Business Loan Interest Rate - HDFC, Bajaj, ICICI Bank, All Banks
Business Loan Interest Rates in India
- Lowest business loan interest rates starting @13.50%*
- Get lowest EMI of Rs. 2,301 on business loan
- Earn cashback upto Rs. 2,500 on business loan
- Compare and get best offers for self employed from various banks
- Maximum loan tenure upto 5 years
- Flexi loans, nil prepayment charges options
- Apply Business Loan Online without any security or collateral
Business Loan Interest Rates Comparison, Lowest EMI Apr 2017, Best rates
|Bank||Business Loan Interest Rates*||Lowest EMI per lakh for Max Tenure|
|HDFC Bank (3.8/5.0) 3+ Users||15.50% - 18.30%||Rs. 2,808 for 48 months||Explore More Apply Now|
|ICICI Bank (3.3/5.0) 2+ Users||12.15% - 16.65%||Rs. 1,773 for 84 months||Explore More Apply Now|
|Bajaj Finserv (3.5/5.0) 3+ Users||14.00% - 20.00%||Rs. 2,733 for 48 months||Explore More Apply Now|
|Fullerton India (3.3/5.0) 2+ Users||20.00% - 33.50%||Rs. 3,043 for 48 months||Explore More Apply Now|
|Capital First (3.5/5.0) 1+ Users||16.00% - 24.00%||Rs. 3,516 for 36 months||Explore More Apply Now|
|Kotak Bank||16.00% - 19.99%||Rs. 2,432 for 60 months||Explore More Apply Now|
|IndusInd Bank||14.00% - 23.00%||Rs. 2,327 for 60 months||Explore More Apply Now|
|Indian Overseas Bank||14.90% - 15.25%||Rs. 2,374 for 60 months||Explore More Apply Now|
|Bank of Baroda (5/5.0) 1+ Users||14.10% - 14.10%||Rs. 3,423 for 36 months||Explore More Apply Now|
|Corporation Bank||13.55% - 14.55%||Rs. 2,304 for 60 months||Explore More Apply Now|
|United Bank of India||14.15% - 14.15%||Rs. 2,335 for 60 months||Explore More Apply Now|
|Bank of Maharashtra||14.50% - 15.50%||Rs. 3,442 for 36 months||Explore More Apply Now|
|Andhra Bank||15.75% - 16.00%||Rs. 2,419 for 60 months||Explore More Apply Now|
|Allahabad Bank||11.10% - 15.55%||Rs. 1,718 for 84 months||Explore More Apply Now|
|Tamilnad Mercantile Bank||13.40% - 14.40%||Rs. 2,296 for 60 months||Explore More Apply Now|
|Dhan Laxmi Bank||13.15% - 13.40%||Rs. 2,283 for 60 months||Explore More Apply Now|
|IDBI Bank||13.00% - 14.00%||Rs. 2,275 for 60 months||Explore More Apply Now|
|Syndicate Bank||14.45% - 14.45%||Rs. 2,350 for 60 months||Explore More Apply Now|
|PNB (3.6/5.0) 2+ Users||12.60% - 15.60%||Rs. 2,255 for 60 months||Explore More Apply Now|
|OBC||11.95% - 11.95%||Rs. 1,763 for 84 months||Explore More Apply Now|
|Development Credit Bank||10.70% - 18.00%||Rs. 1,118 for 180 months||Explore More Apply Now|
Unsecured Business Loan
Eligibility Criteria for Business Loan
|Eligible Entities||Self proprietorships, partnership firms, private limited companies, doctors, self employed professionals with a minimum annual turnover of Rs 25 lakh for manufacturers and Rs 50 lakh for traders|
|Minimum Loan Amount||Rs 5 lakh|
|Maximum Loan Amount||Up to Rs 1 crore, in select cases up to Rs 5 crore|
|Interest Rate||14-22%, floating rate of interest|
|Loan Tenure||1-3 years. Few lenders offer loans of up to 5 years in select cases|
|Prepayment Penalty||As per the loan agreement|
|Loan Amount Eligibility||Lenders use multiple ways to estimate the eligibility
Compare Unsecured Business Loan Rates
- Business Loan processing fees – Most banks charges minimum processing fees of Rs. 999 to upto 2% on Business Loans. To get lowest fee, comparison of business loan rates, offers and cashback applying online through MyLoanCare.
- Business Loan insurance premium - Since Business loans are unsecured loans, it is advisable to take an insurance policy when availing a loan. However, the premium varies from bank to bank depending upon the risk coverage under various policies. So, check the loan sanction letter carefully to know the coverage and premium.
- Business Loan prepayment and foreclosure – Nobody wants to keep paying interest on a loan when you have surplus money available to repay it. When you want to repay your loan partially before time, its called part prepayment. In case you decide to pay the entire loan amount before time, it is called foreclosure. Banks typically levy prepayment or foreclosure charges in such situations and these can range from nil to eve upto 5%. So, check carefully if the low rate of interest you are getting comes with high prepayment or foreclosure charges. Note that some Business loans cannot be repaid before time.
Lowest Business Loan Rate Online
- Offer based on loan amount – You may be surprised to know that in some cases rate of interest on say, a Rs. 20 lakh loan, may be lower than that on a Rs. 19 lakh business loan. This is due to different pricing grids of banks and discounts for higher loan amounts that are offered from time to time.
- Discount for tenures – Banks may offer lower rates on business loan for certain tenure and it may be useful to check these carefully.
Best Business Loan
- Do not apply with multiple banks – Remember that every loan application is recorded in your CIBIL report. Too many Business loan applications at the same time can hurt your chances of getting a loan and even lead to an increase in rate of interest. Multiple applications signal desperation to get loan on the part of the customer.
- Do not fall for marketing gimmicks – It is common for loan agents and DSA’s to lure customers by quoting a lower rate of interest knowing very well that the final rate will be higher. Always check with authorized representatives and get the rates in writing before giving your documents for processing.
Business Loan Apply Online
- Signed Application Form
- Identity Proof (PAN)
- Residential Address Proof
- Last 3 years ITR (self and business), profit and loss account, balance sheets certified/audited by a CA.
- Last 12 months bank account statement (self and business)
- Certificate and Proof of Business Existence
- Business Profile
- Office address - ownership/ lease / rent agreement/ utility bill
Typically Accepted Proofs
|Identity Proof||PAN card, Passport, Driving License, Aadhar Card, Voter id, Govt issued i-card|
|Certificate and Proof of Business Existence||PAN , sales tax/ excise/ VAT/ service tax registration, Copy of partnership deed, Trade license, certificate of practice, registration certificate issued by RBI, SEBI|
|Address Proof||Passport, Driving License, Election ID card, Electricity/ Telephone/ Mobile bill/ bank statement (not more than 3 months old)||Bank statement, utility bill, Registry copy, lease or rent agreement, TAN allotment letter|
Business Loan Interest Rate in India
What should be the borrower’s age to apply for business loan?
Borrower should be atleast 21 years old and not more than 65 years of age.
Does no CIBIL history affect business loan?
Yes, banks may reject your loan application if you do not have a CIBIL history or poor CIBIL. In that case, you have to opt for a business loan with high rate of interest. Banks consider you to avail gold loan or credit card to build some CIBIL history before you apply for a loan.
What factors affect my business loan interest rate?
Business loan interest rate can be affected by 3 main factors:
- Higher the loan amount, lower will be the rate of interest
- Higher the revenue, lesser will be the business loan interest rate
- Longer time in business can avail you loan at lower rates
Can I reduce EMI on business loan?
You can reduce your business loan EMI if the bank offers part prepayment or full prepayment. Most banks allow prepayment after repayment of 6-12 EMI’s and some banks allow after 1 EMI only. So, opt for prepayment of loan if you have surplus amount and want to lower your burden of EMI.
Nowadays, banks give various offers on to give the best rates to individuals. To get with lowest interest rate and lowest EMI, compare new rates and offers of all banks at MyLoanCare. You can do rates comparison, check your eligibility, apply online and get the cheapest rate on . MyLoanCare helps you throughout the loan process from the day you apply to the time you get complete disbursement. You can even track your loan status after getting registered with us. MyLoanCare make it easy for you to get hassle free with ultimate cashback and refer and earn benefits. So, apply for today and enjoy the benefits.