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Cash-backed Facility

Cash-secured loans are beneficial for business customers. These customers are often in need of large influxes of cash to meet payroll, purchase inventory, buy other supplies and generally continue their operations. Customers can use their cash reserves (which are earning interest in separate accounts) to secure short-term, cash-secured loans for quick liquidity release.

Cash-backed Facility

Cash-secured loans are beneficial for business customers. These customers are often in need of large influxes of cash to meet payroll, purchase inventory, buy other supplies and generally continue their operations. Customers can use their cash reserves (which are earning interest in separate accounts) to secure short-term, cash-secured loans for quick liquidity release.

Who is this for:

  • Corporate Customers
  • SME Customers
  • Retail Customers
  • Public Institutions
  • EMDOS

Features:

  • Up to the bank’s single obligor limit
  • Processing fee of 0.25 % flat on facility amount payable upfront
  • Interest rate: Base rate + maximum of 8.5%.
  • Tenor maximum of 12 months Security for this facility is mainly cash. 80% of cash collateral will be availed to the customer.

Benefits:

  • It provides the avenue for customers to draw against proceeds of cheques in the course of clearing.
  • This will reduce delays and frustrations to customers’ business arising from the urgent nature of such requests
  • To meet our customers’ needs for short term funding by providing immediate
  • Access to funds in clearing in a structured manner