GST No.: 24AABAT4356N1Z6               

Machinery Loan

Eligibility of borrower
  • Any Individual, Proprietorship firm, Partnership firm, Pvt. Ltd. Company, LLP firm [Except HUF, AOP]  having current account with the Bank and complied with the norms of KYC.
  • Having  current account  holder of the Bank.
  • Have good reputation and Credit worthiness.
  • Borrower/ Partners/ Directors/ Guarantors must be a  member of  the Bank.
  • Having sufficient score in CIC's reports.   
Proof of Business and Financial data of firm / Company
  • PAN card, IE Code, SSI certificate, Shop Establishment License, VAT / TIN / GST No., Udhyog  Aadhar, Copy of license applicable as per nature of business.
  • Notarized partnership deed and firm registration certificate issued by registrar of firms is compulsory in case of a partnership and LLP firm.
  • Certificate of net worth, infusion of margin money / capital duly certified by CA wherever required.
  • Trading, Profit & loss A/c, Balance sheet up to last three financial year, copy of I.T. Return for the same along with provisional of current period & self attested project report.

Proof of identity

[ All individuals ]

  • Copy of PAN card, Aadhar card, Voter ID, Driving license, Pass Port, Job card issued by NREGA [Any two].  [Copy of PAN / Aadhar is mandatory wherever applicable]

Proof of Address

[Business premises & residence]

  • Copy of latest property tax receipt / Electricity bill / Gas Bill
  • In case of rental, recent copy of light bill as per Aadhar address OR rent agreement OR certificate of residence on society's letter head duly stamped & signed by the president along with the recent copy of light bill.
  • In case of rental business / office / factory premises, rent agreement with latest copy of light bill and property tax receipt confirming the ownership.

Proof of income

  • Income Tax return up to last 3 years.
Purpose of Loan         
  • Purchase of new / old machinery for own business purpose
Quantum of finance     
  • Up to 85% amount of an authorized dealers' valid price quotation for new machinery.
  • Up to 70% amount of valuation report of the approved valuer in case of old machinery. Vintage period should not be more than 10 years and residual life should be minimum 10 years at the time of valuation of machinery.
Share Linkage          
  • Borrower must have Bank share Linkage @ 1% of the loan sanction  amount.
Repayment period
  • Maximum up to 84 monthly installments excluding moratorium period.
  • If necessary, moratorium period up to 12 months may be allowed.
Rate of Interest     

Up to Rs. 1 Crore 10.25%  p. a.

Above Rs. 1 Crore 10.25% p. a.

Security Prime:
  • Machinery should be hypothecated to the Bank.

   
Collateral:

Up to 100 % Collateral security by way of equitable / simple mortgage of title cleared property of the borrower / guarantor should be obtained.

OR

70% FD against loan amount in applicant firm's name to be pledged.

OR

60% FD against loan amount in applicant firm’s name to be pledged as per under noted conditions :-

[ A ] Maximum sanction amount should not exceed rupees one crore under this parameter.

[ B ] If an existing one year old regular installment repaying borrower needs further fresh loan in the same name / firm.

[ C ] If an applicant represents a guarantor who is an existing one year old C/C OR Machinery loan holder of our Bank with all other regularities and have mortgaged his own property with the Bank.

[ D ] If an applicant surrenders original Kabja Karar of his own or guarantor’s property having market value equivalent to the loan amount by way of PA in favour of the Bank.

 OR

50% FD against loan amount in applicant firm’s name to be pledged as per under noted conditions :-

 

[ A ] Conditions mentioned above under A to D will be applicable.

[ B ] Moratorium period will not be allowed.

[ C ] Interest will be charged 0.50% more than the regular rate.

 Machinary Loan