In order to provide enhanced facilities to its customers, auto maker Tata Motors has signed pact with State Bank of Bikaner and Jaipur (SBBJ) and Andhra Bank for financing its range of passenger vehicles.
As per the agreement SBBJ will provide car loan at 85% of the on road price at a very competitive rate for tenure of up to seven years where as Andhra Bank will offer car loans up to 90% of invoice for the same tenure at an interest rate of 11.75%.
Presently SBBJ has frozen the auto loan rates at 10% for one year. This rate will be available to the customers for loans sanctioned before May 31st, 2009 and thereby the service will be applicable till May 31st, 2010.
Meanwhile Andhra bank provides 50 basis points concession in the interest rates to the women customers.
The service is available at 860 branches of SBBJ, 1,430 branches of Andhra Bank and 470 sales touch points of Tata Motors.
This is not the first time that Tata has entered into an agreement with a bank to provide a finance facility. Earlier the firm has tied up with a range of PSU banks including PNB, Union Bank of India, Bank of India and others.