SK Finance Used Car Loan — Interest Rates, Eligibility & EMI (October 2026)
SK Finance (formerly Ess Kay Fincorp) has spent three decades financing used vehicles across Rajasthan, Gujarat, Maharashtra, Punjab, Haryana, Madhya Pradesh and Chhattisgarh. On Nxcar, its used car loan rates run from 16.01% to 19.01% a year—identical to Cholamandalam's band.Why pick SK Finance when Kogta Financial caps at 17.01%? Because SK Finance goes deeper down the credit curve, actively underwriting sub-700 CIBIL scores, first-time rural/semi-urban borrowers and cash-income traders who need flexible field verification.Its 19.01% ceiling also remains 2.00 percentage points below IndoStar Capital and Vastu Finserve (21.01%).
Comparing multiple banks before applying? Read our pillar used car loan guide or compare all lender rates across 27 banks and NBFCs.
SK Finance Used Car Loan Key Facts (October 2026)
| Lender Category | NBFC-ML (SK Finance Ltd, formerly Ess Kay Fincorp) |
|---|---|
| Interest Rate (p.a., Reducing Balance) | 16.01% to 19.01% |
| EMI per ₹1 Lakh (5-Year Tenure) | ₹2,432 – ₹2,595 |
| Maximum LTV (Funding Share) | Up to 80% to 85% of valuation (Check with lender) of assessed vehicle valuation |
| Repayment Tenure Range | 12 to 60 months (1 to 5 years) |
| Max Car Age at Loan Maturity | Up to 12 years at maturity |
| Minimum CIBIL Score Accepted | 600 to 650+ (flexible for new-to-credit and cash income) |
| Processing Fee & Foreclosure | Processing: Check with lender · Foreclosure: Fixed-rate loan; check Key Facts Statement |
| Typical Sanction & Disbursal Speed | 24 to 48 hours |
Nxcar Lending Desk Note: Strong approval record for self-employed and cash-income buyers in Tier 2/3 North & West India. (Median sanction time: 36 hrs; average loan size: ₹4,10,000).
what is SK Finance's used car loan interest rate by slab?
Below is the October 2026 slab-wise pricing structure for SK Finance across loan sizes, CIBIL bands, and income documentation tracks:
| Borrower / Loan Slab | Indicative Interest Rate (p.a.) | Key Underwriting Note |
|---|---|---|
| All loan sizes | 16.01% to 19.01% | 3-point spread for broad eligibility |
SK Finance Used Car Loan: Honest Pros and Cons
Why Borrowers Choose SK Finance
- • High approval willingness for sub-700 CIBIL scores, new-to-credit buyers and cash-income profiles
- • 19.01% ceiling is 2.00 points lower than IndoStar (21.01%) and Vastu Finserve (21.01%)
- • Fast local valuation and field verification in North, West and Central India
Matching borrower guide: used car loan for a low CIBIL score →
Limitations & Watch-Outs
- • 16.01% floor is uncompetitive for prime borrowers
- • 2.00 points higher ceiling than regional peer Kogta Financial (17.01%)
SK Finance Used Car Loan EMI Table (₹3L to ₹12L over 5 Years)
Monthly EMIs and 5-year total interest computed on reducing-balance math across SK Finance's lowest (16.01%), mid (17.51%), and ceiling (19.01%) rates:
| Loan Amount (60 Months) | At Lowest Rate (16.01%) | At Mid Rate (17.51%) | At Ceiling Rate (19.01%) |
|---|---|---|---|
| ₹3,00,000 | ₹7,297/moInterest: ₹1,37,821 | ₹7,538/moInterest: ₹1,52,297 | ₹7,784/moInterest: ₹1,67,029 |
| ₹5,00,000 | ₹12,162/moInterest: ₹2,29,701 | ₹12,564/moInterest: ₹2,53,829 | ₹12,973/moInterest: ₹2,78,382 |
| ₹8,00,000 | ₹19,459/moInterest: ₹3,67,522 | ₹20,102/moInterest: ₹4,06,126 | ₹20,757/moInterest: ₹4,45,411 |
| ₹12,00,000 | ₹29,188/moInterest: ₹5,51,283 | ₹30,153/moInterest: ₹6,09,189 | ₹31,135/moInterest: ₹6,68,116 |
Quick Used Car Loan EMI Calculator
Adjust loan amount, interest rate, and tenure on reducing-balance math
Estimated Monthly EMI
₹12,162/mo
SK Finance Pre-Owned Car Loan Eligibility & Documents
Salaried Applicants
₹15,000 a month (Check with lender)
Self-Employed Applicants
Field-assessed cash / agricultural / trader income
| Document Category | Salaried Applicants | Self-Employed Applicants |
|---|---|---|
| Identity Proof (KYC) | PAN card (mandatory) + Aadhaar card, Passport, Voter ID, or Driving Licence | PAN card (personal & firm if applicable) + Aadhaar card, Passport, or Voter ID |
| Address Proof | Aadhaar, utility bill (electricity/water/gas < 60 days), or registered rent agreement | Residence proof + Office/Shop proof (GST certificate, Udyam, Shop Act, utility bill) |
| Income Proof | Last 3 months' salary slips and Form 16 (exempt under No-Income-Proof programs) | Last 2 years' ITR with Computation of Income (or exempted under ABB / NIP banking programs) |
| Bank Statements | Last 6 months' salary bank account statement (PDF or Account Aggregator fetch) | Last 6 to 12 months' primary current and savings bank statements |
| Vehicle Documents | Registration Certificate (RC), valid comprehensive insurance policy, pollution (PUC) certificate, physical inspection & valuation report, and existing loan NOC/foreclosure letter (if the car currently has active finance) | |
SK Finance vs Other Used Car Loan Lenders
See how SK Finance compares against its three closest peer lenders on rate, LTV, and car-age rules:
| Lender | Interest Rate (p.a.) | Max LTV | Max Car Age | Best For |
|---|---|---|---|---|
| SK Finance (This Page) | 16.01% to 19.01% | Up to 80% to 85% of valuation (Check with lender) | 12 yrs at maturity | Low CIBIL & informal income in North/West India |
| Cholamandalam | 16.01% to 19.01% | Up to 85% of valuation (Check with lender) | 12 yrs at maturity | Self-employed and semi-urban borrowers |
| Kogta Financial | 16.01% to 17.01% | Up to 80% to 85% of valuation (Check with lender) | 12 yrs at maturity | Narrow 1-point band in West & North India |
| TVS Credit | 15.25% to 20.00% | Up to 80% to 85% of valuation (Check with lender) | 12 yrs at maturity | Transparent grid for low CIBIL & self-employed |
| Equitas Small Finance Bank | 13.00% to 15.00% | Up to 80% of valuation (Check with lender) | 12 yrs at maturity | Vintage / older cars over 12 years |
Frequently Asked Questions (SK Finance Used Car Loan)
What is SK Finance's used car loan interest rate in October 2026?+
SK Finance's used car loan interest rate ranges from 16.01% to 19.01% per annum on a monthly reducing-balance basis in October 2026. The exact rate you receive depends on your CIBIL score band, whether you submit income proof (salary slips/ITR) or apply under a banking surrogate, and the age of the car.
How much does SK Finance fund for a second-hand car (maximum LTV)?+
SK Finance finances Up to 80% to 85% of valuation (Check with lender) of the car's independent valuation price, with repayment tenures from 12 to 60 months (5 years).
What is the maximum car age allowed for a SK Finance used car loan?+
SK Finance requires the car's age plus your chosen loan tenure not to exceed 12 years at loan maturity. For example, a 5-year-old car can be financed for up to 7 years.
What is the minimum CIBIL score required for a SK Finance pre-owned car loan?+
SK Finance's typical CIBIL requirement is 600 to 650+ (flexible for new-to-credit and cash income). ₹15,000 a month (Check with lender)
Can I pre-pay or foreclose my SK Finance used car loan early?+
Yes. Foreclosure and pre-payment terms at SK Finance are governed by your Key Facts Statement (Fixed-rate loan; check Key Facts Statement). Under the RBI Pre-payment Charges Directions 2025 (effective 1 January 2026), floating-rate consumer loans carry zero foreclosure penalty, while fixed-rate car loans typically charge 2% to 5% + GST after the initial lock-in period.
Does SK Finance provide used car loans without ITR?+
SK Finance evaluates self-employed and rural/semi-urban borrowers through field-based cash-flow verification when formal ITR is unavailable, pricing loans between 16.01% and 19.01%.