AU Used Commercial Vehicle Loan

Our customer segments for providing loans on wheels include:
• Individual
• Non-individual (Private Limited, Public Limited, partnership firm, proprietorship firm, co-operative societies, trust and Hindu Undivided Family)

The age criteria are as under:
• Personal vehicle: 18 years and above
• Commercial vehicle: 21 years and above
• Heavy commercial vehicle: 24 years and above

The documents will include No-Objection Certificate (NOC) addressed to the RTO & insurance endorsement cancellation letter addressed to your vehicle insurance company.

Existing customers and their referrals are provided preferential treatment in documentation requirement, rate, fees and loan amount.

Presence of a co-applicant and/ or guarantor often lends support to the customer's application. This can facilitate faster approval. However, the requirement is dependent on the customer's income profile which is required to meet our credit criteria.

We fund standard fitment supplied by the manufacturer for different variants. Additional accessories are not funded.

We classify commercial vehicle loan customers in four categories:

• First Time user (FTU)
• First Time Buyer (FTB)
• Transporter
• Captive User

List of documents required for loan are:

• KYC documents (As per KYC Policy of Au Small Finance Bank)
• Income proof and other documents for calculating loan eligibility
• Repayment instrument

A driving licence is not a mandatory document for availing loans for vehicles. It is required for customers who are drivers-cum-owners. This is to establish their experience in running a commercial vehicle, construction equipment, or tractor.

House ownership in the family and/ or stability of residence in the city where the loan application is being made are important parameters in the assessment of a loan application. Ownership could be in the name of an immediate family member too.

We can provide a loan if you do not have any income documents.
We assess the income or capability of running a vehicle based on your fleet ownership or experience in running a vehicle. Decision to fund a commercial vehicle is made based on the same.
We also specialise in assessing the business income of a customer through a visit to their business premises and personal discussion. A vehicle loan can be given if we are satisfied with the repayment capacity of the customer.

We provide commercial vehicle loan, auto loan (personal car/ taxi), two-wheeler loan, three-wheeler loan, tractor loan and construction equipment loan (for backhoe loaders and pick-and-carry cranes).

We select vehicle models based on the technology, after-sales support, and secondary market values of the vehicles. Please contact the nearest branch of AU Small Finance Bank or our customer support executive at 1800 1200 1200 to know about the vehicle models funded by us.

Normally, a vehicle financed by AU Small Finance Bank or lien marking on free vehicles/ equipment is acceptable collateral security. Additional collateral security may be required based on your requirement of loan amount or the vehicle to be financed.

The minimum loan amount is ₹20,000 and maximum loan amount is 100% of ex-showroom price net of discounts (insurance and registration amount not considered as part of cost), based on product and customer profile.

The ex-showroom price net of all discounts will be considered to determine the eligible loan amount.

A guarantor is a person who guarantees to pay for someone else's debt if they default on a loan obligation. Guarantor often has experience in the same trade and helps a customer to ply their vehicle.

Loans are normally sanctioned within 48 hours (excluding holidays) after submission of all the required documents. It depends customer support in assessment of loan eligibility.

Interest is calculated on a monthly reducing balance basis.