Eligibility

All existing Fund Based Working Capital Limits (FB limit only) irrespective of sector/ constitution.

Purpose

To tide over the liquidity mismatch in our existing borrowers, arising out of Covid 19 outbreak.

Quantum of Finance

Maximum limits upto Rs.50 Crores.

Margin

• NIL

The proposed limits should be fully covered by the value of the stocks and receivables as per the Stock statement.

Due to new sanction of CELC, the overall margin on the working capital borrowing shall be reduced automatically. However, this reduction can be permitted up to margin level of 13% of primary security, in order to maintain the current ratio of 1.15. In any case, margin should not be diluted below 13%.

Interest rate

ROI: 8% fixed (per annum)

Processing & Document charges

NIL

Facility

Term Loan

Security

Hypothecation of stocks and receivables. Extension of charge on the Primary Security / Collateral security.

Guarantee: Extension of existing Personal/ Corporate guarantee of promoters/ concern/ group concerns/ guarantors, as applicable.

Repayment

Door to door tenor of the loan will be 24 months including a maximum moratorium of 6 months from the date of disbursement of the loan.

Interest to be served as and when debited to the account.

Penal interest provisions will be applicable for the limit sanctioned under CELC: Covid 19 facility.

Assessment

Maximum 10% of the existing limits (FBWC only) with a cap up to maximum amount of Rs 50 Crore. The limit will be over and above the assessed Banking finance.