Standard Chartered Bank New Car Loans
The Chartered Bank opened its first overseas branch in India, at Kolkata, on 12 April 1858. Eight years later the Kolkata agent described the Bank's credit locally as splendid and its business as flourishing, particularly the substantial turnover in rice bills with the leading Arab firms. When The Chartered Bank first established itself in India, Kolkata was the most important commercial city, and was the centre of the jute and indigo trades. With the growth of the cotton trade and the opening of the Suez Canal in 1869, Bombay took over from Kolkata as India's main trade centre. Today the Bank's branches and sub-branches in India are directed and administered from Mumbai (Bombay) with Kolkata remaining an important trading and banking centre.
Currently we are constrained to meet your requirement for financing the new auto loan, however if you have a existing car we would be keen to offer you our innovative Auto Overdraft product - Mileage
Mileage, an innovative Current or Savings account from Standard Chartered, that provides a cash overdraft facility against your car. With the combined benefits of a loan and a credit card rolled into one, Mileage offers Flexibility of repayment, convenience of amount withdrawal along with superior control over the interest charges that you wish to pay. Check out more on Mileage now by calling our phone banking officer ..
Cash overdrafts on cars upto 8 years old and upto 80% of the value of the car*
- A free Mileage Debit Card and a multi-city chequebook
- Flexibility in repayment with a minimum 5% of the value of your outstanding balance every month
- Non PDC (post dated cheques) backed transaction
- Flexibility in repayment, in the form of an overdraft, with no binding on the end use
- Instant approval and special deals for existing SCB account holders and card members
- Revolving credit facility
You can even transfer the balance from your existing car loan (from any financier) to get special deals.
*Conditions apply - On select car models and make.
- Minimum Income : Rs. 2,00,000 p.a.
- Minimum Loan amount* : Rs. 10,00,000
- Maximum Loan amount* : Rs. 50,00,000
* May vary as per geographical requirements
Q. What are the processing charges for Mileage?
There is a nominal processing charge which will cover the RTO fees and other RTO charges for enabling the lien of the Bank to be marked on to the RC of the car, and other processing charges.
The cheque for the Processing Fees must be favouring: "SCB A/C -AUTO OD FEE-CUSTOMER NAME"
Q. What is revolving credit?
Every account holder is entitled to withdraw funds from his Auto-overdraft account upto the limit sanctioned in the account. This limit will get reduced each time the account holder withdraws from the account to the extent of the funds withdrawn either by cheque or cash. The limit will increase on re-payment of the funds withdrawn. Therefore this credit line in the account will keep revolving depending on withdrawals and payments.
Q. What is the purpose of the limit set up?
Revolving line of credit for any purpose of customers' choice, with their car as security
* Purchase of a new / used car
* Refinance facility (Car cash in) against a used car. The over draft amount in this case may be used for any purpose which is not illegal or speculative. The possible end uses of the money could be - a holiday, children's education, a home theatre system, working capital requirement etc.
Q. What is the age of the car against which the OD is granted?
* Upto 8 years old for purchase of a used car
* Upto 8 years old for Refinance facility for individuals with an approved Financier repayment track record
* Upto 8 years old for Refinance facility for individuals without any past financier track record
Q. In which cities is Mileage facility available?
The Mileage facility is available in 19 cities: Mumbai, Delhi, Calcutta, Chennai, Bangalore, Pune, Ahmedabad, Kanpur, Ludhiana, Chandigarh, Luckhnow, Jaipur, Baroda, Surat, Jallandhar, Cochin, Coimbatore and Bhopal. .
Q. What are the advantages of having a Mileage account?
1. Flexibility / Convenience
* Withdrawals permitted through Multicity cheque book / ATMs as and when the customer wishes
* Customer can plan his finances and choose to repay, provided the minimum dues are paid each month
* No down payment is required for account set up
2. Limit set up against a movable asset - "unlock the cash potential of a used car" (in case of car cash in)
3. Interest is charged only for the period the funds are utilized
Q. What is the tenure for the Mileage facility?
The Mileage facility is given for a period of one year and can be renewed for two more years. The renewal is at the sole discretion of the Bank.
Q. What is the minimum payment due each month? What are the late payment dues, and the renewal fees?
* Minimum payment due - 5% of the debit balance, each month.
* Late payment fees (INR) - Rs. 575 or 12% of unpaid Minimum Amount Due, subject to a maximum of Rs. 575/-.
* Renewal fees (INR) ?Rs. 2250/- for loan amount less than 2.5 lacs and Rs. 2800 for loan amount greater than 2.5 lacs. This amount is debited from the customer account
Q. How does an applicant apply for a Mileage account?
Through an account opening form, available with Auto DSAs, Credit Card DSAs and at select public places like BPCL Petrol filling stations, Dealer Service Stations, etc.
Q. How is the limit on the Mileage account decided?
Credit limits are assigned based on the information provided by the applicant through the application form and the supporting documents.
Limit is equivalent to annual income as per ITR/Form 16 for income less than 2 lacs, and equivalent to 1.5 of annual income in case the income is more than 2 lacs, subject to LTV as per LTV Grid mentioned below.
Limit is equivalent to lower of: 2 times annual income as per ITR or LTV as per LTV Grid as mentioned below.
If cash profit criteria is used, limit is equivalent to lower of 0.5 X annual cash profit, or LTV as per LTV Grid as mentioned below
- For Salaried
Q. How is the car, against which the overdraft limit set up, valuated?
In case of a used car, for limit set up amount of Rs. 150,000, the blue book price of the car is used as a guideline for deciding the value of the car.
In case the customer is not satisfied with the blue book price for the car, the valuation of the car is done at the request of the customer. However, the value considered would be the lower of valuation amount or the blue book price.
In case of a used car, for limit set up in excess of Rs. 150,000, the value considered would be the valuation amount or the blue book price whichever is lower.
In case the customer is to buy a new car with the limit facility, the invoice price of the new car serves as the surrogate for the car valuation.
Q. Are there any restrictions on usage of the Mileage limits?
The customer can use the funds for any personal or business expenses. The funds cannot be used for any speculative / anti social purposes.
Q. Are there any restrictions on the number of new / used vehicles that can be taken against this Mileage facility?
Yes, the restriction on the number of used / new vehicles against this facility is based upon the sanctioned limit, subject to a maximum of 3 vehicles.
Q. When and how will the Mileage outstanding become payable?
The customer can choose to withdraw the funds and repay them immediately. There is no restriction on when the total outstanding should be repaid. However a minimum of 5% of the outstanding becomes payable each month on the due date stated in the statement of account.
Q. What happens to the Mileage credit limit on withdrawal of funds?
Cheque and/or cash withdrawal will reduce the credit limit on the Auto-overdraft account to the extent of the funds withdrawn. The credit limit will increase to the extent of the payments (after clearance of the funds) made into the Auto-overdraft account
Q. What happens if accountholder skips a Minimum Amount Due payment?
The Minimum Amount Due is payable each month. In case the accountholder skips a payment, an additional charge of Rs 575/- or 12% of the Minimum Amount Due, subject to a maximum of Rs. 575/-, will be levied as late payment fee.
Q. Will there be any charges if Mileage facility is not used?
No - there are no charges if the Auto-overdraft facility is not used.
Q. Is there any foreclosure penalty under Mileage?
Yes there is a foreclosure penalty which is Rs. 2755/- and is changeable as per the prevailing policy of the bank.
Q. Can the account holder exhaust his / her entire credit limit in one shot?
Yes the account holder can utilize the entire credit limit. However he / she will not have any available credit limit to withdraw in emergency situations, until outstandings are repaid.
Q. Can the account holder withdraw cash on Mileage?
Yes the account holder can withdraw cash on the Auto-overdraft account. There is no restriction on the cash to be withdrawn.
Q. How long will it take for Mileage application to get processed?
Application processing and Auto-overdraft limit set up will take around 15 working days from the date of receipt of the completed application form with all relevant documents attached.
The turn around time in a Balance Transfer case from an approved financier will be higher, depending upon the availability of the repayment track record from the financier, and the statement of termination of the installment loan account of the customer with the approved financier.
Q. What will the account holder get upon approval?
A welcome Cheque book will be sent to the account holder at his mailing address along with the welcome letter that will indicate the limit assigned. Besides this letter and the chequebook, the following will also be provided
- ATM / Debit card
- Cheque Drop Box Locations
- Schedule of Charges
- Helpline Numbers
*Conditions apply ?On select models and schemes.