Bank of India is one of the leading commercial banks that has expanded its presence substantially in the last few years, nationally as well as internationally. Bank of India provides a range of banking and financial products to its customers, that includes various types of MSME loans to individuals, proprietors, firms and companies.
Table of Contents :
Types of MSME Loans from Bank of India – 2021
Loan Types / Categories | Star Laghu Udyami Samekat Loan | Star SME Liquid Plus | Star SME Contractor Credit Line |
Min. Loan Amount | Rs. 5 lakh | Rs. 10 lakh | Rs. 10 lakh |
Max. Loan Amount | Rs. 1 crore | Rs. 5 crore | Rs. 5 crore |
Interest Rate | 10.20% onwards | As per applicant’s profile | As per applicant’s profile |
Repayment period | Max. up to 5 years | Max. up to 7 years | As per loan amount |
Note: The mentioned interest rates, fees and charges are subject to change and depend on the sole discretion of the bank and RBI. GST and service tax shall be levied extra on the mentioned charges
The enterprises/business owners who wish to get financial assistance from Bank of India can apply for its business loans. These loans can be utilized for business expansion purposes and meeting working capital requirements. Depending on the type of loan, various documents need to be furnished with the bank for assessment of the business and eligibility criteria. After verification of documents, Bank of India may sanction business loans to applicants.

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Also Check & Compare – Business Loan Interest Rate of Top Banks
Loan Schemes from Bank of India
Below mentioned are the key loan products offered by Bank of India:
1. Star Laghu Udyami Samekat Loan
The Star Laghu Udyami Samekat Loan is offered to Micro and Small Enterprises, for a maximum repayment period of 5 years, with a moratorium of 3-6 months. The loan is a Composite Loan in the form of Demand/ Term Loan, given for investment and working capital requirements of the small businesses.
Quantum of Loan:
Rural Area: Maximum Amount – Rs. 5 lakh
Semi-urban Area: Maximum Amount – Rs. 10 lakh
Urban Area: Maximum Amount – Rs. 5 lakh
Metro Area: Maximum Amount – Rs. 1 crore
Rate of Interest:
Upto Rs. 50,000: 10.20% onwards
From Rs. 50,000 to Rs. 5 lakh: 11.20% onwards
From Rs. 5 lakh to Rs. 10 lakh: 12.20% onwards
From Rs. 10 lakh to Rs. 1 crore: 12.95% onwards
Documents Required:
- KYC documents
- Deed of Hypothecation CH1/ CH2
- Demand Promissory Note
- Installment letter
- Equitable Mortgage as Primary Security
- Other documents required for demand loans
2. Star SME Liquid Plus
Star SME Liquid Plus loan is a term loan, given to proprietorship / partnership firm which qualifies to be a SME. The firms need to be doing business for at least 3 years and should be making profit for last 2 years to apply for this loan. The businesses must have entry level credit rating of SBS 5. The loan needs to be repaid through 84 installments, within 7 years with a moratorium of up to 12 months.
Quantum of Loan: Minimum Rs. 10 lakh and Maximum Rs. 5 crore
Rate of Interest: Depends on the prevailing structure of the bank
Documents Required:
- Identity and residence proof along with borrower’s photograph
- Balance sheet/ Profit & Loss statement of last 3 years
- Partnership letter if the applicant is a partnership firm
- MoA and AoA of the company
- Certificate of Incorporation and Commencement of Business
- Copy of Board Resolution for availing loan, if the applicant is a limited company
- Deed of Guarantee No. OD – 194 (if applicable)
- Term Loan Agreement cum Hypothecation Agreement No. IFD – 1 / IFD – 10 / L – 516 (Whichever applicable)
3. Star SME Contractor Credit Line
The Star SME Contractor Credit Line loan is a line of credit given for meeting the working capital needs of civil contractors, mining contractors, engineering contractors, transport contractors, etc. This line of credit is offered to established proprietorship firms, partnership firms, limited companies, etc. The applicant company must be engaged in doing business for the last 3 years and should have the entry level credit rating of SBS 5.
Quantum of Loan: Minimum Rs. 10 lakh and Maximum Rs. 5 crore
Rate of Interest: Depends on the applicant’s profile and loan amount
Documents Required:
- Identity and residence proof along with the borrower’s photograph
- Balance sheet/ Profit & Loss statement of last 3 years
- Partnership letter, if the applicant is a partnership firm
- Certificate of Incorporation and Commencement of Business
- Copy of Board Resolution for availing loan if the applicant is a limited company
- P Note LG – 12 Application for Documentary Credit
- Bearer letter LG – 13
- L – 516; LG – 15 Counter Guarantee
- For Fund based; For BG; For LC: IFD – 10
- OD – 194 (if applicable)

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Bank Of India Customer Care Number
Toll-Free Numbers: 1800-220-229 / 1800-103-1906
Landline Number (For customers within India) – (022) 40919191
Also Read: Top 6 Government Loan Schemes for Small Businesses
BOI MSME Schemes
Apart from these loans, the Bank of India also offers different loans for specific purposes that are as follows:
- SME Auto Express: To SMEs run by individuals/ companies/ societies/ trusts/ firms for purchasing new vehicles
- Star SME Education Plus: To Educational institutions for construction/ repair of the infrastructure and purchase of equipment/ fixtures
- BOI Star Doctor Plus: To qualified individuals, as well as healthcare firms/ companies/ trusts with 51% shareholding of qualified practitioners
- Star Start-up Scheme: To the eligible start-ups for funding innovation/ development/ deployment/ commercialization of new product/ process/ services
- Star MSME E-Rickshaw Finance: To the transport operator individuals/ firms for purchase of new e-rickshaws and battery replacement
Additional MSME Schemes
- (TReDS) Trade Receivables E-Discounting System
- BOI Star Doctors Plus
- BOI Star Vyapar
- CLCS-TU Scheme
- Loan for Small Road & Transport Operators (SRTOs)
- Pradhan Mantri Credit Scheme
- STAR Asset Baked Loan (BSABL)
- STAR Channel Credit
- Star Laghu Udyami Samekat Loan
- Star MSME E-Rickshaw
- Star MSME GST Plus Scheme
- Star SME Auto Express
- Star SME Contractor line of Credit
- Star SME Education Plus
- Star SME Liquid Plus
- Star Start-Up Scheme
- Star Weaver MUDRA Scheme
- Technology Upgradation Fund Scheme
Bank of India also offers loans under various Government sponsored schemes, such as PMMY, Stand up India, PMEGP, Pradhan Mantri Credit Scheme, Weavers Mudra Scheme, Cluster Financing, etc.
How to Apply for Bank of India Business Loan with Paisabazaar?
Bank of India offered numerous business loan schemes to its customers. You can visit Paisabazaar.com to choose from all the available schemes from Bank of India. To apply for your chosen loan scheme, follow these simple steps:
Step 1: Visit Paisabazaar.com to select the desired loan scheme offered by the Bank of India
Step 2: Fill in the loan application form and upload the required documents
Step 3: Bank will verify the documents and if convinced shall provide the loan approval
Step 4: After loan approval bank shall disburse the loan amount
Steps to Check Bank of India Business Loan Application Status
Follow the below steps to check your loan application status with Bank of Baroda:
Step 1: Visit the official website of Bank of Baroda or click here: https://www.bankofindia.co.in/Dynamic/Loan_Tracking
Step 2: Mention your Application Number
Step 3: Enter Your Mobile Number
Step 4: Click on the ”Submit” button to know your loan application status
Comparison of Bank of India Business Loan vs Other Lenders
FAQs
Q1. How can I get a business loan from the Bank of India?
Ans. You can apply for a business loan by visiting paisabazaar.com to check and compare all Business/MSME loans from the Bank of India to choose to further proceed with loan details with the bank’s representative.
Q2. How do I apply for a Bank of India business loan offline?
Ans. To apply for Business loan from Bank of India, you personally as an applicant need to visit the bank branch with duly filled application form, business plan and along with all the required documents. After submitting the application form and documents, one of the banks’ representatives shall proceed with the loan formalities.
Q3. Can I re-apply for a Bank of India business loan, if my loan application gets rejected?
Ans. This totally depends on the sole discretion of the bank and shall vary from case to case.
Q4. How can I check my loan status in BOI?
Ans. To check your loan application status you can click on the below link and fill in the loan application number, along with a registered mobile number.
https://www.bankofindia.co.in/Dynamic/Loan_Tracking
Q5. What is the business loan approval process of Bank of India?
Ans. Below mentioned is the step-wise loan approval process of Bank of India:
Step 1: Visit paisabazaar.com to check and compare from all the business loan options offered by Bank of India.
Step 2: Pick the deal that suits your business requirements by just filling the basic details like your name, mobile number, residence, loan amount, email address, annual turnover & profit, etc.
Step 3: After submitting the details, paisabazaar’s customer care professional will contact you to verify the submitted details and to proceed with the discussion on the chosen loan deal.
Q6. What are PSB loans in 59 minutes in Bank of India?
Ans. Applicants can apply for SME or MSME loans from Bank of India with the help of PSB loans, as they provide loan approval within 59 minutes of loan form submission.
Also Read: What type of documents are required for 59 minutes Loan?
Q7. What is the loan amount in PSB loans in 59 minutes?
Ans. The loan amount offered by banks under PSB Loans in 59 minutes is minimum from Rs. 1 lakh and maximum up to Rs. 5 crore.