The Hindu Business Line : ICICI Bank’s car loans at floating rates

Mumbai, Sept. 24 ICICI Bank has launched a floating rate repayment product for car loans, commercial vehicles loans, construction equipment loans and professional equipment loans from September this year, said a press release from the bank.

More options

“With the scorching pace of the auto industry, the bank found it essential to launch a product which will give more options to customers and is the only private bank giving customers the choice of a floating or fixed rates for loan products of car, commercial vehicle, construction equipment and professional equipment,” said the release.

The floating rate will be linked to the Floating Reference Rate, the benchmark used by the bank for pricing floating rate loans to its retail customers. Currently, the floating rate is available to customers at 50 bps lower than the equivalent fixed rate product.

The customers must, however, keep in mind that in the auto loan market, the customer rates vary as at times there are special incentives and discounts available from the manufacturers, or dealers and finance commission.

Mr. N.R. Narayanan, Head- Vehicle Loans, ICICI Bank, said, ‘It is our constant endeavour to provide customers the best possible options to meet their financing requirements. With floating rate loans, we are taking another step in the direction of providing innovative solutions to the customer. We expect it to appeal to customers who hold a positive outlook on the interest rates.”

More Stories on : Consumer Finance | Strategy | Interest Rates | Private Banks | ICICI Bank Ltd

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