Bank offers a range of banking solutions to individuals, corporates, MSMEs and also NRIs. Besides offering deposit accounts, the bank also offers different types of loans. Business loans are loans which are availed by businessmen, traders or professionals for setting up their business or for expanding an existing one. The loan provides funds necessary for the growth and development of their business.
Popular Dena Bank Business Loan Products:
- Dena Doctor +
This loan scheme is designed for doctors and medical practitioners. The loan offers them funds for establishing their clinic, buying medical equipment, renovating or modernising the clinic or hospital, for creating a X-Ray or pathology lab, etc.
- Individuals and partnership firms can avail the loan if the borrower has a minimum qualification of MBBS and BDS. It is a composite loan which combines a term loan and a working capital loan.
- The minimum age of the loan applicant is 25 years and the maximum age is 65 years at the time of loan maturity.
- A maximum of Rs.2 crores can be availed as loan. If the loan is also used for meeting the working capital needs, a maximum of 10% of the loan availed can be used for such purposes.
- The processing fee is low and is 0.5% of the loan amount subject to a maximum of Rs.50,000. The loan can be paid back over a 7 year period and the borrower can also enjoy a moratorium period of 6 months if the loan is taken as a term loan.
Dena Bank Doctor Plus Interest Rate
Interest Rate for Doctor Plus Business Loan start at 10.55%. The final interest rate is decided by the banks on the basis of the financial profile of the loan applicant.
- Dena Professionals Loan Scheme for CA, CS and CFA
- This is a professional business loan which is available exclusively for Chartered Accountants, Chartered Financial Analysts and Company Secretaries who are not employed with any company for the last two years.
- The minimum loan amount available is INR 2 lakhs and the maximum is up to INR 1 crore. The loan can be taken as a term loan or a working capital loan. The loan has a margin of 25% of the cost of capital thereby providing finance of 75%.
- This is a secured loan which is issued against the hypothecation of assets bought using the loan amount. Moreover, mortgage of an immovable property is also required as collateral for the loan.
This is a secured loan which is issued against the hypothecation of assets bought using the loan amount. Moreover, mortgage of an immovable property is also required as collateral for the loan. The loan can be paid over a maximum tenure of 10 years. Prepayment facility is available for prepaying the loan. However, prepayment is allowed with a prepayment charge which is 0.5% of the loan amount. The interest rate on the loan is affordable and interest is calculated on a daily reducing basis.
- Dena Trade Finance Scheme
This is a trade loan which is offered to dealers, stockists and commodity traders registered under GST.
- The loan is offered for meeting the financial requirements of trade and business. The loan quantum is Rs.2.5 lakh in the minimum and Rs.5 crores in the maximum.
- Cash credit facility is also available under the loan which would be equivalent to 20% of the projected turnover. Besides cash credit and term loan, non-fund based credit is also allowed like bank guarantee and Letter of Credit.
- The loan is secured in nature and the collateral required depends on the type of loan being availed. In case of cash credit hypothecation of stock and debts is taken as collateral. In case of term loans, assets purchased using the loan are hypothecated as collateral.
- The repayment tenure for term loans is up to 5 years. For cash credits, bank guarantee and letter of credit, the repayment tenure is decided by the bank from time to time.
- Dena Shakti
Dena Shakti is a SME loan especially designed for women entrepreneurs to facilitate them to establish and run a successful business. Dena Shakti Loan is allowed for the following activities –
- Any type of agricultural and allied activities
- Small enterprises which include micro and small manufacturing business, service business, self-employed professionals and business women
- Any type of retail trade and business
- Micro credit activities
- Education related activities
- Housing activities
The amount of loan which is allowed depends on the activity which is being financed using the loan and the RBI ceiling of loan on such activity. For instance, for retail trade and business, RBI stipulates a maximum loan amount of up to Rs.20 lakh. For education and housing activities the maximum ceiling is also Rs.20, 000 whereas for micro credit, the maximum limit is Rs.50,000. The rate of interest is low and directed by the principles of the bank and RBI. However, since the loan is meant for women, a concession of 0.25% is allowed in the applicable interest rates of the loan.
These are the primary loan schemes which Dena Bank offers to businesses and professionals. Borrowers who are interested to apply for any loan scheme of the bank can contact the bank executives and apply for the loan.
Documents Required for Dena Bank Business Loan
Below mentioned are some documents that are required to apply for a business loan from Dena Bank:
- Loan Application along with recent photographs
- Proof of Identity
- Proof of Address
- Proof of Age
- Income Proof (Bank Statements, Bank Passbooks or salary slips)
- Income Tax Returns along with Form 16
Eligibility Criteria for Dena Bank Business Loan
Below mentioned are some eligibility criteria that are set by the bank
- The loan applicant should be at least 25 years of age and the maximum age should be 65 years to apply for a Dena Bank Business Loan
- The loan applicant should not be a defaulter of any bank or any financial lender.
- The loan applicant should have a partnership firm or own business.
Check your EMI on: Business Loan EMI Calculator
How to Apply for Dena Bank Business Loan?
Dena Bank offers multiple business loan products that cater to different sections of business aspects. The business loans are offered for self-employed professionals, for doctors, for traders, for women etc. If you are looking for options and want to apply for a business loan, you can visit at Paisabazaar.com where all the comparisons of banks business loans along with interest rate and features are available.