Financing purchases of dealers through Buyer's Bill discounting, relating only to products supplied by the concerned corporate.

Selected authorized dealers of 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 and
• For others Turnover method up to limit of Rs. 1 cr and Flexible Bank Finance for above Rs. 1 cr

1. Current ratio = 1.17:1 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

Nil.

Bills Discounting Scheme in the account of the dealer (Buyer's UBD) drawn by the corporate.

• Prime – DA bills drawn by the Corporate duly accepted by the dealers OR accepted challans/invoice
• Collateral– Tangible collateral security in the form of land, building, bank deposit etc. to be obtained to cover at least 30% of the advances
• Personal guarantee of 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

·         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.

·         To download the application form, please click here

A. Under the scheme, credit facilities can be given by way of Bill discounting scheme in the account of the dealer (Buyer UBD) drawn by a Corporate to selected authorized dealers of identified Large Corporate borrowers of the Bank.

A. The finance extended under the scheme shall be minimum Rs.25.00 lacs and maximum Rs.5.00 crores.

A. No margin is required under the scheme.

A. Tangible collateral security in the form of land, building, bank deposit etc. are to be obtained to cover at least 30% of the advance which can be relaxed up to 25% on very selective basis.