Maruti Suzuki India has announced entering a partnership with ICICI bank to offer customised auto retail financing solutions to its customers. Under the new finance package, the company will be offering three types of curated, flexible EMI options to car buyers - Flexi EMI, Balloon EMI, and Step Up EMI schemes. This will in addition to the range of finance option the company announced earlier this month in association with Cholamandalam Investment & Finance Company. The company says that these new EMI schemes will help customers planning to buy a Maruti Suzuki car overcome the financial challenges they might be facing as an effect of the COVID-19 pandemic.
Shashank Srivastava, Executive Director (Marketing & Sales), Maruti Suzuki India, said, "While fighting the prevailing COVID-19 crisis we also need to help customers with attractive auto retail financial solutions. Low down payment, low EMI products will definitely help aspiring customers to have their own personal mobility solution. We believe the association with ICICI Bank for providing attractive and lucrative financing solutions will definitely benefit our customers."
With the Flexi EMI scheme, customers can pay a reduced EMI amount for the initial months. Under this plan, EMIs will start as low as ₹ 899 on a loan amount of ₹ 1 lakh for the first three months. Thereafter regular EMI rates will apply. Under the Balloon EMI scheme customers will have the option to pay EMI as low as ₹ 1,797 per lakh for most of the loan tenure, barring the last instalment, which will be a lump sum amount (one-fourth of the loan amount). This scheme is curated specially for the customers who are keen to pay lower EMI through the loan tenure.
Finally, you have the Step-up EMI scheme, and this plan offers the customers the option to start by paying reduced EMI of ₹ 1,752 per lakh in the first year and increase it by up to 10 per cent every year. Ideally, this is for the customers who see a yearly rise in their income, allowing them to progressively increases their EMI every year for loan tenure of five years, as their income increased. Additionally, ICICI Bank offers up to 100 per cent on-road funding of Maruti Suzuki cars. ICICI Bank also offers finance under Pragati - Assessed Income Product (AIP) to the prospective Maruti Suzuki.
The offers are available on select models and for select customers buying Maruti Suzuki cars starting May 2020.