- Commercial Banking
- Credit Facilities to SMEs
Credit Facilities to SMEs
- SME Includes
- Tiny Industries:- having investment in plant and machinery up to Rs. 25.00 lac.
- Small Scale Industry:- having investment in plant and machinery up to Rs. 100.00 lac and Rs. 500.00 lac in certain specified items under hosiery, hand tools, drugs, pharmaceuticals and stationary items and sports goods or any other as may be notified by the Central Govt. from time to time as eligibility criterion for SSIs.
- Medium Enterprises:- having investment above SSI ceiling (i.e. Rs. 100.00 or Rs. 500.00 lac as above) and up to Rs. 1000.00 lac in plant and machinery.
- Small Service & Business Enterprises:- Industries related service and business enterprises with investment up to Rs. 10.00 lac in fixed assets excluding land and building are eligible for benefits of SSI Sector.
- Processing of Application
Application received in the prescribed format (complete in all respect) will be disposed off as under
- Up to loan of Rs. 25000.00 ------ Within One Week.
- Above Rs. 25000.00 and up to Rs, 50000.00 -- Within Two Weeks
- Above Rs. 50000.00 ---- Within Three Weeks.
- Collateral Security
Loans up to Rs. 5.00 lac can be considered without collateral security provided the applicant has good track record and financial position.
- Composite Loan
Composite Loan can be sanctioned up to Rs. 100.00 lac for SSI units.
- Rate of Interest
- Up to Rs. 2.00 lac. -- 11.00%
- Above Rs. 2.00 lac to Rs. 10.00 lac -- 11.50%
- Above Rs. 10.00 lac to Rs. 100.00 lac-- In the range from BPLR ( w.e.f. 01.05.2009 @ 15% ) to BPLR + 2% (As per Credit rating of borrower as per rules of Bank)
Note:- Rate of interest is subjected to change from time to time.