Citibank offers the facility of Loan against Fixed Deposits (FD) held with Citibank to all its domestic customers. Loan against FD is an ideal way to meet the financial requirements when the need arises without liquidating the fixed investment.
Citibank offers 90% of the value of the deposit held without breaking the deposit. The applicants are not just restricted to use their own FD’s to take loan against FD, instead Citibank also offers loan against FD registered on the name of family holder’s deposit.
The list of key benefits mentioned below makes it convenient to borrow loan from Citibank against FD:
- Fast and convenient: Documentation to take loan against FD with Citibank is easy, convenient and hassle free.
- Keeps FD intact: Without liquidating the FD and disturbing the future planning, one can easily get economic source of finance to meet urgent monetary requirements.
- Charged on usage only: Citibank offers a unique feature to its customers for which they are charged competitive interest only upon usage.
- Promotes Family supports: Applicants can avail loan against deposits held by members of the same household.
- Loan limit: Citibank offers loan limit of up to 90% of deposit value, which is subject to a minimum of Rs.1 Lakh.
- Resident Individuals must be older than 21 years
- Private Limited Companies
- Sole Proprietorship and Partnership firms
- Stock Brokers
- Closely held Public Limited Companies
- Loan is granted against FD that is free from lien and restraint.
- Loan is not granted against fixed deposit opened in the name of a minor.
- For taking loans against FD held jointly, all the parties have to sign the loan documents. The responsibility of repayment of loan is thus borne by all the holders.
- The deposit holder continues to get interest on the underlying deposit and he/she is supposed to make repayment towards the loan either in EMIs or lump sum.
One has to follow a simple procedure to avail loan against FD from Citibank:
- Check if you are eligible for Loan against FD using the eligibility calculator
- Based on your income and liabilities, a quote for the loan amount will be given
- Provide the requisite documents for loan processing