Honda is partnering with various institutions from the finance sector to introduce lucrative financing scheme with a low rate of interest and long loan tenures.
Honda has been collaborating with many financial institutions to provide its customers with easy car finance schemes. This will make Honda cars more affordable and also supports customers’ car-buying decision in tough times like these. Honda has collaborated with Kotak Mahindra Prime Limited to introduce a program to help the prospective buyers of the outgoing Honda City with a customer-friendly financing scheme. Special benefits will be provided to the owners of the old-gen Honda City. They are now entitled to a low interest rate of 6.99% per annum for a loan tenure of five years along with low EMI for the first three months at INR 999 per lakh. Interested customers will get an exchange bonus as well.
The Honda City is the most successful model from the Japanese automaker in the Indian auto market.
Moreover, the automaker has also collaborated with HDFC bank for another finance scheme under which customers will be provided with Balloon EMI and Step-up EMI at the end of the tenure on all Honda products. Customers who buy a car with a 7-year tenure will have to pay lower EMIs during most of the tenure whereas the balance amount will be included in the last EMI. This plan’s rate of interest is 9.25%. The EMI will rise each year with the balloon EMI being included in the last month of the tenure.
Honda is all set to launch the new-gen Honda City in the country.
Due to COVID-19 pandemic, people have been more careful and have preferred personal mobility solutions over the shared ones. Easy finance schemes like these are expected to address many financial issues during this difficult time. Before Honda, many automakers have also introduced similar finance schemes. The list includes Maruti Suzuki, Mahindra, Tata, Skoda Auto, Fiat, Volkswagen, and Mercedes-Benz India.