What is commercial vehicle loan?
Heavy vehicles like Buses and trucks used for commercial purposes requires huge funds to be purchased. Commercial vehicles are important in businesses and contribute to productivity and income. Thus, banks offer loans to such businesses which is up to 80% of the total cost. The vehicle is pledged as security for the loan.Â
Documents required:
- Two year of Income tax returns
- Audited financial statements of the business
- Six months of bank statement
- Proof of age
- Government ID proof
- Cheque for processing fee
- Electricity bill or telephone bill
Features of commercial vehicle loan:
- Vehicle loans are especially designed to match the funding requirement of transportation businesses.
- Borrower can get such loans conveniently if they fulfill the eligibility criteria
- The processing of vehicle loan takes lesser time.
- Easy documentation and hassle-free disbursal of loan.
- Banks also provide finance for purchase of pre-owned vehicles
Who can avail a commercial vehicle loan?
- Proprietors and partnership firms
- Private and public limited companies
- Trusts and societies
- HUF, schools and colleges
- Teleportation businesses
- Small, medium and large fleet owners