DT Dobie and Stanbic Bank Kenya have signed a deal to offer vehicle asset financing for the purchase of Mercedes Benz, Volkswagen and Hyundai personal and commercial vehicles.
The partnership will see Stanbic bank provide up to 100 percent financing for personal vehicles and up to 90 percent for commercial vehicles with a repayment period of 60 months.
“We have, this far, been able to provide solutions to hundreds of individual customers and companies
to acquire quality vehicles in an easy and convenient manner by making the process of loan application as painless as possible,” said Stanbic Bank Kenya Head of Engineering, Catherine Muraga.
It means that DT Dobie customers will get a discounted loan-processing fee of 1.5 percent at an interest rate of 13 percent annually with an additional 45-day holiday period.
The signing of the agreement follows a recent deal between Diamond Trust Bank (DTB) with motor dealer Crown Motor Group Kenya to offer finance to customers buying Nissan brands from the auto dealer.
The current witnessed deals between the lenders and the auto-dealers are expected to boost sales of cars after the market was disrupted by the coronavirus pandemic.
Sales of new vehicles over the coronavirus pandemic dropped 26.4 percent in the half-year ended June 2020 from 6,294 a year earlier.