Electric rickshaws are now one of the means of transport in numerous parts of India. These vehicles are not only cheap to run, but also offer assistance to diminish the emanation of poisonous gases. In any case, a major challenge to this is the fact that the initial price of getting an e-rickshaw may be out of reach for numerous proprietors who need to begin up this trade.
Why choose E Rickshaw Finance?
The E rickshaw finance shall be used in making loans to individuals and business entrepreneurs to finance the purchase of e-rickshaw. The key benefits of opting for E-rickshaw finance by bank include:
- Low Initial Investment: In bank financing you do not need to make full payment since you are paying in instalments. You stand to borrow up to 80-90% of the value of the vehicle and the amount is paid for in instalments over time.
- Affordable Interest Rates: Validating with the current interest rates, veteran banks are offering relatively lower interest rates on e-rickshaw loans that makes it easier for the borrowers to manage their instalments.
- Flexible Repayment Options: Banks, based on the borrower’s financial capabilities, allow flexible terms of credit return starting from 12 months to 48 months.
- No Collateral Required: Many banks offer loans for e-rickshaws without requiring collateral, making it accessible even for those without significant assets.
How to Apply for E Rickshaw Finance By Bank
Obtaining an e-rickshaw loan is quite an easy process. Here’s a step-by-step guide:
- Research and Choose a Bank: Some of the banks from which e-rickshaw financing can be availed are State Bank of India (SBI), Punjab National Bank (PNB), Bank of Baroda etc. Thus, Compare their interest rates, loan tenure, and other terms before choosing one.
- Check Eligibility Criteria: Generally, the applicants should be within the age of between 21 years and 60 years with a valid means of income. Some banks may require a minimum credit score.
- Prepare Documentation: Collect identity and address proof like Aadhar card, PAN card, bills like electricity, water, voters ID, salary slips, bank statements, invoice, registration number of the vehicle etc.
- Submit the Application: It is also possible to make the initial application on the website of the bank, or by visiting a local branch. Complete the application form, enclose the necessary documents and send the form.
- Loan Approval and Disbursement: After such processes as confirmation of the documents and passing of the credit check by the bank, the money will be transferred to the e-rickshaw dealer in full. You can then drive the new car right off the lot or have a new car delivered to your home.
Conclusion
E rickshaw finance by banks has been a good model for those who wish to expand their business by owning an electric rickshaw but cannot afford to do so from their pocket. In this way, low interest rates, weekly, monthly or even daily repayment options, with little or no paperwork, are also ensuring a large number of individuals are able to become part of the growing e-rickshaw owners’ fraternity. It is especially worth pointing out that by choosing financing you are not only getting an opportunity to start generating income immediately but also help to preserve the planet.
