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Federal Bank vs State Bank of India Car Loan
Federal Bank advertises the lower starting rate (7.85% vs 8.55%). On ₹8 lakh over 5 years that is about ₹16,126 less interest, or ₹269 less per month, at the starting rates.
| Federal Bank | SBI | |
|---|---|---|
| Starting interest rate | 7.85% | 8.55% |
| EMI for ₹8 lakh, 5 years | ₹16,164 | ₹16,433 |
| Total interest | ₹1,69,825 | ₹1,85,951 |
| Processing fee | Not stated | Not stated |
| Prepayment | Not stated | Not stated |
| Maximum tenure | - | - |
Source: Federal Bank official page, checked 2 November 2026.
Source: State Bank of India official page, checked 2 November 2026.
These figures use the bank's advertised starting rate. Most borrowers are offered a higher rate depending on credit score, income and loan size, so treat the result as a best case.
Frequently asked questions
Which is cheaper, Federal Bank or SBI car loan?
Federal Bank advertises the lower starting rate (7.85% vs 8.55%). On ₹8 lakh over 5 years that is about ₹16,126 less interest, or ₹269 less per month, at the starting rates. Your actual rate may differ from the starting rate.