Many people aspire to create their own business or, if they already have one, to expand and improve it. Whether it’s a small business or a multinational corporation, everyone needs money at some point. Banks such as Kotak Mahindra Bank offer business loans specifically for this reason mentioned below. You can check eligibility criteria, interest rates, and repayment tenure for availing of the loan.
Eligibility criteria of Kotak Mahindra Bank Business Loan
Listed below are some of the basic eligibility checks required for availing Kotak Mahindra Business Loan:
- Manufacturers with a one-crore annual revenue
- Service providers with a revenue of Rs. 50 lakhs per year
- The applicant/borrower must have been in business for the past three (3) years and have made a cash profit for the previous two (2) years.
|Loan Amount||Rs. 3 lakhs up to Rs.75 lakh|
|Tenure||Minimum of 12 months up to a maximum of 60 months|
|Kotak Mahindra Bank Business Loan Interest Rate||11% to 18%|
|Loan Processing Charges||Up to 2% of the loan amount|
|Prepayment||There is no pre-payment permitted until repayment of 12 EMIs|
|Pre-payment charges||5% of the outstanding amount as per reducing balance method on the date of repayment|
|Charges for late payment of EMI||3% of Additional Amount, compounded monthly|
Documents required to submit for Kotak Mahindra Bank Personal Loan
Along with your Business Loan application, you’ll need the following documents:
- PAN Card – Individual/Company/Firm
- As proof of identity, a copy of any of the following documents:
- Voter’s ID Card
- Aadhaar Card
- Driving License with a PAN Card
- As evidence of address, a copy of any of the following documents:
- Aadhaar Card
- Voter’s ID Card
- Driving License
- 6-month bank statement
- After getting CA Certified/Audited Proof of continuation (ITR/Trade license/Establishment/Sales Tax Certificate) for the preceding two years, coupled with computation of income, Balance Sheet, and Profit & Loss account
Repayment of Kotak Mahindra Bank Business Loan
You have three options for repaying your Kotak Mahindra Bank business loan.
- Standing Instruction (SI): If you already have an account with the lender bank, standing instructions are a convenient approach to pay your EMI. At the end of each monthly cycle, your EMI amount will be automatically debited from the Kotak Mahindra Bank account you choose. It’s straightforward, and you won’t have to remember to pay the loan manually every month.
- Electronic Clearing Service (ECS): If you don’t have an account with the lending bank, you can use Electronic Clearing Service (ECS), which allows you to give the lender bank permission to automatically take money from another bank account each month.
- Postdated Cheques (PDCs): You can submit postdated cheques to the lender bank for the life of the loan, and the bank will deposit them each month on the date you specify. The majority of banks only offer this service in places where ECS or SI are not available. This strategy also has the disadvantage of the bank losing the checks due to the long period of tenure.
How to apply for Kotak Mahindra Bank Business Loan?
A company loan can be applied for in one of two ways:
- Online: Many banks, such as Kotak Mahindra Bank, have business loan applications available on their websites. All a customer has to do is go to the website and click the Apply button. Fill out the form with the requested information, and their application process will begin.
- Visit a branch: To apply for a business loan, a person might go directly to a branch. You have the opportunity to negotiate acceptable loan conditions using this strategy. A new application form will be provided, which must be filled out and sent along with the required documentation.
Kotak Mahindra Bank Application Form
At the bank branch, you can pick up an application form. You can get the form from the customer service representative. The following fields are included in the form:
- Personal Information
- Occupational Specifications
- Information on your earnings and bank accounts
- Information on the loan
- Additional Asset Information Documents Submitted in the Priority Sector Category
Kotak Mahindra Bank Customer Care Number
The bank’s customer service line is available 24 hours a day, seven days a week. Customers can contact us at any moment to learn more about the Kotak Mahindra services and products. Get all the details about the product by calling the toll-free number 1860 266 2666.
In the end, it is concluded that Kotak Mahindra Bank Business Loan Interest Rates are offered at a low rate. You can check other details such as the process to apply, information on the application form, and the repayment of EMI. For more details, you can contact Kotak Mahindra Bank customer care or contact Afinoz.com that helps to avail of the loan simply.