
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Frequently Asked Questions (Chola vs TVS Credit)
Is TVS Credit or Cholamandalam better for self-employed borrowers?+
With a CIBIL score of 700+, TVS Credit's published 15.75% rate is lower than Cholamandalam's 16.01% starting rate. Both are strong options for business owners with irregular cash flows.
Which lender is better for a CIBIL score of 650?+
Both lend to 650 CIBIL profiles. TVS Credit publishes fixed rates of 18.00% (salaried) and 19.00% (self-employed), while Cholamandalam prices between 16.01% and 19.01% after field verification.
Do both lenders fund used cars without ITR?+
Yes. TVS Credit has an explicit no-income-proof column (17.00% for 700+ CIBIL, 20.00% below 700), and Cholamandalam evaluates cash-flow borrowers at the branch level.