Public sector lender United Bank of India (UBI) has inked a memorandum of understanding (MoU) with Ambassador car-maker Hindustan Motors to finance the buyers of the latter's vehicles. This MoU would facilitate the bank to finance the replacement of over 15-year-old taxis, a segment dominated by Hindustan Motors.
Further the tie up entails collateral-free loan up to Rs 10 lakh and other preferential services exclusively for HM customers from Kolkata-based bank. Recently, United Bank of India trimmed its interest rates payable by 0.75% to 2.75% on medium and small loans above Rs 1 crore with effect from September 10, 2012.
