Maruti joins hand with Allahabad Bank for vehicle finance

India's largest car manufacturer Maruti Suzuki has joined hands with Allahabad Bank for financing its passenger vehicles in India. According to Mr K.R. Kamath, the managing director of Allahabad Bank, the bank has signed a memorandum of understanding with Maruti for financing its vehicles in India.

According to Mr Kamath by signing this memorandum of understanding the bank will become the preferred Financier of Maruti car buyers. He added that this will help the bank to increase its vehicle loan portfolio. According to him this tie-up will help the bank to market its products through Maruti buyers through out the country. Currently the car loan portfolio of the bank is Rs 250 crore and bank is providing interest rate of 11% to 11.5%.