CORPORATION BANK CAR LOAN INTEREST RATES

CORPORATION BANK CAR LOAN INTEREST RATES

Every institution has its start in modest initiatives but what makes it great is the passion of the people behind it. Carrying the legacy forward with an undaunted commitment to its vision, the journey of Corporation Bank truly epitomizes this.

Started about 108 years ago in 1906, with an initial capital of just Rs.5000/-, Corporation Bank has recorded Rs. 2,84,722 Crore mark in business and even far more, with over 6677 service outlets across the nation, served by committed and dedicated 13,000 plus Corp Bankers. Proof of which is seen in its enviable track record in financial performance. We have many reasons to cheer, predominant of them is, being able to participate in nation building by empowering the rural and urban populaation alike. Today, we are proud that we are significant contributors to the growth of the country’s economy.

Nationalised in 1980, Corporation Bank was the forerunner when it came to evolving and adapting to the financial sector reforms. In 1997, it became the Second Public Sector Bank in the country to enter capital market, the IPO of which was over- subscribed by 13 times. the Bank has many ” firsts ” to its credit – Cash Management Services, Gold Banking, m-Commerce, ” Online ” approvals for Educational loans, 100% CBS Compliance and more recently, its poineering efforts to take the technology to the rural masses in remotest villages through low-cost branchless banking – Business Corresponent model. All of which symbolise Bank’s unswerved commitment to its customers to provide convenience banking.

At Corporation Bank, what motivates us is the passion to excel in banking by maintaining highest standards of service to our customers, backed by innovative products and services which makes us one of the leading Public Sector Banks in the country, catering to a wide range of customers – from individuals to corporate clients.

Corp Vehicle – Loan for purchase of vehicle/s 

‘CorpVehicle’ gives you greater value, flexibility, convenience and affordability. Perhaps you have been postponing your needs to have a two wheeler/four wheeler for quite a long time. The CorpVehicle loan scheme has been designed for people like you, who would like to move up in life without paying through the nose for it. CorpVehicle offers you the easiest motor cycle/Car loans with absolutely no hassles. Isn’t it time to get a motor cycle/car of your own?

1. Eligibility 

Individuals [Professionals/Businessmen/ Salaried class and others] NRIs, Sole Proprietorships, Partnership Firms, HUFs, Companies, Trusts/ Institutions are eligible.
vMain applicant shall have income.
Income of the spouse/close relative/s can be included if they join as Co-applicants to supplement repayment capacity.
In case of Company/Firm/Trust, Directors/Partners/Trustees having regular/ independent income can join as co- applicant/s to supplement repayment capacity.
In case of salaried class, applicant/co applicant must be confirmed in the service.
For 2 & 3 wheelers :Applicants to have a minimum NET annual income of Rs.0.50 lakhs.
vFor Four wheelers :Applicants to have a minimum NET annual income of Rs. 1.20 lakh.
Cash accruals/Depreciation also added to income, in case of borrowers other than salaried class.
In case of loan to Road/Water Transport Operators & where vehicle is used for commercial purposes & for Educational Institutions, repayment capacity is arrived at based on Debt Service Coverage Ratio (DSCR).

2. Purpose

For purchase of 2/3/4 wheelers/heavy road/water transport vehicles/ for personal /transport/business/commercial purpose.
Vehicles used for mining/ digging activities, like excavators/ Bulldozers/ JCB/Crane/Road Rollers etc., are NOT considered under the scheme.

3. Loan Amount

For 2 wheelers : Rs. 1 lakh per vehicle
For 3 wheelers : Rs. 2.00 lakh per vehicle
For 4 wheelers and heavy vehicles/water transport vehicles : Maximum Rs. 75 lakh per vehicle

4. Rate of Interest 
Please click below for:
Rate of Interest 

CORP VEHICLE SCHEMEFor

othersNew four wheelers used for personal

use [Registered as white Board ]For SRTOs

covered

under

CGTMSEUpto

Rs.5

lakhsAbove Rs.5 lakhs

but below

Rs.10 lakhsRs.10

lakhs &

aboveUpto the tenor of 3 years10.50%10.45%10.40%10.25%10.50%Above 3 years and upto 5 yearsAbove 5 years & upto 7 years11.00%11.00%

The Interest Rate as above is applicable to fresh loans only

Fixed rate option is not available under the Scheme

5. Margin 

15% of cost of the vehicle (cost of the vehicle is inclusive of Accessories/Registration/Road tax/Insurance charges) for new vehicles
40% of market value certified by the competent valuer, for second hand vehicle which have not completed 3 years from the date of first registration. However, loan for second hand two wheeler & three wheeler is strictly not permitted.
Valuation obtained from the Bank’s empanelled valuer or Authorized dealer of vehicle manufacturer.

6. Security

Hypothecation of the vehicle along with noting of Bank’s lien in the Registration Certificate and Insurance Policy.

7. Guarantee

Not Mandatory. However, third party guarantee or any collateral securities will be stipulated, on case to case basis, by the Sanctioning Authority at his/her discretion based on risk perception.

8. Collaterals

Collateral security stipulated at the discretion of the sanctioning authority.

9. Repayment

vMaximum 60 months for purchase of 2/3 wheelers
vMaximum 84 months for other than 2/3 wheelers.
vIn case of second hand vehicles, maximum repayment period will be reduced by the extent of the age of the vehicle.
vIn case of seasonal income, Quarterly/ Half yearly/Yearly instalments stipulated.
vIn case of loan to Road/Water Transport Operators & where vehicle is used for commercial purposes & for Educational Institutions, repayment capacity is arrived at based on Debt Service Coverage Ratio (DSCR)
vEMI/ Notional interest as a % to net income is reckoned as per applicable guidelines.

10. Processing Charges
Processing charges are fully waived (from 01.06.2013 to 30.09.2013)

Two wheeler & three wheeler0.50% of the loan amount sanctioned with a minimum of Rs. 500/-.
Four wheelers1.00% of the loan amount sanctioned with a minimum of Rs. 1,000/-

Note : The charges are exclusive of applicable service tax

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