With more than a billion population, the two-wheeler manufacturing industry in India has seen extensive development in the past 10 years and continued to grow. Although two-wheelers are convenient and preferred means of transport, they are not affordable for a majority of the middle-class section of India to buy entirely out of their pocket. Hence two-wheeler loans from City Union Bank provide support to people who are looking to purchase these vehicles.
1. The motive of loan:
The two-wheeler loan is only eligible for new two-wheelers, not for the used ones.
2. Permitted Loan Amount:
The maximum two-wheeler loan amount offered by City Union Bank is determined by calculating the applicant's salary for 10 months and Rs 35,000 is the upper limit.
Base Rate is 10.75%
Base Rate+7.00 = 17.75%
Hypothecation of the bike to be bought is kept as security or collateral with the bank.
5.Third Party Guarantee:
Along with the loan applicant, the spouse (or maybe someone else who fulfills the eligibility criteria as per the requirement may apply as co-applicant.
6. Repayment Period:
The applicant can repay the loan maximum in a period of 36 months through EMIs and the bank doesn't allow any moratorium period in this regard.
7. Two Wheeler Insurance:
A comprehensive insurance cover is to be acquired by the applicant at the price of the vehicle as per the loan clause.
8. Processing Fees:
The bank will impose a processing charge at 1% of the entire loan amount. However, the whole process is transparent as there are no hidden charges.
9. Loan Disbursement:
The approved loan amount will be credited directly to the seller.
1. The applicant must be at least 18 years and above.
2. The salaried individuals must have an income of at least Rs. 5,000 on a monthly basis.
3. Independent professionals and freelancers should have a net profit of Rs. 75,000 on an annual basis after all deductions, as per the IT Return reports.
4. The income of the partner will be considered if he/she applies as a co-borrower.
1. Photocopy of any of the ID Proof such as Driving License, Voters ID, Aadhaar Card, and Passport.
2. Photocopy of the address proof such as an Aadhaar Card/Rental or Lease Agreement/Ration Card.
3. Income Proof such as bank statements, salary slips, and IT Return reports.