Looking for an MSME loan for your business from UCO Bank?

You have landed at the right place. This page contains all the information you will need on UCO Bank’s Udyog Bandhu Loan to buy office equipment, expand business, purchase machinery and so on.

UCO Bank Udyog Bandhu Loan

This loan helps businesses in the Micro, Small and Medium Enterprises (MSME) sector meet their capital expenditure and working capital requirements. Proprietorships, partnerships and limited companies that fit the MSME definition are eligible for this loan.

Features of UCO Bank Udyog Bandhu Loan

Why this Loan?

  • This UCO Bank Udyog Bandhu Loan is meant for all types of businesses in the MSME sector that need financial assistance to meet their needs for purchasing equipment, machinery, etc.
  • This is a need-based loan

Loan Amount

  • The maximum loan amount sanctioned under this loan is Rs. 7.50 crore

Interest

  • Loans up to Rs. 10 lakh: The interest rate for this UCO Bank MSME loan is defined as the sum of two factors viz. UCO Float Rate and Strategy Spread of 0.55%. As of now, UCO Float Rate is 6.90% bringing the effective interest rate at 7.45%
  • Loans Above Rs. 10 lakh up to Rs. 1 crore: The interest rate for this UCO Bank MSME loan is defined as the sum of two factors viz. UCO Float Rate and Strategy Spread of 1.55%. As of now, UCO Float Rate is 6.90% bringing the effective interest rate at 8.45%
  • Loans Above Rs. 1 crore: The interest rate for this UCO Bank MSME loan depends on the internal rating of the borrower. Please get in touch with the bank for details

Repayment & Moratorium

  • These details are not mentioned on the bank’s website. Please talk to a bank representative to get answers to your questions related to the repayment and moratorium period of this loan

Security Needed

  • Loans up to Rs. 2 crore: The bank may ask for guarantee under CGTMSE coverage
  • Loans Above Rs. 2 crore: The bank asks for hypothecation of assets acquired or created under the loan as prime security. The bank also asks the borrower for equitable mortgage of land and/or building as collateral

Margin and Processing Charges

  • The margin and processing charges for this loan are not mentioned on the bank’s website. Please check with the bank for more details

Documents Needed for Individuals

  • 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: Last 6 months Bank Account Statement of applicant and co-applicant, Loan Statement of Running Loans, Latest Closed Loan NOC, Net Worth of the applicant and co-applicant
  • 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

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
  • 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: Partnership’s Business Profile, Promoter/Guarantor’s Profile, Corporate Brochure, Business Experience Supporting Documents, Business References

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

  • UCO Bank Website: www.ucobank.com and www.ucobanking.com (net banking)
  • Headquarters: Kolkata, West Bengal
  • Call Centre Toll-Free Number: 1800 274 0123