The KBL MSME Scheme is designed to support a variety of business needs. It's ideal for managing working capital, acquiring machinery or vehicles, making repairs or renovations, and even for purchasing property for business use like shops, factories, or offices. This flexibility makes it suitable for businesses at different stages, whether you are looking to grow, diversify, or just maintain your enterprise.

Under this scheme, you can borrow up to ₹1500 lakh. However, if your loan is eligible under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), you can get up to ₹200 lakh without collateral. This feature is particularly beneficial for smaller businesses that may not have sufficient collateral.

The scheme offers competitive interest rates linked to EBLR. These rates are designed to be affordable for MSMEs and are influenced by various factors including market conditions and the bank’s internal policies. It's important to note that the actual rate applicable to you might vary based on your business’s financial health and creditworthiness.

The tenure options are quite flexible. For working capital overdrafts, the tenure can be up to 18 months. For term loans, the tenure can extend up to 120 months, providing ample time for repayment and easing the pressure on your cash flow.

The Overdraft facility allows you to withdraw funds up to a certain limit over and above your account balance. This is particularly useful for managing short-term liquidity or unexpected expenses. It offers the flexibility of repaying the amount used at your convenience within the agreed tenure, which can be up to 18 months in this scheme.

Collateral requirements include the hypothecation of stocks, book debts, or assets acquired with the loan. Additionally, a mortgage of business premises or property may be required. The bank mandates that the collateral security should be at least 60% of the loan exposure, ensuring a secure backing for the loan.

Yes, for loans up to ₹10 lakh under the CGTMSE, collateral is not required. This feature makes the scheme accessible to smaller businesses that might not have significant assets to offer as security.

Eligibility includes any legal entity that conforms to the MSME classification. This encompasses micro enterprises with investments up to ₹1 crore, small enterprises up to ₹10 crores, and medium enterprises up to ₹50 crores. The scheme is inclusive, covering a wide range of sectors including manufacturing, services, traders, and transport operators.

The repayment options are designed for flexibility. You can choose to repay in equal monthly installments, with interest as and when debited, or through an Equated Monthly Installment (EMI) plan. This flexibility allows you to manage your cash flow more effectively and choose a repayment schedule that suits your business's financial cycle.

In the context of Karnataka Bank's loans, EBLR or External Benchmark Lending Rate is a crucial reference rate. It's essentially the standard against which the interest rates of loans are gauged and adjusted. This rate is determined by external market factors and serves as a transparent and dynamic benchmark. By tying loan interest rates to the EBLR, we ensure that loan pricing is fair, responsive to market conditions, and in line with regulatory guidelines, providing a clear and consistent basis for borrowers to understand how their loan interest rates are set.

There is no processing fee for loans up to ₹5 lakhs. A processing fee of up to 0.50% would be applicable on loans above ₹5 lakhs.

It is a loan where you use your property as collateral to borrow funds. We offer this loan for various personal or business purposes, providing a secure way to access funds. You can use both residential and commercial properties as collateral for these loans.

Both residential and commercial properties can be used as collateral. The property should have a clear title and meet our valuation criteria.

Prepayment charges may apply as per the terms and conditions of the loan. We recommend discussing this with our loan officer for detailed information.

Interest is calculated on a daily reducing balance method, which can be more beneficial compared to the traditional monthly reducing method. Check out our smart calculators to know more.

The loan offers a flexible repayment tenure of up to 120 months, allowing you to plan your finances without any pressure.

A personal loan is an unsecured loan that you can use for a variety of purposes, like home renovation, education, or a wedding. It's a flexible solution to meet your immediate funding needs, without collateral.

Equated Monthly Installment is a structured payment method that enables you to repay your loan in fixed monthly amounts. This includes both the interest and the principal, designed to reduce your loan balance while fitting into your monthly budget comfortably.

Eligibility depends on factors like your income, employment status, credit score, and age. These factors help us assess your ability to repay the loan.

Typically, we use the Reducing Balance Method, which applies interest only on the outstanding loan amount. As you pay off the loan, the principal amount reduces, and the interest for subsequent periods is calculated on this reduced balance.

The value is assessed based on the purity and weight of the gold ornaments. We ensure a fair and transparent valuation process to determine the loan amount.

You have the flexibility to choose from term repayment, overdraft, or bullet repayment, allowing you to select the option that best suits your financial situation.

Absolutely, your gold is securely stored and insured during the loan tenure, ensuring its safety and giving you peace of mind.

We take the security of your pledged gold very seriously. During the loan period, your gold is stored in our secure vaults and is fully insured, ensuring its safety and security until you repay the loan and it's returned to you.

Yes, we often offer preferential interest rates for loans used for agricultural purposes. The specific rates can vary, so we recommend discussing this with our loan officer for detailed information.