Financing of receivables through bills discounting relating only to the products supplied by vendor to the concerned Corporate.

Selected vendors supplying to identified large Corporate borrowers of the bank

Minimum Rs. 25 lac and Maximum Rs. 5 cr

• For SSI  units- Turnover method up to limit of Rs. 5 cr
• For others  - Turnover method up to limit of Rs. 1 cr, and Flexible Bank Finance for above Rs. 1 cr

1. Current ratio = 1.1:1 and TOL/TNW = 4:1
2. Total Long term liability to equity should not exceed 2

* Loans and deposits from family members may be treated as quasi equity for arriving at the TNW provided subordination is supported by undertaking in writing

• TOL/TNW - 4.00:1

Nil.

Bill Discounting Scheme i.e. UBD.

• Prime – DA bills drawn by Vendors duly pre-accepted by the corporate (with recourse to the vendor and Corporate in the event of dishonor)
• Collateral– Tangible collateral security in the form of land, building, bank deposit etc. to cover at least 10% of the advance
• Personal guaranteeof Promoters

INTEREST RATE :- (Base Rate - 10.50%   w.e.f. - 01-05-2012)

Base Rate + 4% i.e.:- 14.50%

On maturity of the bill

List of documents

·         Proof of identity (any of the following)

a.    Passport

b.    PAN Card

c.     Employee identity card

d.    Any other valid proof

·         Proof of address (any of the following)

a.    Electricity bill

b.    Telephone bill

c.     Ration card

d.    Any other valid proof

·         PAN card Etc.

Application form

·         To download the application form, please click here