Godown Loan
We provide the working capital requirements based on current and future expansion plans against the Pledge of Stock as well. We help you to meet your everyday operational fund requirements and immediate business obligations.
Funds are provided based on the underlying operational efficiency of the company/firm/unit and integrity.
Key Points
- Interest is to be paid only on the outstanding balance
- Low rate of Interest.
- Other conditions in line with working capital finance points.
- A borrower will be granted advances only against goods in which he normally deals.
- Turnover of goods is a significant indicator to judge the marketability of goods.
- The goods will be valued based on purchase or market price whichever is less.
- Obsolete goods are not at all accepted for pledge.
In course of operation of the account, if any goods became stale/obsolete, the same be immediately changed with marketable goods, or the D.P (drawing power) shall be reduced to the extent of such pledged goods.
- A sign board indicating goods pledged in favour of the bank will be displayed on the godown.
- Keys are to be kept with the bank.
- At the time of lodgement of goods, the original invoices covering the goods will be verified.
- Possession of pledged goods will be parted with only against proportionate repayment of debt.
Security
The cash credit pledge advances shall be granted by the bank against following securities:
- Against the personal sureties of two/three guarantors acceptable to the bank.
Criteria for Loan Sactioning
- Application in Prescribed form
- Two photographs of Borrower and Guarantors
- Address proof of Borrower and Guarantors
- Income proof, Copy of Income Tax Return, Financial Statement of the Firm, Sales Tax returns etc.
- Profile of Guarantors.
- Loan should be guaranteed by two financially sound members having net individual worth twice the loan amount.
Documentation
- Brief history and profile of Company and its promoters.
- Bank Statements for last 12 months of all existing loan including Cash Credit if any.
- Any other documents as required by the bank at a later stage
Officially Valid Documents
Two latest passport size photographs and any one of the officially valid documents as Identity and Address proof from the list below,
- Aadhar Card
- PAN Card
- Voter's Identity Card
- Driving License
- Passport
- Ration Card
- Electricity Bill
General Rules
- Bank reserves the right to alter, revise and cancel the rules from time to time.
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