Bank of India has signed a memorandum of understanding (MoU) with TVS Motor company, the third largest two-wheeler manufacturer in India, to provide finance for customers intending to buy TVS Flame SR 125 motorcycle.

Under the offer, the customer can avail an attractive 8.5 per cent interest for the vehicle for tenure of up to 5 years with funding up to 90 per cent. The scheme will be valid till Oct 20, 2009.

In addition, the scheme also has lowest processing fee of Rs 500 for loan amounting below Rs 30,000 and Rs 700 for loans above Rs 30,000.

Market experts believe that this alliance would help both the partners to reach out to customers and make loans convenient and easy for prospective buyers.