Business Loan

To provide financial assistance to economically backward persons for business purposes, purchase of vehicles/machinery, mortgage of property, or other eligible business needs.

Interest Rate12% p.a., fixed by the Board of Directors under the directives of the Reserve Bank of India. Interest up to 12% reimbursed by Annasaheb Patil Economic Backward Development Corp Ltd subject to regular repayment of loan.

Maximum AmountTerm Loans up to ₹25 Lakhs (limit may be enhanced as per guidelines / policy of the Corporation)

Maximum Tenure60 Months (may be extended as per guidelines / policy of the Corporation)

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Key Highlights

Term Loan facility for economically backward persons

Interest reimbursement scheme by Annasaheb Patil Economic Backward Development Corporation Ltd.

Margin requirements: 80% for vehicles, 25% for new machinery, 40% for existing property

Repayment via EMI through borrower's bank account

Direct disbursement to dealer for vehicle/machinery purchase

Penal charges of 2% p.a. on defaulted amount

Exclusive banking association required unless exceptional circumstances apply

Visit reports of applicant and sureties' business and residence recorded for verification

All security and documentation requirements similar to term loan rules depending on type of facility

Eligibility Criteria

LOI certificate issued by Annasaheb Patil Economic Backward Development Corporation Ltd.

Annual income below ₹8 Lakhs

Regular repayment of loan for reimbursement of interest

Regular membership with 2.5% share linking as per RBI guidelines

Borrower must have sufficient business income to service the loan; IT Returns for last three years or project report for new business required

Documents Required

LOI certificate from Annasaheb Patil Economic Backward Development Corporation Ltd.

Income proof of applicant and sureties

PAN Card copy of applicant and sureties

Project report (if new business)

Udyam Registration certificate

Property documents for mortgage

Valuation report of property

Legal opinion and title search report

Society / Builder NOC (if applicable)

Hypothecation / pledge / lien documents for vehicle, machinery, or financial instruments

Business assurance letter for commercial vehicles (Tempo, Trucks, Tanker, Tourist Bus, etc.)

Residential proof of applicant and sureties

KYC documents as per Bank policy

Security & Fees

Collateral / Security

Loans secured by hypothecation of vehicle/machinery, mortgage of commercial/residential property, or pledge/assignment of approved instruments (LIC, NSC, KVP, FDR, Govt Securities). Full insurance in joint name of Bank and Borrower required. Bank has right to inspect and verify security periodically.

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Processing Fee

As per prescribed Bank's Service Charges

Check fees and charges

Visit the branch or call us for more details.