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HDFC Bank vs Union Bank of India Car Loan
Union Bank of India advertises the lower starting rate (7.85% vs 8.4%). On ₹8 lakh over 5 years that is about ₹12,657 less interest, or ₹211 less per month, at the starting rates.
| HDFC Bank | Union Bank | |
|---|---|---|
| Starting interest rate | 8.4% | 7.85% |
| EMI for ₹8 lakh, 5 years | ₹16,375 | ₹16,164 |
| Total interest | ₹1,82,482 | ₹1,69,825 |
| Processing fee | Up to 0.5% of the loan amount (min ₹3,500, max ₹8,000) | Not stated |
| Prepayment | Not stated | Not stated |
| Maximum tenure | - | - |
Source: HDFC Bank official page, checked 2 November 2026.
Source: Union 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, HDFC Bank or Union Bank car loan?
Union Bank of India advertises the lower starting rate (7.85% vs 8.4%). On ₹8 lakh over 5 years that is about ₹12,657 less interest, or ₹211 less per month, at the starting rates. Your actual rate may differ from the starting rate.