Term Loan For Machinery

Eligibility Criteria :

  • For purchase of new machinery for the purpose of Business.
  • Maximum Loan facility @ 75 % of the Cost of machinery.
  • Amount of Loan will depend upon the repaying capacity, Nature of business,  offering of collateral security  and the  worth of the personal guarantees.
  • Personal Guarantee of at least two persons having income / asset expectable to the Bank.

Primary Security                 :  Hypothecation of Machinery.       

Collateral Security              :    Not required for Limit Below Rs. 2.00 lacs.

Effective Rate of Interest  : 13.00 % *

Processing Charges          :  At the prevailing rates of the Bank from time to time.

Pre-payment Charges        :  Nil.

Share Money Contribution  :  2.5 % of the Limit Sanctioned.

Tenure For Repayment      :    Loan to be repaid in maximum 60 EMI .

How to apply :

  • An application in Bank’s Prescribed Form duly filled up having been affixed with the Photographs of the applicant/s and guarantors along with their signatures to be supported by the papers / documents detailed as under.

For the Applicant/s.

  • Quotation for the purchase of machinery.
  • Income Proof.
  • Proof regarding Registrations of the business.
  • Proof regarding place of business.
  • Copy of I.T. Pan card.
  • Residential Address Proof.
  • Projected figures for next 5 years for loan more than Rs. 5.00 lacs.
  • Present Bank A/c Statement for the last six months.
  • Statement of A/c for Loan / Advance facility availed from other Bank / F.I.

For the Guarantor/s.

  • Photo I.D.
  • Income Proof.
  • Residential Address Proof.
  • Proof of Residential Property owned in their name.

Note : Other supportive papers/documents/proofs to be produced, if further needed and asked by the Bank’s Advocate / Valuer / Bank.

* Conditions applied.