Please note this offer letter is a tentative document and actual offer letter will be issued based on document completion and credit satisfaction.

Application Ref#: /          Date: 

Applicant's Name  

Subject: Provisional Offer Letter

We are pleased to inform you that your application for Islami Auto Finance facility has been Provisionally Approved with the following parameters:

Facility Islami Auto Finance
Vehicle (Make / Model)  
Cost of vehicle Rs.  *
Installment Variable Monthly Rentals Payable in arrears
Equity amount  
Processing Charges  
Security 1. Exclusive Ownership of the asset in the name of BIPL.
2. Direct Debit Authority
Total Monthly Installment (Inclusive of Monthly Takaful & Tracker charges) (Tentative)  

* Vehicle Prices may vary on Regional basis subject to difference in freight charges. First rental will be inclusive of the vehicle registration cost and Tracker installation charges of Rs.12,500/

Please note that your case can be further processed on submission of.
1. Total Cash outlay (Approved Equity & Processing Charges) of Rs.  /-
2. Documents enlisted below
3. Signed Offer Letter.

Your vehicle will be booked within 4 working days. The booking of vehicle is subjected to:
1. Verification of complete documents provided by applicant.
2. Verfication of a details filled via Online Application form.
3.  Realization of Equity.
4. Debt burden calculation (Relevant credit checks)

Please be noted that the Final Offer/ Sanction Letter will be issued after verification of all relevant details and documents provided by the applicant.
This Provisional Approval and the subsequent Offer Letter is subject to the Bank’s Policies, including but not limited to Auto Finance Terms & Conditions. It is however, clarified and not withstanding any contrary information contained herein or in the Final Offer Letter/ Sanction Letter. The Bank has the absolute right to finally approve or disapprove the application. The Bank also reserves the right to decline the case, if documents provided are not verified on further scrutiny and alter the terms and conditions of the facility on its sole discretion as the terms set forth are only indicative.

Documents Check List
1. Clear, Visible copy of valid CNIC
2. 2 Recent Photographs (Passport Size)

3. Salary Slip ( Current Month)
4. Last paid utility bill.
. Application Form (Filled & Signed)
6. Six Months of Bank Statement (Original / Signed & Stamped by Bank)

"We therefore request you to kindly contact our 24/7 Phone Banking at 111-ISLAMI (111-475264), once aforementioned documents along with your Signed offer letter are arranged.
The documents can then be collected from your doorstep by our Sales representative upon your intimation.
We look forward to a mutually beneficial relationship with you and ensure you the best of our services."

Customer's Signature




BankIslami Pakistan Limited

Product Key Fact Statement

Islami Auto Finance

Customer's Name:  

A. Your financing need:

Name of the product Islami Auto Finance
Vehicle required  
Financing required Rs. 
Term of financing  
Profit type Variable- Rates to be revised on every 6 months of Financing

B. Estimated cost of this financing:

Annual Percentage Rate (APR) Profit Rate (in%) 6 months KIBOR   % +   %
What Profit/ Rentals (fixed/variable) will you be charged?*
Amount (Tentative) Rate

Installments will be changed Semi Annually, with the change in KIBOR. However, spread will remain same throughout the tenure.

What other charges will you have to pay?
On going charges One Time charges
Takaful at    
Tracker at
installment The above
charges will be the part
of Rentals every month
Initially, these charges will be borne by BankIslami. However, the Bank will incorporate these charges in Rent/ Unit Sale of Musharakah Asset.
Processing Fees,
Income Estimation fees(If required)
, Valuation (for Used Vehicle only)
b.WITH FIRST RENTAL:Registration,Tracker
Installation (Rs. 12,500/-),
Transfer of Vehicle's ownership
(For Used Vehicles Only)
What will be the monthly installment payable?
Total Amount  
Monthly Installment will comprise of Rental payments and Musharakah Unit Purchase.Unit price will remain fixed (unless Terminated earlier), however, rental portion will vary as discussed above*.
What total amount will you pay for the Financing?
(Tentative as Rate revision may be made upward or downward). New rental schedule will be executed at the time of each renewal.
Booking & Delivery Time After booking, delivery of vehicle shall involve some time period, notified by the manufacturer, for which the Bank is not responsible under any circumstances. However, the Bank will account for such period while calculating Rentals at the time of delivery of vehicle.
Pricing of vehicle Change in the pricing of Vehicle is not in Bank's control and BankIslami is not liable for varying prices of Vehicle which may be changed at the discretion of the manufacturer.
Dealer's choice You have the freedom to choose your Dealer, BIPL shall not be responsible for choice of dealer

C. Early payments:

Can you repay loan/ finance before the maturity? Yes, the Outstanding Musharakah Units can be purchased anytime after the agreement as per the Schedule of Undertaking to Purchase Musharakah Units or Cancellation of Vehicle can be processed.
How can you repay loan/finance before the Maturity? Contact BankIslami's 24/7 Phone Banking team at 111-ISLAMI (111-475264), obtain Outstanding amount payable, make payment in favor of BIPL & Collect NOC after 7 working days
Will you have to pay any additional amount/charges for pre payment/ early retirement of the loan/finance?
a.) CANCELLATION OF VEHICLE DURING BOOKING PERIOD: In case of cancellation of Auto Finance facility after Booking of vehicle (Upon Delivery), BankIslami shall be free to sell or dispose of the Musharakah Asset, in order to recover BIPL's Musharakah contribution and related expenses other than Opportunity cost.
b.) PURCHASE OF VEHICLE BEFORE 1ST RENTAL: Musharakah units will be sold at a price 8% higher than the Agreed Unit Purchase Price plus Registration, Tracker & Takaful charges
c.)PURCHASE OF VEHICLE AFTER 1ST RENTAL: Musharakah units will be sold at a price range of 5% to 8% higher than the Agreed Unit Purchase Price plus Takaful charges. The Premature Termination charges are stated below:
On termination within 1stYear : 8% of the Outstanding Unit price
On termination within 2nd Year : 6% of the Outstanding Unit price
On termination within 3rd Year : 5.5% of the Outstanding Unit price
On termination from 4thYears onwards: 5% of the Outstanding Unit price

D. Default/late payment information:

What if you fail to fulfill your repayment obligation? Authority to repossess is signed, late payment will result in Charity and Additional rental on Outstanding Units, ECIB, data check reporting, repossession of vehicle and Auction (Repossession charges at actual). A Legal Notice is served after Due Date of 3rdRental. Repossession of car is made within 15 days of receipt of legal notice by customer .In case of Auction, the Bank will sell the same, settle its Outstanding and return remaining Amount to the customer.
"What will you have to do to acquire back your repossessed vehicle?" Make full Outstanding payment (pay off) along with Repossession & legal charges and any other charges that the Bank may have incurred during repossession and storage at actual.
"What penalty will you be charged for not repaying on time?"
Default Charges Rate Applied Manner of computing late payment charges
a.) Charity payment on Profit/ Rental Outstanding a.) 14% per annum per day X x 14% per Annum per day
Where X= Rental Outstanding
b.) Additional rental on Outstanding Unit/ Principal b.) Transaction rate X x TR per Annum per day
Where X= Outstanding Units

E. Other material information:

What insurance avenues do you have? Takaful is mandatory. Adamjee Insurance Co. Limited,UBL Insurers (Pvt.) Limited., TPL Direct Insurance Limited, New Jubilee Insurance Co. Limited and Century Insurance Company Limited are the Takaful companies on Bank's panel.
What happens in case of death of borrower's? In case of death, the Bank will obtain consent of legal heirs regarding continuation of facility and may be continued with mutual consent. In case of termination of facility,the Bank will share with legal heirs of customer the amount of sale proceeds as per ownership sharing ratio after the adjustment/deduction of any outstanding rental amount and other charges.
What are the guarantor’s obligations? In case of Personal guarantee, the guarantor needs to ensure realization of payments due and / or settlement of Outstanding in case of default
What documents will be provided to you? Offer letter, Product Key fact Statement, Agreement copy, Delivery Order (DO), Purchase Order (to Seller/ Dealer), Authority To Drive (ATD), Takaful Certificate & Tracker Certificate.
"Can you sell your vehicle to a third party during the tenor of the loan/finance?" Please note that as per Agreement, vehicle cannot be sold to 3rdparty during the term of the Agreement.
Where you can get assistance and redress? For further assistance, please contact our 24/7 Phone Banking team at 111-ISLAMI (111-475264) or email us at [email protected]

Customer's Signature and Date

Authorized Banker's Signature, Stamp and Date