Citibank Car Finance

Corporate Profile

Citibank is a part of the American multinational financial services corporation, Citigroup Inc., which has the largest financial services network in the world with presence in 16,000 offices across 140 countries.

Contents

• - Corporate Profile
• - Company History
• - Company Milestones
• - Management Team
• - Awards & Recognition
• - New Car Loans

In India, it is the largest foreign direct investor in financial services as on March 31, 2011. The bank operates 42 branches and more than 700 ATMs in 30 cities across the country, employing 7500 people and catering to over 40,000 small and medium sized companies in India. Apart from that, Citibank provides numerous financial services and assistance to the top global companies in India and helps them manage their capital and global finances.
For the year ended March 31, 2011, the bank’s profit after tax was reported to be Rs. 1859 crore.

Businesses

Citibank’s products and services are offered through two major segments, the Institutional Clients Group (ICG) and the Global Consumer Group (GCG). ICG operates through four major client groups, namely Global Banking, Global Transaction Services, Global Markets and Citi Investment Research & Analysis. The Citi Private Bank also operates under the ICG.
GCG on the other hand is engaged in offering complete consumer banking products and services which include the various wealth management products and services under the Citigold umbrella. Citibank is one of the leading card issuers, issuing more than 20,00,000 cards in India. It also has a broker-dealer platform for retail clients, namely Citi Wealth Advisors.

Citizenship

Brought forth from Citigroup, the Citizenship program was introduced in India in 1999. The program is based on the core values of economic stability and sustainability along with customer welfare and philanthropy to equip its business environment and communities with the requisite measures and safeguards against financial crisis. Thus, through this program, Citibank endeavors to make its customers financially secure and help them manage their finances in a responsible manner to encourage and assist in the following:

• Financial Capability & Asset Building
• Microfinance
• Enterprise Development
• Youth, Education & Livelihoods – sustainable growth and development

The Citi Foundation, Citibanks’s partner NGOs caters to approximately 12,70,000 families in India initiating employee engagement activities and volunteerism through programs such as Global and India Community Days and the Payroll Giving Program.
In 2004, Citibank initiated the Citi Micro Entrepreneur Awards, which is aimed at encouraging individual micro entrepreneurs to gain self-sufficiency and financial stability through the innovative use of microfinance.
The Citi Foundation has also been a core contributor with majority funding to establish the Indian School of Microfinance for Women (ISMW) in Ahmedabad. The institute is focused at understanding and learning the discipline of microfinance and financial education. Situated within the ISMW, the Citi Center for Financial Literacy is active in conducting financial literacy awareness campaigns focused at grassroots women borrowers. It also conducts training programmes for NGO/MFI staff and field workers. Also initiated by Citibank is the Citi Woman Leader Award, instituted in 2010, and is the first and the only program of its kind.
Amid its activities focused at financial welfare and stability in India, the bank also indulges in promoting Indian and Western art, culture and heritage in partnership with the National Center for Performing Arts (NCPA) and also heads the Symphony Orchestra of India as its Chief Patron.

TopCompany History

Citibank came to India more than 100 years ago and started operations in India in 1902 at Kolkata. Over the years, it has had a significant impact on the Indian finance and banking scenario. The bank has been a pioneer in banking, finance and credit innovation and has initiated and implemented a series of ‘Firsts’, setting an example to the Indian banks to follow suit. It has been instrumental in the establishment of crucial market intermediaries such as credit bureau, depositories and clearing and payment institutions, being a major promoter-shareholder in the industry.
By launching Iflex Solutions Limited and Citicorp Overseas Software Limited, the bank has also played a major role in the establishment of the Indian software industry. Through its Citigroup Global Services Limited (CGSL), Citibank became a pioneer of the ITES industry in financial services. In 2005, Iflex was acquired by Oracle, the American multinational computer technology corporation, while in 2008, Tata Consultancy Services took over CGSL.

TopCompany Milestones

Citibank has been credited with numerous banking and finance innovations. It introduced a number of customer convenience services and credit instruments which are nowadays taken for granted by customers across India. Among its many ‘Firsts’ are some of the following:

• First bank to launch a dedicated platform focused on serving the unique banking and wealth management needs of the Non Resident Indian (1985)
• Pioneered Cash Management (1986); current payment throughputs exceed 8% of India's GDP
• First to offer 24-hour Phone and Internet banking and SMS alerts
• First to launch a foreign currency denominated prepaid card, Citibank World Money Card (2002)
• First to launch a 2-in-1 transit Credit Card in partnership with the Delhi Metro (2008)
• First to bring to India next-generation contactless Credit Card payments based on Near Field Communications technology with Citi Tap and Pay (2009)
• First brokerage house to launch Financial Information Exchange (FIX) protocol, the industry-driven international messaging standard, adopted by NSE (2010)”
• It has also been a major catalyst in some of the biggest business deals among top Indian business houses and corporations through its financial services and consultancy. Some of the major deals that Citibank assisted and catered to in 2011 are as follows:
• “Citi acted as the Joint Bookrunner to a hugely successful US$762 million follow on offering by Tata Steel Ltd.
• Citi executed a uniquely structured, INR 78.75 billion (US$1.75 billion) 13 year tenor, Indian Rupee denominated, syndicated project financing for Hindalco Industries Ltd., the flagship company of the Aditya Birla Group. This is the largest Indian Rupee Syndicated Corporate loan transaction in India
• Citi advised Genpact on its US$550 million acquisition of Headstrong and successfully executed a US$380 million 4-year senior secured term and revolving facilities for Genpact in relation to this acquisition
• Citi priced a landmark 144A/Reg. S US$1 billion, Senior Secured USD bond offering for ICICI Bank rated Baa2/Stable by Moody's and BBB-/Stable by S&P for a tenor of 5.5 year
• Citi priced a very successful £1.0 billion equivalent, three-tranche, dual currency, senior notes offering for Jaguar Land Rover PLC. The senior notes were issued under the 144A/Reg. S format with a rating of B1/Stable by Moody's, B+/Stable by S&P, BB-/Stable by Fitch and listed on the Luxembourg stock exchange
• Citi, acting as Joint Global Coordinator and Bookrunner priced a landmark upsized US$1.65 billion dual-tranche-5 year NCL (US$750 million) and 10 year NCL (US$900 million), US$ denominated senior unsecured bond offering for Vedanta Resources Plc. The offering received an overwhelming response from over 228 investors with a total order book in excess of US$4.2 billion. The offering will partly finance Vedanta's acquisition of a 40%-51% stake in Cairn India from UK-based Cairn Energy
• Citi executed the First ever fully distributed INR 775 crore (US$172 million) Hybrid Perpetual Securities (transaction) for Tata Steel Ltd. The transaction received a phenomenal response from a wide spectrum of investors ranging from Insurance companies, Mutual Funds, Family offices, Bank Prop desks and PF intermediaries
• Citi, on a Sole basis, executed a US$237 million accelerated secondary offering of equity shares held by Citi Holdings Mauritius Limited in HDFC Ltd. The book was covered within the first hour itself and closed within 3 hours of launch with an aggregate demand of ~US$600 million from over 40 marquee investors across the globe
• Citi, acting as Joint Bookrunner priced a landmark US$500 million, 10 year USD denominated senior unsecured bond offering for IndianOil Corporation Ltd.
• Citi, acting as Joint Bookrunner priced a US$500 million, 10 year USD denominated senior unsecured bond offering for NTPC Ltd. This transaction marks the largest bond offering by NTPC and the first issuance from an Indian public sector corporate in 2011YTD
• Citi acted as Global Coordinator and Joint Bookrunning Lead Manager for L&T Finance Holdings Ltd. US$350 million Initial Public Offering. The capital raising included a pre-IPO placement tranche to Capital International for ~US$75 million. The IPO represents the largest IPO in Indian capital markets so far in CY2011”

TopManagement Team

Citi India is led by a team of highly qualified and experienced management personnel. With a clear understanding of the Indian banking and finance equations, these professionals have enabled the company with constant innovation and an unprecedented growth. Their global outlook and vision complemented by their focus on the welfare and convenience of their Indian customers have helped Citi India build for itself a reputation of trust and reliability. The management team comprises the following personnel:

• Mr. Pramit Jhaveri (Citi Country Officer, India)
• Mr. Ravi Kapoor (Head of Global Banking, Citi India)
• Mr. Anand Selvakesari (Country Business Manager, Global Consumer Group, Citi India)
• Mr. Sanjeev Kapur (Chief Marketing Officer, Citi India)
• Mr. Aditya Narain (Managing Director and Head, Citi India Research)
• Ms. Rohini Malkani (Economist, Citi India)
• Mr. Sudeep Yadav (Managing Director, Head, Global Transaction Services, Citi South Asia)

TopAwards & Recognition

Owing to contributions in the field of banking, finance and credit, and in the light of its active role in the promotion and development of Responsible Finance in India, Citibank has been presented with numerous awards by various associations and institutions. Further, the bank’s participation in the social welfare programs and initiatives as a part of its Corporate Social Responsibility through its NGO establishment and promotion of Indian and Western Culture has earned it recognition across India. Some of the awards presented to the bank in 2010 and 2011 are as follows:

• The Asset Triple A Country Awards 2010 - Best Foreign Investment Bank (for the 7th year in a row)
• Euromoney Awards for Excellence 2010 - Best Investment Bank
• IFR Asia Awards 2010 - Best India Equity House
• Brand Equity Most Trusted Brands Survey 2010 - Most Trusted Foreign Bank
• Global Finance World's Best Internet Banks in Asia 2010 - Best Consumer Internet Bank
• Best Consumer Internet Bank in India by Globalfinance in year 2009 and 2010
• Excellence in Internet Banking for the year 2009 in The Asian Banker Excellence in Retail Financial Services Awards Program
• FinanceAsia Country Achievement Awards - Best Foreign Investment Bank in India (for the 5th consecutive year)
• Euromoney Awards for Excellence 2011 - Best Equity House India
• Asiamoney Fixed Income Poll 2011 - Overall Best for Credit and Overall Best for Interest Rates
• Euromoney FX Poll 2011 - CitiFX Pulse was named the'Most Effective Risk Management Tool' and CitiFX Services were ranked No. 1 in India
• Global Finance Best Internet Banks in Asia 2011 - Best Consumer Internet Bank and Best Corporate/Institutional Internet Bank
• Bombay Chamber of Commerce and Industry - Supporter of Art, Culture and Heritage, 2011
• Asiamoney FX Poll 2011 (voted by FIs and Corporates) - Best for Overall FX Services
• Dun & Bradstreet Banking Award 2011 - Best SME Bank for 2011(under the Foreign Bank category)
• Brand Equity Most Trusted Brands Survey 2011 - Most Trusted Foreign Bank
• Asian Investor Service Provider Awards 2011 - Best Direct Custody, India

TopNew Car Loans

Citibank offers its customers the opportunity to buy new or used cars with the help of financing schemes which facilitate the process in monetary terms and make it easier for the customer to bear liabilities for various necessary or emergency needs. The bank offers competitive interests along with flexible tenure options. Citibank offers various financing options for car loans which suit the requirements and financial constraints of the customers. The loans can be availed with ideal rate of interest in accordance with the term of the loan and the repayment plan.
There are three types of car loans provided by Citibank, namely New Car Finance, Car Cash-in and Pre-owned Car Finance. Up to 90% of the car value can be financed through Citibank in case of a new car and 85% in case of an old car. The loan can also be availed against the car itself through the Car Cash-in facility.
For a new or used car loan, tenure of 12 to 60 months can be chosen for the repayment option, while in case of Car cash-in, customers may choose 1-5 years of tenure during which they can retain the ownership of the vehicle. All type of loans and finance schemes require simple documentation and are implemented through quick and easy procedures. For the existing Citibank customers, the loan approval is claimed by the bank to be 30 minutes.

Interest rates and other charges

The interest rates and the booking fee for the loan are applied as per the current rates at the time of approval of loan and signing of agreement. In case, the cheque towards a loan repayment bounces, a charge of Rs. 500 is levied by the bank. Also, pre-closure charges at 5% of the principal outstanding apply if the loan amount is repaid prematurely. Other charges and fees include stamp duty and charges related to legal procedures and repossession along with incidental charges.

Loan applicant profiling

The loan is sanctioned only after the background check and verification of the information provided by the applicant. There are certain requirements and limitations as to sanctioning of loans. In the salaried as well as the self employed segment, the applicant must have the requisite income as per the guidelines of the bank. The applicant should furnish documents in support of the same in from of employment certificate, salary slips and other corroborating papers.

Documents Required

• ID Proof
• Residence Proof
• Income Proof
• Photograph
• Signature Proof