In a pioneering move, Meezan Bank has launched “Meezan Women First,” an exclusive car financing product offering interest-free monthly installments for women in Pakistan. Based on the Islamic financing mode of Ijarah (leasing), this initiative aims to empower women with greater financial independence and convenience in acquiring locally manufactured/assembled vehicles.
Interest-Free Car Ijarah:
Meezan Bank’s Car Ijarah is the country’s first interest-free car financing solution. Under this arrangement, the Bank purchases the vehicle and rents it out to the customer through a car rental agreement. The rental period ranges from 1 to 5 years, depending on the contract’s agreed duration. Upon completing the Ijarah period, the vehicle can be purchased by the customer at a token amount or even gifted to them.
Flexible Financing Options:
Meezan Bank offers flexible financing options to cater to various customer needs:
- Local Manufactured Vehicles above 1000 CC: Financing period of 1 to 3 years.
- Local Manufactured Vehicles up to 1000 CC: Financing period of 1 to 5 years.
No Processing Fee and Low Upfront Payment:
One of the most attractive features of Meezan Women First is the waiver of processing charges, making it a cost-effective financing option. Additionally, the upfront payment is significantly low, ensuring easy access to vehicle ownership.
Discounted Rental Payments and Convenient Payment Method:
Customers benefit from discounted rental payments, which commence after vehicle delivery. These monthly rentals can be conveniently paid through Direct Debit Instructions (DDI) from a Meezan Bank account.
No Charges on Early Termination:
Meezan Women First comes with a 100% waiver on charges and restrictions in case of early termination of the vehicle agreement, offering customers added flexibility.
Eligibility Criteria for Salaried Individuals:
To avail Meezan Women First, salaried individuals must meet the following criteria:
- Minimum 3 months in the current job with a minimum continuous employment history of 2 years for permanent employees.
- Minimum 6 months in the current job with a minimum continuous employment history of 3 years for contractual employees.
- Net take-home income should be in excess of 2 times the monthly rental (inclusive of takaful).
- Spouse’s verifiable income can be clubbed to an extent of 50%.
- Total monthly payments, including the proposed Ijarah rental, should not exceed 40% of net/take-home income, in case of other loans.
Eligibility Criteria for Women Entrepreneurs:
Women entrepreneurs can avail Meezan Women First by meeting the following requirements:
- Minimum 2 years of continuous involvement in the current business/industry.
- Position as a proprietor, partner, or director (percentage of sharing/holding will be considered in the case of a partner or director).
- Net take-home income should be in excess of 2 times the monthly rental (inclusive of takaful).
- Spouse’s verifiable income can be clubbed to an extent of 50%.
- Total monthly payments, including the proposed Ijarah rental, should not exceed 40% of net/take-home income, in case of other loans.
- For small-scale women entrepreneurs with cash income, income estimation will be done to assess eligibility, with up to 50% net/take-home income allowed for locally manufactured or assembled vehicles up to 1000 CC engine capacity.
Clear Data Check & e-CIB Required:
To ensure a smooth approval process, both data check and e-CIB (Electronic Credit Information Bureau) should be clear, with no current defaults or overdue records.
Meezan Bank’s Meezan Women First initiative presents an excellent opportunity for women in Pakistan to become car owners through interest-free financing and hassle-free application procedures. The Bank’s commitment to empowering women with financial inclusivity is set to make a significant impact on the nation’s automotive landscape.
