Tata Motors ties up with private lenders for commercial vehicles financing

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Tata Motors reported that its BS-VI offers had “an incredible response in the market, with the fleet owners appreciating the lowered total cost of ownership of the vehicles”

On Monday, Homegrown auto major Tata Motors said it has entered into partnerships to fund its commercial vehicles with leading private banks, including HDFC Bank, ICICI Bank, and Yes Bank.

The tie-ups aim to improve value offerings throughout the customer lifecycle for customers of both new and pre-owned vehicles, Tata Motors said in a statement.

Ancillary financial provisions such as fuel financing, working capital financing, aggregate financing, and service cost financing will be included in the offerings arising from these tie-ups. It will allow customers with minimal formalities to take advantage of attractive financial schemes from all partner financiers, it added.

Equitas Small Finance Bank, AU Small Finance Bank, Union Bank of India, and Punjab National Bank are among the other private banks. The tie-ups also include NBFCs, such as Cholamandalam Investment and Finance Co Ltd, HDB Financial Services, and Sundaram Finance.

Our partnership will definitely add value and leverage our common strengths to meet our clients’ ever-evolving needs.

Tata Motors Vice-President (Sales and Marketing and Commercial Vehicles Business Unit) Rajesh Kaul said: “We are confident of an increased reach in customer categories, product segments, and geographies and hope that this will help us serve our customers in an effective and delightful way in the future as well.”

Tata Motors claimed that its BS-VI offers had “an overwhelming market response, with the fleet owners appreciating the reduced total cost of ownership of the vehicles.”

It added that, in the wake of such enthusiasm, these financial offerings promise customers easy access to financial schemes for the purchase and financing of vehicles and services from leading banks in the country.

Some of these funding solutions will target large corporate and individual customers with large medium and heavy commercial vehicle (M&HCV) fleets, with attractive offers in terms of cost and high service quality, the company said.

It added that some others would cater to customers of small commercial vehicles (SCV) in semi-urban and rural locations, with special offers dedicated to the Tata Yodha pick-up customers.