Maruti Suzuki India has announced partnering with Mahindra Finance to offer easy finance options to its customers. The company says that the aim here is to ease the pressure of finance availability on car buyers, who might be looking at personal mobility options, to boost social distancing, as a result of the ongoing COVID-19 pandemic. Maruti says that it has partnered with Mahindra Finance to benefit from the latter’s expertise across all profiles including semi-rural, rural and no-income proof customers, which account for one-third of Maruti Suzuki’s retail sales.
Speaking on the partnership with Mahindra Finance, Shashank Srivastava, Executive Director (Marketing and Sales), Maruti Suzuki India said, “Mahindra Finance is a very well networked NBFC across India and has the expertise in lending across all profiles including semi-rural, rural and no-income proof customers. More than one-third of Maruti Suzuki’s retail sales come from rural India. We are extremely confident that this alliance with one of India’s largest NBFCs will help in increasing easy finance availability to our customers in the current challenging situation arisen due to COVID-19 pandemic. Customers will benefit from the range of offers like Buy now and Pay Later, Step Up EMI, Balloon EMI etc”.
The carmaker has already announced partnering with Cholamandalam Investment and Finance Company and a couple of banks like ICICI Bank and HDFC Bank to offer easy finance and EMI options to its customers. Under its partnership with Mahindra Finance, Maruti Suzuki India will be offering three different, flexible EMI options.
- Buy now and pay later: Here, the company is offering a moratorium 2 months to help customers manage their cash flows.
- Step-up EMI: Unique step-up option at a frequency of 6 months
- Balloon EMI: Customer has to pay 25 per cent of the contract value as of last EMI
Additionally, the company is also offering special quarterly EMI option for agricultural customers, along with a lesser down payment scheme, and Turant Scheme, under which Mahindra Finance will offer on the spot approval for both salaried as well as No Income Proof (NIP) customers. The finance schemes can be availed for all Maruti Suzuki cars.
Commenting on the partnership, Ramesh Iyer, Managing Director, Mahindra Finance, said “We believe that demand in rural will revive the fastest on the backdrop of a good monsoon expectation and less impact of the current pandemic. We are geared up to support and service all customers in these markets. Maruti Suzuki has been a very close and important partner to us. We believe providing a solution is more important than just offering credit. With our widespread branch network serviced through employees recruited locally, we will be able to become a solution provider instead of only a financier to these rural customers”