UCO Bank provides Working capital facilities to finance day to day operations of your business (Trading /Manufacturing )by way of funded credit facilities as well as non-funded credit facilities
Fund Based Credit Facilities:
Non-Fund based facilities
UCO Bank helps you in sanctioning of project loan (green field or brown field) or non-project loan for capital goods/ asset creation for your project on long term basis Salient Features:
Infrastructure Finance:
Cash credit
Working capital Demand loan
Bill Discounting/ Purchasing Facilities.
Preshipment credit : Export Packing Credit in INR and Denominated Foreign currency
Post shipment Credit-Foreign Bills Discounting /Purchasing/Negotiation
Bills Discounting against Inland LCs on Base Rate up to 90 days
UCO Expo Gold card credit facility is available to exporters on concessional pricing
Letter of Credit (ILC/FLC)
Bank Guarantee (Financial /Performance)
Letter of Comfort for availing Buyers credit - We issue Letter of comfort to enable our customers to avail Buyer’s credit from overseas Branches of our bank (Hong Kong & Singapore branches) or other banks for procurement of goods or fixed assets
Stand by Letter of Credit (SBLC)
Deferred Payment Guarantee (DPG)
The Bank provides funds for
Setting up new manufacturing/industrial units
Expansion of existing units
Exchanging of high cost debts availed form other banks/FIs
Can be availed under Deferred Payment Basis.
Terms loans can be availed in Foreign currency i.e. FCL/FCTL
Loans against future rent receivables
Factoring of Future receivables
Funding the projects of
Generation/Transmission of Power
Developing Roads, Ports & Airports
Laying/maintaining pipelines for gas, water, etc
Setting of SEZ and Industrial Park
Telecommunication services
Irrigation projects, water treatment plants, sanitation
Construction of warehouses, educational institutions etc.
Funds can also be availed in foreign currency i.e. Buyers credit & ECB
A new home loan product for Bank's corporate borrowers and other corporate entities (Public & Private Limited Companies). Under 'UCO Corporate Home Loan Scheme' loan can be extended to Corporate borrowers for purchase/construction of Dwelling Units/Guest House, Transit Homes for their employees.
ELIGIBILITY
Corporates: Bank's corporate borrowers and other corporate entities (Public Limited & Private Limited Companies) subject to satisfying following stipulations:
Years in existence: Minimum 5 Years
Profit making: Continuous profit making at least since last 3 Years
Rating: Investment grade external rating BBB and above.
DSCR: 1.5 (Minimum)
Cash flow should justify loan repayment capacity.
NOC should be obtained from the existing Bankers.
(Loan can be considered in the name of Company only. Loan in Joint names either two companies or individual & Company is not permissible).
Nature of facility
Term Loan
INCOME CRITERIA
The Company should be profit making for preceding three years as per Audited Balance Sheet.
QUANTUM OF LOAN
No Upper Cap
MARGIN
25% of project cost (minimum). Cost of stamp duty, registration and other documentation charges should not be included in the project cost. b) Cost of land may be treated as margin. (Cost of land to be ascertained from the sale deed. If sale deed is more than 2 years old, valuation certificate to be obtained from Bank‟s approved valuer) c) Amount already spent for construction can be taken as margin subject to production of evidence.
REPAYMENT
10 years (Maximum) including moratorium period of six months in case of purchase of house & 24 months in case of construction.
GUARANTEE
Personal Guarantee of whole time Directors of the Company.
SECURITY
Creation of equitable mortgage on the property in the name of the Company. ROC: Registration of mortgage charges with Registrar of Companies.
It should be noted that the charge over any immovable property, wherever situated or any interest that therein should be registered with ROC otherwise the same becomes void against liquidator or creditor as per provisions of Section 125 of the Companies Act,1956.
It should be ensured through verification of MOA of the company that the company is empowered to purchase property for the purpose specified in the scheme and to mortgage the same as security.
A Board resolution is also required to be obtained.
It should be ensured that the immovable property is free from all sorts of encumbrances/charges/attachments etc.
The immovable property should be exclusively charged to our bank for the housing loan to be availed from the bank.
Registration of the property with CERSAI after creation of charge over the property should be done to avoid any fraud or multiple financing.
NOC should be obtained from the existing lenders/banks.
RATE OF INTEREST
Base Rate +2% (Floating) for corporates having internal rating A & above.
Others : Base Rate +3% (Floating)
PENAL INTEREST
In case of delay in payment of EMI by one month or more, penal interest @ 2% per annum will be charged on the amount of default for the overdue period i.e. with effect from the due date.
PROCESSING CHARGES
Borrower has to pay a processing fee equal to 0.5% of the loan amount minimum Rs. 1500/- , Maximum Rs. 15000/-
PREPAYMENT CHARGES
No prepayment charges to be levied without minimum period stipulations irrespective of the source of funds, including take over cases by other Banks.
