A special car loan scheme had been launched by KTDFC for MLAs on 16th July 2003. The maximum amount of loan offered to MLAs under this Scheme was Rs.3,00,000/- (Rupees Three lakhs only) with interest rate of 6% p.a. In order to arrive at the reduced interest rate of 6% p.a diminishing, the difference of interest with the base interest rate of 9.5% p.a diminishing was covered by the discount offered by Car Manufacturers/Dealers. The discount amount offered by Manufacturers/Dealers was adjusted in the interest payable to KTDFC and the balance amount (if any) was passed on to MLAs so that the margin money to be paid by them was reduced to that extent.Loan was granted for purchase of new vehicles only. This attractive scheme was open upto 30th November 2003. 

A Special Vehicle Loan Scheme for Government Officers for the purchase of Four Wheelers at a reduced interest rate has been launched on 17th November 2003, by Hon’ble Minister for Transport. Under this Scheme loans will be granted to the following categories of officers:
an All India Service Officer an officer of the Central Government or Government of Kerala in official regular employment working within the State of Kerala and drawing a basic pay not less than Rs.8,000/- per month.An officer of the Central or State Government Undertakings, Corporations, Companies and Institutions in official regular employment working within the State of Kerala and drawing a basic pay not less than Rs.8,000/- per month. Any other constitutional functionaries or statutory authorities.The spouse, son or daughter of the officers mentioned in (i) (ii) (iii) or (iv) above who shall be treated as the nominee of the officer.

The maximum amount of loan released to each individual under this Scheme will be 95% (rounded to thousands) of the officer.

The repayment period of the loan shall be a minimum of 1 year and a maximum of 7 years subject to the remaining period of service of the Borrower or Guarantor in the case where the borrower is a nominee of the Guarantor.

Upto Rs.3* Lakhs loans will be granted @ 6% diminishing and for the portion of loan amount over Rs.3 Lakhs, interest will be @ 9% diminishing.

* Based on the Subvention received from the Vehicle Manufactures/Dealers.

THE TERMS AND CONDITIONS
FOR GRANTING LOAN UNDER THIS SPECIAL SCHEME 

Loans will be released to All India Service Officers, Heads of Departments of State and Central Government Departments/Institutions/PSUs (in official regular employment) within the state as well as to Officers of Government Service, State and Central within the state who have a basic pay of Rs.8000/- and above.
The maximum amount of loan released on each individual case under this scheme will be 95% (rounded to thousands) of the invoice price. 
The repayment period of the loan shall be from 12 months to 84 months. 
The loan will be sanctioned for the purchase of New Four Wheeler Vehicles only.
The loan amount (95% of showroom price) will be granted at 6% diminishing EMI based on the discount offered by the Manufacturers/Dealers. If the subvention received is not fully sufficient for disbursing loan @ 6% interest then the balance amount (if needed) shall be issued @ 9% diminishing EMI throughout the repayment period.
The discount offered by the Manufacturers / Dealers will have to be paid to KTDFC.
The discount amount offered by Manufacturers/Dealers will be adjusted in the difference of interest payable to KTDFC.
The eligible loan amount will be decided based on the repayment capacity depending upon the Net salary (take-home pay) of the Officer (Loanee) which should be at the least Rs.1000 in excess of EMI.
The details of Monthly Income ie.TR.46 duly countersigned by Treasury Officer or the salary details as attached in the application form duly filled up and countersigned by concerned controlling officer is to be enclosed. 
Post-dated Cheques equal to the period of the loan is mandatory.
All vehicles purchased under the scheme will be hypothecated to KTDFC at the time of registration and will be in force till the completion of the loan.
The above mentioned Special Vehicle Loan Scheme is applicable for all vehicles for which the Vehicle Dealers/ Manufactures are giving an upfront discount which compensate the company for releasing loans at a reduced interest rate. 
Upon request from the loanee, loans can also be granted to the spouse, son/daughter of the officer (loanee), who shall be treated as the nominee of the officer.
The loan is granted at a reduced rate of 6% diminishing based on the offer given by the vehicle Manufactures/Dealers inorder to compensate the company for availing the said loans at the above mentioned rate of interest.
Interest waiver will be given in the case of repayments of more than one instalment at a time. 
In the event of repayments of more than one instalment, re-schedulement of the balance loan amount for a lower EMI over the remaining period of loan will not be allowed.
The loan amount will be released by KTDFC directly to the Dealers.
The discount offered by Vehicle Manufacturers/Dealers will be for a limited period only, therefore, this Special Vehicle Loan Scheme for Officers is limited up to December 31st, 2003 or till the date this discount offer is open.
An agreement has to be executed between the Company and the Officers (Loanee) for availing this loan from the Company.


Contact personnel:
Manager: Mr. Manoj Kurup Mob. 98474 44808
Staff: Mr. Biju R Mob. 98474 44807