Honda today signed a Memorandum of Understanding with IndusInd Bank to offer retail finance to its customers. One can now avail a loan of up to 90 per cent on the value of the two-wheeler. The tenure of the loan is also extendable to 36 months. The interest rate too is claimed to be less than the market competitors.
Thanks to this, a customer can now save up to Rs 7,500 on a loan amount of Rs 60,000. Other benefits include zero processing fees and a quick loan approval in just 1 hour. Customers will also be offered a zero balance savings account with a free of charge Rupay compatible debit card.
Here’s what Mr YS Guleria, Senior Vice President, Sales and Marketing, Honda, had to say on the occasion:
“In two wheeler industry, retail finance penetration is increasing and more and more customers are looking at various finance options. Riding on the aggressive network expansion plan and increased product portfolio, we will continue to create options that will enable customers to buy their favorite two wheeler. Driven by this partnership with IndusInd Bank, we aim to further grow Honda’s retail sales.”
IndusInd Bank is one of the leading player in the two wheeler loan market and has a consistent track record of growth for more than 16 years now. They have so far disbursed more than 55 lakh two-wheeler loans, and are adding 7.5 lakh new ones every year. They have nearly 1,500 operating locations, half of which are present in semi-urban and rural areas.
Currently 40 per cent of Honda’s business in India is through retail finances and this number can now only be expected to grow. This benefit will cover all the models offered by Honda including the CBUs and CKD products. Apart from this the company also has tie ups with HDFC, Shri Ram Finance and Punjab National Bank.
