1.48-2.38 per cent
These are the current car loan interest rates, but they can fluctuate. Last year, most banks offered 1.88 per cent interest, but have since adjusted it upwards. Currently, Citibank’s Citi Direct Car Loan has the lowest rate (1.48-1.88 per cent, depending on the loan tenure), but it is not offered by most car dealers, who work with their panel of preferred bank partners. You can take up a loan from a bank that is not on the panel, but you won’t get the rebate (from $1,000) that most dealers offer. It also means doing your own paperwork for the loan.