Service Loan

The tenure of the overdraft loan shall be one year from the date of disbursement. Overdraft loan may be renewed and the decision of the renewal is up to the loan approving authority.

Financing

Before approval of working capital nature loans

• The amount of receivables, advances and stock should be taken as a basis for determining the loan limit
• The loan amount should not exceed 70% of Net Working Capital (receivable + advances+ stocks- creditors/trade payables)
• Trade Advances may be considered, if the advance is provided as per business practice for that type of business

Basic Documents

The applicant should provide at least the following documents before initiation of the credit proposal.

• Completed application form of the bank.
• Firm/Partnership/Company Registration paper.
• PAN copy
• Latest tax clearance receipt
• Article of Associations/Memorandum of Associations (In the case of companies)
• Board minutes regarding loan amount /Authorize signatory for operation of account
• Details of the guarantors
• Copy of citizenship of Proprietor/Partner/Shareholders and the guarantors
• Last two years audited financials & Three Years projection
• Title deed of the related parties.
• Building construction permission from competent authority along with the drawing from engineer /architect and completion certificate in case of outright purchase of land and building
• Payment receipt of latest land revenue
• Four boundaries certificate of the proposed collateral security
• Blueprint of land
• Trace map of land
• Other related documents as necessary