| Restricted
Business |
| 01. |
Production, Marketing, Trading of alcoholic, narcotic
and other intoxicating drug or liquor. |
| 02. |
Production and Trading of any item banned by the
Government. |
| 03. |
Any activity not
permissible by the law of the land. |
Loan Ceiling |
| 01. |
For small
enterprise : Maximum Tk.2, 50,000/- |
| 02. |
For medium
enterprise : Maximum Tk.75, 00,000/- |
| No loan proposal for less than Tk.1,
00,000/- be entertained. |
Purpose |
| Working capital; |
Delivery Van / Transport for business purpose; |
| Capital machinery; |
Refurbishing office/Business premises. |
|
Mode of Finance |
| 01.
|
Cash Credit (Hypo/Pledge); |
| 02.
|
Hire purchase/ Lease
Finance; |
| 03.
|
Term Loan. |
Loan Renewal |
| Successive loans depend on track
record of previous loan. Usually, repayment behavior and expansion of business by the
borrower are the main considerations for renewal and enhancement of the loan amount.
|
Interest |
| 8% above Bank Rate.
Presently 15% |
| Penal
Interest: If any borrower fails to adjust loan within validity period or to
repay consecutive 02(two)-installments, penal interest @0.25% per month shall be charged
on the defaulted amount. |
Securities |
| It is a supervisory credit scheme.
Tangible security in the form of mortgage may not be available in all the cases. So
mortgages will not be mandatory. Security will be stipulated on a case to case basis
interalia as under(one or several of the following): |
| 01.
|
Registered mortgage of land
& building. |
| 02.
|
Mortgage/Assignment of possession right.
|
| 03.
|
Assignment of security money, advance rent, if any.
|
| 04.
|
Assignment of Trade Receivables not older than 90 days.
|
| 05.
|
Hypothecation of machineries, equipment, vehicles,
stock-in-trade, raw materials, work-in-process and finished goods. |
| 06.
|
Personal Guarantee from persons acceptable to the Bank.
|
| 07.
|
Post dated checks. |
| 08.
|
Lien on deposits/saving
certificates/financial obligations. |
| 09.
|
Any other securities to be deemed suitable by the Bank
depending on the situation like Insurance Guarantee, Corporate Guarantee, As
signment of Contract, Security Money etc. |
| 10.
|
Guarantee of USAID for 50% of the exposure. |
