Lease Rental Discounting Scheme to consolidate your debts from Tamilnad Mercantile Bank

Leverage the power of your rented out residential or commercial property to consolidate your loans.

Tamilnad Mercantile Bank TMB Rental Scheme

This loan helps property owners who have rented out their residential or commercial property to reputable establishments to get financial assistance to meet their personal needs. This secured loan can be used to meet expenses for medical exigencies, overseas travel, debt consolidation, etc.

Features of Tamilnad Mercantile Bank Loan Against Future Rent Receivables

Why this Loan?

  • The Tamilnad Mercantile Bank TMB Rental Scheme is designed to help borrowers who have rented out their property to government units, semi-government units, public sector undertakings, financial institutions, reputed corporations, multinational companies, etc. to get funds to meet their personal needs
  • 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 loan is Rs. 4 crore. The actual loan amount sanctioned depends on the net rentals, balance tenure of the rental agreement, etc.


  • As of October 2020, the interest rate applicable to this loan may range from 12.35% to 14.25%


  • This loan must be repaid within 7 years or the residual lease/rent agreement period, whichever is lower

Security Needed

  • The bank asks for equitable mortgage of the property against the rental of which the loan is sanctioned and 150% of the loan amount should be covered as collateral security

Margin Money (Borrowers Contribution to Total Cost)

  • The bank charges up to 50% as margin or this loan

Processing Charges

  • The bank charges 1.00% of the loan amount 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
  • Property-related documents
  • Bank statement for the last 12 months to which rentals are credited

Reference Facts

  • Tamilnad Mercantile Bank Website:
  • Headquarters: Tuticorin, Tamil Nadu
  • Call Centre Number: +91 461 2321382, +91 461 2321929, +91 461 2321932