Purpose – for any purpose
Quantum of Loan – Minimum Rs.100000/-
Rate of Interest – 2% above the prevailing interest rate for housing loan
Margin – In case of Stock 40%; in the case of book debts 50%
Collateral – Collateral security in the form of mortgage of immovable property, F.D.R., L.I.C. policy, N.S.C., etc., and monthly Recurring Deposit. Mortgage property to insured for full value with Bank clause
Guarantors – Only two guarantors
Others – Stock statement to be submitted every Month; For non-submission penal charges to be debited; On recurrence of Non-submission drawls to be suspended with due notice
Drawl to be allowed to the extent of drawing power or sanctioned limit whichever is less
Credit rating report to be prepared in case of Limits above Rs. 1,00,000/- and interest rate to be charged accordingly.
If the turnover is more than 8 times of the sanction then reduction in margin can be considered depending on other parameter and nature of Business.
The other loans offered by the bank are home loan, personal loans, vehicle loans, educational loan etc.