Kathmandu, March 14:

Everest Bank Ltd (EBL) and Hansraj Hulaschand & Co Pvt Ltd (HHCPL), the authorised distributors of Bajaj motorbikes in Nepal, have joined hands to provide finance services for Bajaj bikes.

Jaspal Singh Jass, executive director of EBL and Shekhar Golchha, HHCPL signed and exchanged a contract agreement to this effect today.

With this, financing facility for Bajaj bikes has taken a new turn. The finance service for Bajaj bikes will now be available through EBL, which has become the only commercial bank in Nepal to offer finance facilities in the two-wheeler category.

After signing the agreement, Golchha termed it a historic moment in two-wheeler marketing in Nepal. “Now Nepal’s No 1 selling two-wheeler brand, Bajaj bikes will be available at easy and comfortable terms of financing,” he added.

He further said that financing through EBL will target the middle income group, which cannot afford bikes on an instant cash payment basis.

Stating that EBL is a pioneer in retail lending, Jass expressed that the bank’s tie up with Bajaj motorcycles would be mutually beneficial and provide better service to customers.

As per the agreement, EBL will provide Bajaj customers with a 30 per cent down payment facility in a time sequence extended to three years of instalment. The interest rate applied as per equal monthly instalment (EMI) payment is fixed at nine per cent allotted to all the bikes that are facilitated under this service.

In order to provide the finance facility on the spot, Bajaj will have its own counter in the bank. Customers have to maintain an account with EBL, which will be easier for making the EMI payment, said Jass.

Currently the facility is available in Kathmandu valley only, said Jass, adding that it will soon be extended to Terai region and other parts of the country. He also informed that collateral security will not be required. However, customers should have either a permanent residency or guarantee by permanent resident in the valley.