NMB Bank has opened used EV financing in Nepal, calling itself the first lender to offer loans for pre-owned electric vehicles. The bank says the standard ceiling is Rs 35 lakh, with a higher limit of Rs 60 lakh available for borrowers who meet stronger credit conditions.
The loan tenure will be shorter than for new EVs and is capped at five years. NMB will fix the repayment period using its “remaining warranty minus one year” rule, based on the battery and motor warranty left on the vehicle.
To qualify, the EV must be under 10 years old, still have a model in production, carry Auto Plus insurance, and have at least 80% battery State of Health certified by an authorised centre within the past 30 days. For loan transfers or swaps, the required battery health rises to 90%.
The bank will finance up to 55% of the appraised value, below the 60% limit allowed by Nepal Rastra Bank. Interest will be charged at base rate plus 0.75% to 2.5%, which NMB says currently comes to 5.86% to 7.61%, plus a 0.75% processing fee.
Applicants must submit income proof, citizenship, PAN, photo, service records, valuation papers and a battery health certificate. NMB says approval and a delivery order can be issued within one to two working days after complete documents are received.
Writes on vehicle pricing, taxation and the Nepali auto market from ongoing tracking of distributor price lists. Editorial policy.
