Which Bank is Best for Car Loan in Bangladesh (2025 Guide)
When it comes to getting a car loan in Bangladesh, choosing the right bank can save you lakhs in interest and headaches in paperwork. Whether you’re eyeing a shiny new ride or a reliable second-hand vehicle, here’s a breakdown of the best banks offering competitive auto loan packages in Bangladesh in 2025.
Best Banks for Car Loans in Bangladesh
| Bank/Institution | Interest Rate (Approx) | Loan Tenure | Maximum Amount | Notable Features |
|---|---|---|---|---|
| BRAC Bank | 9% – 10.5% | Up to 5 yrs | BDT 20 lakh | Quick approval, used/new cars allowed |
| City Bank (AMEX) | 9.5% – 10.75% | 1–6 yrs | Up to 80% of car value | Exclusive rates for AMEX cardholders |
| Eastern Bank (EBL) | 9.75% – 11% | Up to 5 yrs | BDT 30 lakh | Fast-track for premium customers |
| IDLC Finance | 8.5% – 10.5% | Up to 6 yrs | Up to 90% of car value | Best for second-hand or reconditioned cars |
| LankaBangla Finance | 9% – 10% | Up to 5 yrs | BDT 25 lakh | Covers registration & insurance costs |
| Prime Bank | 10% – 11% | 1–5 yrs | Up to BDT 20 lakh | Flexible down payment options |
What to Look For Before You Choose
- Down Payment Requirement: Most banks require 20–30% down payment.
- Processing Fees: Typically 1% of loan amount.
- Car Type Eligibility: Not all banks finance used or reconditioned cars.
- Insurance Tie-ups: Some banks bundle insurance with EMI, which may increase cost.
Pro Tips
- Compare APR (Annual Percentage Rate), not just the flat interest.
- Negotiate the processing fee — some banks waive it during campaigns.
- Used/Reconditioned Car? Try IDLC or LankaBangla — they specialize in that segment.
- Need faster approval? Go with EBL or City Bank if you already have an account.
Real-Life Tip
“Last year I applied through BRAC Bank’s ‘Auto Loan Express’ and got my Toyota Allion approved within 7 working days — faster than expected. The documentation was a bit heavy, but they had decent interest rates compared to EBL.” – Tariq Hossain, Dhaka
Final Takeaway
If you want the lowest rates for both new and used cars, IDLC Finance and BRAC Bank are solid options. For speed and premium service, EBL and City Bank are ahead. Always compare total cost — not just the rate.
FAQ
Q: Can I get a loan for a used car in Bangladesh?
Yes! IDLC and LankaBangla are best for reconditioned or used vehicles.
Q: How much down payment is required?
Usually 20%–30% of the car price.
Q: What’s the maximum tenure?
Most banks offer up to 5–6 years of loan tenure.
Q: Which bank offers the fastest car loan approval?
EBL and BRAC Bank are known for quicker processing, especially for existing customers.
Sources:
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Md Emran Khan is a passionate news writer and digital content creator focused on delivering clear, insightful, and timely updates on finance, technology, and current events. With a knack for breaking down complex topics into engaging stories, Emran aims to keep readers informed and empowered to make smart decisions. Based in USA, he blends global trends with local perspectives to bring a fresh voice to the news landscape.
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