Honda inks nationwide bank retail finance MoU with Punjab National Bank
· As part of Honda’s strategic Wave 2.0 blueprint to increase rural sales footprint
· Customer benefit : 2Wheeler industry’s lowest interest firstname.lastname@example.org% & daily reducing interest
· Over 8.9 crore customers of Punjab National Bank stand to benefit from this MoU
New Delhi, September 15, 2014: Honda Motorcycle & Scooter India Pvt. Ltd. (HMSI), the only Honda in Indian two-wheeler industry today signed its landmark Memorandum of Understanding with India’s leading nationalized bank – Punjab National Bank to provide attractive retail finance to Honda’s two-wheeler customers across India.
Present at the MoU signing ceremony were Mr. S. S Bhatia (General Manager – Retail Assets Division) and Mr. Yadvinder S. Guleria (Vice President – Sales & Marketing, Honda Motorcycle & Scooter India Pvt. Ltd.)
With this landmark Memorandum of Understanding coming into effect from today, two-wheeler customers can now buy a Honda two-wheeler at Industry’s lowest finance rate of 12.25% and more importantly Honda’s customers can now save up to Rs. 10,000 on an average loan* compared to open market schemes.
* (Calculated on loan of 3 years tenure for a two-wheeler costing 50,000 rupees)
o Industry’s Lowest Interest Rate @12.25% with daily reducing interest
o Loan Amount: Up to 90% of two wheeler value
o Extended Repayment tenure: Up to 5 years
o Zero processing & No documentation charges
o Customer saving up to Rs. 10,000 on average 2W loan
Buying a Honda two-wheeler in this festive period is set to get more affordable as customers can get double benefit of the limited period festive offer by Punjab National Bank.
Elaborating on this partnership Mr. Y S. Guleria, Vice President, Sales & Marketing, said, “This alliance is first of its kind in the two-wheeler industry – both for Honda and PNB. Propelled by this partnership with Punjab National Bank, we aim to grow Honda’s retail finance significantly in coming months.”
On the occasion, Mr. S. S. Bhatia – General Manager, Retail Assets Division, Punjab National Bank said “We are proud to unveil Retail finance scheme for two-wheelers by associating with the World’s Number One two-wheeler brand Honda. PNB has announced Festival Offer under Housing, Car, Two Wheeler and Personal Loan Schemes. Our Bank has 80 specialized Retail Asset Branches at prime locations for financing only Retail Loans.” Sh. S. S. Bhatia further informed that, “PNB, with more than 120 years of strong existence, is serving more than 8.9 crore esteemed customers with more than 6000 Branches and approx. 7000 ATMs. PNB, being one of the largest nationalized banks, has continued to provide prudent and trustworthy banking services to its customers. Honda is synonymous globally with high quality products at reasonable prices that spread joy in the lives of millions of its customers. Through customized and convenient finance options, we look forward to partnering Honda in fulfilling the dreams and aspirations of millions in India.”
Punjab National Bank focus on financial inclusion and “Banking for the unbanked” will give Wings to Honda’s Wave 2.0 strategic plan of going rural. With 40% of branches in rural areas and additional 24% in semi-urban areas, Honda’s strategic alliance with Punjab National Bank will help it make deeper inroads into hinterlands.
ABOUT Honda Motorcycle & Scooter India Pvt. Ltd.:
As the Only Honda in Indian two-wheeler industry, Honda grew an overwhelming 32% compared to average 2Wheeler industry growth of 15% in April–August period of FY14-15 (YoY basis). Honda’s market share has jumped 4% points to 26% ending April – August, 2014. Reaching closer to customers, Honda aims to add 1,000 new touch-points and take its network strength to 3800 outlets by FY’14-15 end.