State-run, Corporation Bank has joined with Tata Motors Limited for financing the automakers vehicles.

A memorandum of understanding (MoU) has been signed between the two parties on February 11th. In a press release issued by the bank, it said that the car loan rates have been declined by to 11.75% for tenure up to 7 years. The bank is now offering loans up to 85% on the road price of the vehicle.

As per the tie-up, Tata Motors customers will provide the facility of availing car loans from the bank. The Tata Motors dealers will be trained to clarify the loan formalities and further enable the customers to complete the paper work required to avail the loan.

The MoU will facilitate a single window for both the cars and car loans for the customers.

Recently Tata Motors has introduced attractive schemes with special offer on some of their models. These schemes will make cars much more affordable and help in providing safe and fuel efficient cards within the reach of a larger section of the population.

The car loan facility will provided to the customers through all the branches of the bank spread across the country. Subject to adherence of bank's norms, the loans will be sanctioned within seven days, the bank said in the press release.

The auto loans will be promoted by both the parties.