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Secured Term Loans

Banking Solutions for MSMEs

Long Term Secured Term Loan

Avail of Axis Bank’s secured term loan for purchase of machinery, property or business expansion. This facility for MSME’s is a long term business finance involving higher amount as compared to unsecured loan wherein business assets or residential/commercial property can be kept as security.

  • Loan amount can be availed from minimum of Rs. 5 Lakh up to Rs. 5 Cr
  • Loan can be availed for a maximum tenure of 15 years
  • Funding against the residential, commercial, industrial property, godown, fixed deposits, liquid collaterals etc.
  • Flexible repayment options
Business Vintage
  • Minimum 3 years in current profession
Business Income
  • Minimum business income of Rs. 30 Lakh
  • Minimum 21 years at the time of loan application
  • Maximum 70 years at the end of loan tenure
Residence / Office Stability
  • Either office or residential property is to be owned
  • In case of rented accommodation, residence stability should be of at least 12 months, not applicable if shifted to owned house
  • Office stability should be of at least 24 months
Minimum Income
  • In case of individuals, minimum in-come to be of Rs. 2.5 lakh as per ITR for last 2 years
  • In case of non-individuals, minimum cash profit should be Rs. 3 lakh for last 2 years
  • KYC Documents
  • Duly filled in application form signed by the customer
  • Relevant financial documents
  • Bank account statement of last 6 months
  • PAN Card/Form 60
  • Business Proof
Loan Processing Charges

Up to 1.25% + applicable taxes

Part Pre-payment Charges

1.00% of principal outstanding

Foreclosure Charges

2.00% of principal outstanding

Penal Interest

2.00% p.a. additional on existing rate of interest

Repayment Instruction / Instrument Return Charges

Rs. 500/- per instance + applicable taxes

Q. Which constitutions are eligible for Secured Term Loan?

A. We offer Secured Term Loan to resident individuals (with business registration), proprietorship firms, partnership firms, LLP, pvt. ltd. companies and unlisted public companies.

Q. What is the repayment structure of the loan?

A. Repayment shall be in monthly installments, including principal and interest.

Q. What are the acceptable collaterals against this loan?

A. Residential property, commercial property, industrial property etc.

Q. What is the rate of interest offered under this product?

A. We offer competitive interest rates for our loan facilities. The interest for each loan is determined based on assessment of your business profile, past track record, financial records, loan amount required and tenure of loan.

Q. Is it mandatory to have Udyam registration certificate?

A. To avail benefit of MSME as per Government regulations, MSME registration is mandatory for borrowers.