Maruti Suzuki, Indian Bank to offer car loans 

Maruti Suzuki India Limited (MSIL) and public sector lender Indian Bank have partnered to provide car loans for customers and make financing easy, the company said on Wednesday. Customers of Maruti Suzuki can avail the loans across over 5,700 branches of Indian Bank at metro, semi-urban and rural locations.  

With this, Maruti Suzuki customers will be able to avail loans up to 90 per cent of the on-road price of the car, besides zero processing charges, free accidental insurance cover of up to Rs 30 lakh, free FASTag and repayment tenure of up to 84 months.  

This scheme is available till June 30, the company said.  

“About 80% of retail sales in the automobile industry happen through financing and to enable our customer’s car-buying decisions, Maruti Suzuki has initiated several partnerships with banks & NBFCs across the public and private sectors. It is our firm belief that this partnership with Indian Bank will go a long way to cater to the diverse finance requirements of our customers,” said Shashank Srivastava, Senior Executive Director (Marketing & Sales) at MSIL. Srivastava added that customers will also get an attractive rate of interest and customised EMI options.  

Shanti Lal Jain, Managing Director & CEO, Indian Bank, said, “We are committed to making the car financing experience more convenient for the customer, and a variety of options in terms of rate of interest will be made available to simplify the financing process.” 

This partnership comes after Maruti Suzuki announced a price hike from April 18. It added that the weighted average increase across models is at 1.3 per cent- ex-showroom prices (Delhi). The company had said that it is increasing prices due to an increase in several input costs. MSI had already hiked vehicle prices by around 8.8 per cent from January 2021 to March 2022 owing to constant increase in input costs. 

Maruti Suzuki has retail finance tie-ups with 37 financial institutions including all 12 public sector banks, 11 private banks, seven NBFCs and seven regional rural banks. 

Also read: Maruti Suzuki to raise prices of vehicles from Apr 18; details here