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Punjab & Maharashtra Co-operative Bank Ltd. – Private Car Loan

The Punjab & Maharashtra Co-operative Bank Ltd. (PMC bank) started its operations first time on 13th February, 1984. The bank was established with an aim to provide banking services that provides the customer utmost ease and convenience. Within a short span of just 16 years, it has achieved ‘scheduled’ status on 29/01/2000 and is the youngest co-operative bank to achieve the status.

Purpose: This loan finances purchase a four-wheeler.

Quantum of Loan: The loan amount covers the cost of the vehicle as per invoice, registration and one time tax in case of new vehicle and agreement value or market value, whichever is lower, in case of second hand vehicle.

Margin: Different margin is there for different categories of car loan.

Rate of Interest: In case of new cars, the rates of interest are 11.5%, 13%, 14% respectively for loans of repayments periods of 3, 4 and 5 years respectively. In case of second hand cars, interest rates vary from 11.5% to 14% per annum.

Repayment: Repayment period can be 24, 36, 48 or 60 months. There are prepayment charges.

Security: Hypothecation of purchased vehicle is required.

Guarantee: New cars require no guarantee. In case of second hand cars guarantee is required for loans above Rs. 3 lakhs.

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