Scheme For Financing Purchase Of Car By Public
Objective To make Loan available to prospective borrowers for purchase of car on attractive terms.
Purpose
To purchase:
New Car/Van/Jeep/Multi Utility Vehicle (MUV) or Sports Utility Vehicles (SUV).
Old car/van/jeep/MUV/SUV, which are not older than three years and unencumbered (i.e not financed by other Bank/Financial institutions on the date of loan).
Eligibility
For private use only.
Individuals and Joint borrowers are also eligible, i.e., parent(s)/spouse/ Earning Children. (whether married or unmarried)/Earning daughter in law
Business concerns (corporate or non-corporate). Company /Firm to be in cash profit for the last two years
Income Criteria
Minimum net monthly salary / pension/ income - Rs.20000/-
Income of Parent(s)/Spouse/ Earning Children can be added for determining loan amount/eligibility. However, out of above income of only one person can be added and he/she will stand as a co-borrower.
No minimum monthly income is required in cases where borrower agrees to give 110% of liquid security in shape of Term Deposit.
Quantum of Finance
For individuals/Proprietorship concerns: 25 times of Gross Monthly Salary/ Pension/ Income with a ceiling of Rs 25 lakh (for one or more vehicles).
For Business Concerns (Corporate or Non-Corporate): No ceiling of loan amount (for one or more vehicles).
Margin
For New Vehicle: 15% of on-road price inclusive of one time road tax & insurance.
For Old Vehicles: 30% of the value of the vehicle.
Security Vehicle purchased to be hypothecated to the bank.
Guarantee/ Collateral Security
Third party guarantee / collateral security as follows:
1. No guarantee required for permanent employees of Central Govt./ State Govt./ PSBs/MNCs/ Listed companies of BSE or NSC whose shares are actively traded and quoted above par irrespective of income.
For all other cases Third Party guarantee/ Collateral Security acceptable to the Bank.
Repayment (Maximum)
For New Car/Van/Jeep/MUV/SUV: 84 EMIs
For Old Car/Van/Jeep/ MUV/SUV: 60 EMIs
(Repayment to be ensured within 70 years for salaried persons with pension and pensioners. For others repayment to be ensures within 65 years of age)
Prepayment Charges
Floating Rate: NO pre-payment charges.
Fixed rate: @2% on the outstanding pre-paid. However, no prepayment charges to be levied :-
Where the loans are prepaid by the borrowers from their own sources.
Where the borrower shift to other bank within 30 days from the date of upward revision in the rate of interest or change in other terms of sanction.
Rate of Interest Click Here
Processing Charges/ Upfront fee Click Here
Documentation Charges Click Here