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Personal

Product

BOI Star Vehicle Loan Scheme

Eligible Customers

Salaried employees, Professionals, Self-employed Salaried employees, Professionals, Self-employed Non-Resident Indians- advance to be granted jointly with Resident Indians (close relative) (Age of the individual borrower not to exceed 65 years at the time of availing the advance) Companies, Partnership Firms, Proprietary concern and other types of Corporate entities. HUFs not Eligible

Purpose

  • Purchase of two/four wheeler vehicles (not requiring heavy duty license). For purchase of used/second hand 2 and 4 wheeler. (age of the vehicle not to exceed 3 years)
  • Reimbursement of cost of four wheeler purchased from own sources

Type of Advance

Demand Loan /Term Loan (for 2nd hand vehicles only Demand Loan)

Quantum of Loan

Maximum limits for finance :

  • Individuals (Resident in India)
  • For Indian make vehicles - Rs.50 lacs
  • For Companies and corporate entities - Rs.100 lacs.
  • For Companies and corporate entities - Rs.200 lacs (Can be a fleet of vehicles)
  • Non-resident Indians - Rs.50 lacs.
  • The limits are subject to :24 times of gross monthly emoluments in case of salaried employees/pension/ or two times of gross average annual income as per last 3 years I.T. Returns
  • Two times average annual cash accrual (i.e. PAT + Dep.) as per firms/ companies last 3 years audited balance sheet, P&L A/c.
 

Net take home pay :

Gross Monthly Income

% of NTHP

Up to Rs.1.00 lacs

40 %

Rs. 1.00 lacs upto Rs.5.00 lacs

30%

Above Rs.5.00 lacs

25%

For Others: DSCR: Min.1.5

Repayment (New Vehicles)

  • For Individuals - for new vehicles
  • 4 wheelers - Max. 7 years.
  • 2 wheelers - Max. 5 years.
  • For Corporates/Firms, etc. - Max. 5 years.
  • For second hand vehicles - Max. 3 years.

Security

  • Hypothecation of vehicle to be purchased out of Bank finance.
  • Charge to be registered with RTO.
  • Third party guarantee required in the following cases
  • Loans to NRIs – Guarantee of Resident Indian is required.
  • Loans to NRIs – Guarantee of Resident Indian is required.

Margin

Individuals (including NRIs) : (For new vehicles)

Amount

Margin -%

Upto Rs.10 lacs

NIL Margin
On Ex. show room Price -excluding comprehensive Insurance, Taxes and Registration charges

Above Rs.10 Lacs to Rs.25 Lacs

15% Margin
On Road Price - including comprehensive Insurance Taxes and Registration charges

Above Rs.10 Lacs to Rs.25 Lacs

25% Margin
On Road Price - including comprehensive Insurance Taxes and Registration charges

 

For Corporate entities/firms, etcMin. 25%

For second hand vehicles Min. 30% ( on depreciated value or value assessed by Valuer or sale consideration whichever is lower)

Rate of Interest

Particulars Rate of interest
4 Wheelers / 2 Wheelers including Super Bikes:
New & 2nd Hand Vehicle -
0.60% above 1 Year MCLR  or REPO+Mark-up+ 0.60

Note: No separate Interest concession in respect of loan to woman beneficiary.

Processing / Handling Charges (One Time)

RATE OF INTEREST
All linked to Banks MCLR
BOI MCLR 8.70 % w.e.f. 10.12.2018
PROCESSING CHARGES
(All charges are Exclusive of GST)

4 Wheelers / 2 Wheelers including Super Bikes:

New & 2nd Hand Vehicle –

0.60% above 1 year MCLR or REPO+ Mark-up+0.60

For New Four Wheeler Loan Rs.500/- per application, Irrespective of limit
For New Two wheeler/2nd hand vehicles (both 2/4 wheeler) 1% of loan amount minimum Rs.500/- and Max.Rs.10,000
 

In case of Partnership firms and Corporate

borrowers, processing charges will be double that applicable to individuals. No processing charges for Senior Citizen, Retired Employees of the Bank and Pensioners drawing Pension from the Bank.

For Rural areas:

Processing charges will be 75% of that applicable to individual borrowers provided loan is availed by borrowers from rural areas/ from rural branches.