Tata motors operating Lease

Operating Lease

Tata Motors also plans to introduce new financing options for buyers of these trucks. "We would be looking at initiatives like operating leasing, which is not there in the market right now. We are in talks with a number of operating leasing companies and details have to be worked out," he said.
The company believes operating leasing will do the trick as far as attracting customers is concerned.
Here, the financier leases the asset (vehicle) to a customer and recovers only a part of its value through lease rentals. The asset remains on the books of the financier. Unlike financial leasing, at the end of the lease period the customer is not obligated to buying the vehicle from the leasing company.
"Generally, the tenure of truck loans is three to five years, depending on the lifetime of the vehicle. However, the World Truck range is more durable and we do not see a problem with lenders offering longer tenure loans of even seven years plus. We are yet to start talks with banks though," said Pisharody.
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The Competition
It will be interesting to see how World Truck stands up to offerings from Volvo and Mercedes Benz. Swedish truck maker Scania and MAN of Germany (through an alliance with Force Motors) also have big plans for India.
Tata Motors will hope that the comparative advantage in terms of acquisition cost and operating expenditure will help its products get the lead in market share. "Low lifecycle cost will be our USP. Fuel accounts for about 60 per cent of the operating cost of a truck. Interest and acquisition costs are the other factors. We have an advantage on all fronts," added Ramakrishnan.


Source : sify.com/finance/auto/fullstory.php?a=jgbkUNaggia&title=Tata_Motors_aims_to_sell_4%2C000_World_Trucks_this_fiscal&scategory=Auto

Tata Motors launched a range of trucks comprising multi-axle

Auto maker Tata Motors today launched a range of trucks comprising multi-axle, tractor trailers, tippers, mixers and special application vehicles.
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Besides India, the range will also be gradually introduced in South Korea, South Africa, the SAARC countries and the Middle East, Tata Motors said in a statement.
"The developing infrastructure in India makes it possible for transporters to reap the benefits of trucks with higher power, speed and carrying capacity. The new range from Tata Motors will meet those needs and will help us penetrate international market more effectively and competitively," Tata Sons and Tata Motors Chairman Ratan Tata said.
The project has been jointly developed by Tata Motors and its two subsidiaries -- Tata Daewoo Commercials Vehicle Co (South Korea) and Tata Motor European Technical Centre (UK).
The company has harnessed the best of the inputs in technology -- in styling, engines, transmission, suspension, chassis, chassis frames, fabrication and dyes from partners based in countries like Italy, Germany, Sweden, the US, Japan and South Korea, the statement added.

For futher details visit as : www.business-standard.com/india/news/tata-motors-unveils-rangetrucks/63040/on

Mortgage rates are beginning to rebound

Procrastinators beware: Mortgage rates are beginning to rebound from record lows as the U.S. economy shows more and more signs of stabilizing.
“Rates are still low, but they’ve moved up from the super-low point they hit a few weeks back,” said Greg McBride of market-tracker Bankrate.com.
Average conforming-loan rates shot up a quarter-point in just two days last week, hitting 5.5 percent on Friday for zero-point fixed-rate mortgages given to well-qualified applicants. That’s up 0.375 points from an all-time-low 5.125 percent average rate Bankrate.com recorded early last month.
Then, the Labor Department reported Friday that America lost 539,000 non-farm jobs in April - 61,000 less than many analysts had forecast.
The three better-than-expected reports pushed mortgage rates higher as lenders priced in a possible economic recovery that could raise loan demand and increase inflation.
“The economic glass is now being seen as half full instead of half empty,” McBride said.
Although the analyst expects rates to fluctuate in coming months, McBride recommends would-be borrowers not wait to see if interest levels drop back downward.
After all, McBride said today’s rates are still well below the market’s 7.5 percent long-term average.
In addition, he said, some refinancers who qualify for loans today might not do so tomorrow if home values keep falling.
“People who wait to refinance could win the battle but lose the war,” McBride said. “If the value of your house drops and you no longer qualify to refinance, it doesn’t matter how low rates go.”


Source : www.bostonherald.com/business/real_estate/view/2009_05_11_Mortgage_rates_moving_back_up/srvc=home&position=also

Tata Motors enters into tie-up with United Bank of India

The FINANCIAL -- In order to provide an added facility of car finance to its customers, Tata Motors has entered into an understanding with United Bank of India for financing its range of passenger vehicles.

United Bank of India is one of the largest Public Sector Banks in the country catering to the needs of industry as well as retail segment. The bank has pan India presence with a network of 1450 branches including extension counters across the country.
United Bank of India offers car loans up to 90% of on-road price, for tenure ranging up to 6 years, at a very competitive and attractive rate of interest.

This facility will be available at all 1450 branches of United Bank of India and 470 sales touch points of Tata Motors. This tie-up will provide a single window for both cars as well as car loans and will make car buying easier for customers.

United Bank of India has also been empanelled for the Nano Booking Retail Finance with Tata Motors