HDFC Bank Business Loan – Highlights |
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| Rack Interest Rate Range | 10.00% – 22.50% p.a. |
| Processing Charges |
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| Loan Amount | Up to Rs. 50 lakh (Rs. 75 lakh – Limited Offer Deal) |
| Collateral/Security |
Not required |
| Repayment Tenure | From 12 months to 48 months |
HDFC Bank offers unsecured business loans, also termed HDFC Business Growth Loan, up to Rs. 40 lakh (Rs. 50 lakh in select locations). The loan amount is offered without any collateral, security or guarantor. The business loan interest rate range offered by the HDFC bank is 10.00% – 22.50% p.a. along with the repayment tenure from 1 year to 4 years. HDFC Bank also allows existing business loan borrowers of other lenders to transfer their loans at lower interest rates.
Also Know – Which bank is offering lowest interest rate on business loan?
Additional Fees & Charges
Apart from the interest rates as well as the terms and conditions mentioned above, the fees and charges applicable on business loans are as follows:
| Pre-payment charges | 07-24 Months – 4% of Principal Outstanding 25-36 Months – 3% of Principal Outstanding More than 36 Months – 2% of Principal Outstanding |
| Charges for changing from floating to fixed rate of interest | Not applicable |
| Stamp Duty & other statutory charges | As per applicable laws of the state |
| Loan Processing Charges | Up to 2.50% of the loan amount subject to a minimum of Rs. 2359/- & Maximum of Rs. 88500/- |
| Credit assessment charges | Not applicable |
| Non-standard repayment charges | Not applicable |
| Cheque swapping charges | Rs 500/- |
| Amortization Schedule charges | Rs 200/- |
| Loan cancellation charges | NIL |
| Cheque Bounce Charges | Rs 550/- per cheque bounce |
| Legal/incidental charges | At actual |
| Charges for changing from fixed to floating rate of interest | Not applicable |
| Loan Closure Letter | NIL |
| Duplicate Loan Closure Letter | NIL |
Note: The above-mentioned fees and charges may change and shall depend on the sole discretion of the bank and RBI.
Eligibility Criteria
| Eligible Entities | Self-employed individuals, Proprietors, Private Ltd. Co., and Partnership Firms |
| Age group | 21 years to 65 years |
| Minimum turnover | Rs. 40 lakh |
| Business in existence | 3 years with 5 years of business experience |
| ITR | Rs. 1.5 lakh per annum |
| Loan amount | Up to 40 lakhs (up to 50 lakhs in selected location) |
Also Know How the EMI is calculated in a business loan from bank?
Documents required for Loan Application
- PAN Card for Company/Firm/Individual
- Copy of Aadhaar Card/passport/Voter’s ID Card/PAN Card/Driving Licence as identity proof and as address proof
- Bank statements for past 6 months
- Latest ITR along with computation of income, balance sheet and Profit & Loss account for the previous 2 years, after being CA Certified/Audited
- Proof of continuation (ITR/Trade License/Establishment/Sales Tax Certificate)
- Sole Prop. Declaration or Certified Copy of Partnership Deed is Mandatory
- Certified true copy of Memorandum & Articles of Association (Certified by Director) & Board resolution (Original) are Mandatory
You can seek guidance from the information centre of the respective bank for better understanding. It’s better to always check and re-check before applying for any loan and so on.
Features and Benefits
HDFC Bank has become the first choice for fast-growing business loan seekers because of its promise to provide some business-friendly benefits. The salient features and benefits of HDFC bank business loans are:
- Provide up to 40 lakhs (up to Rs. 50 lakh in selected locations) without any collateral, guarantor or security.
- Transfer loan balance at the lowest interest rate of 15.75% with a processing fee of 0.99% of the sanctioned loan amount.
- Pay the interest only on the amount utilized
- Convenient borrowing via SMS, Webchat, Click2Talk and Phone Banking
- No payment after in case of death of the customer
- Lowest EMI per Lakhs
Customer care numbers: 61606161 / 6160616
FAQs
Q.: How much loan I can avail under HDFC Business Loan Scheme?
Ans: You can avail a loan of Rs. 50,000 to Rs. 50 lakh depending on the income, repayment capacity, and respective location.
Q.: How do I repay my Business Loan?
Ans: You can pay your loan by Equal Monthly Instalments (EMIs) or Post-dated Cheques. It can also be paid through Electronic Clearing System (ECS) or a standing instruction to debit your HDFC bank account with the EMI account.
Q.: Is there any processing fee included?
Ans: Yes, a nominal amount has to be paid according to the type of loan. All the instructions will be provided with the application form itself.
Q.: How to check HDFC business loan status?
Ans: You can track your business loan status via login to your account. Else, you can always call to HDFC bank’s customer care to meet your queries.
Q.: Can I get a Business loan for a start-up/small business?
Ans: Yes. You can get Business loan for start-up/Small Business. To avail that you have to meet certain criteria fixed by the bank. You can apply online or directly approaching the branch by providing all the required documents.