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Equitas Small Finance Bank is a private sector bank with its headquarters located in Chennai, India. It offers various loan options to its customers including home loan, business loan, gold loan, car loan, loan against property, and more.
Equitas Bank doesn’t offer any loan under the name of ‘Personal loan’. However, the bank offers MSME loans to self-employed individuals. This loan can be used for business expansion and also for personal expenses like medical expenses, higher education, renovation of home, etc.The bank provides overdraft account facility and cash credit to its MSME loan customers. It also offers microfinance loans to its customers who have an annual household income of up to INR 3 lakhs.
So, we’ll check out the details of both types of loans that you use for personal purposes.Equitas Bank Personal Loan Details
Feature | Description |
|---|---|
Interest Rate | - MSME Loans: Varies based on your creditworthiness - Microfinance Loans: 18% to 26% per year |
Loan Amount | The bank decides it based on your eligibility |
Repayment Tenure | The bank decides it on a case-by-case basis |
Processing Fee | Up to 2% of the loan amount you borrow |
Equitas Personal Loan Interest Rate
Equitas Bank offers Microfinance loans with interest rates ranging from 18% to 26%. The average rate stands at 25%. Equitas Bank does not currently disclose interest rates for MSME loans. However, they do say that MSME loan interest rates are connected to the FBIL 3-month Treasury Bill rate.Equitas Bank Personal Loan - Fees and Charges
Loan processing Fees
- MSME Loans: Up to 2% of the loan amount
- Microfinance Loans: Up to 1% of the loan amount for loans above Rs 25,000
Preclosure/Part Pre-closure Charges
- Preclosure Charges (Full):
- Working Capital: 4% of sanctioned amount
- Term Loan: 4% of principal outstanding
- Preclosure Charges (Part):
- Term Loan: 4% on prepaid principal amount
Other Charges
Fee/Charge | Description |
|---|---|
Proposal Login Fee | This is a one-time, non-refundable fee of Rs. 500 to access and submit your loan application. |
Renewal/Review Fees | You might be charged a fee of up to 2% of your loan amount if you need to renew or have your existing loan reviewed. |
Late Payment Charges | If you miss a payment on your term loan, you'll be charged a penalty of 24% per year on the overdue amount until it's paid. |
Conversion Charges | There's a one-time conversion fee if you want to convert your loan type. The fee depends on your loan type: * Term Loan: 0.25% of your outstanding loan principal or Rs. 5000, whichever is higher. * Working Capital: 0.25% of your sanctioned loan amount or Rs. 5000, whichever is higher. |
CERSAI Charges | You'll be charged Rs. 100 per security registered with CERSAI. |
Working Capital Penal Interest | If you don't meet the conditions for using your working capital, you'll be charged an additional 2% annual interest rate on the utilised amount. |
Term Loan Penal Interest | If you don't meet the conditions for your term loan, you'll be charged an additional 2% annual interest rate on your outstanding loan principal. |
Disclaimer: The above information is written as of May 2024 and is subject to change. Please contact the bank or refer to Equitas Bank’s official website for the latest information on interest rates and the application process.
Equitas Personal Loan Eligibility Criteria
- To qualify for an MSME loan: You must be self-employed.
- To qualify for a microfinance loan: Your annual household income must be Rs 3 lakh or less.
Equitas Bank may also consider these factors for all personal loan applications (including MSME and microfinance loans):
- Age
- Credit score
- Monthly income
- Minimum work experience (for MSME loans)
- Business continuity (for MSME loans)
Equitas Bank Personal Loan - Documents Needed
ID Proof:
- PAN
- Driving Licence
- Adhaar Card/ Voter ID Card
- Passport
Address Proof:
- Aadhaar Card
- Driving Licence
- Passport
- Ration Card
- Utility Bill (telephone, water, electricity, gas of less than 2 months old)
FAQs on Equitas Personal Loan:
1. What is the interest rate for Equitas Bank's personal loan?
Equitas Bank charges different interest rates for MSME and microfinance loans. The rate also depends on your credit history. They don't publish specific rates for MSME loans, but microfinance loans range from 18% to 26% annually.
2. What is the loan limit for Equitas Small Finance Bank?
Equitas Small Finance Bank keeps its maximum loan amount private. They decide how much you can borrow based on your eligibility.
3. What is the processing fee for Equitas loan?
When you get a loan from Equitas, you'll pay a processing fee of up to 2% of the loan amount.
4. What is the minimum balance for Equitas?
INR 10,000/- In Metro and Urban branches, INR 5000/- in Semi-urban branches, and INR 2500/- in Rural branches.
5. What kind of loans does Equitas bank offer?
Equitas Bank offers various types of loans ranging from home loans, gold loans, loans against property, car loans, and different types of business loans.
Disclaimer: This page includes information that has been compiled from many sources and is only offered for informational purposes. Since this type of data might change over time, we cannot guarantee that the information supplied or included within it is accurate. It is anticipated that the user would confirm with the relevant source prior to taking any choices or actions.
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