The Co-operative Bank of Kenya and Toyota Kenya have signed a deal that will see Kenyans looking to get into the matatu industry access financing for their matatus. Additionally, the deal will see Kenyans get discounted financing.
According to the deal, buyers who pay Sh. 1.95 million which is equivalent to half the price of the Toyota Hiace (Box) model in cash will get zero per cent interest one year loans to fund the balance. This will see Toyota absorb the interest payments.
On the other hand, those looking to get 80 per cent financing to buy the box model will only pay a 14 per cent interest for the loan.
The car loan will be payable within a period of four years. “With this partnership we will enable customers to purchase new units instead of used ex-Japan units guaranteeing more profits, less fuel, less downtime and a three-year/100,000km warranty on the vehicle,” said Maurice Matumo, director for retail and business banking at Co-op Bank.
Nonetheless, the two financing options that have been unveiled by Co-op Bank will attract a one per cent commitment fee and comprehensive insurance cover.
This is the latest move by Co-op Bank to grow its loan portfolio by availing easy vehicle financing options for Kenyans.
The bank has already penned a deal with General Motors that is enabling Kenyans get access to 80 per cent financing for Isuzu Pick Ups and trucks.
To access financing, you may visit your nearest Co-op Bank branch.
