Target Segment:

1.  Individual Nepali Citizen or Entities.
2.  Age between 18 years to 75 years (maximum age limited to tenure of Loan) in case of Individual.
3.  Individuals with regular source of Income such as from: Employment, Self-Employment, Business, Remittance, Rental, Pension etc.
4.  Business Entities with regular income from the concerned business.

Purpose:

1.  Purchase of new vehicle forBusiness Purpose.
2.  Refinancing of the old vehicle for Business Purpose.

Payment:

1.  Approved Loan shall be paid through A/c Payee Cheque to the supplier/seller of the vehicle.

Loan Tenure:

1.  Minimum 1 years, Maximum 7 years for new vehicle.
2.  For old vehicle Maximum 5 years.

Financing Criteria:

1.  Maximum 60% of the cost of vehicle as supported by Tax Invoice for new (both fuel and electric) vehicle.
2.  Maximum 50% of the valuation amount from listed valuator of Bank for Refinance of old vehicle.
3. 80% of tax invoice for vehicles used for construction, tourism and transportation of cargo, vehicles used in educational institutions and health institutions. (However, if these vehicles are electric then financing shall be restricted to 60% of tax invoice)

Repayment Mode:

1.  Repayment shall be on EMI/EQI basis.

Interest Rate:

1.  It shall be the published rate by Bank from time to time. click here

Charges:

1.  Service charges, Prepayment charges and all other applicable charges shall be as per Bank's STC policy.

Security:

1.  Registration of the vehicle in the name of the bank.
2.  Registered mortgage of the property (Land or Building) in bank’s name, if any.

Insurance:

1. Insurance of the vehicle.
2. Insurance of property being mortgagedcovering the Loan amount till the repayment of total loan.

Documents Required but not limited to:

1. Application form with photo from applicants/co –applicants/entity.
2. Performa invoice in case of first-hand vehicle. Purchase agreement between the applicant and the seller in case of second-hand vehicle.
3. Copy of citizenship certificate of applicant/co-applicant/guarantor and director/major shareholder in case of entity.
4. Certificate of undivided family members from competent authority.
5. Basic information of the route in which the vehicle is to be operated, revenue projected to be generated, cost of operation, personal expenses of applicant etc. and the amount available for debt servicing.
6. Documents related to income such as salary sheet, rental agreements papers including ownership certificate, pension book, etc.
7. Net worth Statement of applicant/co-applicant/personal guarantor, if any.
8. Driving license compulsory in case the vehicle owner himself drives the vehicle.
9. If the applicant’s business income is used to justify the cash flows, the applicant shall be required to submit copies of all business-related documents such as registration certificate, partnership deed, article of association, memorandum of association, tax clearance certificate, PAN certificate, latest audited and /or provisional financial statements, etc.
10. Any other documents to justify the loan that may be decided by the management from time to time or as may be required by regulatory requirement. 

All the documents and copies of the documents should be signed by the applicant/ co-applicants to authenticate the documents.