Loan for old vehicle

Available for purchase of old Car/ Van/ Jeep/ Multi Utility Vehicle (MUV)/ Sports Utility Vehicle (SUV) or heavy vehicles that are not older than 5years.The maximum finance amount will be computed as Insurance value, GRID VALUE released by auto companies or the valuation provided by the Surveyor of the vehicle whichever is less subject to the maximum of Rs 35 Lacs. Finance will be provided for purchase of vehicle of indigenous/ foreign makes OR for financial need for maintance/renovation of vehicle / transportation business development

Eligibility

Individuals as well as Business Concerns (Corporate or non-corporate). Minimum net monthly income – 15000/-. Income of spouse /Parent can be added. Individuals/corporate having ITR of at least 2 years are eligible for the loan. The age of individual should not be more than 60 years.

Amount of Loan

For Individuals / Proprietorship Concerns: 30 times of the monthly net salary OR Rs.35 lacs whichever is lower. In case of personal vehicle only the 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  depending on the repaying capacity.

Margin :  For old vehicle :30 % (For Staff it is 25%)

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& hypothecated in the name of the Bank.

Applicable Rate of interest

As per the bank rates.

Tenure of Loan

Term loan

Repayable in 60 months for old vehicles

Primary security

Hypothecation of the vehicle registered in the state of New Delhi, Haryana, Rajasthan, UP & Uttaranchal only by noting Banks charge on in the books of SRTO.

Collateral security

Tangible security of borrower or guarantor valued for not less than 40% of the loan

Postdated cheques to be obtained for the EMIs

Personal guarantees of the MD and other directors in case of corporates.

Documents Required

For Private Vehicle:

• Copy of registration issued by RTO.
• Copy of Insurance.
• Copy of Invoices.
• ITR 2/3 year.
• Consent of the seller of vehicle along with particulars of vehicle & selling price
• 2 guarantors having ITR 2yrs.

For Commercial vehicle:

• Copy of registration issued by RTO.
• Copy of Insurance.
• Copy of Invoices.
• ITR 2/3 year.
• Consent of the seller of vehicle along with particulars of vehicle & selling price
• Affidavit from the seller for not having any type of tax /challan liability.
• 2 guarantors having ITR 2yrs.
• Fitness certificate issued by RTO.
• Copy of Tax paid current.

(10) Copy of permit.