Last Updated on: 20/03/2023
MSME CREDIT SCHEMES – At a glance S.No. Name of the scheme Important Features 1. IOB – MSE PLUS Working capital & term loan can be combined as a single term loan No collateral /Third party guarantee Maximum Rs 100 lakhs Compulsory CGTMSE cover 2. IOB – SANJEEVINI Loan to Doctors for establishment of a Clinic with all sorts of medical amenities, purchase of medical equipments Purchase of all sorts of medical equipments for already existing clinic 3. IOB CA – FOR CHARTERED ACCOUNTANTS Term loan for construction of Office Premises, furniture, etc Purchase of Car for business use Loan amount – Rs 10 lakh to Rs 125 lakhs Margin 20 – 25% No collateral up to Rs.10 lakhs under CGTMSE 4. IOB - SAGARLAKSHMI Scheme for fisher women for processing of fish as working capital and also for purchase of equipments Loan above Rs 1 lacs will be covered under MSE(upto Rs 1 lakh under agri ) Term loan up to Rs.10 lakhs Covered under CGTMSE 5. IOB GOLD For business purpose against gold ornament - minimum Rs.1 lakh maximum of Rs.25 lakhs Market Value is an added attraction 6. SME INSTA FUND To carry out unforeseen bulk orders with a cap of 50 % over regular working capital limits for SME 1 rated accounts and 30 % for SME 2 & 3 rated accounts Bullet repayment within 6 months 7. IOB – MICRO ONE Fresh borrowers qualifying under Micro Enterprises norms Collateral free Less interest BR + 1.75 % Low margin 15 % for WC and 25 % for book debts Low processing charges Max Rs 5000 only 8. WEAVERS CREDIT CARD SCHEME Working capital up to Rs. 2 lakh Interest rate – BR+0.75% No collateral/ coverage under CGTMSE Interest Subvention of 3%/Margin Money subsidy Rs 4200/ CGT Guarantee cover free for 3 years to be absorbed by Ministry of Textiles 9. IOB ENGINEER For Civil Engineers for Establishment of Office Premises/purchase of equipments Processing charges 0.25% of loan amount No collateral up to Rs.10 lakhs coverage under CGTMSE Interest rate – reduction of 0.50% if collateral coverage is 100% or above Repayment – Max 7 years 10. IOB - SME MAHILA PLUS To encourage women entrepreneurs in Micro and Small sectors. Term Loan/Cash Credit Upto Rs.2.00 Crs for manufacturing units Upto Rs.1.00 Cr for service enterprises No Collateral upto Rs.1.00 Cr. Coverage under CGTMSE up to advance of Rs.1.00 Cr. Repayment - CC renewed every year; Term Loan - 10 years and 7 years Processing Charges Rs.200 per lac maximum Rs.20000/- 11. IOB RICE MILLS PLUS To finance rice mills-construction, purchase of machineries(import also) Job work units not eligible Up to Rs. 5.00 Crs CGTMSE coverage upto Rs.1.00 lac Cash Credit, Overdraft, Bank Guarantee, Letter of Credit, etc., Interest-Base Rate + 1.50% Repayment 84 months - 12 months holiday Processing Charges Rs.100 per lac ; maximum Rs.25000/- 12. IOB SME ADD ON Existing borrower with good track records and the accounts should be standard and performing. Branch may sanction Term Loan for purchase of Plant and Machinery, transport vehicle, etc, as per requirement of the borrower with the ceiling of Rs. 25 lacs. Margin 15% to 25% DSCR needs to be worked out Discretionary powers Branch Managers in scale I, II, III - 50% of their per borrower discretion. Scale IV & above – 25% of their per borrower discretion. Interest and charges as applicable 13. IOB SME CONTRACTOR SCHEME Financial support to individuals, proprietors, partnerships, private limited company, limited companies registered with Central/State governments. Loan amount Rs.10.00 lacs and subject to maximum of Rs.500.00 lacs (FB + NFB) Working capital in the form of Cash Credit / Bills limit for purchase / discounting of the accepted bills. Term Loan for purchase of construction equipments/machinery, vehicles, etc., Margin Fund based limits: As per MSE LOAN POLICY Non Fund Based: for SME 1 TO 3 rated borrowers L G Financial Minimum 15% ; Performance – Minimum 10% Processing Charges : For SME 1 – 3 rated borrowers: Upfront fee for term loan – 50% of applicable fee Processing Fee for Term Loan and Cash Credit – 75% of applicable rate Repayment max. 5 years including three to six months holiday period. Interest: SME-1 to SME -3 rated borrowers Up to Rs. 1.00 Cr Base Rate + 1.75 % Above Rs. 1.00 Cr and upto Rs.5.00 Cr Base Rate + 2.75 For others : As per applicable rates to MSME Sector 14. IOB KANAKA SCHEME To meet the capital expenditure and working capital requirement of new/existing MSE engaged in the processing of cashew nuts. Loan amount based on requirement Margin Term Loan 15% and Cash Credit 25% on fully paid up stock and receivable up to 120 days LC for import of raw cashew nuts for processing: 25% upfront deposit margin. Loan amount up to Rs.1.00 Crore under CGTMSE cover Above Rs. 1.00 Cr. Collateral security coverage should be to minimum extent of 80% of total exposure. Repayment max. 7 years Rating: up to Rs. 2 Cr. CRR Model and above Rs. 2 Cr. CRISIL RAM Interest rate up to Rs.1 Cr. BR + 1.75% and above Rs. 1 Cr. BR + 2.00 %