Rent Encash Loan to consolidate your debts from Indian Bank.

Leverage the power of your let out or leased property to pay off your debts

Indian Bank Rent Encash Loan (Loan Against Rent Receivables)

This loan helps property owners who have let out or leased their property situated in metro, urban or semi-urban areas to government units, semi-government units, public sector undertakings, financial institutions, reputed corporations, multinational companies, etc. get access to funds to meet their personal needs. This loan can also be used to consolidate debts.

Features of Rent Encash Loan (Loan Against Future Lease Rentals)

Why this Loan?

  • The Indian Bank Rent Encash Loan is let out or leased their property situated in metro, urban or semi-urban areas to government units, semi-government units, public sector undertakings, financial institutions, reputed corporations, multinational companies, etc. get access to funds to meet their personal needs
  • This loan can be availed to meet the financial needs for business expansion, education expenses, wedding expenses, purchase of a new property, repayment of existing loans, etc. It cannot be used for trading, capital market or speculative reasons
  • Borrowers can also avail this scheme to pay off their high-interest credit card debts and loans, thereby consolidating their debts

Loan Amount

  • The maximum loan amount sanctioned under this scheme is up to net present value of 120 months (10 years)/residual lease period of rent receivables or Rs. 5 crore, whichever is lower

Interest

  • As of October 2020, the interest rate applicable to this loan is 10.40%

Repayment

  • This loan must be repaid within 10 years or the unexpired lease period, whichever is less

Security Needed

  • The bank asks for the assignment of future rent receivables in favour of the bank
  • The bank may also ask for liquid collaterals depending on a case-to-case basis

Margin Money (Borrowers Contribution to Total Cost)

  • The bank charges at least 15% of the loan amount as margin for this loan

Processing Charges

  • The bank charges up to 1.18% of the loan amount excluding tax for processing the loan

Documents Needed

  • Loan Application Form duly filled and signed by the applicant and co-applicant, if any
  • Two Passport Size Photographs of applicant and co-applicant
  • Personal ID Proof: Aadhaar Card, PAN Card, Passport or Driving License. PAN Card / PAN Card Issuing Letter is must
  • Signature Proof: PAN Card, Banker’s Verification, Driving License or Passport
  • Residential Address Proof (Any One): Aadhaar Card, Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
  • Income proof, income tax assessment or IT return documents of the borrower
  • Property related documents

Reference Facts

  • Indian Bank Website: www.indianbank.in
  • Headquarters: Chennai, Tamil Nadu
  • Call Centre Toll-Free Number: 1800 425 00 000