Purchasing a car in Pakistan has become easier with multiple banks offering competitive car financing options for salaried and self-employed individuals. Here’s a complete guide to the best car finance banks in 2025, covering financing limits, eligibility criteria, profit/markup rates, and the application process.
Top Car Finance Banks in Pakistan
Habib Bank Limited (HBL) – Easy Car Loan
Financing Limit: Up to 70% of car value
Eligibility: Salaried 22–59 (PKR 35,000+), Self-employed 22–69 (PKR 35,000+)
Features: Fixed markup, flexible repayment, new & used vehicles, conventional & Islamic options
Allied Bank Limited – Allied Car Finance
Financing Limit: Up to 70%, max PKR 3 million
Eligibility: Salaried 21–59 (PKR 40,000+), Self-employed 21–64 (PKR 60,000+)
Features: Competitive markup, 5-year tenure, no processing fee on rejected applications
Meezan Bank – Car Ijarah
Financing Limit: Up to 90% of car value
Eligibility: Salaried 22–60 (PKR 35,000+), Self-employed 22–70 (PKR 35,000+)
Profit Rates: Fixed 13.45–13.70% (1–7 yrs), Variable 24.49%
Features: Shariah-compliant, no hidden charges, available for new & used vehicles
Bank AL Habib – Apni Car
Financing Limit: Up to 70%
Eligibility: Salaried 23–60, Self-employed 23–65
Features: Flexible repayment, competitive markup, conventional & Islamic options
UBL – UBL Drive
Financing Limit: Up to 70%
Eligibility: Salaried 21–60 (PKR 35,000+), Self-employed 21–70 (PKR 50,000+)
Markup Rates: Existing 1Y KIBOR +4.25–4.75%, New 1Y KIBOR +4.75–5.25%
Features: Flexible repayment, simple documentation
Faysal Bank – Faysal Islami Car Finance
Financing Limit: Up to 90%
Eligibility: Salaried 21–65 (PKR 30,000+), Self-employed 21–70 (PKR 40,000+)
Features: Shariah-compliant, flexible repayment, fixed/floating profit rates
Bank Islami – AutoFinance
Financing Limit: Up to 90%
Eligibility: Salaried 21–60 (PKR 30,000+), Self-employed 21–65 (PKR 40,000+)
Features: Shariah-compliant, flexible repayment, fixed/floating profit rates
Car Finance Application Process
Compare banks based on financing, tenure, and profit rates.
Prepare documents: CNIC, proof of income, car invoice, photos.
Submit application online or at a branch.
Bank reviews credit history and documents.
Approved loan is disbursed for car purchase.
Tips for Approval
Maintain a good credit history
Show stable income
Opt for shorter tenure to reduce total profit/interest
Make a higher down payment to lower monthly installments
Conclusion
In 2025, Pakistani car finance banks offer flexible solutions for both new and used vehicles. Whether you prefer conventional or Shariah-compliant loans, comparing financing limits, eligibility, and markup rates is essential to choose the best option for your needs.
