China Banking Corp. has launched a promotional auto loan package offering free first-year comprehensive car insurance, waived chattel mortgage fees and discounted interest rates as it seeks to make vehicle ownership more affordable amid elevated borrowing costs.
The AutoPlus Bundle Promo, available until Aug. 15, is open to customers taking out a minimum ₱500,000 AutoPlus loan for the purchase or reimbursement of a brand-new vehicle for personal use.
Borrowers must also bundle the loan with a Chinabank credit card and comprehensive insurance from Chinabank Insurance Brokers.
According to the bank, a customer purchasing a ₱1.25 million vehicle with a ₱1 million approved loan could save nearly ₱29,000 on first-year insurance, in addition to lower financing costs from waived chattel mortgage fees and discounted interest rates. Over a loan term of up to 60 months, total savings could reach as much as ₱300,000.
“Purchasing a new car is a major milestone, but the initial out-of-pocket fees can feel overwhelming,” Chinabank Consumer Lending Group Head Antonio Jose Dominguez said in a statement. “With this promo, we took the heavy lifting out of the initial payment phase. These savings extend the magic of owning a new car for our clients.”
The promotion comes as vehicle sales remain under pressure. Data from the Chamber of Automotive Manufacturers of the Philippines Inc. and the Truck Manufacturers Association showed vehicle sales fell 15.7% year on year in May, although sales rebounded 23.8% from April.
The bank also cited growing demand for electric and hybrid vehicles, with sales rising 133.5% in the first five months of the year, as buyers increasingly seek to reduce fuel costs and emissions.
The promotional offer runs until Aug. 15, with loan bookings accepted until Aug. 31.
