Vehicle Loan

Eligibility of borrower Last 3 years IT Return with statement of Accounts or Balance Sheet and Profit & Loss Accounts.
Purpose of Loan Purchase a new four wheeler / two wheeler for personal use / commercial use.
Quantum of finance ·  Up to 75% of cost of vehicle to be purchased at Ex Showroom Price of vehicle.

·   However, existing deduction plus EMI of proposed loan should not exceed 60% of annual income of the borrower.
Share Linkage           Borrower must purchase Bank share @ 2.5% of the loan amount to be sanctioned.
Repayment period Maximum 60 months.
Rate of Interest
Terms OverDraft
Transport Operator / Commercial Use 14% p.a.
Personal Use 13% p.a.
Security ·  Hypothecation of Vehicle to be purchased.

·  Third party guarantees of two person having credit worthiness and financially sound.

·  R.C. Book with bank name to be deposited with the Bank.

·  Vehicle to be insured comprehensively with Bank clause.

·  Equitable Mortgage of immovable property, if required.
Documents 1.       DP Note

2.       Hypothecation of Vehicle.

3.       Acceptance Letter of Loan Amount.

4.       Letter of Instalments, Guarantee and Lien & Set off

5.       Irrevocable letter of undertaking.

6.       Blank TTO forms, in duplicate, duly signed by the borrowers.

7.       Letter of sanction duly acknowledged by the borrower and guarantors.