Federal Bank vs SBI vs Union Bank of India at a glance
| Detail | Federal Bank | SBI | Union Bank of India |
|---|---|---|---|
| Loan provider type | Private bank | Public sector bank | Public sector bank |
| Legal name | Federal Bank | State Bank of India | Union Bank of India |
| Vehicle loans with a published rate | Car loan, Two-wheeler loan, Used car loan, Commercial vehicle loan | Car loan, Two-wheeler loan, Used car loan, Electric car loan | Car loan, Two-wheeler loan, Used car loan, Electric car loan |
| Car loan: published rate | 7.90% - 9.00% | 8.40% - 9.35% | 7.60% - 10.00% |
| Car loan: maximum tenure | 84 months | 7 years | Not published |
| Two-wheeler loan: published rate | 12.60% - 16.00% | 11.70% - 15.70% | 11.10% - 11.20% |
| Two-wheeler loan: maximum tenure | 60 months | Up to 60 months | Not published |
| Used car loan: published rate | 10.15% - 14.00% | 10.45% - 15.60%credit-score based | 11.60% - 11.70% |
| Used car loan: maximum tenure | 60 months | Up to 5 years (10 years minus vehicle age) | Not published |
| Official website | federal.bank.in | sbi.bank.in | unionbankofindia.bank.in |
Federal Bank vs SBI vs Union Bank of India car loan: rate, fees and tenure
Starting car loan rates as published: Federal Bank from 7.90%, SBI from 8.40% and Union Bank of India from 7.60%. Union Bank of India is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered.
| Detail | Federal Bank | SBI | Union Bank of India |
|---|---|---|---|
| Product | Federal Personal Car Loan (new) | SBI New Car Loan Scheme | Union Miles (Union Vehicle Loan) - new 4-wheeler |
| Published rate | 7.90% - 9.00% | 8.40% - 9.35% | 7.60% - 10.00% |
| Rate basis | Fixed (product page also lists 10.15% floating, repo-linked) | MCLR-linked (per SBI auto loan rate page) | EBLR-linked (EBLR 8.00% = repo 5.25% + 2.75%, w.e.f. 24.07.2026); by CIBIL score |
| Maximum tenure | 84 months | 7 years | Not published |
| Maximum funding | Up to 95% of on-road price | Up to 100% of on-road price | Not published |
| Processing fee | 1% of loan (min ₹1,000, max ₹50,000) | Rs 1,000-3,000 + GST (salaried) / Rs 1,500-4,000 + GST (non-salaried), slab by loan amount | Flat ₹1,000 |
| Pre-closure / prepayment | Nil | No prepayment charges; no foreclosure charges after 2 years (as published) | No foreclosure/prepayment penalty on floating-rate individual loans |
| Other terms published |
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| Official source | federal.bank.in federal.bank.in federal.bank.in | sbi.bank.in sbi.bank.in sbi.bank.in | unionbankofindia.bank.in unionbankofindia.bank.in unionbankofindia.bank.in |
EMI illustration: ₹10 lakh over 60 months
| Loan provider | Rate used | Monthly EMI | Total interest | Total repayable |
|---|---|---|---|---|
| Federal Bank | 7.90% | ₹20,229 | ₹2,13,714 | ₹12,13,714 |
| SBI | 8.40% | ₹20,468 | ₹2,28,102 | ₹12,28,102 |
| Union Bank of India | 7.60% | ₹20,086 | ₹2,05,130 | ₹12,05,130 |
Illustration only, at each loan provider's lowest published rate. It leaves out processing fees, GST, insurance and any other charges, and it is not an offer. Your approved rate may be higher.
Monthly EMI at other loan amounts (60 months)
| Loan amount | Federal Bank (7.90%) | SBI (8.40%) | Union Bank of India (7.60%) |
|---|---|---|---|
| ₹5 lakh | ₹10,114 | ₹10,234 | ₹10,043 |
| ₹10 lakh | ₹20,229 | ₹20,468 | ₹20,086 |
| ₹15 lakh | ₹30,343 | ₹30,703 | ₹30,128 |
| ₹20 lakh | ₹40,457 | ₹40,937 | ₹40,171 |
Read the full guide: Car loan · EMI calculator
Federal Bank vs SBI vs Union Bank of India two-wheeler loan: rate, fees and tenure
Starting two-wheeler loan rates as published: Federal Bank from 12.60%, SBI from 11.70% and Union Bank of India from 11.10%. Union Bank of India is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered.
| Detail | Federal Bank | SBI | Union Bank of India |
|---|---|---|---|
| Product | Federal Personal Car Loan (new two-wheeler) | SBI Two Wheeler Loan Scheme | Union Miles - new 2-wheeler |
| Published rate | 12.60% - 16.00% | 11.70% - 15.70% | 11.10% - 11.20% |
| Rate basis | Fixed | MCLR-linked (1-year MCLR) | EBLR-linked (EBLR 8.00%); by CIBIL score |
| Maximum tenure | 60 months | Up to 60 months | Not published |
| Maximum funding | Not published | 85% of on-road price; max Rs 3 lakh | Not published |
| Processing fee | 2.50% (min ₹2,500) | 3% of loan + GST (50% waiver for salary package customers) | Flat ₹500 |
| Pre-closure / prepayment | Nil | Not published | No foreclosure/prepayment penalty on floating-rate individual loans |
| Other terms published | Not published |
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|
| Official source | federal.bank.in federal.bank.in federal.bank.in | sbi.bank.in sbi.bank.in sbi.bank.in | unionbankofindia.bank.in unionbankofindia.bank.in unionbankofindia.bank.in |
EMI illustration: ₹1 lakh over 36 months
| Loan provider | Rate used | Monthly EMI | Total interest | Total repayable |
|---|---|---|---|---|
| Federal Bank | 12.60% | ₹3,350 | ₹20,606 | ₹1,20,606 |
| SBI | 11.70% | ₹3,307 | ₹19,056 | ₹1,19,056 |
| Union Bank of India | 11.10% | ₹3,279 | ₹18,030 | ₹1,18,030 |
Illustration only, at each loan provider's lowest published rate. It leaves out processing fees, GST, insurance and any other charges, and it is not an offer. Your approved rate may be higher.
Monthly EMI at other loan amounts (36 months)
| Loan amount | Federal Bank (12.60%) | SBI (11.70%) | Union Bank of India (11.10%) |
|---|---|---|---|
| ₹0.5 lakh | ₹1,675 | ₹1,654 | ₹1,639 |
| ₹1 lakh | ₹3,350 | ₹3,307 | ₹3,279 |
| ₹1.5 lakh | ₹5,025 | ₹4,961 | ₹4,918 |
Read the full guide: Two-wheeler loan · EMI calculator
Federal Bank vs SBI vs Union Bank of India used car loan: rate, fees and tenure
Starting used car loan rates as published: Federal Bank from 10.15%, SBI from 10.45% and Union Bank of India from 11.60%. Federal Bank is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered.
| Detail | Federal Bank | SBI | Union Bank of India |
|---|---|---|---|
| Product | Loan for Pre-Owned Cars | SBI Certified Pre-Owned Car Loan | Union Miles - old 4-wheeler |
| Published rate | 10.15% - 14.00% | 10.45% - 15.60%credit-score based | 11.60% - 11.70% |
| Rate basis | Fixed (product page also lists 15.05% floating) | MCLR-linked (1-year MCLR) | EBLR-linked (EBLR 8.00%); by CIBIL score |
| Maximum tenure | 60 months | Up to 5 years (10 years minus vehicle age) | Not published |
| Maximum funding | Up to 90% of vehicle value | Up to 85% of valuation; loan Rs 2 lakh - Rs 150 lakh | Not published |
| Processing fee | 1% of loan (min ₹5,000, max ₹2,50,000) | 1.50% of loan + GST (min Rs 3,000, max Rs 10,000 + GST) | Flat ₹1,000 |
| Pre-closure / prepayment | Nil | Not published | No foreclosure/prepayment penalty on floating-rate individual loans |
| Other terms published | Not published |
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| Official source | federal.bank.in federal.bank.in federal.bank.in | sbi.bank.in sbi.bank.in sbi.bank.in | unionbankofindia.bank.in unionbankofindia.bank.in unionbankofindia.bank.in |
EMI illustration: ₹5 lakh over 48 months
| Loan provider | Rate used | Monthly EMI | Total interest | Total repayable |
|---|---|---|---|---|
| Federal Bank | 10.15% | ₹12,717 | ₹1,10,432 | ₹6,10,432 |
| SBI | 10.45% | ₹12,790 | ₹1,13,902 | ₹6,13,902 |
| Union Bank of India | 11.60% | ₹13,069 | ₹1,27,309 | ₹6,27,309 |
Illustration only, at each loan provider's lowest published rate. It leaves out processing fees, GST, insurance and any other charges, and it is not an offer. Your approved rate may be higher.
Monthly EMI at other loan amounts (48 months)
| Loan amount | Federal Bank (10.15%) | SBI (10.45%) | Union Bank of India (11.60%) |
|---|---|---|---|
| ₹3 lakh | ₹7,630 | ₹7,674 | ₹7,841 |
| ₹5 lakh | ₹12,717 | ₹12,790 | ₹13,069 |
| ₹8 lakh | ₹20,348 | ₹20,463 | ₹20,910 |
Read the full guide: Used car loan · EMI calculator
Federal Bank vs SBI vs Union Bank of India electric car loan: rate, fees and tenure
Starting electric car loan rates as published: SBI from 8.30% and Union Bank of India from 7.50%. Union Bank of India is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered. Federal Bank does not publish an electric car loan rate on its website, so none is shown.
| Detail | Federal Bank | SBI | Union Bank of India |
|---|---|---|---|
| Product | Not published | SBI Green Car Loan | Union Green Miles - new 4-wheeler |
| Published rate | Not published | 8.30% - 9.35% | 7.50% - 9.90% |
| Rate basis | Not published | MCLR-linked (per SBI auto loan rate page) | EBLR-linked (EBLR 8.00%); by CIBIL score |
| Maximum tenure | Not published | Up to 8 years | Not published |
| Maximum funding | Not published | Up to 100% of on-road price | Not published |
| Processing fee | Not published | Nil | Not published |
| Other terms published | Not published |
|
|
| Official source | Not published | sbi.bank.in sbi.bank.in sbi.bank.in | unionbankofindia.bank.in unionbankofindia.bank.in |
EMI illustration: ₹15 lakh over 60 months
| Loan provider | Rate used | Monthly EMI | Total interest | Total repayable |
|---|---|---|---|---|
| SBI | 8.30% | ₹30,630 | ₹3,37,825 | ₹18,37,825 |
| Union Bank of India | 7.50% | ₹30,057 | ₹3,03,415 | ₹18,03,415 |
Illustration only, at each loan provider's lowest published rate. It leaves out processing fees, GST, insurance and any other charges, and it is not an offer. Your approved rate may be higher.
Monthly EMI at other loan amounts (60 months)
| Loan amount | SBI (8.30%) | Union Bank of India (7.50%) |
|---|---|---|
| ₹10 lakh | ₹20,420 | ₹20,038 |
| ₹15 lakh | ₹30,630 | ₹30,057 |
| ₹25 lakh | ₹51,051 | ₹50,095 |
Read the full guide: Electric car loan
Federal Bank vs SBI vs Union Bank of India commercial vehicle loan: rate, fees and tenure
Only Federal Bank publishes a rate for this product with a stated starting figure, so a like-for-like ranking is not possible. SBI and Union Bank of India do not publish a commercial vehicle loan rate on their website, so none is shown.
| Detail | Federal Bank | SBI | Union Bank of India |
|---|---|---|---|
| Product | Commercial Vehicles & Construction Equipment Finance | SBI Commercial Vehicle Loan | Union Parivahan |
| Published rate | 7.50% - 15% | Repo Rate + 2.65% | Not published |
| Rate basis | Not published | EBR (repo) linked | Not published |
| Maximum tenure | Not published | 84 months (48 months for electric CVs); up to 6 months moratorium | Not published |
| Maximum funding | Not published | 85% of on-road price (15% margin); loan Rs 10 lakh - Rs 50 lakh | Not published |
| Processing fee | 0.25% + GST (product page); charges schedule lists 2% | 0.50% of loan + GST | Not published |
| Pre-closure / prepayment | Up to 3% | Not published | Not published |
| Other terms published |
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| Official source | federal.bank.in federal.bank.in | sbi.bank.in | unionbankofindia.bank.in |
Read the full guide: Commercial vehicle loan
Which is better: Federal Bank, SBI or Union Bank of India?
No loan provider is best for everyone. This is how the published figures split, product by product.
- Car loan, lower starting rate: Union Bank of India (7.60%) versus 7.90% at Federal Bank and 8.40% at SBI.
- Two-wheeler loan, lower starting rate: Union Bank of India (11.10%) versus 12.60% at Federal Bank and 11.70% at SBI.
- Used car loan, lower starting rate: Federal Bank (10.15%) versus 10.45% at SBI and 11.60% at Union Bank of India.
Pick on total cost, not the headline rate: ask each loan provider for the Key Fact Statement and compare the APR and total repayable amount. A low rate with a high processing fee can cost more than a slightly higher rate with no fee.
Bank type and how each loan provider sets its rate
Federal Bank is a private bank and SBI and Union Bank of India are public sector banks.
What the loan providers' own pages say about how their rates are set:
- Federal Bank car loan: Fixed (product page also lists 10.15% floating, repo-linked).
- Federal Bank two-wheeler loan: Fixed.
- Federal Bank used car loan: Fixed (product page also lists 15.05% floating).
- SBI car loan: MCLR-linked (per SBI auto loan rate page).
- SBI two-wheeler loan: MCLR-linked (1-year MCLR).
- SBI used car loan: MCLR-linked (1-year MCLR).
- SBI electric car loan: MCLR-linked (per SBI auto loan rate page).
- SBI tractor loan: MCLR-linked (1-year MCLR).
Banks and non-banking finance companies (NBFCs) publish rates in different ways: some give a range, some only a starting rate and some only a maximum. That is why this page compares like with like and marks every gap as not published instead of guessing.
About Federal Bank, SBI and Union Bank of India
Federal Bank
Private bank
Kerala-based private bank whose Personal Car Loan covers new cars, used cars and new two-wheelers on fixed rates, with no prepayment charges and free personal accident cover.
Lowest published starting rate: 7.50% (Commercial vehicle loan)
SBI
Public sector bank · State Bank of India
India's largest bank, offering MCLR-linked car, green (EV) car, certified pre-owned car and two-wheeler loans, plus SME commercial vehicle and agri tractor loans.
Lowest published starting rate: 8.30% (Electric car loan)
Union Bank of India
Public sector bank
PSU loan provider whose Union Miles scheme covers new cars, cars up to 3 years old and new two-wheelers, priced off its repo-linked EBLR by CIBIL score, with a cheaper Green Miles variant for EVs.
Lowest published starting rate: 7.50% (Electric car loan)
What to check before you choose a vehicle loan
- Ask for the Key Fact Statement (KFS). RBI requires loan providers to give you one before you sign, showing the interest rate, all fees, the APR and the total amount you will repay.
- Compare APR, not the headline rate. Processing fee, documentation charges and insurance change the real cost.
- Ask about pre-closure charges. Fixed-rate vehicle loans often carry charges for paying early; floating-rate loans to individuals cannot.
- Check what is bundled. Insurance, extended warranty or accessories added to the loan raise the amount you pay interest on. You are free to buy insurance elsewhere.
- Confirm the hypothecation. The loan provider's name is noted on the registration certificate. After the last EMI, collect the NOC and have it removed at the RTO.
Terms used on this page
Plain meanings of the terms this comparison uses.
Starting rate: The lowest rate a loan provider advertises for a product. Most borrowers are offered a higher rate, because the final rate depends on credit score, income, employer and loan amount.
APR: Annual percentage rate. It adds the processing fee and other charges to the interest rate, so it shows the yearly cost of the loan better than the interest rate alone.
Key Fact Statement: A short summary the loan provider gives you before you sign. It lists the interest rate, every fee, the APR and the total amount you will repay. RBI requires it for retail loans.
Floating rate and repo rate: A floating rate moves with a benchmark, and for banks that is usually the RBI repo rate, the rate at which RBI lends to banks. A fixed rate stays the same for the period you agree.
Processing fee: A one-time charge for handling the application. It is usually a percentage of the loan amount plus GST, and it is often deducted before the money reaches you.
Credit score: A number from 300 to 900 that shows how you have repaid past loans and cards. A higher score usually gets you a lower rate.
Sources, method and last check
Every figure above comes from the loan provider's own website. We checked them on 4 October 2026 and list the pages used.
- Federal Bank: federal.bank.in/retail-loans-interest-rates · federal.bank.in/personal-car-loan · federal.bank.in/car-loan-interest-rate · federal.bank.in/documents/d/guest/retail-loan-charges-07092926 · federal.bank.in/pre-owned-car-loan · federal.bank.in/commercial-vehicles
- SBI: sbi.bank.in/web/personal-banking/loans/auto-loans/sbi-new-car-loan-scheme · sbi.bank.in/web/interest-rates/interest-rates/loan-schemes-interest-rates/auto-loans · sbi.bank.in/web/interest-rates/interest-rates/processing-fees · sbi.bank.in/web/personal-banking/loans/auto-loans/sbi-two-wheeler-loan-scheme · sbi.bank.in/web/personal-banking/loans/auto-loans/certified-pre-owned-car-loan · sbi.bank.in/web/personal-banking/loans/auto-loans/green-car-loan
- Union Bank of India: unionbankofindia.bank.in/pdf/retail_roi.pdf · unionbankofindia.bank.in/en/details/union-vehicle · unionbankofindia.bank.in/pdf/Service Charges-Domestic Rupee Advances-Corp Website.pdf · unionbankofindia.bank.in/en/Details/farm-mechanization-scheme · unionbankofindia.bank.in/en/details/union-parivahan
Method: we list only figures we could find on the loan provider's official pages. A blank means the loan provider does not publish that figure, and we never estimate one. Rankings use the published starting rate and published maximum tenure only. Read our editorial policy, how we make money and tell us about an error.
More loan provider comparisons
Federal Bank compared with other loan providers
SBI compared with other loan providers
Union Bank of India compared with other loan providers
Head-to-head pages for these three loan providers
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Compare any two or three loan providers · Personal loans · Home loans · Vehicle loans
Federal Bank vs SBI vs Union Bank of India: personal, home and other loans
Comparing these loan providers for something other than a vehicle loan? See their published personal loan, home loan, loan against property, business, gold and education loan terms in one place.
Federal Bank vs SBI vs Union Bank of India compared on all loan types
Frequently asked questions
Which is better for a car loan: Federal Bank, SBI or Union Bank of India?
On the car loan, Union Bank of India starts lowest at 7.60%, compared with 7.90% at Federal Bank and 8.40% at SBI. A starting rate is the best case, not a typical offer, so confirm the annual percentage rate (APR) and total repayable amount in each loan provider's Key Fact Statement. Figures are as published on the loan providers' own websites and checked 4 October 2026. The better choice depends on your profile, the loan amount and the fees in your offer letter.
Which has the lower car loan interest rate: Federal Bank, SBI or Union Bank of India?
Union Bank of India has the lower published starting rate. Published starting rates: Federal Bank 7.90%, SBI 8.40% and Union Bank of India 7.60% (checked 4 October 2026). Your actual rate depends on your credit profile and the loan provider's approval.
What is the processing fee on a car loan at Federal Bank, SBI and Union Bank of India?
Federal Bank: 1% of loan (min ₹1,000, max ₹50,000). SBI: Rs 1,000-3,000 + GST (salaried) / Rs 1,500-4,000 + GST (non-salaried), slab by loan amount. Union Bank of India: Flat ₹1,000. Fees can change and GST is usually extra, so check the Key Fact Statement.
What is the maximum car loan tenure at Federal Bank, SBI and Union Bank of India?
Federal Bank: 84 months. SBI: 7 years. Union Bank of India: not published.
What is the EMI on a ₹10 lakh car loan at Federal Bank, SBI and Union Bank of India?
Over 60 months at each loan provider's lowest published rate: Federal Bank about ₹20,229 a month at 7.90%; SBI about ₹20,468 a month at 8.40%; Union Bank of India about ₹20,086 a month at 7.60%. This is an illustration that leaves out fees, GST and insurance. Your offered rate may be higher.
How much of the vehicle price can I borrow on a car loan from Federal Bank, SBI and Union Bank of India?
Federal Bank: Up to 95% of on-road price. SBI: Up to 100% of on-road price. Union Bank of India: not published. Funding is usually profile-based, so the loan provider decides the final amount.
What other terms do Federal Bank, SBI and Union Bank of India publish for a car loan?
Federal Bank: Free personal accident cover up to ₹10 lakh; No-income-document scheme. SBI: No advance EMI; Interest on daily reducing balance; Flexi-pay option: reduced EMI in initial months. Union Bank of India: No ceiling on loan amount; Minimum CIBIL 700 indicated; Sanction in about 2 business days. Check each loan provider's page for eligibility and documents before you apply.
Can I prepay or foreclose a car loan early at Federal Bank, SBI and Union Bank of India?
Federal Bank: Nil. SBI: No prepayment charges; no foreclosure charges after 2 years (as published). Union Bank of India: No foreclosure/prepayment penalty on floating-rate individual loans. Floating-rate loans to individuals cannot carry pre-closure charges; fixed-rate loans often do.
Which vehicle loans do Federal Bank, SBI and Union Bank of India publish rates for?
Federal Bank: car loan, two-wheeler loan, used car loan, commercial vehicle loan. SBI: car loan, two-wheeler loan, used car loan, electric car loan. Union Bank of India: car loan, two-wheeler loan, used car loan, electric car loan. Based on each loan provider's own website, checked 4 October 2026.
Are the rates on this page the rate I will get?
No. They are the rates the loan providers publish, usually a range or a starting rate. Your approved rate depends on your credit score, income, loan amount, tenure and vehicle. Always read the Key Fact Statement before you sign.
Does KhatuLoans lend money or charge for this comparison?
KhatuLoans is not a loan provider. The loan provider decides approval, rate and terms. Our comparisons are free to read, and we are not paid by the loan providers named here to rank them. See how we make money on our advertiser disclosure page.
KhatuLoans is not a loan provider and is not paid by the loan providers named here to rank them. Rates, fees and prices change; always confirm with the loan provider and dealer. Read our editorial policy and how we make money.