Vehicle Loan

Purpose :

With a view to assisting unemployed persons to earn their livlihood, the Bank grants loan facility to purchase Auto Rickshaw, Taxi, Tempo etc. The Bank also extends loan facility to assist individuals \ businessmen to purchase vehicle for their personal \ business use.

Quantum :

Quantum of loan amount is to be computed based on the margin stipulated by H.O. both for New Vehicle and Old Vehicle. This is advised from time to time on the basis of the policy formulated by the Board.

Period of Re-Payment(Maximum) : 5 years

Disbursement :

The disbursement should be made directly to the dealer. The borrower should deposit the margin money with the bank so that full payment can be made to the dealer.

Guarantor :

Two sureties having adequate net worth.

Default in repayment :

Two sureties having adequate net worth.

Loan Against Hypothecation of Machinery & Equipment :

Margin :

  • in case of New Machinery.
  • 30 % of the cost or Market Value whichever is lower.
  • in case of Second hand machinery.
  • 50 % of the Cost of Value Certified by the Approved Valuer.
  • Under Special Circumstances, the Bank may stipulate lesser margin or may waive margin completely.