Tata Motors, leading India based major automobile company has announced that it has inked a deal with State Bank of Hyderabad.

Under the agreement, the bank will offer finance for Tata Motors range of commercial vehicles.

Through this contract, customers can avail 85% loan of the on-road cost which comprises vehicle cost, necessary accessories, road tax and insurance from State Bank of Hyderabad.

The sources informed that the bank is offering loan at a very competitive interest rate of 12.5% with the period up to 5 years.

State Bank of Hyderabad is one of the major state run banking institution in India catering to the financial needs of industry and retail segment. The bank is having pan-India presence with about 1,035 branches.

The sources further informed that customers can avail this added facility at all the 1,035 branches of the bank as well as commercial vehicle dealerships of Tata Motors.

Shares of Tata Motors gained Rs 0.7, or 0.16%, to settle at Rs 436. The total volume of shares traded was 853,835 at the Bombay Stock Exchange (BSE) (Wednesday).