SME Gold Loan - Business

Features

• Target Group:
  • MSME Units (Proprietorship Firm only) who want to avail loan against Gold Ornaments/ Jewellery (Existing/ New).
  • Unit/ Shop shall be running activity.
  • Existing borrowers having Working Capital arrangement with other Banks should not be considered
• Facilities Available : Overdraft (OD) / Demand Loan (DL)
• Quantum of Loan :
  • Minimum: > Rs. 1 lakh
  • Maximum: Rs. 50 lakh
  Subject to not exceeding advance value of Gold
• Pricing : EBR (Linked to Repo Rate and Currently EBR is Repo Rate + 2.65%) + 0.40%
• Borrower's Margin / Contribution : Nil
• Repayment Period :
  • Overdraft: Maximum 12 months. Repayable on demand. Interest to be serviced at monthly intervals as and when applied.
  • Demand Loan : Maximum 36 months Subject to review after every 12 months.
  Repayable in Equated Monthly Instalments (EMIs).
• Processing Fee/ Upfront Fee : Rs.500 plus applicable taxes
• Other Charges: 5% p.a. over and above the existing rate of interest on overdue amount for the period of default.
• Collateral Security :

  Pledge of Gold Ornaments/ Jewellery in favour of the Bank

• Special Feature :