VEHICLE LOAN

Features :

This Loan is meant for Professionals, self -employed persons, service providers, employees of Govt. and other reputed institutions, Business persons.

Eligibility:

• Applicant must be a Regular Member/Associate of the Bank with credibility.

• Salaried person shall be in the regular service of the State Government/ Self Governing Organizations such as Municipality, etc., / reputed non-government organizations or corporations.

• The person should have a take home salary of not less than 50% of his net salary and a residual service of at least 5 years.

• Non salaried persons should have net income after meeting all expenses including family expenditure from his business / profession, sufficient to repay the loan.

• He/she should possess a Savings Bank account, which is KYC Norms.

• Age of the person shall not be more than 55 years in case of salaried person and 60 years in case of non salaried persons.

Purpose of Loan: Purchase of new two wheeler/ Three Wheeler/four Wheeler vehicle.

Quantum of Loan: 75% of the Basic Invoice Value.

Processing fee: Rs. 300/- (Non refundable)

Interest Rate: As prescribed by the Board from time to time.

Tenure: Not Exceeding 24 Months for Two wheeler; 48 Months for three and four Wheeler.

Repayment Mode: In equal monthly installments with monthly interest or in equated monthly

Installments (though salary deduction in the case salaried persons)

Security: Hypothecation of the purchased vehicle

Collateral Security: Where the loan amount exceeds Rs.3 lacks, immovable property with value

equivalent to twice the loan amount.

Surety of Guarantee: One surety /guarantee of creditworthy person who shall be a regular/associate member having sufficient income acceptable to the Bank.

Documents for processing application:

• Loan Application Form with passport size photograph

• Quotation of the Vehicle.

• Income Proof.

• Salary Certificate for the latest month.

• Letter authorizing the pay-drawing officer of the borrower or surety (where surety is an employee) for deducting the loan installment and interest from the monthly salary of the borrower or surety as the case may be and remittal of the same to the bank in triplicate.

• Post dated cheques in case of non salaried applicants.

• In case of loan amount exceeding Rs.3 lacks, financial statements for last 3 years.

• Statement of Assets and Liability of Borrower and Sureties or partners of the firm.

Release of the Loan Amount:

• After execution of prescribed document and creation of charge in favor of the Bank on the Vehicle and collateral security.

• Comprehensive Insurance policy for full value of vehicle and fire insurance in case of mortgaged property for its full value with agreed Bank clause.