UCO Two-Wheeler Loan Scheme

1. What is the maximum amount of loan under UCO Two-wheeler scheme?

A: Rs0.60lac or 90% of the cost of the new two-wheeler of well known brand, whichever is less.

Zonal Manager may authorize sanction up to Rs1lac for purchase of feature-rich two-wheeler in deserving cases.

2. What is the minimum margin to be contributed by the borrower in case of loan under UCO Two- wheeler scheme?

A: 10% of the total cost on road.

3. What is the income criterion for salaried person for availing loan under UCO Two-wheeler scheme?

A: Minimum gross salary of Rs8000/- per month.

4. What is the income criterion for non-salaried person for availing loan under UCO Two- wheeler scheme?

A: i) Minimum income of Rs1lac p.a. as per Income tax return /Assessment order in the preceding Year. Or,

ii) Minimum income of Rs1.5lac p.a. for purchase of feature rich vehicles.

5. What is the repayment period in case of loan under UCO Two-wheeler scheme?

A: Maximum 48 EMIs commencing from one month after disbursement.

6. What is the processing charge for loan under UCO Two-wheeler scheme?

A: 1%, minimum Rs500/-

7. What is the rate of interest for loan under UCO Two-wheeler scheme?

A: 12.25% p.a. (fixed)

8. Whether there is concession in rate of interest for loan under UCO Two-wheeler scheme?

A: i) 1% if loan account is backed by full liquid collateral.

ii) 0.50% if loan account is backed by 50% liquid collateral.

9. What is the guarantee requirement in case of loan under UCO Two-wheeler scheme?

A: For salaried person, compulsory guarantee: Personal guarantee of spouse or nominee of PF/Gratuity of the borrower.

For non-salaried person, compulsory guarantee: Personal guarantee of the spouse of the married borrower or, Personal guarantee of the mother/surviving parent in case of unmarried borrower, or where spouse guarantee is not available for obvious reasons.

For non-salaried person, additional guarantee:

By one more guarantors having income equal to that of the borrower or having means at least equal to the loan amount.

10. What is the age criterion for loan under UCO Two-wheeler scheme?

A: For salaried borrower: 21 to 55 years.

For non-salaried borrower: 21 to 60 years.