Mahindra Finance vs TVS Credit vs Union Bank of India at a glance
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Loan provider type | NBFC | NBFC | Public sector bank |
| Legal name | Mahindra & Mahindra Financial Services Ltd (Mahindra Finance) | TVS Credit Services Ltd | Union Bank of India |
| Vehicle loans with a published rate | Car loan, Used car loan, Three-wheeler loan, Tractor loan, Commercial vehicle loan | Two-wheeler loan, Used car loan, Three-wheeler loan, Tractor loan, Commercial vehicle loan | Car loan, Two-wheeler loan, Used car loan, Electric car loan |
| Used car loan: published rate | 8% - 25% p.a.policy range, pre-owned assets | Up to 30% p.a.policy, 2023 | 11.60% - 11.70% |
| Used car loan: maximum tenure | 5 years | 12-60 months | Not published |
| Official website | mahindrafinance.com | tvscredit.com | unionbankofindia.bank.in |
Mahindra Finance vs TVS Credit vs Union Bank of India car loan: rate, fees and tenure
Starting car loan rates as published: Mahindra Finance from 8% 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. TVS Credit does not publish a car loan rate on its website, so none is shown.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Car Loan (also separate Utility Vehicle Loan) | Not published | Union Miles (Union Vehicle Loan) - new 4-wheeler |
| Published rate | 8% - 25% p.a.policy range, new assets | Not published | 7.60% - 10.00% |
| Rate basis | Policy allows fixed, floating or hybrid; car loan FAQ quotes on flat-rate basis | Not published | EBLR-linked (EBLR 8.00% = repo 5.25% + 2.75%, w.e.f. 24.07.2026); by CIBIL score |
| Maximum tenure | 5 years | Not published | Not published |
| Maximum funding | Up to 100% of ex-showroom value | Not published | Not published |
| Processing fee | Up to 2% of sanction amount (stated for non-Mahindra cars); not stated for Mahindra cars | Not published | Flat ₹1,000 |
| Pre-closure / prepayment | 6% of principal outstanding in first 24 months, 3% thereafter; part-payment 5% (13-24 months) / 3% (after 24 months) | Not published | No foreclosure/prepayment penalty on floating-rate individual loans |
| Other terms published |
| Not published |
|
| Official source | mahindrafinance.com media.mahindrafinance.com mahindrafinance.com | Not published | 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 |
|---|---|---|---|---|
| Mahindra Finance | 8% | ₹20,276 | ₹2,16,584 | ₹12,16,584 |
| 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 | Mahindra Finance (8%) | Union Bank of India (7.60%) |
|---|---|---|
| ₹5 lakh | ₹10,138 | ₹10,043 |
| ₹10 lakh | ₹20,276 | ₹20,086 |
| ₹15 lakh | ₹30,415 | ₹30,128 |
| ₹20 lakh | ₹40,553 | ₹40,171 |
Read the full guide: Car loan · EMI calculator
Mahindra Finance vs TVS Credit vs Union Bank of India two-wheeler loan: rate, fees and tenure
Only TVS Credit and Union Bank of India publish a rate for this product with a stated starting figure, so a like-for-like ranking is not possible. Mahindra Finance does not publish a two-wheeler loan rate on its website, so none is shown.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Not published | Two Wheeler Loan | Union Miles - new 2-wheeler |
| Published rate | Not published | Up to 36% p.a.policy, 2023 | 11.10% - 11.20% |
| Rate basis | Not published | Fixed IRR | EBLR-linked (EBLR 8.00%); by CIBIL score |
| Maximum tenure | Not published | 12-60 months | Not published |
| Maximum funding | Not published | Up to 95% of on-road price | Not published |
| Processing fee | Not published | New 2W up to 8.85%; used 2W up to 5.9% (incl. GST) | Flat ₹500 |
| Pre-closure / prepayment | Not published | 3% of principal outstanding up to 12 months; 4% for 12-24 months; 5% after 24 months | No foreclosure/prepayment penalty on floating-rate individual loans |
| Other terms published | Not published |
|
|
| Official source | Not published | tvscredit.com tvscredit.com tvscredit.com | unionbankofindia.bank.in unionbankofindia.bank.in unionbankofindia.bank.in |
Read the full guide: Two-wheeler loan · EMI calculator
Mahindra Finance vs TVS Credit vs Union Bank of India used car loan: rate, fees and tenure
Starting used car loan rates as published: Mahindra Finance from 8% and Union Bank of India from 11.60%. Mahindra Finance is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Used Car Loan | Used Car Loan | Union Miles - old 4-wheeler |
| Published rate | 8% - 25% p.a.policy range, pre-owned assets | Up to 30% p.a.policy, 2023 | 11.60% - 11.70% |
| Rate basis | Not published | Fixed IRR | EBLR-linked (EBLR 8.00%); by CIBIL score |
| Maximum tenure | 5 years | 12-60 months | Not published |
| Maximum funding | Up to 90% of car value | Up to 95% of asset value | Not published |
| Processing fee | Up to 2% of sanction amount | Up to 5.9% (schedule of charges) | Flat ₹1,000 |
| Pre-closure / prepayment | 6% of principal outstanding in first 24 months, 3% thereafter; part-payment 5% (13-24 months) / 3% (after 24 months) | 6.5% of principal outstanding up to 12 months; 6% for 12-24 months; 5.5% after 24 months | No foreclosure/prepayment penalty on floating-rate individual loans |
| Other terms published |
|
|
|
| Official source | mahindrafinance.com media.mahindrafinance.com mahindrafinance.com | tvscredit.com tvscredit.com tvscredit.com | 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 |
|---|---|---|---|---|
| Mahindra Finance | 8% | ₹12,206 | ₹85,910 | ₹5,85,910 |
| 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 | Mahindra Finance (8%) | Union Bank of India (11.60%) |
|---|---|---|
| ₹3 lakh | ₹7,324 | ₹7,841 |
| ₹5 lakh | ₹12,206 | ₹13,069 |
| ₹8 lakh | ₹19,530 | ₹20,910 |
Read the full guide: Used car loan · EMI calculator
Mahindra Finance vs TVS Credit vs Union Bank of India electric car loan: rate, fees and tenure
Only Union Bank of India publishes a rate for this product with a stated starting figure, so a like-for-like ranking is not possible. Mahindra Finance and TVS Credit do not publish an electric car loan rate on their website, so none is shown.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Not published | Not published | Union Green Miles - new 4-wheeler |
| Published rate | Not published | Not published | 7.50% - 9.90% |
| Rate basis | Not published | Not published | EBLR-linked (EBLR 8.00%); by CIBIL score |
| Other terms published | Not published | Not published |
|
| Official source | Not published | Not published | unionbankofindia.bank.in unionbankofindia.bank.in |
Read the full guide: Electric car loan
Mahindra Finance vs TVS Credit vs Union Bank of India three-wheeler loan: rate, fees and tenure
Starting three-wheeler loan rates as published: Mahindra Finance from 8% and TVS Credit from 13%. Mahindra Finance is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered. Union Bank of India does not publish a three-wheeler loan rate on its website, so none is shown.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Three-Wheeler Loan | Three Wheeler Loan | Not published |
| Published rate | 8% - 25% p.a.policy range, 3-wheelers | 13% - 29% p.a.policy, 2023 | Not published |
| Rate basis | Not published | Fixed IRR | Not published |
| Maximum tenure | 4 years | 4 years | Not published |
| Maximum funding | Based on vehicle and customer profile | Based on vehicle and customer profile | Not published |
| Processing fee | Not published | Up to 5.9% | Not published |
| Pre-closure / prepayment | 6% of principal outstanding in first 24 months, 3% thereafter; part-payment 5% (13-24 months) / 3% (after 24 months) | 3% of principal outstanding up to 12 months; 4% for 12-24 months; 5% after 24 months | Not published |
| Other terms published |
|
| Not published |
| Official source | mahindrafinance.com media.mahindrafinance.com mahindrafinance.com | tvscredit.com tvscredit.com tvscredit.com | Not published |
EMI illustration: ₹3 lakh over 36 months
| Loan provider | Rate used | Monthly EMI | Total interest | Total repayable |
|---|---|---|---|---|
| Mahindra Finance | 8% | ₹9,401 | ₹38,433 | ₹3,38,433 |
| TVS Credit | 13% | ₹10,108 | ₹63,895 | ₹3,63,895 |
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 | Mahindra Finance (8%) | TVS Credit (13%) |
|---|---|---|
| ₹2 lakh | ₹6,267 | ₹6,739 |
| ₹3 lakh | ₹9,401 | ₹10,108 |
| ₹5 lakh | ₹15,668 | ₹16,847 |
Read the full guide: Three-wheeler loan
Mahindra Finance vs TVS Credit vs Union Bank of India tractor loan: rate, fees and tenure
Starting tractor loan rates as published: Mahindra Finance from 8% and TVS Credit from 11%. Mahindra Finance is lower at the starting rate, but the top of each range and your own credit profile decide what you are actually offered. TVS Credit lists the longer maximum tenure (12-72 months). Union Bank of India does not publish a tractor loan rate on its website, so none is shown.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Tractor Loan | Tractor Loan (also Used Tractor Loan) | Farm Mechanization Scheme |
| Published rate | 8% - 25% p.a.policy range, new/pre-owned assets | New 11% - 25% p.a.; used 14% - 34% p.a.policy, 2023 | Not published |
| Rate basis | Not published | Fixed IRR | Not published |
| Maximum tenure | 5 years (6-60 months) | 12-72 months | Not published |
| Maximum funding | No fixed minimum or maximum amount | Up to 90% of tractor price | 85% of unit cost (15% margin) |
| Processing fee | Up to 2% of sanction amount (farm equipment) | Up to 5.9% | Not published |
| Pre-closure / prepayment | 6% of principal outstanding in first 24 months, 3% thereafter; part-payment 5% (13-24 months) / 3% (after 24 months) | 6% of future principal outstanding up to 12 months; 5% after | Not published |
| Other terms published |
|
|
|
| Official source | mahindrafinance.com media.mahindrafinance.com mahindrafinance.com | tvscredit.com tvscredit.com tvscredit.com | unionbankofindia.bank.in |
EMI illustration: ₹8 lakh over 60 months
| Loan provider | Rate used | Monthly EMI | Total interest | Total repayable |
|---|---|---|---|---|
| Mahindra Finance | 8% | ₹16,221 | ₹1,73,267 | ₹9,73,267 |
| TVS Credit | 11% | ₹17,394 | ₹2,43,636 | ₹10,43,636 |
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 | Mahindra Finance (8%) | TVS Credit (11%) |
|---|---|---|
| ₹5 lakh | ₹10,138 | ₹10,871 |
| ₹8 lakh | ₹16,221 | ₹17,394 |
| ₹12 lakh | ₹24,332 | ₹26,091 |
Read the full guide: Tractor loan
Mahindra Finance vs TVS Credit vs Union Bank of India commercial vehicle loan: rate, fees and tenure
Only Mahindra Finance and TVS Credit publish a rate for this product with a stated starting figure, so a like-for-like ranking is not possible. Mahindra Finance lists the longer maximum tenure (60 months new; 36 months used). Union Bank of India does not publish a commercial vehicle loan rate on its website, so none is shown.
| Detail | Mahindra Finance | TVS Credit | Union Bank of India |
|---|---|---|---|
| Product | Commercial Vehicle Loan | Used Commercial Vehicle Loan (used only) | Union Parivahan |
| Published rate | 8% - 25% p.a.policy range, new/pre-owned assets | Up to 30% p.a.policy, 2023 | Not published |
| Rate basis | Monthly reducing balance (per product page) | Fixed IRR | Not published |
| Maximum tenure | 60 months new; 36 months used | 6-36 months | Not published |
| Processing fee | Up to 2% of sanction amount | Up to 5.9% | Not published |
| Pre-closure / prepayment | 6% of principal outstanding in first 24 months, 3% thereafter; part-payment 5% (13-24 months) / 3% (after 24 months) | 4% of principal outstanding up to 12 months; 5% for 13-36 months; 6% after 36 months | Not published |
| Other terms published |
|
|
|
| Official source | mahindrafinance.com media.mahindrafinance.com mahindrafinance.com | tvscredit.com tvscredit.com tvscredit.com | unionbankofindia.bank.in |
Read the full guide: Commercial vehicle loan
Which is better: Mahindra Finance, TVS Credit or Union Bank of India?
No loan provider is best for everyone. This is how the published figures split, product by product.
- Used car loan, lower starting rate: Mahindra Finance (8%) versus 11.60% at Union Bank of India.
- Tractor loan, longer maximum tenure: TVS Credit (12-72 months). A longer tenure lowers the EMI but raises total interest.
- Commercial vehicle loan, longer maximum tenure: Mahindra Finance (60 months new; 36 months used). A longer tenure lowers the EMI but raises total interest.
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
Mahindra Finance and TVS Credit are nbfcs and Union Bank of India is a public sector bank.
What the loan providers' own pages say about how their rates are set:
- Mahindra Finance car loan: Policy allows fixed, floating or hybrid; car loan FAQ quotes on flat-rate basis.
- Mahindra Finance commercial vehicle loan: Monthly reducing balance (per product page).
- TVS Credit two-wheeler loan: Fixed IRR.
- TVS Credit publishes only a ceiling for its two-wheeler loan (Up to 36% p.a.), so it cannot be ranked on a starting rate.
- TVS Credit used car loan: Fixed IRR.
- TVS Credit publishes only a ceiling for its used car loan (Up to 30% p.a.), so it cannot be ranked on a starting rate.
- TVS Credit three-wheeler loan: Fixed IRR.
- TVS Credit tractor loan: Fixed IRR.
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 Mahindra Finance, TVS Credit and Union Bank of India
Mahindra Finance
NBFC · Mahindra & Mahindra Financial Services Ltd (Mahindra Finance)
Mahindra Group vehicle financier focused on rural and semi-urban India; finances Mahindra UVs/tractors and other brands
Lowest published starting rate: 8% (Car loan)
TVS Credit
NBFC · TVS Credit Services Ltd
Captive-linked financier for TVS Motor two-wheelers with wide rural reach; also used car, tractor, 3W and used CV loans
Lowest published starting rate: 11% (Tractor 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.
- Mahindra Finance: mahindrafinance.com/loans/car-loan · media.mahindrafinance.com/2025/02/Interest-Rate-Policy_Updated_21-July26_clean.pdf · mahindrafinance.com/loans/retail-loan-fees-and-charges · mahindrafinance.com/loans/used-car-loan · mahindrafinance.com/loans/three-wheeler-loan · mahindrafinance.com/loans/tractor-loan
- TVS Credit: tvscredit.com/loans/two-wheeler-loans/ · tvscredit.com/wp-content/uploads/2023/11/Interest-Rate-Policy-Ver-2.1-Final.pdf · tvscredit.com/wp-content/uploads/2026/08/Schedule-of-Charges_-V4.2.pdf · tvscredit.com/loans/used-car-loans/ · tvscredit.com/loans/three-wheeler-loans/ · tvscredit.com/loans/tractor-loans/
- 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
Mahindra Finance compared with other loan providers
TVS Credit 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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Frequently asked questions
Which is better for a used car loan: Mahindra Finance, TVS Credit or Union Bank of India?
On the used car loan, Mahindra Finance starts lower at 8%, compared with 11.60% at Union Bank of India. 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 used car loan interest rate: Mahindra Finance, TVS Credit or Union Bank of India?
Mahindra Finance has the lower published starting rate. Published starting rates: Mahindra Finance 8% and Union Bank of India 11.60% (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 used car loan at Mahindra Finance, TVS Credit and Union Bank of India?
Mahindra Finance: Up to 2% of sanction amount. TVS Credit: Up to 5.9% (schedule of charges). 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 used car loan tenure at Mahindra Finance, TVS Credit and Union Bank of India?
Mahindra Finance: 5 years. TVS Credit: 12-60 months. Union Bank of India: not published.
What is the EMI on a ₹5 lakh used car loan at Mahindra Finance, TVS Credit and Union Bank of India?
Over 48 months at each loan provider's lowest published rate: Mahindra Finance about ₹12,206 a month at 8%; Union Bank of India about ₹13,069 a month at 11.60%. 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 used car loan from Mahindra Finance, TVS Credit and Union Bank of India?
Mahindra Finance: Up to 90% of car value. TVS Credit: Up to 95% of asset value. Union Bank of India: not published. Funding is usually profile-based, so the loan provider decides the final amount.
What other terms do Mahindra Finance, TVS Credit and Union Bank of India publish for a used car loan?
Mahindra Finance: Car must be under 10 years old; Car age plus loan term capped at 8-10 years. TVS Credit: Approval in 4 hours; No income proof required. Union Bank of India: Car not older than 3 years; Max loan ₹20 lakh. Check each loan provider's page for eligibility and documents before you apply.
Can I prepay or foreclose a used car loan early at Mahindra Finance, TVS Credit and Union Bank of India?
Mahindra Finance: 6% of principal outstanding in first 24 months, 3% thereafter; part-payment 5% (13-24 months) / 3% (after 24 months). TVS Credit: 6.5% of principal outstanding up to 12 months; 6% for 12-24 months; 5.5% after 24 months. 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 Mahindra Finance, TVS Credit and Union Bank of India publish rates for?
Mahindra Finance: car loan, used car loan, three-wheeler loan, tractor loan, commercial vehicle loan. TVS Credit: two-wheeler loan, used car loan, three-wheeler loan, tractor loan, commercial vehicle 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.