Maruti launches flexible EMI plan to upgrade small cars to Grand Vitara

The pilot scheme in three cities offers low EMI of around Rs 9,999 and guaranteed buyback after five years to make SUV ownership affordable and accessible for small car owners

Maruti Suzuki India (MSIL) is planning to launch a financial scheme aimed at making SUV ownership more accessible for entry-level car owners--including Alto, WagonR or similar segment buyers. Under this initiative, customers who own a small car of any brand, can purchase the Grand Vitara sport utility vehicle (SUV) through an EMI plan.

 

The scheme, which will be piloted in Delhi-NCR, Mumbai, and Bengaluru, allows customers to buy the Grand Vitara at a monthly instalment of nearly ₹9,999, which is nearly 20 per cent lower than standard EMIs available in the market, the company said.

 

“Our target is people who already own a small car and are ready to move up...We want to make that upgrade easy and accessible,” said Partho Banerjee, senior executive officer, sales & marketing, MSIL, in an interview with Business Standard.

 

According to the plan, the customer's existing car will be treated as the down payment and its valuation will vary based on factors such as age, ownership history, and mileage. Customers will also be eligible for an exchange bonus. The remaining cost will be financed and paid back over a five-year tenure.

 

One of the key features of the scheme is the guaranteed buyback option. After five years or 75,000 km of usage, customers will have the option to return the vehicle at an assured value of 50 per cent of the original ex-showroom price. Alternatively, they can retain the car by paying the remaining balance.

 

“This is a flexible and low-risk option for customers. It gives them a sense of assurance and helps ease the financial burden of moving into a more premium vehicle,” Banerjee said. 

 

This is the first time a mass market car manufacturer has launched such an EMI upgrade scheme. The offer is valid across all variants of the Grand Vitara SUV, with EMI amounts varying depending on the model selected.

 

Banerjee added that the company will monitor the response in the three pilot cities. “If the model works well, we’ll expand it to other cities and extend it to more models -- especially our upcoming e-Vitara,” he said. 

Global premium automakers have long offered trade-in and flexible finance options to make high-end models more accessible. Mercedes-Benz, for example, offers a 'guaranteed future value' plan that bundles easy EMIs with assured returns on trade-ins. These initiatives have helped luxury brands attract younger professionals, a strategy Maruti now seems to be adapting for the mass-market SUV buyer.

 

The timing of Maruti’s scheme also coincides with a prolonged slump in India’s small-car segment. Maruti Chairman RC Bhargava has previously flagged this trend as a concern, warning that a continued drop in naturally affordable small cars could hamper overall market growth.  With vehicle prices steadily rising across segments and financing costs remaining a concern for many middle-income households, the company believes this initiative could tap into a large, underserved segment of aspiring SUV buyers. ‘This kind of scheme gives them affordability, flexibility, and a clear exit path — all rolled into one,’ Banerjee noted.