Car Loans in Bahrain

What is a Car Loan?

There are several banks in Bahrain region. There are banks that follows Islamic banking principles and conventional banking principles as well. Apart from the local banks, there are several international banks that have branches in Bahrain region. There are several products offered at these banks where car loan is one among those. A car loan is offered to people who wants to purchase a vehicle by getting some financial assistance from banks. The car loan is provided for both used and new vehicle purchase.

Features of a Car Loan

Features of a car loan in Bahrain region are:

• Bahraini nationals and expats are eligible
• A maximum tenure that is provided on car loans is 7 years
• Finance is provided on both fixed and reducing rate basis
• The maximum finance that is provided is 70%-100% of the car value
• Can get finance for used vehicles as well

Use our Car Loan Calculator to calculate your car loan installments

Benefits of a Car Loan

Other than providing finance, financial institutions in Bahrain offer several additional benefits on the loan. Like:

• Some banks provide a complimentary credit card on competitive interest rates
• Some banks provide car insurance on discounted/no rates

Eligibility for Car Loan in Bahrain

The eligibility criteria for a car loan in Bahrain region are:

• The applicant must be at least 21 years old
• Salaried and self-employed individuals are eligible
• The minimum salary required for a car loan is BHD 200(varies with the bank)

Documents required

The documents required for a car loan in Bahrain are:

Salaried Individuals:

• Valid Passport with Bahrain residence visa
• Driving License
• Salary/Employment proof
• Last 6 months bank statements

Self-employed Individuals:

• Last 6 months bank statements
• Valid passport with residence visa
• Driving License

These documents may vary depending on the applicant’s profile.

Charges levied on a car loan

The different fees and charges associated with a car loan in Bahrain are:

• Processing fee
• Early settlement charges
• Partial settlement fees
• Installment postponement charges
• Top-up loan fees

There might be any other charges levied as well depending on the bank and the loan type.