HDFC Bank Business Loan – Interest Rate & Features – 2021
|Interest Rate||16% onwards|
|Processing Charges||Upto 2.50% of loan amount (Min. Rs. 2,359 – Max. Rs. 88,500)|
|Loan Amount||Max upto Rs. 75 lakh|
|Prepayment Charges||07 months – 24 Months – 4% of Principal Outstanding Amount|
25 months – 36 Months – 3% of Principal Outstanding Amount
More than 36 Months – 2% of Principal Outstanding Amount
|Repayment Period||12 months – 48 months|
|Prepayment Condition||No pre-payment permitted until repayment of 6 EMIs|
*Note: The mentioned interest rates, fees and charges are subject to change and depend on the sole discretion of the HDFC bank and RBI. GST and service tax shall be levied extra on the mentioned charges.
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|Fee & Charges|
|Cheque Swapping Charges||Rs. 500|
|Amortization Schedule Charges||Rs. 200|
|Cheque Bounce Charges||Rs. 550 per bounced cheque|
|Legal/Incidental Charges||At Actual|
|Loan Cancellation Charges||Nil|
|Stamp Duty||As per applicable state laws|
|Loan Closure Letter||Nil|
|Duplicate Loan Closure Letter||Nil|
|Solvency Certificate||Not applicable|
Note: The above mentioned fees and charges may change and shall depend on the sole discretion of HDFC bank and RBI.
HDFC bank provides doorstep service with easy documentation process. Get the fast disbursal of business loan within 48 hours. HDFC Bank business loan EMI calculator can be used to know the exact loan EMI by mentioning details like loan amount, repayment tenure and interest rate.
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Eligibility Criteria for HDFC Bank Business Loan
|Eligibility factors||Eligibility criteria|
|Age of the Applicant||Min: 21 years and Max: 65 years. (At time of Loan Maturity)|
|Status of Business||Min. 3 Years with 5 years of experience|
|ITR (Income Tax Returns)||Min. Rs. 1.5 Lakh per annum|
|Business Annual Turnover||Rs. 40 lakh or above|
|Entities that can avail business loan||Individuals, MSMEs, Business owners, Entrepreneurs, Self employed professionals, Sole Proprietorship, Private and Public Ltd. Companies, Partnership Firms and Limited Liability Partnerships engaged in only Manufacturing, Trading or Services sectors.|
Documents Required for HDFC Loan Application
- Duly filled application form with passport sized photographs
- Business Plan
- Identity proof: Passport, PAN card, Aadhaar card, Driving license, Voter’s ID card
- Address proof: Aadhaar card, Driving license, Voter’s card, Passport
- Age Proof: Birth certificate, Class X certificate, Passport
- PAN Card of the applicant, partners, directors
- Bank account statement for last 6 months
- Income Tax returns duly filed with the income tax department for a minimum of 2 financial years
- ITR should be accompanied with balance sheet, income statement and computation of income
- Business address, vintage and establishment proofs
- Copy of licenses, certificates, permissions, if any
- Any other document required by HDFC bank
How to Apply for HDFC Business Loan via Paisabazaar?
To apply for HDFC business growth loan, follow the below mentioned steps:
- Check and compare loan options offered by the HDFC bank
- Fill in and submit the loan application form along with documents
- Bank’s representative will verify the form and documents for final approval
- After the loan is approved, bank shall disburse the loan amount in the applicant’s bank account
Steps to Track HDFC Bank Business Loan Application Status
To check the loan application status from HDFC Bank, you can click here and follow these simple steps:
Step 1: Enter the Applicant’s name or Reference/Proposal Number as provided by the bank at the time of form submission
Step 2: Enter your ‘Date of Birth’ or ‘Mobile Number’ as already mentioned in the application form
Step 3: Click on tab ‘Submit’ to check the status of your loan application with HDFC bank
Comparison of HDFC Business Loan vs Banks/NBFCs
|Banks / NBFCs||Interest Rate|
|SBI||8.30% onwards (SME Loan)|
|Kotak Mahindra Bank||15% onwards|
|Axis Bank||15% onwards|
|Fullerton Finance||17% onwards|
|Bajaj Finserv||17% onwards|
|ICICI Bank||18% onwards|
|Lendingkart Finance||18% onwards|
|IIFL Finance||18% onwards|
|Hero Fincorp||18% onwards|
|Indifi Finance||18% onwards|
|NeoGrowth Finance||18% onwards|
|Tata Capital Finance||18% onwards|
|RBL Bank||19% onwards|
|IDFC First Bank||20% onwards|
|HDB Financial Services Ltd.||22% onwards|
|Bank of Baroda||Based on your Business’s Profile|
|PNB Business Loan||Based on your Business’s Profile|
Note: The above mentioned interest rates may change and shall depend on the sole discretion of HDFC bank and RBI.
HDFC bank, one of the leading commercial banks in India offers a range of banking products and services at competitive interest rates. The bank provides business loans at rack interest rates that start from 16% onwards. With options of taking short term, medium term and long term loans, the flexibility offered by HDFC Bank business loan options has encouraged businesses to avail a loan for key purposes like business expansion, buying land/factory space, purchase of machinery/inventory, increasing the working capital, etc. HDFC Bank also provides startup business loan for its customers.
Prepayments to HDFC Bank Business Loan
Borrowers availing HDFC bank collateral-free business loan can make prepayments at the bank’s discretion. The prepayments made are deducted from the balance outstanding principal amount of the loan impacting in reduction of loan amount.
HDFC bank has provided flexible options for making prepayments to loans taken for business purpose. The borrower can make prepayments from 12 months to 48 months of taking the loan.
However, the below restrictions are imposed by the bank before making prepayments:
- Paying a minimum of 6 EMIs and
- A minimum period of 6 months from the loan date
Foreclosure charges shall be applicable to the borrower.
Delay in Making Payments towards loan EMIs
In case the EMI cheque bounces or ECS system fails to credit the EMI, a charge of Rs.550/- as penalty will be levied by the bank. Also, in case of delay or default on the borrowers’ end to make payments towards EMIs, HDFC bank will charge a late payment fees on the outstanding loan amount at the rate of 24% from the default date.
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Working Capital Loans for Small Businesses
Working capital loans for small businesses can be availed by HDFC bank at competitive interest rates. These loans offered by HDFC bank are collateral/security free and often termed as short-term loans. The maximum repayment tenure for working capital loans is up to 12 months, and may exceed depending upon the nature of business and business requirements.
Mode of paying EMI
The borrower can pay EMI either by cheque or through ECS i.e. electronic clearing system. In case of payment made through cheques, the borrower has to give post-dated cheques to the bank in advance. However, in ECS system of payment, the borrower has to give Standing Instructions (SIs) to the bank for accepting the debit of the EMI amount. An application form for activating ECS system should be submitted to the bank by the borrower.
HDFC Bank Customer Care
- 1800 258 3838
- 1800 22 4060
- 1800 425 4332
City wise Phone Banking Numbers
|West Bengal||033 61606161 / 1860 267 6161|
|Uttarakhand||1860 267 6161|
|Uttar Pradesh||011 61606161 / 0522 6160616 / 1860 267 6161|
|Tripura||1860 267 6161|
|Telangana||040 61606161 / 1860 267 6161|
|Tamil Nadu||044 61606161 / 1860 267 6161|
|Sikkim||1860 267 6161|
|Rajasthan||0141 6160616 / 1860 267 6161|
|Punjab||1860 267 6161|
|Puducherry||1860 267 6161|
|Odisha||1860 267 6161|
|Nagaland||1860 267 6161|
|Mizoram||1860 267 6161|
|Meghalaya||1860 267 6161|
|Manipur||1860 267 6161|
|Maharashtra||020 61606161 / 022 61606161 / 1860 267 6161|
|Madhya Pradesh||0731 6160616 / 1860 267 6161|
|Kerala||0484 6160616 / 1860 267 6161|
|Karnataka||080 61606161 / 1860 267 6161|
|Jharkhand||1860 267 6161|
|Haryana||011 61606161 / 1860 267 6161|
|Gujarat||079 61606161 / 1860 267 6161|
|Goa||1860 267 6161|
|Daman and Diu||1860 267 6161|
|Dadra and Nagar Haveli||1860 267 6161|
|Chhattisgarh||1860 267 6161|
|Bihar||1860 267 6161|
|Assam||1860 267 6161|
|Arunachal Pradesh||1860 267 6161|
|Andhra Pradesh||1860 267 6161|
|Andaman and Nicobar||1860 267 6161|
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HDFC Bank Chat Options: Webchat, SMS or click2talk
Click on the below link to get Toll Free Numbers for Indian customers
Click on the below link to get Toll Free Numbers for NRIs
Frequently Asked Questions
Q. How do banks calculate the EMI, is there any formula for it?
Ans. The formula used by banks to calculate EMI is mentioned below:
EMI = [P x R x (1+R)^N]/[(1+R)^N-1], where P stands for the loan amount or principal, R is the interest rate per month
Q. Is there a part-payment option for the HDFC bank business loan?
Ans. Yes, HDFC bank offers part-payment and prepayment options both, to its customers availing business loans.
Q. How much business loan amount can I get from the HDFC Bank?
Ans. The maximum loan amount that can be availed in form of business loan is up to Rs. 75 lakh.
Q. How do women entrepreneurs get a business loan from the HDFC Bank?
Ans. There are not any different criteria for women entrepreneurs to avail loans, as they can simply fill in the loan application form online to apply for a business loan or any other type of loan.
Q. What are the documents required for getting a Term loan?
Ans. The basic document required for a term loan are as follows:
- Filled application form with passport size photographs
- Identity, Age, Address and Income Proofs
- Company establishment certificate
- Last 1 year’s ITR, bank statement, and copy of P&L statement and Sales Tax, etc.
- Business Incorporation Certificate
- Any other document required by the bank
Q. How can I pay my HDFC business loan EMI online?
Ans. You can use ECS, net banking, UPI to pay HDFC bank business loan EMIs online.
Q. What is a Cash Credit account in HDFC bank?
Ans. A Cash credit account in HDFC bank is a type of overdraft facility offered to its customers to meet their working capital requirements. Cash credit is a short-term loan offered on the basis of credit history of the applicant.
Q. How do I avail overdraft facility from HDFC bank?
Ans. To avail overdraft facility with HDFC bank, applicant should be a current or savings account holder with the bank for the last six months. The applicant should have a good relationship with the bank and can apply online or via visiting the nearest bank branch.
Q. How can I get a collateral-free MSME loan from HDFC bank?
Ans. To avail collateral-free MSME loan from HDFC bank, an applicant can apply for unsecured business loans up to Rs. 75 lakh or can apply for loan schemes initiated by Govt. of India, such as Mudra loan under PMMY, CGTMSE, PSB loans in 59 minutes, PMEGP, etc.