PGB Car Finance Scheme

 

 

Available for purchase of New Car/ Van/ Jeep/ Multi Utility Vehicle (MUV)/ Sports Utility Vehicle (SUV) or for old vehicles that are not older than 3 years (Depriciation @ 15% p.a. on current invoice / showroom invoice). Finance will be provided for purchase of vehicle of indigenous/ foreign makes

 

Eligibility

Individuals as well as Business Concerns (Corporate or non-corporate).
Minimum net monthly salary / pension / income – 20000/-. Income of spouse /Parent can be added.

 

Amount of Loan

For Individuals / Proprietorship Concerns: 25 times of the monthly net salary OR Rs.25 lacs (for one or more vehicles), whichever is lower. Income of parent(s) / spouse can be taken into account for determining loan amount. In such cases, the parent(s)/ spouse shall stand as additional guarantor


For Business Concerns (Corporate or non-corporate): No ceiling on loan amount (for one or more vehicles).

 

Margin

  • For New Vehicles: 15% of on road price.
  • For Old Vehicles: 30% of depreciated value
  • Under Tie-up Arrangement : 10%

 

Security

The vehicle purchased with the amount of loan is to be hypothecated to the Bank. It will be registered in the name of the borrower jointly with the Bank.

 

Guarantee / Collateral Security

i)              Third party guarantee / collateral security is waived in following cases:

  • Permanent Employees of Central Govt. /State Govt. /PSUs/ MNCs/ Listed Companies at NSE/ BSE whose Shares are actively traded and quoted above par.
  • For other than salaried class borrowers where ex – showroom cost of the car is exceeding Rs.6 lakh.

ii)             However the Guarantee of Parent(s) / Spouse will be taken in case their income has been considered for determining loan amount

 

Rate of Interest

Repayable in Less than 3 Years  =                                                11.50 % (floating)
Repayable in 3 Years and above =                                                12.00 % (floating)

 

Repayment

  • For New Vehicle: The loan amount together with interest is to be repaid maximum in 84 Equated Monthly Installments (EMIs).
  • For Old Vehicle: The loan amount together with interest is to be repaid maximum in 60 Equated Monthly Instalments (EMIs)

Upfront Fee & Documentation Charges

  • @ 1% of the loan amount, with a maximum of Rs.6,000/- (exclusive of service tax & education cess)

Disbursement

The intending borrower will be required to settle the transaction for purchase of vehicle needed by him/her with the seller and will be required to deposit the difference of the cost of the vehicle to amount of loan, and thereafter, the advance will be allowed to him/her from the bank by paying the entire price of the vehicle to the seller directly on behalf of the borrower.

 

 

 

For more detail, please contact to our nearest branch.