MSME's Loans

Highlights

Facilities Offered

-Cash Credit
- Term Loan
- Short Term Loan
- LC backed Bills Discounting
- Letter of Credit (DP-DA up to 90 days)
- Bank Guarantee

Who is Eligible

Entities (engaged in manufacturing or services) who fit under the guidelines of Micro, Small & Medium Enterprises Development (MSMED) Act, 2006 as given below in Table 1.

Min. Exposure

Rs. 25.00 lakhs

Max. Exposure

Rs. 250.00 lakhs

Rate of Interest

Minimum 11.00% p.a.
Maximum 15.00% p.a.

Primary Security

Assets created out of bank finance. (The same will vary depending on the loan facility availed).

Collateral Security

75% of the Limit/Loan Amount/facility availed except for Short Term Loan where collateral security is 100% of the loan amount.

Guarantor

Two guarantors having a regular source of income including any family members business stake holders

Nature of facility

Cash Credit

Eligibility

Individuals /Proprietorship Concerns /Regd. Partnership firms/ Pvt.Ltd.Cos./Ltd.Cos.; engaged in Trading activity /Service Providers

Purpose

Working Capital

Loan Amount

Upto Rs.10 lakhs

Rate of Interest

13.00% P.A

Security

Hypothecation of stock and Book Debts Collateral Min. 30% of Loan Amount

Nature of facility

Cash Credit

Eligibility

Individuals /Proprietorship Concerns /Regd. Partnership firms/ Pvt.Ltd.Cos./Ltd.Cos.; engaged in Trading

Purpose

Working Capital

Loan Amount

Upto Rs.20 lakhs

Rate of Interest (based on internal credit rating)

12.50% for Onwords

Security

Hypothecation of stock and Book Debts
Collateral min. 40% of Loan Amount -for new customer
Collateral min. 35% of Loan Amount -for existing customer

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