Maximum loan-to-value ratio for vehicles reduced to 70% again

Saturday, 28 November 2015 00:00 - - {{hitsCtrl.values.hits}}

Leasing for motor vehicles allowed up to 70% of total value of vehicle with effect from 1 December, the Central Bank of Sri Lanka said.

This is the third time the Loan-To-Value (LTV) ratio was changed within nearly three months.

The Central Bank on 14 September directed banks, finance and leasing companies to follow new leasing rates which have been set at a maximum 70% per vehicle.

The maximum LTV ratio for vehicle leasing was then increased from 70% to 90% with effect from 5 October by Finance Minister Ravi Karunanayake.