Eligible individuals

Any qualified registered medical practitioner with minimum three years experience and in the age group of 25 to 65 years in any Branch of medical science, with minimum qualification of:
a.MBBS
b.BAMS (Bachelor of Ayurvedic Medicine and Surgery)
c.B.H.M.S.Bachelor of Homoeopathic Medicine and Surgery
d.BDS(Dentist) or
2.Degree in Para medical service like
a.X-Ray Technology and Radiology
b.Medical Laboratory Technology
c.Physiotherapy
d.Optometry of Ophthalmic Technology
All courses / degrees should be recognized by statutory authorities in India Firms engaged in medical profession (including limited liability companies/partnerships) in which only Doctors/Dentists are Partners/Proprietor/Promoters.

PURPOSE

• For purchase of brand new electro medical and other sophisticated equipments including operation theatre equipment, air conditioners, generators, personal computer and accessories with software for diagnosis and UPS system.
• Purchase of equipment, machinery and any other items to start clinics.
• For acquiring premises for setting-up of clinic, furnishing and cost of medicines, if any to be procured.
• Purchase of ambulance for hospital / clinic.
• Purchase of vehicle for use by Doctor Promoter/Doctor Employees, when taken along with loan for other purposes i.e. premises, equipment etc. i.e. a composite loan.
• Expansion / renovation / modernization of existing premises of the Hospital / Nursing Home.
• Equipment for scanning centres / polyclinic / pathological laboratory / diagnostic centre / physiotherapy centre / set-up by radiologists / qualified doctors.
• Composite loan is also permissible i.e.
• Purchase of equipment / machinery/ vehicles etc

AND

• Acquisition of premises and/or expansion / renovation / modernization of existing premises.

• Finance for the refundable deposit amount (of premises taken on lease) can be considered with a maximum cap of up to ‘6 month rent’ or ` 30 Lakh, whichever is lower, subject to following terms and conditions:
• Lease agreement must be registered
• Lease agreement must cover the entire tenure of loan and the lease period not to be, in any case, less than tenure of the loan
• The same must be considered against a tripartite agreement between bank, lesser & lessee
• The refundable deposit amount to be released directly to the owner of premises with an undertaking from the owner of premises that he/she will refund the deposit amount, to the party through the bank only
• The entire refundable deposit amount returned will go towards settlement of the loan and in case there is any surplus left the same will be returned to the borrower

ELIGIBILITY

Any qualified registered medical practitioner with minimum 3 years experience and in the age group of 25 to 65 in any branch of medical science, with minimum qualification of:

• MBBS
• BAMS (Bachelor of Ayurvedic Medicine & Surgery)
• B.H.M.S. (Bachelor of Homoeopathic Medicine & Surgery)
• BDS (Dentist)

Degree in Para medical services like

• X-Ray Technology and Radiology
• Medical Laboratory Technology
• Physiotherapy
• Optometry of Ophthalmic Technology

• All courses/degrees should be recognized by statutory authorities in India
• A medical graduate with minimum one-year experience can be considered for financing under the scheme with a maximum loan quantum restricted to ` 20 Lakh. This norm will be applicable only for borrowers having experience between 1-3 years.
• Firms engaged in Medical profession (including limited liability companies/ partnerships) in which only Doctors/ Dentists are Partners/ Proprietor/ Promoters

QUANTUM

• 75% cost of equipments and other assets subject to

MARGIN

• 25% of cost of equipments and other assets to be financed
• 35% for acquisition of premises and/or expansion/renovation/modernization of existing premises.

ROI

REPAYMENT TENURE

• Maximum repayment tenure of 84 months
• Moratorium period of up to 6 months
• Interest during moratorium period to be serviced as when applied in the account.
• The repayment period should be co-terminus with the maximum permissible age.

PROCESSING CHARGES

• 0.50% of loan amount + GST
• Valuation / Legal / Stamp Duty / CERSAI / Memorandum registration charges as per actual.

SECURITY

• Purchase of equipment / machinery / vehicles etc.

• Acquisition of premises and/or expansion / renovation / modernization of existing premises

• Composite loan, i.e. for purchase of equipment/machinery vehicles etc. and acquisition of premises and/or expansion / renovation / modernization of existing premises

PREPAYMENT PENALTY

• No prepayment charges to be levied if the loan is adjusted by the borrower from own verifiable sources or by genuine sale of asset financed.
• A takeover charge of 2% to be levied on the average outstanding balance of the preceding 12 months if the loan is taken over by any other bank / FI or adjusted by the borrower in lump sum from any third party/source.

GUARANTEE

• Personal guarantee of all partners in case loan is given to a firm.
• Personal guarantee to be obtained of all members offering (owning) collateral security and borrowers.

**Conditions apply. For further details, please visit our nearest branch.

Q . What is the maximum loan amount?
The maximum amount of loan sanctioned would be minimum of A or B

1. 65% of the total cost for the acquisition/ renovation/extension of the premises & 75% of the total cost of the equipments or machinery vehicles to be purchased out of bank’s finance
2. Rs 800 Lakhs.

Q . Who can be the co-applicants for the loan?
In case there are any other co-owners of the premise / firm, they need to be the co-applicants.

Q . What are the loan tenure options?
The repayment period is maximum of 7 years, including the moratorium period of 6 months from the date of disbursal of the loan.

Q . What are the applicable rates of interest?
Please click here for information on rate of interest.

Q . What are the processing charges?
The applicable processing charges are 0.50 % of the loan amount.

Q . How is the interest charged/calculated?
Interest will be applied in the account on the basis of reducing balance method at monthly rests. During moratorium period compounding interest would be charged.

Q . What is a Monthly Reducing balance?
An Equated Monthly Installment (EMI) has 2 components, interest and principal. When the interest is calculated on monthly rests, the principal on which the interest is charged goes down every month. This results in a significant saving for the customer over the tenure of the loan.

Q . How do I repay the loan?
The term loan shall be repaid in equated monthly installments (EMIs).
You can pay the EMI in any of the following ways

• Through standing instruction to your Union Bank of India savings account to directly remit the EMI amount to your loan account.
• Through internet banking facility available on your Union Bank of India savings account.
• ECS (Debit) facility.
• Post Dated Cheques (PDCs).

Q . Can I prepay my loan?
Yes, you can make your prepayment. There is no charge on pre payment if the loan is adjusted by the borrower from his own verifiable legitimate sources. However, a charge of 2% on the average balance of the preceding 12 months if the loan is taken over by any other Bank/ FI or adjusted by the borrower in lumpsum from any third source/party (except genuine sale).

Q . What security/ collateral do I have to provide?
Hypothecation of the equipment proposed to be purchased is required along with a collateral security to the tune of 50% of the loan amount. If the loan is for acquiring premises, then equitable mortgage (EM) of the premise is required.

Q . Is a guarantor a must?
No, third party guarantee is not mandatory in most of the cases. Please visit our nearest branch to know further.

Q . Do I need to open an account with Union Bank of India for availing and/ or servicing the loan?
Although opening of account is not mandatory for availing a loan, we would recommend to bank with us in order to benefit from other value added services.

Q . What documents do I need to submit to avail a loan?
Please see the Forms & Documents Tab above for information on the list of documents required

Q . How much time will it take for my loan to be approved?

It takes 7 days for your loan to be sanctioned, after you have submitted all the required documents.

Q . What are the stages involved in taking a loan?

There are three main stages -

• Application - Whereby you submit a completely filled in application with all necessary documents.
• Sanction - Whereby you get an approval for a specific loan amount based on the value of your property and repayment capabilities
• Disbursement - Whereby the loan amount is disbursed.

Q . How do I approach Union Bank of India for a Union Health loan?
You can approach us in any of the following ways

• You can visit any of our special retail lending branches called Union Loan Points (ULPs). To locate a ULP, click here
• You can visit any of our branches. To locate a branch, click here
• Request for a contact online
• You can also contact our 24 x 7 Call Centre