Sl No

Parameter

Details

1

Purpose:

• i. Purchase of two wheeler i.e. Scooter, Moped, Motor Bike, electronic bike (e-bikes) etc.(New only)
• ii. Purchase of four Wheeler i.e. Car, Jeep, Utility Vehicle, SUV, electric car like Reva, battery operated vehicle etc. for personal use. (i.e. not for hiring/ferrying passengers)

The finance can also be extended for purchase of old / second hand cars which should not be older than 5 years and have expected residual life of minimum 10 years

2

Eligibility:

• i. All individuals of age 18 years and above who are

1. Permanent salaried employees of Central / State government / Local self government / Defence staff / employees of PSU / Large Corporates / reputed establishments.
2. Self-Employed Persons / Independent Entrepreneurs who have regular source of income.
3. Farmers irrespective of land holding engaged in production oriented agricultural activities and in other allied activities.
4. Non-resident Indians in India jointly with a resident of India who is a close relative of the NRI. The vehicle is for use in India only.
5. Staff of our bank.
6. Finance may be extended individually or jointly with family member (mother, father, son, spouse, brother, sister or daughter), who has regular source of income i.e. income of the co-borrower may be clubbed to calculate eligible loan amount.

• ii. Companies / Proprietorships, Partnership Firm /Societies/etc.
• iii. Minimum Income Criteria (Gross Income)

1. Salaried Persons:          i. For Four wheelers - Rs.15,000/- p.m.

                                            ii. For Two wheelers - Rs.5,000/- p.m.

1. Other than salaried persons:

• 2 For Four wheelers - Rs.1,80,000/- p.a.

                                       ii. For Two wheelers - Rs.60,000/- p.a.

3

Quantum of  Finance:

• i. For Salaried Persons: -

24 Times of Gross Monthly Salary on the basis of Last Salary Drawn.

•ii.      For Other Individuals

2 Times of Average Annual Income of last two years.

• iii. For Companies, Proprietorship/ Partnership Firms, Societies:

Three Times of Average Annual Cash Accrual (PAT+Depreciation) as per last two years P/L, audited B/S of the company/firm as applicable.

•iv.    However, the Maximum Loan amount should be as under:

Two Wheeler - Rs. 1.00 lakh.

Four Wheeler:

       Indian made vehicles               : Rs.20.00 lakh

       Imported Vehicles                   : Rs.40.00 lakh

       Old/Second Hand  Vehicle      : Rs.10.00 lakh

4

Margin:

•i.        New Vehicles:

Loan Amount Upto Rs.20 lakh           - Minimum 10%

Loan Amount More than Rs.20 lakh   - Minimum 20%

•ii.      Old/Second Hand  Vehicles:

Irrespective of Loan Amount                  - Minimum 25%

Valuation of old vehicles should be done by Approved Valuer.

5

Security:

Hypothecation of vehicle purchased. Our Hypothecation charge should be registered with Regional Transport Office Authorities.

6

Repayment:

• i. Loan is repayable in Equated Monthly Installments commencing from subsequent month of disbursement as below.

Two Wheeler    - Maximum 60 Months.

Four Wheeler (New) - Maximum 84 Months.

Four Wheeler (Old) Upto 3 Years old - Maximum 60 Months.

Four Wheeler (Old) More than 3 Years old - Maximum 48 Months.

7

Processing Charges:

Rs.500/- per proposal for 2 wheeler

Rs.2000/- per proposal for 4 wheeler.

• PROCESSING CHARGES COMPLETELY WAIVED DURING FESTIVE SEASON 01.9.2012 TO 31.03.2013

8

Rate of Interest:

• i. For Two Wheelers - Base Rate + 1.00%
• ii. For Four Wheelers (New) - Base Rate + 0.50%
• iii. For Four Wheelers (Old) - Base Rate + 1.50%

9

Guarantee:

No Personal Guarantee will be obtained in case of loan up to Rs.5.00 lakh. 

10

Net Take

Home Pay

Criteria:

For borrowers with annual income up to Rs.5.00 lakh, the Net Take Home Pay/Income should not be less than 35% of Gross Monthly Salary/Income after including the income of the co-borrower/s. This can be relaxed upto 30% for borrowers with annual income above Rs.5.00 lakh but up to Rs.10.00 lakh and up to 25% for borrowers with annual income above Rs.10.00 lakh.

11

Prepayment Charges

No prepayment penalty is levied if the loan is adjusted by the borrower from his own sources. However, if loan is taken over by other Banks/Financial Institutes, Prepayment Penalty is charged @ 1.00 % on outstanding balance on the date of such take over.