Oriental Bank Of Commerce Business Loan
Last Updated : Nov. 2, 2016, 7:32 a.m.
The Oriental Bank of Commerce business loan is provided to the traders, micro, small and medium enterprises engaged in manufacturing and services, contractors, authorized service centres, hotels and guest houses. It helps them by granting the hassle free credit to meet the working capital requirements and to raise their scale of operation. The bank lends the loan up to Rs. 2,00,00,000 for the maximum duration of 7 years.
Oriental Bank Of Commerce Business Loan Details
| Particulars | Details |
|---|---|
| Interest Rate | 9.90% - 11.15% |
| Loan Amount | Up to Rs. 2,00,00,000 |
| Tenure | 84 months (7 years) |
| Processing Fee | 0.50% of the loan amount + Service taxes |
| Penalty Charges | 2% above existing rate of interest |
| Type Of Loan | Secured |
How To Apply for Oriental Bank of Commerce Business Loan
To apply for a business loan in the Oriental Bank visit the nearest branch office with the necessary documents. Fill in the application form and submit it along with the documents. After the verification of the documents and the information provided in the form, the bank authorities will inform you whether your application is accepted or rejected.
Oriental Bank Business Loan EMI Calculator
The reliable way of calculating the EMI is using the EMI calculator. The Business Loan EMI Calculator is a device designed to make the calculation of EMI quick and simple. It helps in computing the value of interest payable on the loan taken. Through it, we can know how much amount we need to pay per month and plan our funds accordingly. To know the EMI value the user must put in the amount of loan, tenure and the rate of interest in the calculator.
For Instance, If I avail the loan of Rs. 2,00,00,000 for the tenor of 84 months at the interest rate of 11.95% p.a then my monthly installment will be Rs. 3,52,520 . And the total interest outgo will be Rs. 96,11,688 .
Table Showing EMI, Total Interest Amount, Total Repayment Amount
| Loan Amount (in Rs.) | Interest Rate (p.a) | Tenure (in years) | EMI (in Rs.) | Total Interest Amount (in Rs.) | Total Repayment Amount (Principal + Interest) (in Rs.) |
|---|---|---|---|---|---|
| 2,00,00,000 | 11.95% | 1 | 17,76,508 | 13,18,096 | 2,13,18,096 |
| 2,00,00,000 | 11.95% | 2 | 9,41,003 | 25,84,060 | 2,25,84,060 |
| 2,00,00,000 | 11.95% | 3 | 6,63,809 | 38,97,112 | 2,38,97,112 |
| 2,00,00,000 | 11.95% | 4 | 5,26,186 | 52,56,921 | 2,52,56,921 |
| 2,00,00,000 | 11.95% | 5 | 4,44,384 | 66,63,027 | 2,66,63,027 |
| 2,00,00,000 | 11.95% | 6 | 3,90,484 | 81,14,849 | 2,81,14,849 |
| 2,00,00,000 | 11.95% | 7 | 3,52,520 | 96,11,688 | 2,96,11,688 |
Amortization Table
| Year | Principal (in Rs.) | Interest (in Rs.) | Balance Amount (in Rs.) |
|---|---|---|---|
| 1 | 1,944,454 | 2,285,786 | 18,055,546 |
| 2 | 2,189,974 | 2,040,266 | 15,865,572 |
| 3 | 2,466,495 | 1,763,745 | 13,399,077 |
| 4 | 2,777,935 | 1,452,305 | 10,621,142 |
| 5 | 3,128,695 | 1,101,545 | 7,492,447 |
| 6 | 3,523,749 | 706,491 | 3,968,698 |
| 7 | 3,972,174 | 261,556 | 0 |
Features And Benefits
- Lower rate of interest
- Benefit of fast disbursal
- Flexible tenure lasting up to 84 months
- Few documents required
Oriental Bank Business Loan Eligibility Criteria:
- Proprietorship, Partnership firms, Private / Public Ltd. Cos., engaged in business activity Business in their line of business for minimum 1 year and having satisfactory dealings
- Business units established by close relatives (viz. spouse, parent, brother, sister, son, daughter) of existing customers with satisfactory dealings, even if these are established for less than 1 year
- Business Unit should comply with applicable statutory requirements, such as State/ Central Sales Tax Registration Certificate, License under Shops & Commercial Establishment Act, Registration with Excise Department, trade license etc
Oriental Bank Business Loan Application Form
To avail the facility of a business loan from Oriental Bank you need to submit the application form available at the nearest bank branch. The form consists of following sections that are to be necessarily filled:
- Amount of loan
- Name of Applicant
- Place of business
- Proprietor/ Partner residential address
- Contact details
- Date of business establishment
- Contact numbers
- Banking details
- Nature of business
- Details of proprietors and partners
- Business performance details
- Security and other collateral details
- Working capital requirement details
Documents Required for Oriental Bank of Commerce business loan
| Category | Documents Required |
|---|---|
| Proprietorship | 1.KYC Documents of promoter and co-applicants 2. Shop and establishment certificate/ VAT/ Sales Tax Registration Certificate 3. PAN Card 4. Last 2 years financials with audit report 5. Last 6 months Bank statement of all bank accounts 6. Existing facility sanction letter/ Repayment Track Record (RTR) of existing loan, if any 7. Proforma invoice of machinery, in case of Plant & Machinery Loans 8. Property Documents in case of Property Term Loans |
| Partnership Firms | 1. Registered partnership deed 2. KYC of partners 3. PAN Card of firm and partners 4. Shop and establishment / VAT/ Sales Tax Registration Certificate 5. Last 2 years financials with audit report 6. Last 6 months Bank statement of all bank accounts 7. Existing facility sanction letter/ Repayment Track Record (RTR) of existing loan, if any 8. Proforma invoice of machinery, in case of Plant & Machinery Loans 9. Property Documents in case of Property Term Loans |
| Private and Public Companies | 1. Memorandum of Association(MOA) / Articles of Association(AOA) 2. Latest shareholding pattern 3. KYC of Directors 4. PAN Card of the Company and Directors 5. Last 2 years financials with audit report 6. Last 6 months Bank statement of all bank accounts 7. Existing facility sanction letter/ Repayment Track Record (RTR) of existing loan, if any 8. Proforma invoice of machinery, in case of Plant & Machinery Loans 9. Property Documents in case of Property Term Loans 10. Declaration that borrower, Company or any of its Directors have not been debarred / black listed / penalized by any Stock Exchanges / SEBI/ RBI. A Declaration that the proposed borrowing is within the limits prescribed u/s 293(1)(d) of the Companies Act, 1956 |
Primary Security Required
- Hypothecation of stock / book debts / fixed assets of the borrower/ assets created out of Bank finance
- Mortgage (Registered or Equitable) of immovable property(s)/ factory land and building and / or any other property (Land & Building) standing in the name of individual/ joint owners/ promoters, viz. Proprietor/ Partners/ Directors/ close relatives, ( viz. spouse, parent, brother, sister, son, daughter) who will also stand as Guarantors
Factors Affecting Business Loan Eligibility:
- Loan Repayment track
- Credit Performance / Credit Bureau Update
- Debt servicing ability of the customer
- Business Vintage
- Financial Ratios
- Existing relationship
Oriental Bank Of Commerce Customer Care
The detailed information regarding the product can be gathered by calling the customer care helpline. Feel free to call on the helpline numbers mentioned below during the working hours :
- 1800 180 1235
- 0124- 2340940