Muthoot Capital Services Ltd. is an NBFC and a Muthoot Pappachan Group's conglomerate. The company provides corporate and consumer finance products such as two-wheeler vehicle loans, car loans, and three-wheeler vehicle loans. The two-wheeler loans of Muthoot make it trouble-free for customers to buy a scooter, moped, or a motorcycle of their choice.
Muthoot Capital two-wheeler finance is characterized as:
The finance products of Muthoot Capital are customized for borrowers.
Quick approval on loan request, which may be as speedy as just after 30 minutes of the submission and verification of documents.
The Muthoot Finance approve loans of up to 90% of the vehicle cost on-road. The minimum amount of the loan is Rs. 10,000 and it goes maximum up to Rs. 60,000.
The tenure of the loan repayment ranges between 1 to 3 years.
The frequency that the company provides is flexible and allows the borrower to make payments not just in a month but also daily, weekly or fortnightly – whichever calendar slot suits the customers.
Rates of interest are competitive.
There are special schemes provided by the company which don’t require any income proof.
This feature is exclusively for the customers who already own debentures of the Muthoot Pappachan Group as they can get the immediate approval on the loan request. In case if the vehicle is of Honda or Hero Honda brand, on-spot approval on loan can be done by the company.
Two-wheeler loans of Muthoot Capital are eligible for:
Salaried or self-employed individuals
For people who are minimum 18 years old and less than 65 years.
The applicant must have minimum salary or profits of Rs. 60,000 in a year.
The applicant must have stayed at the current residence for at least a year.
The applicant must have one year of experience in the same job.
Below are the documents which are required for submission along with the filled application form:
Proof of Identity: PAN Card/Driving Licence/ Passport/Voter's ID
Proof of Address: Electricity bill/Gas connection bill/LIC policy/Passport/ Voter's ID/ Ration card/Driving Licence/Telephone bill
Proof of Income: Salary/credit card or bank statement/Form 16/ Income Tax Return/Salary slip/
Proof of Asset: Latest property tax payment receipt of land, building or house
The rate of interest of two-wheeler loans of Muthoot is based on the aspect of the risk level associated with the applicant. This risk profile considers the kind of two-wheeler, customer's capacity of repayment, type of financial commitments he/she is involved, any debts that borrower has, and repayment history. So it differs from one applicant to another.
The interest rates in two-wheeler financing remain typically high because of the higher risk involved with the loan, as there is a possibility that the asset may not be sufficient to cover the dues in case the customer doesn't repay the loan. The rates for various tenures are as given below:
Pre-payment charges: The loan can be closed before maturity, but the company would impose a nominal prepayment fee.
Penalty on Late Payment: 3% of the EMI would be charged a penalty on late payment.
Q1. Does Muthoot accept post-dated cheques for EMIs?
Muthoot Capital only accepts cash payments at its branches across India, so no post-dated cheques are required.
Q2. Do I need to be a participant in any Muthoot schemes to avail the two-wheeler loan?
No. Though if you already have debentures in the Muthoot Pappachan Group, the loan request will be processed quickly.
Q3. How will I know about my risk profile?
Muthoot Capital will examine your repayment capacity, type of financial commitments you are involved, any debts that you have, and repayment history, to determine the risk involved. To make it quick, ensure that all relevant documentation is provided to the company.