South Indian Bank Commercial Vehicle Loan

South Indian Bank Commercial Vehicle Loan

This loan helps businesses in the transportation and agriculture sector buy brand new or pre-owned commercial vehicles for business use. The interest rate, repayment period, etc. are decided by the bank on a case-to-case basis.

Features of South Indian Bank Commercial Vehicle Loan Scheme

Why this Loan?

  • The South Indian Bank Commercial Vehicle Loan is designed to help businesses in the transport and agriculture sector acquire funds for purchasing new or pre-owned commercial vehicles for business
  • The businesses can also avail this scheme to reimburse the amount paid for buying vehicles within 3 months from the date of purchase
  • Businesses with a Bureau Score of 650 or above are eligible for this loan

Loan Amount

  • The minimum loan amount sanctioned under this loan scheme is Rs. 1 lakh and the maximum loan amount sanctioned under this loan scheme is decided by the bank on a case-to-case basis

Interest

  • The applicable interest rate on South Indian Bank Collateral-free Business Loan is defined as the sum of two parameters: One-year Marginal Cost of Funds based Lending Rate (MCLR)/Repo Rate and Credit Risk Premium. The Credit Risk Premium depends on the Bureau score/rating of the borrower
  • Please check the South Indian Bank interest rate page to check out the details

Repayment

  • This loan must be repaid within 5 years for new vehicles and 4 years for pre-owned vehicles

Eligibility

  • Individuals, Proprietors, LLPs, Partnership firms, Private Limited Companies, Public Limited Companies, Trusts and Registered Societies with a Bureau score of 650 and above are eligible for this loan

Borrower’s Contribution to Total Cost (Margin Money)

  • The bank charges 10-20% margin for the purchase of new vehicles and 25% margin for the purchase of pre-owned vehicles

Processing Charges

  • The bank charges up to 1.50% of the total loan amount or Rs. 5,000, whichever is lower

Documents Needed for Individuals

  • Loan Application Form duly filled and signed by the applicant and co-applicant, if any
  • Two Passport Size Photographs of applicant and co-applicant
  • Personal ID Proof: Aadhaar Card, PAN Card, Passport or Driving License. PAN Card/ PAN Card Issue Letter is must
  • Signature Proof: PAN Card, Banker’s Verification, Driving License or Passport
  • Residential Address Proof (Any One): Aadhaar Card, Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Income/Banking Proof: Last 6 months Bank Account Statement of applicant and co-applicant, Loan Statement of Running Loans, Latest Closed Loan NOC, Net Worth of the applicant and co-applicant
  • Security (as applicable): Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
  • For term loans: Project report with details on product choice, market survey, projection of production and sales, infrastructural needs, etc.; projected cash and fund flow statement for the repayment period; and copies of all licenses and permits wherever applicable

Documents Needed for Proprietorship and Partnership Firms

  • Loan Application Form duly filled and signed
  • Partnership Deed and Partnership Registration Certificate
  • ID Proof of the Firm: Firm PAN Card or PAN Issuing Letter
  • Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Income Proof: CMA Data and Project Report, Debtors and Creditors Certificate, GST Return, Last 3 years ITR of applicant and co-applicant, Audited or CA Certified Computation of Income/Trading Account/Profit and Loss Account/Balance Sheet, Annual Audit Report and Tax Audit Report if audited, Form 16A if applicable, Net Worth of applicants, co-applicants and guarantors
  • Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account
  • Security (as applicable): Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
  • Other Relevant Documents: Partnership’s Business Profile, Promoter/Guarantor’s Profile, Corporate Brochure, Business Experience Supporting Documents, Business References
  • For Term Loans Only: Project report with details on product choice, market survey, projection of production and sales, infrastructural needs, etc.; projected cash and fund flow statement for the repayment period; and copies of all licenses and permits wherever applicable

Documents Needed for Private Limited and Public Limited Companies

  • Application Form duly filled and signed
  • Company ID Proof: Company’s PAN Card
  • Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Business Proof: AOA and MOA, Company Incorporation Certificate, Business Commencement Certificate, Board Resolution, CA/CS verified Share Holding Pattern, ROC Annual Return, DIN Certificate, List of Directors on Company Letter Head, GST Number, Form 32 in case of Director Change
  • Income Proof: CMA Data and Project Report, Last 3 Years ITR Acknowledgement copy of Company and all Directors, Last 3 Years Annual Credit Report or Tax Audit Report with Article 3CB, Article 2D, Article 3CD, TDS Certificate/Form 16A, Net Worth Certificate
  • Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account
  • Security: Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
  • Other Relevant Documents: Company’s Business Profile, Promoter/Guarantor’s Profile, Corporate Brochure, Business Experience Supporting Documents, Business References
  • For term loans only: Project report with details on product choice, market survey, projection of production and sales, infrastructural needs, etc.; projected cash and fund flow statement for the repayment period; and copies of all licenses and permits wherever applicable

Reference Facts

  • South Indian Bank Website: www.southindianbank.com
  • Headquarters: Thrissur, Kerala
  • Call Centre Number: +91 487 2420020, +91 487 2420058, +91 487 2420113, +91 487 2436666