TMB Vehicle Finance (For Commercial Vehicle purchase)

To purchase Cars, Mini / Light / Medium Vehicles, Autos / Jeeps / Lorry / Bus and other commercial vehicles, etc to be operated on commercial basis

Heavy Vehicles registered with RTO such as Crane, Bulldozer,Earth Movers, Forklifts, Mounted vehicles, etc.

Cranes, Road Pavers, Rigs which are not registered with RTO.

To meet the Working Capital requirements of Transport Operators such as wages, Salaries, fuel expenses, maintenance expenses, payment of road Tax, for vehicles by Transport Operators.

Demand Loan / Term Loan / WCDL / OD (Running) / OD (Reducing balance)

For purchase of Vehicle

  • Maximum of Rs.250 lakh

For Working Capital of Transport Operators

  • Upto 60% of the valuation of un-encumbered / HP free vehicles in the name of the borrower/ proprietor, subject to a Maximum Rs.50.00 lakh

Individuals / HUFs, Proprietary Concerns, Partnership Firms, Limited Companies

Margin :-

  • Purchase of New Vehicle
    • 15% of the on road price of the vehicle for new vehicles (including body building cost, if the body building is done by the manufacturer).
  • Purchase of New Vehicle
    • 25% - If the body building is not done by the manufacturer and carried out by outsourced units.
  • For Second hand vehicle
    • 40%
  • Working Capital
    • 40% of assessed value of Debt Free vehicles with residual life of not less than 5 Years.

Repayment :-

  • Demand Loan / Term Loan - 5 Years.
  • WCDL – Repayable in 36 months (to be reviewed every Year in monthly/ quarterly installments)
  • OD – Running account renewable on or before the end of one Year
  • OD – Reducing balance method repayable within 36 months (to be reviewed every Year).

Security :-

  • Primary Security
    • Hypothecation of vehicle to be financed
  • Collateral / Guarantee
    • For credit Limits covered under CGS of CGTMSE – Nil
    • Credit Limits not eligible for cover under CGS of CGTMSE.
      • Collateral Security or Third Party Guarantee in case of Cars, Mini- Vehicles & Autos.
      • For Trucks/ New Vehicles other than items Tangible and marketable Collateral Security to cover at least 50% of the Loan amount (or) credit worthy Guarantee.
      • Second Hand Vehicles
        • Tangible and marketable Collateral Security to cover at least 50% of Loan amount.
  • Working Capital
    • Hypothecation of unencumbered / HP free vehicles having residual life of not lesser than 5 Years with 40% Margin

Interest :-

Fees & Charges :-

  • 1.00% of the Loan amount plus Taxes as applicable