HDFC Business Loan
HDFC Business Loan
HDFC Bank is offering business loans for existing businesses at very attractive rates. Business loans are one of the most important means to expand the business or for a timely investment in cutting edge technology. With HDFC Bank, based on the eligibility criteria, business loans can be availed for as low as 15.65 %. The maximum loan amount is Rs. 40 Lakhs (for some locations it is up to Rs. 50 Lakhs). Also, for certain categories of preferred customers, the disbursal could be done as fast as within 48 hours.
The following are the details of the Business Loan offered by HDFC Bank:
Eligibility Criteria for HDFC Bank Business Loan
- The business should be into Manufacturing, Trading or Services.
- Only Self-employed individuals, Private Ltd. Companies, Partnership Firms and Proprietors are allowed.
- Minimum turnover for the business should be Rs. 40 Lakhs.
- The Annual Income (ITR) of the Business should be at least Rs. 1.5 Lakhs per annum.
- The business should have been making a profit for the previous 2 years.
- The applicant must be Individuals in the current business for at least 3 years and with total 5 years business experience.
- The applicant’s age must be at least 21 years at the time of applying for the loan and should not be more than 65 years at the time of loan maturity.
Features of HDFC Bank Business Loan
- No Collateral, Guarantor or Security is required.
- Applicant is allowed to take a loan up to Rs. 40 lakhs
- The loan amount can be used for any of the listed purposes – Business Expansion, Working Capital, Home Renovation or even for educational needs of children.
- Transfer Loan Balance from other Banks to HDFC Bank for very low rates (as low as 15.75% provided certain Terms and Conditions are met) along with a low processing fee of 0.99%
- Dropline Overdraft facility with no security or Guarantor required
- Dropline Overdraft Facility up to Rs. 5 Lakhs–Rs. 15 Lakhs
- Interest needs to be paid only on the amount utilized.
- The Tenure ranges from 12 to 48 months
- Attractive Rate of Interest
- Condition: No foreclosure or partial closure is permitted during the first 6 months of the limit setting.
- Business Loan Eligibility can be checked in any branch or online within just 1 minute.
- Loan Disbursal will depend on previous repayment of home loans, credit cards and auto loans.
- Tenure is very flexible, with the loan repayment duration ranging from 12 months to 48 months.
- Support for any questions is available via Phone Banking, SMS, Webchat, and Click2Talk
- The loan will be paid in post-dated cheques. The loan can also be repaid through Electronic Clearance System (ECS) or directly debit from HDFC Bank Account for the EMI amount through standing instructions.
Rates & Fees
HDFC Bank Business Loan Interest Rates & Charges:
Important Notes:
- Government Taxes and other levies as applicable.
- Approval of Loan will be at the sole discretion of HDFC Bank Ltd.
|
Fee |
Charges |
| Range for Rack Interest Rate |
Minimum Rate: 15.65% Maximum Rate: 21.20% |
| Charges for Loan Processing | Up to 2.50% of the loan amount subject to a Minimum charge of Rs. 2359 and Maximum charge of Rs. 88500 |
| Prepayment of Loan Condition | No pre-payment permitted until repayment of 6 EMIs |
| Charges for Prepayment of Loan |
Between 7-24 Months: 4% of Principal Outstanding Between 25-36 Months: 3% of Principal Outstanding Over 36 Months: 2% of Principal Outstanding |
| Overdue EMI Interest | 2% per month on EMI OR Principal overdue subject to a minimum amount of Rs. 200 |
| Stamp Duty and other statutory charges | As per State specific applicable laws |
| Charges for Cheque swapping | Rs. 500 |
| Charges for Amortization Schedule | Rs. 200 |
| Charges for cancelling the Loan |
· NIL · Interest will be charged for the interim period between date of loan disbursement and date of loan cancellation. · Processing fees would be retained |
| Charges for Cheque Bouncing | Rs. 550 each time a cheque bounces |
| Legal or incidental charges | At actual |
| Loan Closure Letter | NIL |
| Duplicate Loan Closure Letter | NIL |
| Solvency Certificate | Not applicable |
| Modifying Fixed to floating rate of interest: Charges | Not applicable |
| Modifying Floating to fixed rate of interest: Charges | Not applicable |
| Charges for Credit assessment | Not applicable |
| Charges for Non-standard repayment | Not applicable |
Documentation
Required Documents to be submitted along with application for Business Loan:
|
Document Type |
Description or Details |
| PAN Card | PAN Card of Company/Firm/Individual |
| Identity Proof | Any ONE of the following:
· PAN Card · Aadhaar Card · Driving License · Voter’s ID Card · Passport |
| Address Proof | Any ONE of the following:
· Aadhaar Card · Driving License · Voter’s ID Card · Passport |
| Bank Statement | Bank Statement for the last 6 months |
| Income Tax Return |
· Latest ITR along with computation of income · Profit & Loss account and Balance Sheet for the last 2 years · All documents CA Certified/Audited |
| Proof of continuation | Any ONE of the following:
· ITR · Trade license · Sales Tax Certificate · Establishment |
| Other Mandatory Documents |
· Sole Prop. Declaration or Certified Copy of Partnership Deed · Certified true copy of Memorandum and Articles of Association (certified by Director) and Original Board resolution |
Addendum
The following are the benefits of having a Current/Saving Account with HDFC Bank while applying for Business loans:
- Preferred Processing Fee
- Priority processing
- Simpler documentation
- Direct debit from HDFC Bank Account for the EMI amount through standing instructions.
For more questions or more information please click on this official HDFC link
