To provide security
based finance with
reduced paper work
and simplified
procedure to the
small traders/
service sector.
Eligibility
:
Traders of high
repute, grain
dealers distributors
of domestic
appliances, dealers
in consumer goods,
automobile etc. and
Service Sector like
travel tourism
agencies, cyber
cafes, hotels etc.
Quantum of
finance
:
Cash Credit of Rs. 5
lacs & Term Loan Rs.
10 lacs
Security
:
Principal :
Cash Credit
Hypothecation of
stock/book debts
Term Loan :
Hypothecation
of Plant
&
Machinery
purchased
out of
loan
Equitable
Mortgage
of
office
premises
/ gala.
Collateral ( Minimum
50% of the limit )
Pledge of FDR, NSC's
Govt. Bonds, LIC
Policy etc.
Repayment
:
For Cash Credit :
Yearly review
For Term Loan : 60
months
1. No
pre-payment
penalty.
2. Prepayment
Charges – Not
applicable
3. Charges for
changing from
fixed to
floating rates
of interest.
– Not Applicable
4. Charges for
changing from
floating to
fixed rates of
interest.
– Not Applicable
5. No dues
certificate –
Not applicable
Guarantors
:
Two
Submission of
information by
Borrower &
Guarantors :
Last 3 years
audited balance
sheet/income
expenses
statement of the
shop
firm/company.
Last 3 years
income tax
returns copies
of
owner/proprietor.
Partner/director/shop
& establishment
license/permit/sales
tax returns.
List of
suppliers
(Creditors).
Attested
Xerox copy of
Ration card /
PAN card /
Electricity Bill
/ Telephone
Bill.
Stock and
book debt
statements for
last month.
(format to be
given by Bank).
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