Purpose – Purchase of new and old vehicles
Eligibility – Salaried, self employed or professional with repaying capacity
Quantum of loan – Maximum Rs.25/- Lakhs for commercial vehicles
Margin – New Car 10%; Used Car- 50% (Valuation); commercial vehicle- 30%
Rate of Interest – The rate of interest of the car loan for New Car is 11%, Used Car is 14% and commercial vehicle is 14%
Duration – New Car 48 months, Used Car 36 months, commercial vehicle 36 months
Other Conditions – Hypothecation of Vehicles/used car, used car should not be less than 3 years, Hypothecation of Vehicle
The applicant borrower must open Saving Bank/Current Account and furnish all papers/ documents as per the bank’s requirements.
The borrower/s and sureties/guarantors should execute the documents as required by the bank before disbursement of the loan.
The borrower should have exclusive banking with the bank. For opening and operating with any other bank, prior consent must be obtained from the bank.
The applicant borrower eligible as per byelaws (Residing/carrying on business within the area of operation of the bank) must apply for entrance fee of Rs.10/-. Upon sanction of the loan, shares up to 5% of the loan amount or Rs.1 Lac, whichever is less must be acquired before disbursement of the loan etc.