To meet the working capital / capex requirements (including construction of shop/ office building, interiors, etc.,) relating to the business of Retail and Wholesale Traders.
- For working capital purpose –
Cash Credit / Overdraft - Running Account (Running / Operative account – renewable every year)
Overdraft (Reducing Balance)
(Reducing Balance method – to be reviewed annually)
- Working Capital Term Loan / Working Capital Demand Loan.
Rs.5.00 Crore (Maximum). In case of WCDL / WCTL, the maximum amount is restricted to Rs.1.00 crore.
Margin :- Working Capital – Stock 25%, Book debts 30%.
Term Loan :
- For purchase of new / second hand imported reconditioned equipments, racks etc – 25%.
- For purchase of indigenous second hand equipments – 50%.
- For building construction and other interior works – 40%
- For purchase of old building – 50%.
Repayment :
- Cash Credit / Overdraft – One year, subject to renewal every year well before the due date.
- Overdraft (Reducing balance method) – For fresh loans not exceeding 84 months.
- Demand / Term Loan (Business / WC purpose) – subject to review every year.
- Demand Loan – upto 35 months
- Term Loan – upto 84 months
- Term Loan (capex) - 84 months (excluding holiday)
(subject to review every year)
Security :
- Working Capital – Stock & Receivables
- Term Loan/Demand Loan – Assets acquired & created out of the loan.
- Self-owned (including properties in the name of family members) Land/ House Plot / Building properties valued not less than 150% of the limit.
Interest :
Fees & Charges
- WC: 0.50% of the Limit sanctioned + taxes applicable
- Term Loan: 1.00% of the limit sanctioned + taxes applicable