HIRE PURCHASE LOAN

HIRE PURCHASE Loan for :
- Salaried Individual

Above 25 years of age but below 58 or proof of sufficient income generation until the maturity of loan.
- Self – Employed Individual
Above 25 years of age but below 65 at the time of loan maturity.
- Partnership Firm
Firm should have been profitably running for at least 2 years.

Loan Limit :
- 70% of the cost of the vehicle.

Documentation:
A. Salaried Individual:
S.N. Documents
1 Salary slip/reference/guarantee from the employer.
2 Copy of identification [Citizenship/PAN/Driving License etc.]
3 Photograph of the applicant.
4 Tax deduction certificate.
5 Pro forma invoice from the dealer.

B. Self Employed Individual:
S.N. Documents
1 Pro forma invoice from the dealer.
2 Copy of identification [Citizenship/PAN/Driving License etc.]
3 Photograph of the applicant.
4 Tax deduction certificate.

C. Partnership Firm:
S.N. Documents
1 Pro forma invoice from the dealer.
2 Registration certificate.
3 Tax deduction certificate.

Interest Rate:
- Interest Rate @ 14.50% per annum.

Loan Period:
- Minimum 12 months to maximum 5 years.

Service Charge:
- A service charge of 1.5% of the loan amount applied for is payable only one time on approval of the loan.

Repayment:
- Repayment is calculated on Equated Monthly Instalments (EMIs) basis and tenure is kept flexible i.e. minimum of 12 months or a maximum of 60 months commencing from the subsequent month of initial drawdown.
- Facility of flexible repayment.
- In the event of non-payment of any installment or in the event of any other irregularity continues, in such a situation a penalty will be levied as per the Bank’s regulations.
Security:
- Registration of the vehicle will be in the Bank’s name
- Comprehensive insurance endorsed to the bank
- Personal guarantee, if required
- Pledge of additional collateral if needed

Insurance:
- All assets mortgaged or hypothecated to the Finance Company as securities have to be adequately insured against all risk, with an insurance company acceptable to the Finance Company, with Banker’s clause in our favor. Incase the insurance policy is not submitted in time, the FI may at its sole discretion insure the securities and debit insurance premium from the clients current account.