Car loans come under secured loan section of banks as most of these loans when disbursed
your car is hypothecated under the lenders name and your name.
These days a large set of cash discounts are available when you try to buy the dream vehicle.So the important part is that you know what you can get while taking this loan.
Covers the widest range of cars and multi-utility vehicles in India.
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Repay with easy EMIs.
Among lowest interest rates
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Flexible schemes & quick processing.
Mahindra First Choice Wheels, a pre-owned car company of Mahindra and Mahindra (M&M) has allied with Syndicate bank to offer used car loan at an interest rate of nine percent.
Pre-owned Car industry in India is dominated by un-organised players; customers face problems of improper car documentation, car transfer delays, poor quality of cars & lots of other problems when they buy from unorganized players. First choice is a solution to this problem.
Shubhabrata Saha, CEO of Mahindra FirstChoice revealed that pre-owned car loans in the unorganised sector attracted an interest rate of 16-17 percent. He added, "Only 10 percent of the pre-owned market is in the organized sector and this small base allows us to work our way around with this sub-10 percent loan scheme. This is an entirely new ball game."
The projected demand of the pre-owned car loans is very high which makes Mahindra First Choice confident to come up with this development.
Currently, the ownership ratio of new cars to used cars is 1:1 in the country. In the United States, this ratio ranges from 1:2 to 1:2.5.