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Auto Loan Rates In Nepal

We have summoned all the banks from Ka Barga/ Class A on their auto loan services and the details of the process. All the 27 banks from Class A/ Ka Barga Banks provide auto loans.

Table of Contents

  1. Nepal Bank Ltd (NBL)
  2. Rastriya Banijya Bank Ltd (RBB)
  3. Agriculture Development Bank Ltd (ADBL) 
  4. Nabil Bank Ltd (NABIL) 
  5. Nepal Investment Bank Ltd (NIBL)
  6. Standard Chartered Bank Nepal Ltd (SCBNL) 
  7. Himalayan Bank Ltd (HBL) 
  8. Nepal Bangladesh Bank Ltd (NBBL)
  9. Everest Bank Ltd (EBL)
  10. Kumari Bank Ltd (Kumari) 
  11. Laxmi Bank Ltd (Laxmi)
  12. Citizens Bank International Ltd (Citizens) 
  13. Prime Commercial Bank Ltd (Prime)
  14. Sunrise Bank Ltd (Sunrise)
  15. Mega Bank Nepal Ltd (Mega)
  16. Century Commercial Bank Ltd (Century)
  17. Sanima Bank Ltd (Sanima) 
  18. Machhapuchhre Bank Ltd (MBL)
  19. NIC ASIA Bank Ltd (NIC)
  20. Global IME Bank Ltd (Global)
  21. NMB Bank Ltd (NMB)
  22. Prabhu Bank Ltd (PRABHU)
  23. Siddhartha Bank Ltd (SBL)
  24. Bank of Kathmandu Ltd (BOK)
  25. Civil Bank Ltd (Civil)

Types of auto loans by Ka Barga Banks in Nepal

1.Nepal Bank Ltd (NBL) | Dharmapath, Kathmandu

  1. Auto Loan for a new vehicle (private)
  2. Auto Loan for a new vehicle (business only)
NAME OF THE AUTO LOAN PARTICULARS FEATURES
AUTO LOAN (PRIVATE NEW VEHICLE) Purpose Purchase of New Vehicle (private)
  Loan Tenure 2-7 Years
  Bank Financing Up to 50% of quotation price (for personal use vehicle) Up to 80% of quotation price (for electric vehicle)
  Interest Rate 10.85% for 5 Years and 12.85% for 7 Years (Personal Vehicle: Fixed Rate) 11.08% for 5 Years (Electrical Vehicle: Fixed Rate) Base Rate + 2.55 to Base Rate + 3.16 for 5 Years (Private vehicle: Floating Rate) Base Rate + 3.55 to Base Rate + 4.16 for 7 Years (Private Vehicle: Floating Rate) Base Rate + 2.01 to Base Rate + 4.16 (Electric Vehicle: Floating Rate)
  Fees and Charges As per Bank Charges
AUTO LOAN (BUSINESS) Purpose Purchase of New vehicle (For business use)
  Loan Tenure 2-7 Years  
  Bank Financing Up to 65% of the quotation price
  Interest Rate 10.85% for both 5 Years and 7 Years (Fixed Rate) Base Rate + 2.55 to Base Rate + 4.16 for 5 Years (Private vehicle: Floating Rate) Base Rate + 3.55 to Base Rate + 4.16 for 7 Years (Commercial Vehicle: Floating Rate)
  Fees and Charges As per Bank Charges

Eligibility and Documents

Eligibility

  • Any Nepalese citizen having 18 years at the time of loan origination
  • An individual having an adequate, stable, steady, and regular source of income to serve installment and interest.
  • The borrower should be a women/women entrepreneurship firm (for Nepa- laxmi auto loan)
  • The borrower should be professional (for a professional auto loan)

Documents Required:

  1. Identification Related 
  • Personal identification of borrower and guarantors
  • Photograph of borrower and guarantor
  • Family details from the concerned local authority.
  • Firm registration certificate (if business income)
  • PAN/VAT certificate (if business income)
  • Article of Association (AOA) and Memorandum of Association (MOA) (if required)
  • Partnership deed (if required)
  • Quotation of the vehicle with details of price model, features, etc.
  1. Income Related 
  • Salary certificate with 6 month’s bank statement.
  • Appointment letter.
  • Probation completion letter.
  • Rental agreement with tenant identification (if required)
  • Rental tax receipt (if rent agreement)
  • Pension Patta (if required)
  • Audited financial statement and projected financial statement of business (if business income). Likewise, projected financial statements of concerned business up to loan tenure if loan is for business use
  • Tax clearance certificate/receipt of income
  • PAN of borrower for loan Rs.50 lakh and above

2.Rastriya Banijya Bank Ltd (RBB) | Singhadurbar Plaza, Kathmandu

(Effective from 15th May 2021)

  1. Home/ Vehicle Loan
  2. Hire Purchase Loan
NAME OF THE AUTO LOAN PARTICULARS FEATURES
VEHICLE LOAN Purpose Purchase of new and/or vehicle for both commercial and residential use
  Loan Tenure Up to 7 Years
  Interest Rate 9.50%
  Fees and Charges As per Bank Charges
HIRE PURCHASE LOAN Purpose Purchase of public vehicle and heavy equipments
  Loan Tenure 5 Years  
  Interest Rate 9.50%
  Fees and Charges As per Bank Charges

3.Agriculture Development Bank Ltd (ADBL) | Ramshah path, Kathmandu

  1.             Hire Purchase Loan
PARTICULARS FEATURES
PURPOSE To purchase new and old vehicles / heavy equipment for business purposes
FACILITY TYPE   Term Loan, non-revival of nature
LOAN TENURE   Maximum Up to 7 Years, no loan renewal
BANK FINANCING   Depending on the source of income up to a maximum of 80% of the gross proforma invoice or quotation value of the vehicle or as specified by NRB from time to time
INTEREST RATE   Competitive Interest Rate.
FEES AND CHARGES As per Bank Charges

Eligibility and Documents

Eligibility

Nepali citizens, persons/firms/partnership firms/companies registered with the concerned bodies

Documents

  • Updated documents related to firm/company / PAN , registration
  • Proprietor / partner / director/person citizenship - letter, a copy of Loan Applicant passport size photo, income proof open-source, vehicle buying, the official dealer quotation)
  • Security-related documents
  • Other: As demanded by the bank

4.Nabil Bank Ltd (NABIL) | Beena Marg, Kathmandu

  1. New Vehicle (Private)
  2. New Vehicle (Commercial)
  3. Used Vehicle (Private/Commercial)
  4. Refinance (Terminating Line)
NAME OF THE AUTO LOAN PARTICULARS FEATURES
NEW VEHICLE (PRIVATE)   Purpose Purchase a new private vehicle
  Facility Type Equated Monthly Installment (EMI) based Loan
  Loan amount Up to NPR. 0.8 Crore.
  Loan Tenure Up to 7 Years
  Bank Financing Up to 50% of the VAT bill
  Interest Rate Up to 7%
  Fees and Charges 0.75% of the loan amount
NEW VEHICLE (COMMERCIAL) Purpose Purchase a new commercial vehicle
  Facility Type Equated Monthly Installment (EMI) based Loan
  Loan amount Up to NPR. 0.8 Crore
  Loan Tenure Up to 5 Years  
  Bank Financing Up to 70% of VAT Bill and land and/or building with minimum 50% Distress Value covering the loan size
  Interest Rate Up to 7%
USED VEHICLE (PRIVATE/COMMERCIAL) Purpose Purchase a used private or commercial vehicle
  Facility Type Equated Monthly Installment (EMI) based Loan
  Loan amount Up to NPR. 0.3 Crore
  Loan Tenure 6 years but age of the vehicle should not exceed maximum seven years at the time of loan maturity  
  Bank Financing Up to 50% of the value of vehicle at the time of valuation
  Interest Rate Competitive Interest Rate.
REFINANCE (TERMINATING LINE) Purpose To help with refinance of the vehicle
  Facility Type Equated Monthly Installment (EMI) based Loan
  Loan amount Up to NPR. 0.3 Crore.
  Loan Tenure Remaining tenure with BFIs st the time of takeover but age of the vehicle should not exceed maximum seven years from the date of registration or at the time of loan maturity  
  Bank Financing Up to 50% of the value of vehicle at the time of valuation
  Interest Rate Competitive Interest Rate.

Eligibility and Documents

  1. Identification
  • Photograph (2 copies each)
  • Citizenship and/or Passport
  • Relationship Certificate (if applicable)
  • Marriage Certificate (if applicable)
  • Bank (deposit & loan) account statement of at least 6 months
  • Firm/Company Registration Certificate (if applicable)
  • PAN/VAT Certificate (If applicable)
  • Article of Association (AOA) and Memorandum of Association (MOA) (if applicable)
  • Partnership Deed (if applicable)
  • PAN Certificate of the individual (for Loan amount above NPR 5 million)
  • Location Map (Residence & Office)​
  1. Income Source
  • Salary certificate
  • Rental agreement along with tenant’s identification (if any)
  • Audited financials of last 2 fiscal years (For business income) Pension document
  • Copy of renewed/valid blue book of commercial vehicle along with route permit (For commercial vehicle income)
  • Salary certificate, work permit, valid passport with visa, pay slip and/or bank account statement (For foreign employment income)

Latest tax paid receipt or tax clearance certificate for all income (where ever applicable)

5.Nepal Investment Bank Ltd (NIBL) | Durbarmarg, Kathmandu

(Effective from 15th May, 2021)

  1. Auto Loan
PARTICULARS FEATURES
PURPOSE To offer the ultimate solution to fit your financial needs so that you get the care you deserve
LOAN TENURE   Up to 5 Years for commercial vehicle and up to 4 Years for electric vehicle
BANK FINANCING   50% Pro Forma Invoice (Net of Discounts) for personal vehicles and 80% for electric vehicles
INTEREST RATE   Base Rate + Premium 0.43% p.a. to 5.00% p.a for Hire Purchase (Personal) Base rate + 1.50% to 3.00% for Hire Purchase (Commercial)
FEES AND CHARGES As per Bank Charges

Eligibility and Documents

  • Loan available for all Nepali citizens
  • Nepali citizens between the ages 21 to 60 years of age (at the time of maturity of loan tenure) are eligible for NIBL Auto Loan

6.Standard Chartered Bank Nepal Ltd (SCBNL) | Naya Baneshwor, Kathmandu

  1. Auto Loan
PARTICULARS FEATURES
PURPOSE Purchasing a new vehicle as well as second-hand vehicle. Also can apply for refinancing from your existing Financier
FACILITY TYPE   Personalized service
LOAN AMOUNT   Maximum up to NPR. 1.5 Crore
LOAN TENURE   Maximum Up to 6 Years
BANK FINANCING   Minimum 50% of equity contribution
INTEREST RATE   Competitive Interest Rate
FEES AND CHARGES As per Bank Charges

Eligibility and Documents

  • Only Nepalese citizen eligible: salaried, self-employed or companies
  • Copy of Citizenship (mandatory for Nepalese) or Passport (for foreigners)
  • Passport size Photograph (applicable for all).
  • Copy of Quotation of the Vehicle for New Vehicle.
  • 2 Valuation Reports from Bank’s approved Valuers for used Private Vehicle.
For salaried
  • Salary Certificate
  • Certified Statement of Income (for professionals).
  • Contracts/ Agreements (for individuals with fixed Income Sources).
For self-employed or companies
  • Registration Document at the concerned Nepal Government Office and Tax Office (for firms/companies).
  • Memorandum of Articles and Association (if Private Limited).
  • Partnership Deed (for Partnership firm).
  • Board Resolution (if Private Limited and Institutions).

At least 2 years past audited financials for business income.

7.Himalayan Bank Ltd (HBL) | Kamaladi, Kathmandu

  1. HBL Auto Loan (Private Vehicle)
  2. HBL Auto Loan (Commercial Vehicle)
NAME OF THE AUTO LOAN PARTICULARS FEATURES
HBL AUTO LOAN (PRIVATE VEHICLE)   Purpose To be provided to an individual or a group of maximum of two individuals of the same family to cover the cost of personal vehicle
  Facility Type Fixed Term Loan| Equal Monthly Installment (EMI)
  Loan Tenure Up to 8 Years
  Bank Financing Depending on the applicant’s loan repayment capacity, the bank may finance up to 80% of the cost of the vehicle
  Interest Rate Base Rate + up to 5%
  Fees and Charges
HBL AUTO LOAN (COMMERCIAL VEHICLE) Purpose Provided to an individual or business entity to cover the cost of commercial vehicle/Quarterly basis comprising of Principal and interest amount
  Facility Type Equal Monthly Installment (EMI)
  Eligible Middle and upper middle class individual entrepreneurs running transportation business
  Loan amount From NPR. 5 Lakhs to NPR 2 Crores (For Public Vehicle up to 70% of the cost and for construction related heavy vehicle up to 80% of the cost)
  Loan Tenure For Public Transportation (Bus, Taxi, Micro Bus, Truck, etc.): Up to 5 Years For Construction related heavy vehicle: Up to 8 Years  
  Bank Financing May differ on case to case basis; depending on the applicant’s loan repayment capacity
  Interest Rate Base Rate + up to 5%

Eligibility and Documents

  • Nepalese Citizen/Transport Entrepreneurs having regular and sufficient income to serve the debt
  • Applicant must have reliable and steady source of income to serve the loan installment
  • Applicant is required to produce ‘permission to operate transportation business’ i.e. ‘Route Permit’ from the regulatory agency wherever applicable

8.Nepal Bangladesh Bank Ltd (NBBL) | Kamaladi, Kathmandu

(Effective 13th Feb, 2021)

  1. Auto Loan
  2. Hire Purchase Loan
NAME OF THE AUTO LOAN PARTICULARS FEATURES
AUTO LOAN   Purpose Financing on vehicle for personal use
  Facility Type EMI basis/ paying interest on quarterly basis or on installment payment date
  Loan Tenure Maximum 8 Years
  Bank Financing Maximum 90% of the value of the vehicle
  Interest Rate 9.99% Up to 5 Years 10.99% Above 5 Years
  Fees and Charges As per Bank Charges
HIRE PURCHASE LOAN Purpose Financing on vehicle or equipment of the business
  Facility Type Equated Installment Basis (EMI/EQI) on a quarterly basis or installment payment due
  Loan Tenure Maximum 8 years based on estimated life of the vehicle/equipment  
  Bank Financing Maximum 80% of the value of the vehicle/equipment
  Interest Rate 0.50% to 5%

Eligibility and Documents

Required Documents

  1. Loan Application
  2. Monthly income supporting document
  3. Vehicle Invoice
  4. In case of business Vehicle, Route permit
  5. Citizenship of borrower
  6. Family details of borrower
  7. Other documents based on requirement

9. Everest Bank Ltd (EBL) | Lazimpat, Kathmandu

Effective From 1st Baisakh, 2078 (14th April, 2021)

  1. Vehicle Loan
  2. Bike Loan
Name of the Auto Loan Particulars Features
Vehicle Loan Purpose To purchase car / van / jeep/ Multi Utility Vehicles/ Sports Utility Vehicle (non-commercial purpose only) for individual and business concerns
  Facility Type Term Loan
  Loan amount For individuals: 30 times of Net Monthly income or loan amount whichever is lower For business concerns: Need Based
  Loan Tenure Up to 7 Years
  Bank Financing Natural Person (for personal purpose)- not less than 50% of purchase price of vehicle Electric Vehicle (for personal purpose)- not less than 20% (subject to NRB stipulation)
  Interest Rate 11.02% for up to 7 Years 12.02% for up to 10 Years Base Rate + 2.50% to BR + 5.00%
  Fees and Charges As per the bank charges
Bike Loan Purpose To purchase new two-wheeler viz.: Scooter(s), Motor cycle(s) & Scooterrete
  Facility Type Term Loan.  3 Years on EMI basis
  Loan amount For individuals: 30 times of Net Monthly income or loan amount whichever is lower For business concerns: Need Based
  Loan Tenure Up to 7 Years  
  Bank Financing Natural Person (for personal purpose)- not less than 50% of purchase price of vehicle (subject to NRB stipulation)
  Interest Rate Competitive Rate
hire purchase loan Purpose For purchase of vehicles (construction of body thereon) including bus/ truck/ tipper/ tractors/ excavator/ heavy equipments / etc. for commercial purpose
  Loan amount Need Based
  Loan Tenure Up to 5 Years  
  Bank Financing 50.00% for personal purpose 20%- Electric Vehicle 25% -For public vehicle (with minimum 40 seats), construction, tourism, education, health, and transportation
  Interest Rate 11.02% for up to 7 Years 12.02% for up to 10 Years Base Rate + 2.50% to BR + 5.00%
Note: The insurance providing has a comprehensive policy with third party insurance as per banks’ clause. Eligibility and Documents

Eligibility:

For a Vehicle and a Bike Loan: Gross monthly income (Self employed/Business/Salaried & Other income) of borrower along with that of spouse/other family members should be at least double of monthly installment of the loan

For Hire Purchase Loan: An individual, Firm, Private Ltd. Companies, Public Ltd. (subject to Transport Management Directive)

For Individual:

  • Repayment is to be ensured within 65 years of age
  • Net income to be a minimum of 150% of the EMI obligation.

For Business firms/concerns:

  • For existing business firms/concerns (this business should be running since at least last 1 year and generating cash profits)
  • For new business less than 1 year’s operations, repayment can be considered on future cash flows based on realistic projections.
  • Debt Service Coverage Ratio to be minimum 1.50:1

Documents:

For a Vehicle Loan:

  • Registration of the vehicle in the name of the bank
  • Acceptable Collateral security
  • Personal guarantee of person(s) acceptable to the Bank shall be obtained.

For a Bike Loan:

  • Registration of bike in favor of bank
  • Guarantee of spouse/other family member or 3rd party guarantee acceptable to the Bank.

For a Hire Purchase Loan:

  • Registration of vehicle in the name of bank
  • Acceptable Collateral security
  • Personal guarantee of person(s) acceptable to the Bank shall be obtained.

 

10. Kumari Bank Ltd (Kumari) | Durbarmar, Kathmandu

Effective From: 1st Jestha, 2078 (May 15, 2021)

  1. Kumari Auto Loans
PARTICULARS FEATURES
PURPOSE Purchase of new/used Private & Commercial Vehicles to individuals as well as business units
LOAN TENURE   From 1 Year to above 5 Years
BANK FINANCING   50% of total value of the vehicle for personal use; 80% for Electric vehicle for personal use and 70% for commercial use vehicle
INTEREST RATE   10.50% for 1 Year to 5 Years 11% for Above 5 Years
FEES AND CHARGES As per Bank Charges

Note: Interest Rates on foreign currency deposit, Call Deposit will be provided based on National/ International Market and Demand & Supply for the said funds.

Interest Rate on Loans and Advances are indicative only.

Eligibility and Documents

Documents:

  • Income Verification documents with tax-clearance certificate for the last 6 months
  • Quotation for New Vehicle
  • Valuation from authorized vehicle valuators for second-hand vehicles
  • Citizenship Copy of the applicant and his/her undivided family members
  • Bank-Statement of the applicant of the last 12 months

11. Laxmi Bank Ltd (Laxmi) | Hattisar, Kathmandu

(Effective from 15th May, 2021)

  1. Auto Loan
Particulars Features
Purpose Purchase of new or pre-owned vehicles for private and personal use
Loan amount Maximum: NPR. 0.8 Crore for Purchase of New Vehicle Maximum: NPR. 0.4 Crore for Purchase of used vehicles/ refinance
Loan Tenure   Up to 9 Years for Purchase of New Vehicle Up to 5 Years for Purchase of used vehicles/ refinance
Bank Financing   Up to 80% of the VAT bill
Interest Rate   7.99 for 1 year 8.99 for 2 years BR + 2.00 onwards
Fees and Charges As per Bank Charges

Eligibility and Documents

Documents:

  1. Identification Documents
  • Citizenship or Passport (in original + 1 copy) of all applicants
  • 1 recent passport sized photograph of all applicants
  1. Net Worth and Personal Finances                    
  • Personal Bank Account Statements of the last 12 months (if account is maintained with a Financial Institution other than Laxmi Bank Ltd.)
  • Credit Card Statements of the past 3 months (where applicable)
  • In case of refinance of existing loans, statement of the loan account for the past 12 months
  1. Income Documents

Salaried applicants: 

            Salary Certificate issued by the Employer stating current monthly salary (gross and net), position, terms of employment (permanent, contract, temporary etc.) and remaining tenure of service.

Pensioners:                

            Pension Book / Identification.

Rent Income:            

            Copy of Rental Agreement / Contract supported by Land Ownership Certificate of

            the property rented.

Professionals (Medical Practitioners, Engineers and Chartered Accountants):           

            Copy of academic qualification and certified income statement

Business Income (Self Employed Applicants):

            Financial Statements (Balance Sheet, Profit & Loss etc.) of the past 3 years

            supported by firm registration certificate and tax / PAN certificate, board

            resolution.

  1. Vehicle Documents

For All Vehicle:                    

  • Copy of the vehicle blue book
  • Comprehensive Insurance Policy in original assigned to Laxmi Bank Limited (Post approval of loan)

Brand New Vehicle:             

  • Original Dealer Invoice:
  • Proof of Down Payment (Equity portion) made to the dealer/ seller

Used/ Re-financed Vehicle:             

  • Private Sale Agreement in case of private sales
  • Valuation Certification from Bank’s approved valuator
  • Certificate from bank verifying the loan status of the vehicle and installment payment records. (Applicable for re-financed vehicle)

Note: that refinance is only applicable for private used vehicle barring pick ups

13. Citizens Bank International Ltd (Citizens) | Narayanhiti Path, Kathmandu

  1. Citizens Auto Loan
PARTICULARS FEATURES
PURPOSE Financing to purchase of new/used Private and Commercial Vehicles to individuals and business concern
FACILITY TYPE   Term Loan payable in EMI
LOAN AMOUNT Up to NPR 0.7 Crore for new vehicles   Maximum up to NPR 0.4 Crore for used vehicles
LOAN TENURE   Maximum up to 6 years for private vehicles Tenure: Maximum up to 5 years for commercial vehicles
INTEREST RATE Competitive Interest Rate.
FEES AND CHARGES As per Bank Charges

Eligibility and Documents

Eligibility:

  • All salaried or self-employed Nepalese Citizen having a regular source of income
  • The applicant must be at least 18 years and should not exceed 65 years at the time of maturity
  • In case of individual having business income or firm/company, the business should be in profitable operation since last two years
  • Unregistered transport operators should have experience of operating a commercial vehicle for a minimum of two years.

14. Prime Commercial Bank Ltd (Prime) | Kamalpokhari, Kathmandu

  1. Prime Vehicle Scheme (Effective from 15th May 2021)
PARTICULARS FEATURES
PURPOSE Purchasing a new vehicle as well as second-hand vehicle not older than 5 years from the date of the vehicle’s manufacture
FACILITY TYPE   Term Loan
ELIGIBLE Employee /Salaried Persons, Fixed Income Group (Having rental/pensions/property etc)
LOAN AMOUNT   Instant decision taken by the bank
LOAN TENURE   As per the feasibility of the bank and the concerned person
BANK FINANCING   Financing up to 80% of Buying Cost
INTEREST RATE   Base Rate + up to 6.99
FEES AND CHARGES As per Bank Charges

Eligibility and Documents

  • Identification document like Citizenship, Passport
  • Documents certifying current salary (for employee)
  • Certified Income Statement
  • Audited Financial Statements for past two years (for Business Income)

15. Sunrise Bank Ltd (Sunrise) | Gairidhara, Kathmandu

  1. Hire Purchase (Effective from Baisakh 01, 2078)
PARTICULARS FEATURES
PURPOSE Purchase of vehicles used for both consumer and commercial purposes
LOAN TENURE From 5 to 9 Years
INTEREST RATE For Commercial: 11.00%  Up to 5 years 11.50%  From 5 years to 8 years For Consumer: 10.75% Up to 5 years 11.00% From 5 years to 8 years Used Vehicle -1 % higher than the published rates of New Vehicle
FEES AND CHARGES   As per Bank Charges

Eligibility and Documents

Documents:

  • Completely filled-in application form
  • Copy of Citizenship Certificate and Passport size photograph
  • Copy of Employee id
  • Documents certifying income of the applicant of Applicant/ co-applicant / Business

16. Mega Bank Nepal Ltd (Mega) | Kamaladi, Kathmandu

  1. Mega Auto Loan
PARTICULARS FEATURES
PURPOSE Financing brand new & used private as well as commercial/utility vehicles
LOAN TENURE   Flexible
INTEREST RATE   Competitive Interest Rate
FEES AND CHARGES As per Bank Charges

Eligibility and Documents

Documents for SME (Small and Medium Enterprise):

  • Loan Application
  • Audited Financial Report
  • 3 Years Projected Financial Report
  • Copy Of Firm Registration Certificate
  • Copy Of PAN/VAT Registration Certificate, Partnership Deed, Latest Tax Clearance Certificate
  • Memorandum & Articles Of Association with Amendments (If any)
  • Company’s Profile
  • Board Resolution For Opening A/C, Transaction, Availing Loan, Delegation Of Authority (if any)
  • Project Proposal (if any)
  • Copy of License of concerned Department /Authority/Ministry( If applicable)
  • Profile (Biodata) Of The Directors/Shareholders
  • Documents related to fixed assets Security (i.e. Lal Purja, Tiro Rashid etc)
  • Bank statement
  • Detail report of Stocks, Account Receivables, Account Payables, Goods in Transit, Sales, Purchase, LC etc.
  • If Directors/Shareholders are involve in other company details of the company
  • List of major Suppliers/Buyers
  • Main Products of the Unit/Firm/Industry/Company.
  • If mode of transfer is “Rajinama” the cooling off period must elapse 1 year 35 days. For “Bakaspatra” the cooling off period should elapse 2 years 35 days.
  • All documents submitted to bank should be signed and attested with “True Copy of Originals”.
  • The offered collateral should be adjoin with 10 ft road.
  • Fees to be paid by customer

o Processing Fee o CICL charge

o Valuation fee

o Royalty and Mortgage Fee

17. Century Commercial Bank Ltd (Century) | Putalisadak, Kathmandu

  1. CCBLAuto Loan
  2. Hire Purchase Loan
NAME OF THE AUTO LOAN PARTICULARS FEATURES
CCBL AUTO LOAN Purpose Fulfilling the dream of having your own car parked in your home
  Eligible Nepali citizens (individuals) aged between 18 to 70 years at the time of commencement of loan.
  Loan Tenure Flexible Loan Tenure: Maximum 7 years including 6 months of moratorium period
  Bank Financing Maximum Up To NPR. 2 Crore
  Interest Rate Competitive interest rate
  Fees and Charges As per Bank Charges
HIRE PURCHASE Purpose Individuals or Company related to construction, transportation, carrying business can apply for Century Hire Purchase/ Heavy Equipment loan
  Eligible Nepali citizens (individuals) aged between 18 to 70 years at the time of commencement of loan
  Loan Tenure Maximum 5 years including 6 months of moratorium period
  Bank Financing Maximum up to NPR 2 Crore
  Interest Rate Competitive interest rate
  Fees and Charges As per Bank Charges

Eligibility and Documents

Documents:

  • Copy of citizenship certificate and passport size photographs of the applicant, guarantor, as applicable;
  • Net worth details of the applicant and guarantor, as applicable;
  • Documents of income of borrower, borrower’s family members and guarantors as applicable;
  • Registration documents, last 1 year statement of income and expenses, Cash Flow and balance sheet of the firm/ company for established business unit.
  • Registration documents, Details of new project in hand and acceptable cash flow for New Business Unit
  • Quotation of vehicle issued by seller/authorized dealer/body builder (as applicable)
  • Valuation from the authorized service center of branded companies for used vehicles.
  • Copy of PAN card if applicable.
  • Cost estimate of body manufacturing, if the loan application including manufacturing of body of the vehicle (Only for Hire Purchase Plan)

18. Sanima Bank Ltd (Sanima) | Nagpokhari, Kathmandu

  1. Sanima Auto Loans
PARTICULARS FEATURES
PURPOSE Purchase of brand new vehicle and/or used vehicle
LOAN TENURE   Maximum of 10 years for brand new vehicle and 5 years for used vehicle
BANK FINANCING   Maximum up to NPR 0.5 Crore
INTEREST RATE   Up to 5% on Base Rate
FEES AND CHARGES As per Bank Charges

Note: Service Charge: 0.75% on approved loan limit

Eligibility and Documents

Eligibility:

  • Working Professionals
  • Salaried Individuals
  • Self-Employed Individuals

Documents:

  • Citizenship certificate
  • Passport size photographs
  • Quotation of vehicle
  • Bank account statement for at least 3 – 6 months’ time
  • Recent Salary Certificate
  • Rental agreement (if any) with an identification of tenant
  • Copy of blue book of vehicle (in case of vehicle income)
  • Firm/Company Registration, PAN, Article & Memorandum of Association, P/L statement and Balance Sheet of firm/company (in case of business income)
  • Valid passport/visa, work permit, employment/salary certification from the employer, recent pay slip/bank account statement, etc in case of foreign employment
  •  Personal PAN card is required if loan amount is NPR 10 million and above

19. Machhapuchhre Bank Ltd (MBL) | Lazimpat, Kathmandu

(Effective from May 15, 2021)

  1. MBL Auto Loan
ii)MBL Hire Purchase Loan
NAME OF THE AUTO LOAN PARTICULARS FEATURES
MBL AUTO LOAN Purpose To finance individual customers, business units for the purchase of brand new or second hand vehicles for personal use
  Loan amount Minimum Up to NPR 500K Maximum Up to NPR 15,000K
  Loan Tenure Maximum Up to 8 Years
  Interest Rate Plus Up to 7%
  Fees and Charges As per Bank Charges
MBL HIRE PURCHASE LOAN Purpose To finance individual customers, business units for purchase of heavy and light commercial vehicles for commercial use to meet people's/businesses' requirement for transportation of goods, travelling of general public and for use in heavy construction
  Documents required Evidence of Income Source, Quotation of Vehicle from the Dealer, Passport Size Photograph,Citizenship Certificate
  Loan amount Minimum Up to NPR 500K Maximum Up to NPR 10,000K
  Loan Tenure Up to 5 Years  
  Interest Rate Plus Up to 7%

 

Eligibility and Documents

Eligibility for MBL Auto Loan:

  • All Nepalese individuals and business unit registered in Nepal.
  • The applicant must be at least 21 years of age (as per citizenship certificate) at the time of submission of loan application.
  • The loan must be terminable before the applicant reaches the age of 70 years.
  • In cases where salary income has been considered for the assessment of repayment capacity of the borrower, loan must be terminable before the age of retirement, or the borrower reaches 70 years of age, whichever occurs first.
  • Loan can be approved in joint names (more than one borrower also). However, at least one of the borrowers must meet the above criteria. Only members of an undivided family can be joint borrowers.
  • Business Units- must be registered in PAN/VAT and other competent authorities as per prevailing laws.

Documents for MBL Auto Loan:

  • Duly filled up and signed prescribed application form of MBL.
  • Duly filled up and signed Multiple Banking Declaration form.
  • 2 photographs of applicant, and guarantors with name and signature on the back.
  • Copy of citizenship certificate of applicant, collateral owner/s and guarantors (to be verified against the original authorized MBL staff).
  • Name of father, grandfather and spouse of applicant, collateral owner/s and guarantors along with the details of their undivided family members.
  • Copy of relationship certificate (in case citizenship certificate does not establish the relationship of the guarantor/land owner with the borrower; such certificates may include birth / marriage certificates, etc.).
  • Bank Statement of 6 months period.
  • Copy of land ownership certificate (lalpurja) of the land showing residence of the individual borrower/family, if any.
  • Registration Documents & Tax Documents in case of business unit as applicant.
  • Documentary evidence of income.
  • Quotation of the vehicle with details of price, model, features etc.
  • Other related documents.

20. NIC ASIA Bank Ltd (NIC) | Thapathali, Kathmandu

  1. Red Plated Private
  2. Red Plate Business
  3. Red Plated Semi- Commercial
  4. Green Plated
  5. Black Plated Commercial
  6. Second Hand
Name of the Auto Loan Particulars Features
Red plated private Purpose To purchase/finance four-wheeler Red-Plated Private Vehicle
  Facility Type Term Loan
  Eligible Minimum Age : 20 Years. Maximum Age : 70 Years at loan maturity
  Loan amount Minimum : NPR. 5 Lakh Maximum : NPR. 2 Crore
  Loan Tenure Maximum Up to 15 Years*
  Bank Financing Petrol/ Diesel Vehicle - Up to 50% of the VAT bill Electric vehicle - Up to 80% of VAT bill
  Interest Rate 12.77% (Fixed rate) Base Rate + Up yo 6% (Floating Rate)
  Fees and Charges As per Bank Charges
Red Plate Business Purpose Financing Red-Plated Vehicles for a business purpose of self-owned business like-companies, proprietorship, and partnership firms in the name of business entities
  Facility Type Term Loan
  Eligible Business Operation should be at least 2 years from the date of establishment for firm/companies
  Loan amount Minimum : NPR. 4 Lakh Maximum : NPR. 2 Crore.
  Loan Tenure Maximum Up to 15 Years*  
  Bank Financing Up to 80% of the VAT bill
  Interest Rate 12.77% (Fixed rate) Base Rate + Up yo 6% (Floating Rate)
Red plated Semi- Commercial Purpose Financing Red-Plated Vehicles in the name of an individual for the purpose of income generation, renting and leasing to other registered firms
  Facility Type Term Loan
  Eligible Minimum Age : 21 Years. Maximum Age : 70 Years at loan maturity
  Loan amount Minimum : NPR. 4 Lakh Maximum : NPR. 2 Crore.
  Loan Tenure Maximum Up to 6 Years*  
  Bank Financing Up to 50% of the VAT bill
  Interest Rate 12.77% (Fixed rate) Base Rate + Up yo 6% (Floating Rate)
green plated Purpose To purchase/finance Green Plated Vehicle
  Facility Type Term Loan
  Eligible Business Operation should be at least 2 years from the date of establishment for firm/companies
  Loan amount Minimum : NPR. 4 Lakh Maximum : NPR. 2 Crore.
  Loan Tenure Maximum Up to 7 Years*  
  Bank Financing Up to 80% of the VAT bill
  Interest Rate 12.77% (Fixed rate) Base Rate + Up yo 6% (Floating Rate)
black plated commercial Purpose To purchase/finance/ body building of Black Plated Commercial Vehicle
  Facility Type Term Loan
  Eligible For Business: Business Operation should be at least 2 years from the date of establishment for firm/companies. Maximum Age : 70 Years at loan maturity. For Natural Person: Minimum Age Criteria : 21 Years for Taxi Financing and 25 Years for other types of vehicle financing. Maximum : 65 Years at the time of the loan maturity
  Loan amount Minimum : NPR. 4 Lakh Maximum : NPR. 3 Crore*
  Loan Tenure Taxi Financing : Maximum up to 7 Years Others: Maximum up to 5 Years 
  Bank Financing Maximum Up to 50% of the VAT bill*
  Interest Rate 12.77% (Fixed rate) Base Rate + Up yo 6% (Floating Rate)
second hand Purpose To finance second hand Red Plated Private Vehicle and Taxi
  Facility Type Term Loan
  Eligible Age of Applicant: Minimum 20 Years andMmaximum 70 Years at loan maturity Age of Vehicle: For Red Plated Private Vehicle: Should not exceed 15 Years* at the time of loan maturity from the date of Initial registration. For Taxi: Should not exceed 10 years at the time of loan maturity from the date of Initial registration.
  Loan amount Minimum : NPR. 4 Lakh Maximum : NPR. 2 Crore
  Loan Tenure For Red Plated Private Vehicle: Maximum up to 10 Years*. For Taxi: Maximum up to 5 Years  
  Bank Financing Maximum Up to 50% of purchase price or independent valuation report, whichever is lower
  Interest Rate 12.77% (Fixed rate) Base Rate + Up yo 6% (Floating Rate)
  Fees and Charges As per Bank Charges
* Note: Other Terms and Conditions shall be as per the Bank’s Policy. In addition, to the above-mentioned parameters, the Bank can analyze other details too, where deemed necessary.

Eligibility and Documents

Documents:

  • Identification Documents: Citizenship certificate, Passport copy, Photograph, Marriage certificate, Relationship certificate (where applicable)
  • Income source verification documents
  • Quotation price of vehicle
  • Bank account statements
  • Net worth detail document (where applicable)
  • Firm/Company Registration Certificate (if applicable)
  • PAN/VAT Certificate (If applicable)
  • Audited financials of last 2 fiscal years (For business income)
  • Blue book of existing vehicles
  • All related documents regarding collateral/security

Note: All documents need to be original signed and verified through bank's officials. Further, the Bank can request for additional documents, where deemed necessary.

 

21. Global IME Bank Ltd (Global) | Kamaladi, Kathmandu

(Effective from Jestha 01, 2078) (May 15, 2021)

  1. Global Auto Loan
  2. Global Hire Purchase Loan
Name of the Auto Loan Particulars Features
Global Auto Loan   Purpose Purchase of New Vehicle, purchase loans from other Bank/ Financial Institutions, financing on used vehicles
  Facility Type EMI (Monthly) or EQI (Quarterly) basis
  Loan Tenure Up to 7 years
  Bank Financing Financing up to 50% of vehicle price (80% incase of electric vehicle)
  Interest Rate Fixed rate: 8.99% to 9.99% for Up to 5 Years 10% to 11.99% for above 5 YearsFloating rate: Base rate + up to 6% for both
  Fees and Charges As per Bank Charges
Global hire purchase Loan   Purpose Purchase of new vehicles, Purchase of Loan from other Bank or financial institutions, Financing of used vehicle
  Facility Type EMI (Monthly) or EQI (Quarterly) basis
  Loan Tenure Up to 5 years
  Bank Financing Provision to provide grace period up to six months
  Interest Rate Fixed rate: 11% to 11.99% for Up to 5 Years 12% to 12.99% from 5 to 7 YearsFloating rate: Base rate + 1.5% up to 6% Base rate + 2% up to 6%
  Fees and Charges As per Bank Charges

Eligibility and Documents

Eligibility:

  • Individual - Nepalese Citizen above 21 years. Salaried individual, self-employed persons, Company/firm having sufficient income and cash flow to serve debt.
  • Company (Pvt./Public)/Proprietorship/Partnership (duly registered with the concerned government authority) proposing to use vehicle for personal/private/commercial use.
  • Sufficient income source to repay at the satisfaction of the Bank.
  • Any person other than owner/authorized person/executive of the firm/company shall not authorize to avail by auto loan on behalf of the firm/company (For Auto Loan)
  • Purchase of loan is subject to the satisfactory debt servicing to other Banks/FIs.
  • EMI /EQI:5 0% of gross income. EMI/ EQI: 80% of uncommitted (disposable) income.

Documents:

1)      Identification

  • 2 Passport size photo of applicant
  • Photocopy of citizenship certificate/passport of Applicant & guarantor
  • Photocopy of valid driving license (Optional for Hire Purchase Loan)
  • Photo of vehicle to be obtained before implementation of loan (For Auto Loan)
  • Photocopy of Tax/PAN/VAT certificate along with registration certificate
  • Photocopy of Article of Association and Memorandum of Association
  • Photocopy of Land ownership certificate if required
  • Residence/business visit report

2)      Proof of Income

  • Salary Certificate
  • Photocopy of contract agreement between applicant and his/her employer
  • Photocopy of Rent Contract if any
  • Photocopy of audited Financial Statements in case Firm /Company’s income is considered
  • Self-declared of income
  • Others if any

3)       Vehicle Related Documents

  • Quotation of vehicles.
  • VAT bill of the vehicle.

22. NMB Bank Ltd (NMB) | Babar mahal, Kathmandu

  1. NMB Electric Auto Loan
  2. NMB Bank Auto Loan
Name of the Auto Loan Particulars Features
NMB Electric Auto Loan   Purpose Targeted towards Electric four wheeler-buyers
  Eligible Individuals or Business Units Age for individuals: Minimum: 20 years, Maximum: 65 at loan maturity For Registered Business Units: New and Existing
  Loan amount Minimum Up to NPR. 0.5 Million Maximum Up to NPR. 5 Million
  Loan Tenure Up to 7 years
  Bank Financing Up to 80% financing of the purchase of the vehicle
  Interest Rate Prime: BR + Up to 1/5% Standard: BR + 1.5% to 3% Others: BR + 3% to 5%
  Fees and Charges As per the Bank Charges
NMB Bank Auto Loan   Purpose To provide the best deal to by a car
  Eligible Age: 25-65 years Profession: ·         Salaried individuals ·         Self employed professionals ·         Businessmen Nationality: Nepali Gender: All gender
  Loan amount Private use up to NPR 10,000,000 Commercial vehicle, maximum amount of NPR 5,000,000
  Loan Tenure For purchase of new vehicle: Up to 7 years  
  Bank Financing Upto 80% of the cost of the vehicle (electric vehicles)
  Interest Rate Prime: BR + Up to 2% Standard: BR + 2% to 4%

Eligibility and Documents

Documentation:

For Electric Auto Loan:

  • Identification Documents and Income Documents of Individual/ Business Unit.
  • Quotation of Electric Vehicle issued by authorized dealers.

For Auto Loan:

Along with the Auto Loan application you will need to provide the following list of documents to help us process your loan at the earliest.

1)      Identification Documentation

  • Photograph and copy of citizenship of the applicant/sponsor/guarantor.
  • Net worth statement of applicant/guarantor/sponsor.
  • Details of the vehicle –pro-forma invoice, etc
  • Map of the applicants’/sponsor’s/guarantor’s residence.
  • Copy of Individual PAN certificate (where applicable)

2)      Income related documents

For salaried individuals:

  • Bank Statement, as applicable.
  • Latest two salary slips (if any).
  • Salary certificate from the employed organization/company (not older than 3 months).

For self-employed professionals:

  • Certificate of registered professional.
  • Detail of income source/ profession.
  • Proof of last 3 years of continuous practice (if any).
  • Bank Statement, as applicable.

For business person:

  • Latest audited financial statement as per prevailing Company/Tax Act of Nepal.
  • Bank Statement, as applicable.
  • Certificate of Incorporation (in case of organization)
  • Valid Firm/Company registration certificate.
  • MOA/AOA, Share Lagat, partnership deed (as applicable)
  • Recent tax paid receipt.

For other sources:

  • Latest lease payment receipt or agreements, title deed of property. Future rental income will not be considered.
  • Other rental income details. If the asset generating rental income is under loan from other financial institutions, the Bank must take into consideration the residual income from such asset.
  • Pension slip, interest received statement etc.
  • Bank Statement, as applicable.
  • Other Variable income

23. Prabhu Bank Ltd (PRABHU) | Babar mahal, Kathmandu

  1. Prabhu Auto/Hire Purchase Loan
PARTICULARS FEATURES
PURPOSE To purchase new/used vehicles as well as for commercial purpose
INTEREST RATE   Term Loan: Up to 5% Hire Purchase Loan: Up to 5%
FEES AND CHARGESAs per Bank Charges

 

24. Siddhartha Bank Ltd (SBL) | Hattisar, Kathmandu

(Effective from May 15, 2021)

i)Siddhartha Auto Loan
PARTICULARS FEATURES
PURPOSE Purchasing an automobile for private or commercial use
FACILITY TYPE EMI Basis
BANK FINANCING Up to 50% of the invoice value for individual clients. Up to 70% of the invoice value for business entities. Up to 80% of the invoice value for electric vehicles. Up to 50% of the authorized value for used vehicles
INTEREST RATE Base Rate + Up to 5%
FEES AND CHARGES   As per Bank Charges

Eligibility and Documents

Documents:

1) Personal Identification

  • 2 copies of photograph
  • Citizenship and/or Passport
  • Relationship Certificate (if applicable)
  • Marriage Certificate (if applicable)
  • Bank (deposit & loan) account statement of at least 6 months
  • Firm/Company Registration Certificate (if applicable)
  • PAN/VAT Certificate (If applicable)
  • Article of Association (AOA) and Memorandum of Association (MOA) (if applicable)
  • Partnership Deed (if applicable)
  • PAN Certificate of the individual (for loan amount above NPR 5 million)
  • Location Map (Residence & Office)

2)      Income Source

  • Salary Certificate
  • Rental Agreement along with tenant’s identification (if any)
  • Audited financials of last 2 fiscal years (for business income)
  • Pension document
  • Copy of renewed/valid blue book of commercial vehicle along with route permit (for transport business income)
  • Salary Certificate, work permit, valid passport with visa, pay slip and/or bank account statement (for foreign employment income)
  • Latest tax paid receipt or tax clearance certificate for all income (wherever applicable)

25. Bank of Kathmandu Ltd (BOK) | Kamalpokhari, Kathmandu

  1. Small Private Vehicle
  2. Large Private Vehicle
  3. Small Commercial Vehicle
  4. Large Commercial Vehicle
Name of the Auto Loan Particulars Features
Small Private Vehicle   Purpose To part finance and re-finance private vehicles (car, jeep, van, pick-up) to be used for personal or own business purpose
  Facility Type Equated Monthly Installment (EMI)
  Eligible Minimum age of the applicant - 18 Years (in case of vehicle for personal use). Maximum age of the applicant - 65 years. However age should not exceed 70 years at the date of final repayment of the loan. Guarantor should be included if applicant’s age is above 55 years. The guarantor should not be over 65 years and should be from one house family member.
  Loan amount Minimum Up to NPR 5 Lakhs Maximum Up to NPR 1 Crore
  Loan Tenure Maximum 8 Years
  Bank Financing New Vehicle Financing: 90% of the quoted value. In case of financing above 80% but up to 90% of the quoted value additional security in the form of real estate security (Land or Land & Building) or lien over cash or near cash security is required. Refinancing (including Swap Case): maximum up to 80% of the valuation amount provided by the authorized vehicle dealer/assessor of the Bank. Maximum 50% of the quoted value or valuation amount provided by the authorized vehicle dealer/assessor of the Bank, in case of vehicle loan to individual for personal use.
  Interest Rate Competitive Interest Rate.
  Fees and Charges As per Bank Charges
Large Private Vehicle Purpose To part finance and re-finance large private vehicles (bus, truck, tipper, excavator) to be used for personal or own business purpose
  Facility Type Equated Monthly Installment (EMI)
  Eligible Minimum age of the applicant - 18 Years (in case of vehicle for personal use). Maximum age of the applicant - 65 years. However age should not exceed 70 years at the date of final repayment of the loan. Guarantor should be included if applicant’s age is above 55 years. The guarantor should not be over 65 years and should be from one house family member.
  Loan amount Minimum Up to NPR. 5 Lakhs Maximum Up to NPR. 1 Crore
  Loan Tenure Maximum Up to 8 Years  
  Bank Financing New Vehicle Financing: 90% of the quoted value. In case of financing above 80% but up to 90% of the quoted value additional security in the form of real estate security (Land or Land & Building) or lien over cash or near cash security is required. Refinancing (including Swap Case): up to 80% of the valuation amount provided by the authorized vehicle dealer/assessor of the Bank
  Interest Rate Competitive Interest Rate.
Small Commercial Vehicle Purpose To part finance and re-finance small commercial vehicles (taxi, jeep, van, pick – up) to be used for own business purpose or to be operated as means of public transport or/and for transportation of goods with green or black number plate
  Facility Type Equated Monthly Installment (EMI)
  Eligible Minimum age of the applicant - 18 Years (in case of vehicle for personal use). Maximum age of the applicant - 65 years. However age should not exceed 70 years at the date of final repayment of the loan. Guarantor should be included if applicant’s age is above 55 years. The guarantor should not be over 65 years and should be from one house family member.
  Loan amount Minimum Up to NPR. 5 Lakhs Maximum Up to NPR. 1 Crore
  Loan Tenure Maximum 8 Years  
  Bank Financing New vehicle financing: Maximum up to 80% of the cost of the vehicle. Refinancing (including Swap Case): maximum up to 80% of the valuation amount provided by the authorized vehicle dealer/assessor of the Bank or the current outstanding amount at other financial institution whichever is lower.
  Interest Rate Competitive Interest Rate.
Large Commercial Vehicle Purpose To part finance and re-finance large commercial vehicles (bus, truck, tipper, tanker) to be used for own business purpose or to be operated as means of public transport or/and for transportation of goods
  Facility Type Equated Monthly Installment (EMI)
  Eligible Minimum age of the applicant - 18 Years (in case of vehicle for personal use). Maximum age of the applicant - 65 years. However age should not exceed 70 years at the date of final repayment of the loan. Guarantor should be included if applicant’s age is above 55 years. The guarantor should not be over 65 years and should be from one house family member.
  Loan amount Minimum Up to NPR. 5 Lakhs Maximum Up to NPR. 1 Crore
  Loan Tenure Maximum 8 Years  
  Bank Financing New vehicle financing: Maximum up to 80% of the cost of the vehicle. Refinancing (including Swap Case): maximum up to 80% of the valuation amount provided by the authorized vehicle dealer/assessor of the Bank or the current outstanding amount at other financial institution whichever is lower.
  Interest Rate Competitive Interest Rate.

Eligibility and Documents

Eligibility:

For Small Private and Large Private Vehicle:

  • Self-employed Professionals
  • Salaried Employees.
  • Business Establishments.
  • Any other individual having identified source of income e.g. lease, business, pension etc.

 

For Large Commercial and Small Commercial Vehicle:

  • Those with permanent residential address (must).
  • Those having previous experience in similar area as an entrepreneur (e.g. owners of Taxi / Commercial Vehicles used for similar purpose). However it is not mandatory in case of taxi financing within Kathmandu valley for small commercial vehicle.
  • Those who will be driving the vehicle themselves. In case the above criteria mentioned in point 2 or 3 are not met, additional source of income or sufficient collateral (land or land & building) is required. In this regard, the future expected rental income with a plan to lease house cannot be considered as a source of income.
  • Should have necessary route permits and recommendation of Yatayat Samiti where they operate (if applicable).
  • Business entities with sustainable income source and should be registered and operating for minimum one year.

 

Documents:

For Small Private and Large Private Vehicle:

  • Loan Application.
  • Pro-forma invoice from the dealer of the vehicle addressed in the name of the applicant stating the details of the vehicle (model, options etc.) and quoted price (in case of new vehicle). Valuation report from the authorized vehicle dealer/assessor of the Bank showing details of the vehicle (in case of refinancing).
  • Photograph and copy of citizenship of the applicant/sponsor/guarantor.
  • Map of the applicant’s/sponsor’s/guarantor’s residence.
  • Net worth statement of applicant/sponsor/guarantor, as applicable.
  • Vat bill from the dealer.
  • Valid registration certificate and other related documents of business entity, as applicable.
  • Income statement or cash flow details of the applicant/sponsor/guarantor/business entity – proof for substantiation of the income to be submitted:
  • In case of salaried individuals
  • Certification of salary or salary statement, tax paid receipt from the employing organization/company.
  • Bank Statement, as applicable.
  • In case of self-employed professionals
  • Registration document from concerned professional association/council.
  • Details of income.
  • Bank Statement, as applicable.
  • In case of self-employed businessman
  • Business Registration Document.
  • Income Tax Certificate.
  • Latest Audited Financial Statement.
  • Bank Statement, as applicable.
  • In case of other sources
  • Latest lease payment receipt or agreements, title deed of property, as applicable.
  • Details of other lease income.
  • Pension slip, interest received statement etc.
  • Bank Statement, as applicable.

 

For Large Commercial and Small Commercial Vehicle:

The following documents are added on top of the same requirements as per Small Private and Large Private Vehicle.

  • Income statement or cash flow details of the applicant/guarantor, as applicable. Latest Audited Financial Statement in case of business entity.
  • Map of the applicant’s/sponsor’s/guarantors residence.
  • Net worth statement of applicant/sponsor/guarantor, as applicable.
  • Title Deed, four boundary certificate, trace map, revenue receipt of land or land and building offered as collateral. In case of loan for against building as a security within Municipality, documents certifying fulfillment of required standards set by the competent authority such as Naksapass, approval from concerned authorities, building construction completion certificate should be obtained.
  • Route permit, as applicable.
  • Document stating that the custom duty has been fully paid and there is no restriction in transferability of the vehicle ownership (in case of green plate vehicle).
  • Proof of other sources of income (if applicable).
  • Declaration by the applicant that the vehicle being financed will be driven by a person holding valid driving license.
  • Copy of letter of intent from the Yatayat Samiti that the vehicle will be allowed to operate in its prescribed route.
  • Estimation of the approximate income if the vehicle can generate by operating in the prescribed route.
  • Proof/copy of blue book confirming the possession of other vehicles as mentioned in the application, where applicable.

26. Civil Bank Ltd (Civil) | Kamaladi, Kathmandu

(Effective from May 15, 2021)

  1. Civil Auto Loan
NAME OF THE AUTO LOAN PARTICULARS FEATURES
CIVIL AUTO LOAN   Purpose To purchase vehicle for Private and Commercial use (New and Used Vechiles
  Eligible To all Nepalese Citizen above 18 years having steady and reliable source of income to pay the loan installments
  Loan amount Minimum NPR 0.3 Milion Maximum NPR 20.0 mil
  Loan Tenure Maximum Up to 7 years for fresh Vehicles. Maximum Up to 4 years used vehicles (However the age of the used vehicles should not exceed 10 years at loan maturity)
  Interest Rate Competitive charges
  Fees and Charges As per Bank Charges

Eligibility and Documents

Documentation: Collateral/Security

  • Registration of the vehicle in the name of bank.
  • Personal guarantee of person(s) acceptable to the Bank shall be obtained.

Which Ka Barga/ Class A Commercial bank is the best one for an auto loan?

It is Nabil Bank Ltd (NABIL)  with only 7% as the interest rate, and 0.75% of loan amount taken as charge. This rate falls on the lower end of the interest rates which exists today.

To let you know, it is the interest rate that determines which bank will be the best suitable to get a loan from. The lower the percentage, the better for us because it is this interest rate that we will have to pay back to the bank.

So, there it is folks. How did you like the collection of information?

And not to forget, we have also compiled our reference sources, which are without a doubt the official bank websites.