KBL Commercial Vehicle Loan
Whether you’re eyeing the latest commercial vehicles, or considering used model, this loan caters to a diverse range of transportation needs. It's perfect for various business entities, including MSMEs, partnerships, and corporates. The loan also offers a special interest concession for women entrepreneurs and electric vehicle purchases. Whether you're expanding your fleet or starting a new venture, the KBL Commercial Vehicle Loan is your partner in navigating the road to success. Read more
Why this loan is for you
Designed to give you just what you need
For new and used commercial vehicles such as ambulances, cargo vehicles, autos, taxis, buses and more
Enjoy special rate reductions for women entrepreneurs and electric vehicles
No collateral securities required with minimal documentation and rapid processing
Make matters simple and straightforward
A smart calculator for smart spending and savings
Car loan calculator
You will pay
₹13,800/Months
Banking that rewards you
Discover our special and exclusive offers made for you
Eligibility criteria
- Open to individuals, sole proprietorships, partnerships, companies, LLPs, trusts, HUFs and societies
- Age requirement minimum 21 years, with age + loan period ≤ 70 years
- Business operation minimum 2 years required
- Must be a profit-earning business
- Used equipment not older than 3 years
- Must be an income tax assessee
- MSME must have UDYAM registration
Documents required
- Relevant KYC documents
- ITR and balance sheet of the last 2 years (where applicable)
- 12 month account statement for new applicants
- Proof of business
- UDYAM registration and Aadhaar card
As easy as 1,2,3...
Apply for a KBL Commercial Vehicle Loan in 3 simple steps
Step 1
Visit your nearest branch
Go to your nearest Karnataka Bank branch
Step 2
Start with your basic details
Provide your basic details and keep your documents handy
Step 3
We’ll take care of the rest
Our branch officials will notify you when your account is opened
Explore other options for you
Trusted by thousands and handpicked for financial excellence
Got questions? We’ve got answers.
We offer financing for a diverse range of commercial vehicles. Whether you're looking to purchase new fuel-based, electric, or used commercial vehicles, we have options tailored for your needs. This includes everything from light and heavy commercial vehicles to specialized vehicles like ambulances, cargo vehicles, and buses.
If you're an individual, in partnership, sole proprietorship, private or public limited company, LLP, Trust, HUF or Society, you’re eligible to apply. We especially encourage applications from profit-earning businesses with at least two years of experience.
When you choose a used vehicle, it should not be older than three years. Plus, the combined age of the vehicle and the loan tenure should not exceed five years. This ensures that the vehicles we finance are reliable and viable for your business needs.
Absolutely! You can finance used commercial vehicles that are fuel-based and not older than three years. We understand that quality used vehicles can be an excellent investment for your business.
For both new and used vehicles, we offer a maximum loan period of up to 60 months. This includes the duration of the loan, providing you with ample time to manage repayments comfortably.
Yes, for new vehicle loans, we offer a moratorium period of up to 6 months. This gives you some breathing space before you start your repayments.
Our interest rates are competitive and linked to the 6 Months T-Bill. They vary based on the rating of the borrower, ensuring you get the best possible rate. Plus, we offer an additional interest concession of 0.25% for women entrepreneurs and electric vehicle purchases.
The vehicle you purchase will be hypothecated to Karnataka Bank as primary security. The good news is, we don't require any additional collateral, making the process simpler for you.
We're pleased to inform you that there are no processing charges for this loan.
We finance up to 100% of the ex-showroom price for new vehicles. For used vehicles and body-building vehicles, the loan margin is 80% of the revaluation or purchase cost, whichever is lower. This makes it easier for you to make this critical investment for your business.
The KBL Commercial Vehicle Loan stands out as a comprehensive financial solution tailored for businesses looking to expand their commercial vehicle fleet. One of its key advantages is the wide range of vehicles it covers, including new fuel-based, electric vehicles, and quality used vehicles. This diversity ensures that businesses of all sizes and types can find a vehicle that suits their specific needs. Additionally, the loan offers 100% financing on the ex-showroom price of new vehicles and up to 80% for used vehicles, reducing the initial financial burden on businesses. The competitive interest rates, linked to the 6 Months T-Bill, make this loan an attractive option.
Understanding the interest rates of the KBL Commercial Vehicle Loan is crucial for potential borrowers. The loan offers attractive interest rates, which are linked to the 6 Months T-Bill. This linkage ensures that the rates are competitive and reflective of current market trends, providing borrowers with cost-effective financing solutions. For new vehicles, the bank offers an appealing interest rate, making the purchase of a new commercial vehicle more accessible to businesses. In the case of used vehicles, the rates are equally competitive, providing an affordable avenue for businesses to invest in quality pre-owned vehicles. An added benefit of this loan scheme is the interest concession of 0.25% for women entrepreneurs, promoting women's participation in business. Additionally, there’s a similar concession for the purchase of electric vehicles, aligning with the growing emphasis on eco-friendly transportation solutions.
Do ensure that your business meets the eligibility criteria before applying. It’s essential to have a clear understanding of your business’s financial health and the specific vehicle requirements. Do gather all necessary documentation, including proof of business, income evidence, and vehicle details, to ensure a smooth application process. Do consider the total cost of ownership of the vehicle, not just the loan amount, to make a well-informed decision. On the other hand, don't overlook the age and condition of the vehicle if you’re opting for a used vehicle loan. Don't hesitate to ask for clarification on the interest rates and repayment terms.
