L&T Finance Limited is offering two-wheeler loans without the need for hypothecation of vehicle to the financier over the tenure of the loan. The borrowers can choose from 3 different EMI tenures – 6, 12 and 18 months – with interest rates between 7.99 per cent and 8.99 per cent
Currently, two-wheeler financiers transfer the title of the vehicle to the customer only when the entire loan amount is repaid. This leads to additional paperwork and puts financial burden on the customer. The new loan called ‘Sabse Khaas Loan’ is based on a platform that uses algorithm to determine the credit worthiness of the consumer.
Sunil Prabhune, Chief Executive-Rural Finance & Group Head-Digital, IT and Analytics, said: “Sabse Khaas Loan is our way to appreciate and reward borrowers who are financially responsible and spend their money wisely.”