Sign Up to Own Your Dream Car with a Security Bank Car Loan
Hold the keys to your new car! Enjoy payments made easy, thanks to Security Bank Car Loan's low interest rates and free 1-year car insurance.
Security Bank Auto Loan Review
Take one step closer to owning your dream car or starting a business with the Security Bank Car Loan. Get more out of your auto loan with these benefits and features:
Free 1 Year of Car Insurance
Auto loan na, may insurance pa? Save more on your first year of car ownership with Security Bank’s Auto Loan Free First Year Motor Car Insurance Program. If you buy a brand-new car for personal use worth at least ₱500,000 with a minimum loan term of 36 months, you’re entitled to 1 year of free comprehensive car insurance. This excludes Third Party Liability but includes Acts of Nature.
Secondhand Cars and Cars for Business Use Included
Not all banks accept secondhand cars or cars for business use—but the Security Bank Car Loan is an exception. You can get a loan for secondhand cars aged 11 years or less and cars meant for transport (TNVS, taxis, company use), car rental, or cargo services. Here’s a list of eligible car types:
- Passenger vans/cars
- SUVs
- Asian Utility Vehicles (AUVs)
- 4- or 6-wheeler light commercial vehicles (pick-ups, utility vans, and light trucks)
- Brand-new and selected brands for 10-wheeler trucks
Flexible Payment Terms
The Security Bank Car Loan offers attractive loan payment terms. Choose your loan terms depending on the type of car:
- Brand new cars - 12 to 60 months
- Secondhand cars - 12 to 48 months
Not sure if the Security Bank Car Loan can finance your purchase?
What can an auto loan do for you?
Picture this: you arrive to work late and show up haggard. You don’t need to tell your boss what happened—one look at your windswept hair and sweaty shirt is enough for them to know you barely conquered the Metro Manila commute.
You're probably itching to get a car, but one look at your bank account reminds you why you can't. But should you wait until you’ve saved up enough, even if you need a car ASAP?
This could be you:
- New parent with a growing family - an infant and/or a toddler
- Son or daughter with an ailing parent or parents
- A good driver who wants to use their driving skills to earn money ASAP
Whether it’s for personal or business use, you don’t need to wait until your car piggy bank’s full. You can purchase a car today with an auto loan.
An auto loan is a secured loan, specifically for automobile purchases, from a bank or a financial institution. Since it offers loan terms ranging from 12 to 60 months, it’s a good option for those who need a car but can’t afford to pay in full. It comes with an interest rate ranging from 4.6% to 7.2%, depending on the bank or financial institution of your choice.
Before you determine your loan term, find out first how much you can give for the downpayment. Auto loans require a downpayment of 20% to 50% of the car amount. From there, you can pick your ideal loan term and monthly amortization.
Car loans aren’t exclusive to new vehicles. You can get a loan for a secondhand car as well, although not all banks accept secondhand units.
Security Bank Car Loan Eligibility Requirements
Put an end to visiting the dealership and looking at your dream car with googly eyes. That car will soon be yours if you fulfill Security Bank Car Loan’s eligibility criteria:
- At least 21 years old and not more than 65 years upon final loan maturity
- Filipino citizen
- Living in the Philippines
- Residing outside the border of the Philippines with a qualified Filipino citizen co-maker or guarantor
- Foreign citizen living in the Philippines with a positive endorsement from their employer and a qualified Filipino co-maker or guarantor in place
- Minimum joint monthly gross income with spouse
- Brand-new car - ₱40,000
- Secondhand/used car - ₱20,000
- At least 2 years employed or holds an officer position on a permanent/regular basis
- Duly registered to operate as a legal entity in the Philippines
- Actively operating business for at least 3 years
- Actively operating business for at least 3 years, sureties/co-makers are required
- Has strong business prospects/potentials based on evaluation
Security Bank Car Loan Documentary Requirements
Aside from fulfilling the eligibility criteria, you can raise your chances of approval by submitting complete and accurate requirements:
-
Completed and signed Security Bank Auto Loan Application Form
- Valid government-issued ID with photo and signature
- Latest Proof of Billing under borrower’s name
-
Latest Certificate of Employment with Compensation
- Any of the following:
- Latest Income Tax Return (ITR) / BIR Form 2316 duly stamped by BIR
- At least 3 months of payslips
-
ITR / BIR Form 2316 duly stamped by BIR
- Latest Audited Financial Statements/Statement of Income and Expenses/Statement of Assets and Liabilities
- Photocopy of your passbook or bank statements in the last 3 months
- Proof of other income (Certificate of Deposits, Stock/Bond Certificates, Lease Contracts, etc.)
- For sole proprietorship: Certificate of Business Registration with DTI
- For partnership/corporation: Certificate of Business Registration with SEC
-
Latest Employment Contract duly authenticated by Phil. Consulate
- For seafarer/seaman: Latest Crew Contract
- Proof of Remittance (allotment slips) for at least 3 months
- Copy of LTO OR/CR under the name of the seller/applicant
- Deed of Sale
- PNP Clearance and Macro Etching Certificate
- For imported units only: Bill of lading and importation papers, including proof of payment on custom and duty taxes
Security Bank Car Loan Interest Rates
| Loan Terms | Standard (%) | One month advance (%) |
| 12 | 6.77 | 6.02 |
| 18 | 9.74 | 8.93 |
| 24 | 14.38 | 13.48 |
| 36 | 21.51 | 20.50 |
| 48 | 29.04 | 27.92 |
| 60 | 37.63 | 36.38 |
Security Bank Car Loan Processing Time
Processing/approval time: 3 to 5 banking days, depending on when you submit the application form and all the requirements
Down payment: As low as 20% of the purchase price
Collection fee: 3% of unpaid net monthly amortization
Late payment fee: 3% of unpaid net monthly installment
-
Effective October 25, 2021: 6% of unpaid amortization (combined collection and late payment fees)
Chattel mortgage fee (CMF): Inclusive of documentary stamp tax, processing fee, and notarial fee
| Brand-New Car | Secondhand Car | |
| Loan Amount | Minimum of ₱400,000 up to 80% of the purchase price | Minimum of ₱100,000 up to 70% of the appraised value |
| Loan Terms | 12 to 60 months | 12 to 48 months |
| Maximum Car Age | N/A | Up to 11 years (Loan tenor and vehicle age shouldn’t exceed 11 years) |
How To Get Approved for a Car Loan from Security Bank
Check if you're eligible for a loan
To see if you’re qualified to apply for an auto loan, look at the eligibility criteria first. From there, you can decide whether to proceed with the application or to wait a while until you’re qualified (e.g. your salary is below the minimum annual income requirement).
Submit complete requirements
Make a checklist so that you hand over a complete set of documents. Don’t worry, the bank will inform you if there are missing items. Still, submitting complete requirements on the first instance will speed up the application process.
Borrow only what you can afford
Some applicants get rejected because their intended loan amount doesn’t match their monthly salary. Do the math to see if you can afford the monthly amortization and target loan term. If you can’t afford it, adjust your loan term and loan amount, or consider a more affordable car.
Security Bank Car Loan: FAQs
An auto loan is a secured loan exclusively for cars. No other loan purpose is allowed since the collateral will be the car you plan to purchase. Since there's collateral involved, interest rates are lower compared to those of a personal loan.
On the other hand, most personal loans offered by banks and other lending institutions are unsecured loans. Since there’s no collateral involved, banks impose higher interest rates. They're also stricter when it comes to requirements.
Both an auto loan and a personal loan have fixed interest rates and loan terms. Both also require monthly payments until the end of the loan term.
The Security Bank Car Loan can finance vehicle purchases from top brands such as Toyota, Ford, Honda, Nissan, Mitsubishi, and Suzuki, among others.
Check the status of your auto loan by visiting https://www.securitybank.com/personal/loans/auto-loan-car-loan/check-application-status. If you still have more questions, visit any Security Bank branch near you or call Security Bank’s Auto Loan contact number at (02) 8887-9188.
Make auto loan payments through an Automatic Debit Arrangement (ADA) on your Security Bank account. If you don’t have a Security Bank account yet, you’ll have to open one once your application is approved. If you already have a Security Bank account, you’ll need to fill out and submit an ADA enrollment form before you start your auto loan repayments.
Learn More About Cars and Car Loans in the Philippines
Read more about car loans in the Philippines. Check out our articles below:
Car Loan Process: How Does an Auto Loan Work in the Philippines?
With a car financing scheme, you can buy your dream car without making a full cash payment.
Own Your Dream Car: 15 Best Banks for a Car Loan in the Philippines
We’ve listed the best car loans in the Philippines to help you narrow it down and pick the right one.
The Right Ride for the Right Price: 29 Cheapest Cars in 2024
Whether you’re looking for your first or secondary vehicle, here are the most affordable cars in the Philippines you can buy in 2024.