Please refer to BRPD Circular No. 07 dated 03.11.2004, BRPD Circular No. 10 dated 20.08.2005 and BRPD Circular No. 03 dated 22.01.2012 on the captioned subject.
Considering the existing market price and consumer demand for vehicles, it has been decided to make changes in Regulation-16 of Prudential Regulations for Consumer Financing which now stands as under:
“The banks shall not allow auto loan (including insurance) exceeding TK. 4 million per individual under this head. For the purpose of this regulation, auto facility to the dependent members of an individual shall also be treated as part of the exposure of that individual.
While allowing auto loans, the financing facility shall be provided at a maximum debt-equity ratio of 50:50.”
This instruction shall come into force with immediate effect.