Mahabank Vehicle Loan Scheme for Purchase of Second Hand Car
(Pre owned Cars)

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S.No.

Particulars

Scheme guidelines

1

Name of the scheme

Mahabank Vehicle Loan Scheme: For Purchasing Second Hand Car (Pre owned Cars)

2

Purpose of loan

  • Purchase of second hand four wheelers not older than 3 years

Purchase of second hand car four wheelers passenger through following Approved dealers of Certified Pre-Owned Company / Firm Name

Sr. No.

Certified Pre-Owned Company / Firm  Name

Name of Manufacturer

1.

True Value

Maruti Suzuki India Ltd.

2.

Auto Terrace

Honda

3.

H Promise

Hyundai

4.

Tata Assured

Tata Motor

5.

Toyota U Trust

Toyota Kirloskar Motor Private Limited

6.

Mahindra First Choice

Mahindra & Mahindra Ltd.

7

BMW Infinity Cars

BMW

8

Audi Approved Plus

Audi India

9

Mercedes Pre Owned Car

Mercedes Benz India Pvt. Ltd.

10

Authorized Pre-owned Car platform

Car Dekho, Quickr, OLX Car, Car Trade, CAR24)

In all above cases, Age of vehicle should not be more than 3 years old and maximum limit of 1,50,000 kilometers mileage (total distance run by vehicle)

3

Eligibility

  • Confirmed Salaried Employees of Central Govt. / State Govt. / Public Sector Undertakings/ Govt. aided Educational Institute / Private / Public Limited Company /etc. with continuous service for minimum 1 year is required.
  • Pensioners of Central/ State Government/ PSU having minimum pension of Rs.25000/- per month.
  • Self Employed Professionals includes CAs, Doctors, Architects, Company Secretaries, Advocates, CMAs etc. with their own practicing.
  • Businessman/ Independent Entrepreneurs who have regular source of income.
  • Farmers having land holding engaged in production oriented agricultural activities and in other allied activities.

4

Min Annual Income

  • For Salaried: Rs. 3.00 lakh (last year income) - Minimum past 2 years ITR/Form 16 from the Employer is required.
  • For Other Individuals: Rs.3.00 lakh (last year income) – Minimum past 2 years ITR with supporting documents are required..
5

Eligible Loan Amount

Maximum loan amount will be assessed on the basis of Permissible Deduction norms

Minimum – Rs 2.00 Lakhs

Maximum – Rs 50.00 Lakhs

Maximum Quantum of Loan will be Lowest of the following.

70 % of latest Market value as per valuation certificate issued by certified pre-owned car Dealer / 70% of invoice value from showroom of authorized dealers.

 Or

100% of Insured Declared Value (IDV) as per Motor Insurance Policy.

6

Margin

Minimum 30 % of the lasts Market value as per valuation certificate issued by certified pre-owned car Dealer or 30% of invoice value from showroom of authorized dealers.

7

Repayment Period

Maximum 60 months

8

Rate of Interest

Click here to view the Interest Rate

9

Deduction

Total deductions including proposed EMI should not exceed 65 % of Gross Monthly Income (salaried) / Gross Average Annual Income (Non salaried)

10

Security

Hypothecation of vehicle purchased

11

Processing Fee

0.50% of Loan Amount

Min: Rs. 500/-

Frequently Asked Questions

1. What is the Mahabank second-hand car loan scheme?

It is a loan offered by the Bank of Maharashtra to help individuals finance the purchase of certified pre-owned cars from approved dealers.

2. Who is eligible for this loan?

Salaried individuals, self-employed professionals, business owners, pensioners, and farmers with a stable income can apply.

3. What is the maximum loan amount available?

You can avail a loan ranging from ₹2 lakh up to ₹50 lakh, depending on eligibility and vehicle valuation.

4. How much funding does the bank provide?

The bank finances up to 70% of the car’s value or 100% of the Insured Declared Value (IDV), whichever is lower.

5. What is the repayment tenure?

The loan can be repaid over a maximum period of 5 years (60 months).

6. What is the minimum income required to apply?

Applicants should have a minimum annual income of ₹3 lakh along with valid income proof.

7. What is the margin requirement?

Borrowers need to contribute at least 30% of the vehicle cost, as the bank funds up to 70%.

8. What type of cars are eligible under this scheme?

Cars should generally not be older than 3 years and must be purchased from authorized or certified dealers/platforms.

9. What documents are required for the loan?

Basic documents include:

  • Identity & address proof
  • Income proof (ITR/Form 16)
  • Bank statements
  • Vehicle details

10. How can I apply for the loan?

You can apply by visiting a Bank of Maharashtra branch or through the official website by submitting an online application.