M&M to offer vehicles on lease for up to Rs 32,999 per month

Homegrown auto maker Mahindra & Mahindra Wednesday launched a new vehicle acquisition scheme that allows customers to lease vehicles for a period of up to five years.

The lease option scheme will be available on Mahindra's personal portfolio of vehicles such as the entry level sports utility vehicle (SUV) KUV100, compact sports utility vehicle TUV300, mid-sized SUV Scorpio, multi-purpose vehicle Marazzo and premium sports utility vehicle XUV500, according to a release.

The leased vehicles will be available at a starting price of Rs 13,499 per month for a KUV100NXT and going up to Rs 32,999 per month for an XUV500, it said adding at present the customers across Delhi, Mumbai, Hyderabad, Bengaluru, Ahmedabad and Pune can avail the scheme.

The company plans to extend the lease option scheme to another 19 cities in the next phase, it said.

"Our leasing model is a category creating product offering, which aims at bringing in a new class of customers, including professionals and small businessmen, among others. Going forward, I am confident that leasing will gain more currency and the penetration levels will move in line with global trends," said VS Parthasarathy, group chief financial officer and chief information officer, Mahindra & Mahindra.

The lease offering will include services such as insurance, end-to-end maintenance, on road assistance, accidental repairs and 24-hours replacement vehicle.

The company also said it has partnered with global leasing service firms Orix and ALD Automotive for the scheme.

The leased vehicle will be available for period of up to five years depending on the city and model selected, it said.