Maruti Suzuki India, the country's largest car maker, on Wednesday joined hands with Federal Bank to provide dealer loans and customised auto retail financing solutions to customers.
In August 2019, Maruti had inducted private lender Federal Bank as an approved partner for dealer inventory funding.
"The latest tie-up for retail financing to customers will further offer comprehensive loan access facilities to Maruti Suzuki dealers as well as customers," the auto major said in a filing to the Bombay Stock Exchange.
Speaking on the partnership, Shashank Srivastava, Executive Director (M&S), Maruti said, "We are extremely delighted and confident that our collaboration with Federal Bank for providing retail financing solution will further benefit our customers."
Srivastava said that Federal Bank's extensive presence pan India and strong presence in Kerala and its neighbouring states will help us expand our customer base. Both Maruti Suzuki and Federal Bank are committed to deliver the best customer experience and create delight, he added.
Commenting on the alliance, Shyam Srinivasan, MD and CEO, Federal Bank, said, "We are glad to enter into a strategic relationship with India's largest passenger vehicle manufacturer - Maruti Suzuki India Limited. This arrangement will help us offer end to end solution for dealers and retail banking customers via the best in the class technology-enabled platform.
"Our endeavour of seamless financing options shall result in further strengthening market penetration for Maruti Suzuki and our dealer partners and buyers," Srinivasan added.
Earlier this month, Maruti had announced that it will increase prices across various models from January 2020, in wake of rising input costs over the past year. In a statement to stock exchanges, Maruti Suzuki said the price increase will vary for different models.
Meanwhile, shares of Maruti Suzuki India closed trade at Rs 6,991.55 apiece, up 0.37 per cent, on the BSE.
Edited by Chitranjan Kumar