Purpose – Purchase of new vehicles – two wheelers as well as four wheelers,
Purchase of second hand unencumbered four wheelers only not more than four years old
Type of loan – Term loan
Eligibility – Permanent employees of State, Central Governments, Public Sector Under takings, Corporations, Private Sector companies and reputed establishments; Professionals, Self Employed, Business men and other Income tax assesses; Persons engaged in Agriculture & allied agriculture in the age group of 21 to 60 Years unlike other car loan.
a) Salaried: Net monthly income should be at least two times of EMI.
b) Self Employed, Professionals, and Business people
c) Persons engaged in Agriculture & Allied Agriculture.
For all groups net annual income should be Rs.60000/- and above. Income Tax returns not required, Proof of income to be certified by MRO.
Quantum of Loan -The maximum loan amount can be granted 30 times of NMI of Salaried class; in case of others, 2.5 times of NAI as per latest income tax return; For agriculturists’ net annual income to be reckoned as per activity, holdings, crop pattern, yield, etc. Regular monthly income from all sources including the spouse income may also be considered subject to guarantee of the loan by the spouse; In no case the EMI/NMI should not exceed 50%.
Rate of Interest -14%
Penal Interest – Penal interest should be charged @ 2% on the entire loan outstanding for the period of default.