Indian Bank Vehicle Loan

Indian Bank Vehicle Loan

Scheme Highlights

Target Group

Salaried class, Professionals, Businessmen and Self-employed persons

Purpose

For purchasing new/second hand two/four wheelers. Age of second-hand vehicle should not be more than 3 years and vehicle to be certified by Automobile Association of India/reputed Automobile Engineer/Valuer acceptable to the Bank as to the market value.

Eligible Amount

* Maximum Amount:
Two wheelers : Rs.50,000
Four wheelers : Rs.7,50,000

( For high net worth individuals with good repayment capacity, higher loan amount with a maximum of Rs.15 lakhs for Four wheelers may be considered )

* Minimum gross monthly income/salary for availing loan for purchase of car should be Rs.20,000/-

* Salaried class: 20 times the gross monthly income (income of spouse also can be included with personal guarantee of spouse)

* Professionals/Businessmen: Based on their income earned and capacity/ability to repay the loan. Pensioners and Bank Employees are not eligible for the loan.

Margin :

* For Two Wheelers only
Minimum 15%

* For Four Wheelers only
New Vehicles - Minimum 10%
Used Vehicles - Minimum 40%

(age of used Four wheeler not to exceed 3 years)

Interest rate(w.e.f. 12.11.2008 for fresh accounts)**

* For Two Wheelers only
13.25% fixed - irrespective of the tenor not exceeding 60 EMIs.

* For Four Wheelers (New Cars)
12.00% fixed

* For Four Wheelers (Used Cars)
13.00% Fixed

**IB Vehicle Loan Fixed Rates are subject to reset clause; Interest reset at the end of every two years on the basis of Fixed vehicle loan rates prevailing then.

Loan Value

New Four Wheelers: Cost of Vehicle (In case of need, one time Road Tax, Registration Fee, Insurance premium and accessories can be added to cost of vehicle for finance) minus Margin as above.

Used Four Wheelers: Certified Market Value minus margin

Repayment

* Repayment in 60 equated monthly instalments (on Equated Monthly Instalment basis).
* For non-salaried class, post-dated cheques for twelve months to be given.

Service Charges

Rs.250 per lakh or part thereof (subject to revision shortly)

Security

Up to Rs. 7.50 lakhs: Hypothecation of Vehicle

Beyond Rs. 7.50 lakhs: For the portion of loan beyond Rs, 7.50 lakhs, 100% collateral security in the form of EM of Properties / NSC / Fixed Deposits
or Surrender Value of LIC Policies to be stipulated.

Insurance :

Insurance of vehicle with Bank clause at borrower's cost, to be renewed annually

Response Time :

Sanction in 48 hours in all focus branches, if the application is complete in all respects.

---

This information is brought to you by Harmony Infotech.
Contact us if you are looking for a Free Website.

---