Tata Motors ties up with Andhra Bank for car loans

Hyderabad: Tata Motors has nominated Andhra Bank as the preferred financier for financing purchases of its passenger cars.

Andhra Bank's chairman and managing director, T S Narayanasami, and executive director, R Balakrishnan, disclosed that under the tie-up, purchasers of Tata Motors' passenger car range would be offered loans at 9.25 per cent interest rate for period of up to 36 months, and 9.5 per cent for a tenure beyond 36 months.

According to Andhra Bank, the interest rates were reduced by 0.5 per cent for both tenures and would be applicable on a daily reducing balance. The bank has financed 9,000 two-wheelers and 1,000 four-wheelers during the first half of current fiscal and its vehicle loan portfolio stood at around Rs60 crore.

S Krishnan, head, car product group, Tata Motors, said, that the Indica was being exported also, while Indigo was the largest selling car in its segment.