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IDBI Business Loan Interest Rate Oct 2019

Last Updated 03rd Oct 2019

IDBI Bank Business Loan Interest Rates India

IDBI Bank offers Business Loan starting at interest rate of 13.00%. The rates vary by loan amount, occupation and type of loan availed. Check Best Offers

IDBI Business Loan Features
IDBI Bank Business Loan Rate
Loan for Self Employed Features
Processing Fee 1%
Tenure From 12 months to 60 months
Lowest EMI per lakh ₹ 2,275
Loan Amount Min ₹ 50,000 and Max ₹ 5 Lakh
Part Prepayment, Charges Allowed after 1 EMI's,
Early Foreclosure, Charges Allowed after 1 EMI's, Before 6 months - 2%, After that Nil prepayment charges
Apply for Business Loan @ 13.50%* Get upto ₹ 2,500* Cashback
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IDBI Bank Business Loan

IDBI Bank offers loan to self employed and businessmen for financing the expansion or working capital requirements of their business. There are some benefits of taking loan from IDBI Bank:

  • You can prepay part of your loan anytime after paying 1 % prepayment charges
  • You can foreclose your entire Business loan anytime after paying 1 EMI's at foreclosure charges - Before 6 months - 2%, After that Nil prepayment charges
  • IDBI Bank has over 2,060 branches in India where you can avail service

IDBI Bank Business Loan Interest Rate Calculator

There are multiple factors on which basis bank calculates your interest rate. Some of these factors are -

  • Loan amount: Business loan rate in IDBI Bank depends upon the loan amount you apply for. Higher the loan amount, lesser will be the interest rate. Bank gives loan of minimum ₹ 50,000 to upto ₹ 5 Lakh. Interest rate for high loan amount can be lower resulting in lower EMIs.
  • CIBIL Score: IDBI Bank offers loan at higher interest rate if your CIBIL score is low or vice versa. However, to get loan from IDBI Bank, your CIBIL score should be atleast 700. Higher the CIBIL Score, higher the chances of getting a loan at lowest business loan interest.
  • Revenue: IDBI Bank will offer you loan at lower interest rate if you have higher monthly revenue. Bank gives loan to the borrowers whose annual turnover is at least ₹ 30,00,000.
  • Time in Business: IDBI Bank offers loan at lower rates if you have significant business experience. Minimum business existence to get loan from IDBI Bank is 36 months.

IDBI Bank Eligibility Criteria

Bank have a detailed criteria to determine the eligibility of a borrower for business loans. Some of the key criteria are:

Eligibility Criteria Description
Age: 22 to 58 years
Minimum Turnover ₹ 30,00,000
Business Existence (in months) 36 months
ITR (months) 24 months
Loan Amount ₹ 50,000 to ₹ 5 Lakh
Loan Tenure 60 months
Owned House or Place of Work Not Required
CIBIL Score 750 and above

IDBI Bank Business Loan Eligibility Calculator

Eligibility of Business loan in IDBI Bank relies on two important factor:

1.Your ability to repay the loan and
2.Your past track record in repayment of loans.

The main factors on which the eligibility of an applicant depends are

  • Age: Age plays an important role to know your eligibility and repayment capacity. IDBI Bank offers loan to those who are at least 22 years old at the time of loan approval and maximum 58 years at the time of loan maturity.
  • Loan Amount: Based on the loan amount eligibility, bank gives you loan ranging from ₹ 50,000 to ₹ 5 Lakh. To improve chances of approval, apply for a loan amount that you can comfortably service.
  • Profitability and Revenue: Loan eligibility significantly depends upon profitability on your turnover, revenue and profitability. IDBI Bank requires profit for minimum 2 years and minimum business turnover of ₹ 30,00,000.
  • Business Stability: Future business prospects and its stability is important to improve your eligibility for business loan. IDBI Bank requires minimum business track record of 36 months. The bank will also look for minimum growth in sales for the last three year. A decline in sales for a certain period or below a certain limit might impact your eligibility to get loan.
  • ITR and Banking: Bank gives loan only after checking your income tax return and bank statements. Your ITR details for minimum 24 months and bank statement for minimum 6 months will be required by IDBI Bank.
  • CIBIL Score: When checking loan eligibility, IDBI Bank will look at the complete CIBIL report. IDBI Bank will check your repayment history for all current and past loans and credit cards. Bank advise you to maintain a score of 750 and above to get loan approval.

IDBI Bank Business Loan EMI Calculator

IDBI Bank Business Loan EMI is a fixed amount that you pay each month towards the repayment of your loan till the end of tenure. Lowest EMI offered by IDBI Bank is ₹ 2,275 per lakh loan amount. EMI of IDBI Bank depends on factors like:

  • Interest Rate: Higher the interest rate, higher will be the EMI. For a 60 months loan from IDBI Bank at an interest rate of 13.00% per annum, EMI will be ₹ 2,275 per Rs. one lakh loan amount. At an interest rate of 14.00% for the same loan, the EMI will be ₹ 2,327 .
  • Loan tenure: Longer the loan tenure, lesser your smonthly EMI. At interest rate of 13.00% per annum, the EMI on IDBI Bank business loan would range from ₹ 8,932 to ₹ 2,275 for loan tenure ranging from 12 to 60 months.
  • Amount Borrowed: IDBI Bank Loan EMI will be high if you apply for a high loan amount. For amount borrowed ₹ 50,000 , the EMI at 13.00% for 60 months would be ₹ 1,138 . Similarly for amount borrowed ₹ 5 Lakh, the EMI at 13.00% for 60 months would be ₹ 11,377 .
What are the benefits of calculating business loan EMI?
  • Business loan EMI calculator of IDBI Bank helps you to calculate your monthly EMI at different rate of interest
  • IDBI Bank EMI calculator helps you to know your capacity to repay the loan after meeting your regular monthly expenses
  • You get a rough idea about your monthly EMI and can plan your monthly budget accordingly
Business Loan Products

IDBI Bank offers customized products for specific customer segments designed to meet their loan requirements. Some of the popular products with their basic features are as follows:

Sulabh Vyapar Business

Description

  • Get facilities like overdraft/ cash credit/ Term Loan/ Bill Discount/ Letter of Credit/ Bank Guarantee
  • Get loan maximum up to Rs. 5 crore
  • Competitive interest rates
  • To provide finance to traders to meet their business and financial needs.
  • Residential or commercial property is needed as collateral

Who is eligible?

  • Any individual or a firm like Partnership or Proprietorship engaged in buying and selling of goods
  • Retail Traders, Wholesalers, Dealers and Distributors
Mudra Loan

Description

  • Overdraft/ cash credit and term loan facility available
  • Get loan up to Rs. 10 lakhs
  • Nil processing fee for loan amount up to Rs. 5 lakhs
  • To finance credit needs of non farm income generating activities under Pradhan Mantri Mudra Yojana.
  • No collateral or third party guarantee required

Who is eligible?

  • Individuals, MSMEs involved in manufacturing, trading and service enterprises
Other Charges

In addition to interest rates, business loan also carry some other charges which include:

  • Foreclosure Charges- These charges are to be paid in case you want to repay your entire loan amount before the end of tenure period. IDBI Bank allows prepayment of loan after paying 1 EMI’s with prepayment charges - Before 6 months - 2%, After that Nil prepayment charges
  • Processing Fee- IDBI Bank asks for a processing fee of 1% with applicable service tax
Documents required
  • Address proof of individual: Aadhaar Card, Voter’s ID Card, Bank statement, registry copy, rent agreement , utility bills
  • Identity proof of individual: Passport, Driving License, PAN Card, Aadhaar Card, Voter’s ID Card
  • Business existence proof: PAN, sales tax/ excise/ VAT/ service tax registration, copy of partnership deed, trade license, certificate of practice, registration certificate issued by RBI, SEBI
  • Copy of Income Tax PAN for 24 months
  • Bank statement of last 6 months

Compare IDBI Bank Business Loan with other banks

FAQs on Business Loan IDBI Bank

Why to take business loan from IDBI Bank ?

Bank offers loan at 13.00% rate with the lowest EMI of ₹ 2,275 per lakh. If you are paying EMI more than this then you can opt for balance transfer and relocate your loan to IDBI Bank.

What is the interest charged on IDBI Bank business loan?

Interest rates on Business loan in IDBI Bank are very attractive starting from 13.00% to 14.00%. Bank offer various offer for self employed professionals to get loan at very low rate of interest.

What is the lowest EMI per lakh on business loan from IDBI Bank ?

If you apply for loan from IDBI Bank, your lowest EMI per lakh will be ₹ 2,275 .

What is the minimum and maximum tenure of business loan in IDBI Bank?

These loans are shorter tenure loans. You can repay your loan in a flexible period of minimum 12 months to maximum 60 months.

How much business loan amount I can borrow from IDBI Bank?

IDBI Bank offers you loan if you need a minimum amount of ₹ 50,000 to a maximum amount of ₹ 5 Lakh.

What is the processing fee charged by IDBI Bank on business loan?

IDBI Bank charges a processing fee of 1% with applicable tax.

Is age an eligibility factor to get loan for business from IDBI Bank ?

Yes, age is an important eligibility factor to get loan as you should be at least 22 years old at loan approval time and 58 years old at loan maturity time.

What are the prepayment charges on business loan from IDBI Bank?

Bank charges a fee in case you want to repay your entire loan amount before the end of tenure period. The fee charged by IDBI Bank is Before 6 months - 2%, After that Nil prepayment charges .

IDBI BankBusiness Loan Customer Care Number, Email, Application Status, Branches
City Customer Care Number
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 022 2207 8732
IDBI Bank 080 2238 6757
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 044 4303 6648
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
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IDBI Bank 011 2399 4348
IDBI Bank 011 2399 4348
IDBI Bank 022 2207 8732
IDBI Bank 0120 270 0798
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IDBI Bank 0120 270 0798
IDBI Bank 0120 270 0798
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 040 6690 8171
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 022 2207 8732
IDBI Bank 1800-200-1947
IDBI Bank 022 2207 8732
IDBI Bank 033 2568 6253
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 022 2207 8732
IDBI Bank 1800-200-1947
IDBI Bank 022 2207 8732
IDBI Bank 022 2207 8732
IDBI Bank 0120 270 0798
IDBI Bank 0120 270 0798
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 020 6603 0300
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 044 4303 6648
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947
IDBI Bank 1800-200-1947

IDBI Business Loan News - Oct 2019
*Terms and conditions apply. Credit at sole discretion of lender subject to credit appraisal, eligibility check, rates, charges and terms. Information displayed is indicative and from collected from public sources. Read More