Hypothecation Loan
Hypothecation Loan is provided for the purpose of growth of a firm or company. This type of loan can be considered for SSI, other manufacturing and processing industrial unit to meet their need for establishment of new unit, purchase of plant and machinery. The loan can be considered against the hypothecation of plant and machinery and finished/semi-finished goods. Society considers a loan for up to 75% of the value of plant and machinery and stock. Wherever possible, land and building owned by the applicant/borrower shall be taken as collateral security by way of mortgage.
Requirements
- Member of the Belagavi Shree Basaveshwar Co-Operative Bank Ltd.
Holding either single account or joint account with other family members’ viz., father, mother, wife, son or daughter with regular source of income.
- Individuals who may be employed/self-employed in business having regular income.
Permanent employee of Central/State/Defense/Police Force/Public or Joint Sector Undertaking/reputed firms/established Educational Inst/Professional/Businessmen having regular income.
- SMS Alerts for Transactions.
Purpose of Loan
- For purchase of new two/four wheelers, for personal or professional use.
- For purchase of consumer durables.
- For Purchase of Machinery and Equipment
Budget of Finance
- 85% of Cost of vehicle, Consumer Durables, Machinery & Equipments etc.
Repayment Details
- By EMI
- The maximum repayment period should not exceed 7 years
Other Features
- No prepayment penalty
- Insurance facility against Personal Accident (Death)
- Flexible repayment schedule
- Interest on a daily reducing balance basis.
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.
- Quotation for article to be purchased.
- Security of two guarantors and Hyphotication of article to be purchased.
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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