COVID-19 Loans for Your Emergency Needs.
A COVID Loan to meet your short-term financial needs.
Indian Bank COVID-19 Loans
As of May 2020, Indian Bank is offering five loan schemes to help its existing customers deal with the financial aftermath of COVID-19. They are:
- Indian Bank IND-COVID Emergency Salary Loan (for Retail Customers)
- Indian Bank IND-COVID Emergency Pension Loan (for Retired Customers)
- Indian Bank IND COVID Emergency Credit Line (for Corporate and Medium Enterprise Borrowers)
- Indian Bank IND-MSE COVID Emergency Loan (for Micro and Small Enterprise Borrowers)
- Indian Bank SHG COVID Sahaya Loan (for Self-Help Groups)
We give you important details of each of these COVID-19 loans below. If you need more details about a particular COVID-19 loan scheme, please get in touch with us at [email protected].
Indian Bank IND-COVID Emergency Salary Loan (for Retail Customers)
Indian Bank offers a COVID-19 loan to salaried confirmed/permanent employees of government, semi-government and public sector units, reputed MNCs, etc. with at least 2 years of service maintaining a salary account with Indian Bank and home loan borrowers. The loan amount sanctioned under this loan scheme depends on the monthly income of the borrower. This is a medium term loan.
Features of IND-COVID Emergency Salary Loan
- Quantum of Loan: The maximum loan amount sanctioned under the Indian Bank IND-COVID Emergency Salary Loan is twenty times the latest monthly gross salary income subject to a maximum of Rs. 2 lakh
- Interest Rate: The interest rate applicable to this loan is 9.50% (fixed)
- Repayment Period: The loan must be repaid within 3 years including a moratorium period of 6-months
- Eligibility: Salaried employees of salaried confirmed/permanent employees of government, semi-government and public sector units, reputed MNCs, etc. with at least 2 years of service and maintaining a salary account with the bank. Existing home loan borrowers are also eligible for this loan provided that the account has never slipped in SMA 1 or SMA 2 category
- Security & Margin: Nil
- Processing Charges: The bank does not charge a processing fee on this loan
- Validity: This medium-term loan scheme is only in force up to 30th June 2020
Indian Bank IND-COVID Emergency Pension Loan (for Retired Customers)
Indian Bank offers this loan to regular pensioners, family pensioners and Indian Bank retired employees other than dismissed staff. The loan amount sanctioned under this loan scheme depends on the last drawn pension of the borrower. This loan scheme is valid up to 30th June 2020.
Features of Indian Bank COVID-19 Personal Loan (CPL)
- Quantum of Loan: The maximum loan amount sanctioned under the Indian Bank IND COVID Emergency Pension Loan is fifteen times the last drawn pension of the borrower subject to a maximum of Rs. 2 lakh
- Interest Rate: The interest rate applicable to this loan is 8.75% (fixed)
- Repayment Period: The loan must be repaid within 3 years including a moratorium period of 3 months
- Eligibility: Indian Bank regular pensioners, family pensioners and retired staff (other than dismissed staff) are eligible for this loan. The maximum entry age for this loan is 68 years. The age of the pensioner at the end of the loan term must not exceed 75 years. CRS retirees and EPF pensioners are not eligible for this loan
- Security: The bank asks for immovable property as collateral security for this loan
- Margin & Prepayment Charges: Nil
- Processing Charges: The bank does not charge a processing fee on this loan
Indian Bank IND COVID Emergency Credit Line (for Corporate and Medium Enterprise Borrowers)
This loan helps corporate and medium enterprise borrowers get access to funds to deal with the after-effects of COVID-19 on their finances. Existing Indian Bank customers with at least a 6-month relationship with the bank can avail this scheme. This is a term loan scheme.
Features of IND COVID Emergency Credit Line
- Quantum of Loan: The bank sanctions up to 10% of the existing fund-based working capital credit facilities up to a maximum of Rs. 100 crore under the Indian Bank IND COVID Emergency Credit Line scheme
- Interest Rate: The interest rate applicable to this loan is equal to one year Marginal Cost of Funds based Lending Rate (MCLR) of Indian Bank. It is 7.80% as of May 2020
- Repayment Period: The loan must be repaid within 36 months including a moratorium period of 6 months from the date of first disbursement
- Eligibility: Existing business customers enjoying working capital limits with the bank are eligible for this loan provided that the account has never slipped in SMA 01 or SMA 02 category
- Margin & Processing Charges: Nil
- Security: The bank asks for an extension of charge on primary and collateral security on the existing loan
- Guarantee: Indian Bank asks for existing guarantee to be continued for this loan
- Validity: This short-term loan scheme is only in force up to 30th September 2020
Indian Bank IND-MSE COVID Emergency Loan (for Micro and Small Enterprise Borrowers)
This loan helps Micro and Small Enterprise customers get access to funds to deal with the ill-effects of novel coronavirus, simply known as COVID-19, on their finances. This short-term loan scheme is only in force up to 30th September 2020.
Features of IND-MSE COVID Emergency Loan
- Quantum of Loan: The bank sanctions up to 10% of the existing fund-based working capital credit facilities up to a maximum of Rs. 50 lakh under the Indian Bank IND-MSE COVID Emergency Loan scheme
- Interest Rate: As of May 2020, the interest rate applicable to this loan is 8.75% (fixed)
- Repayment Period: Loans up to Rs. 25 lakh must be repaid within 3 years including a moratorium period of 6 months from the date of first disbursement. Loans above Rs. 25 lakh must be repaid within 5 years including a moratorium period of 6 months from the date of first disbursement
- Eligibility: Existing business customers enjoying working capital limits with the bank are eligible for this loan provided that the account has never slipped in default
- Margin & Processing Charges: Nil
- Security: The bank asks for extension of charge on primary and collateral security on the existing loan. CGTMSE coverage is also accepted as security
Indian Bank SHG COVID Sahaya Loan (for Self-Help Groups)
This loan helps Self-Help Group borrowers to get funds from Indian Bank to face the financial crisis arising out of COVID-19. SHGs directly or indirectly affected by COVID-19 because of job loss, business loss, income loss, etc. arising out of the lockdown and related reasons are eligible for this loan.
Features of SHG COVID Sahaya Loan
- Quantum of Loan: This is a need-based loan and the maximum loan amount is capped at Rs. 5000 per borrower and Rs. 1 lakh for the whole group under the Indian Bank SHG COVID Sahay Loan
- Interest Rate: The interest rate applicable to this loan is one year Marginal Cost of Funds based Lending Rate (MCLR) of Indian Bank which is 7.80% per annum as of May 2020
- Repayment Period: The loan must be repaid within 3 years including a moratorium period of 6 months from the date of first disbursement
- Eligibility: Existing SHG customers of Indian Bank with a satisfactory track record who have also availed at least two doses of credit from the bank are eligible for this loan
- Margin & Security: Nil
- Validity: This short-term loan scheme is only in force up to 30th September 2020
Documents Needed for Individuals (Salaried and Self-employed)
- 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/Banking Proof for Salaried Professionals: Last 3 months’ salary slip, Form 16 or income tax returns
- Income/Banking Proof for Self-employed Professionals/Insurance Agents: Computation of income of last 2 years, Balance Sheet, Profit and Loss Account, Registration Certificate, GST Return, Income Tax Challan/ Form 26AS/TDS Certificate, IT Assessment, etc.
Documents Needed for Proprietorship and Partnership Firms
- Loan Application Form duly filled and signed
- Partnership Deed and Partnership Registration Certificate
- ID Proof of the Firm: Firm PAN Card or PAN Issuing Letter
- Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
- Income Proof: CMA Data and Project Report, Debtors and Creditors Certificate, GST Return, Last 3 years ITR of applicant and co-applicant, Audited or CA Certified Computation of Income/Trading Account/Profit and Loss Account/Balance Sheet, Annual Audit Report and Tax Audit Report if audited, Form 16A if applicable, Net Worth of applicants, co-applicants and guarantors
- Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account
Documents Needed for Private Limited and Public Limited Companies
- Application Form duly filled and signed
- Company ID Proof: Company’s PAN Card
- Office Address Proof: Electricity Bill, Post-paid Phone Bill, Valid Rent Agreement
- Business Proof: AOA and MOA, Company Incorporation Certificate, Business Commencement Certificate, Board Resolution, CA/CS verified Share Holding Pattern, ROC Annual Return, DIN Certificate, List of Directors on Company Letter Head, GST Number, Form 32 in case of Director Change
- Income Proof: CMA Data and Project Report, Last 3 Years ITR Acknowledgement copy of Company and all Directors, Last 3 Years Annual Credit Report or Tax Audit Report with Article 3CB, Article 2D, Article 3CD, TDS Certificate/Form 16A, Net Worth Certificate
- Banking Proof: Last 1-year Statement of Company’s Major Account, Current Account, Cash Credit Account, Overdraft Account, Loan Statement of Running Loans, Latest Closed Loan NOC and Last 6-months Bank Statement of Applicant and Co-applicant’s Savings Account
- Security (as applicable): Margin Money, Previous and Current Sales Deed, Plant and Machinery list, Plant and Machinery Current Valuation Report, Property Photographs, Previous Property Search and Valuation Report
- Other Relevant Documents: Company’s Business Profile, Promoter/Guarantor’s Profile, Corporate Brochure, Business Experience Supporting Documents, Business References
Reference Facts
- Indian Bank Website: www.indianbank.in
- Headquarters: Chennai, Tamil Nadu
- Call Centre Toll-Free Number: 1800 425 00 000, 1800 425 4422