Traders Loan

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Traders Loan

Traders Loan

The Baroda Traders Loan facility enables individuals, Proprietorships, bodies such as Partnership firms and Co-op societies to avail of working capital or undertake development of shop by way of loan/overdraft. Dealers in gold/ silver jewelry are also covered under the scheme.

  • Option to avail the credit facility as loan or overdraft.
  • Pricing is linked with Internal Risk Rating
  • Advance available up to Rs. 10 Crores
  • Loan can be repaid in a maximum period of 60 months.
    • Term loan : Maximum period 60 months
    • Overdraft : 12 Months subject to annual review


0.35% of Loan/OD amount without any maximum. Minimum: Rs.7,500/- (Upfront)**

** The above charges considered as if only one property is



Working capital requirements

Term Loan

Development of shop (Purchase of equipment, Computer, Air-Conditioner, Furniture etc.; but not for purchase of shop, for need based requirements subject to a maximum of 25% of the working capital limit sanctioned.

Non-fund based facilities (Letter of Credit & Bank Guarantee)

(Non- fund facility can be considered over and above the Working capital / Term Loan limit, but within the limit assessed based on value of securities and Up to The specified maximum limit under the scheme. - However, if requested non fund based limit cannot be accommodated separately based on projected turnover or Offered securities, the same can be considered as a sub Limit of working capital limit.)


The business units should be profit making (net profit before tax as per last -2- years **audited balance sheet) and should be established in the line of business for a minimum period of -2- years. (**wherever applicable)

For a partnership firm, PBT (Profit before Tax) will be considered after adding Remuneration to partners and interest on partner’s capital.

Trading units established by our existing Current Account or Advance Account Customers with satisfactory dealings for the last -1- year or their close relatives can be Considered, even if these are established for less than -2- years.

Type of facility

Overdraft / Term Loan / Non Fund Facility


  • Minimum: Rs.2.00 Lacs
  • Maximum: (For all category of borrowers)
    • Metro branches : Rs.10.00 Crores
    • Urban branches : Rs.5.00 Crores
    • Semi Urban branches : Rs.3.00 Crores
    • Rural branches : Rs.25 Lacs

Assessment of Working Capital limit

The credit limit is to be considered as under:
20% of the accepted projected Sales; subject to verification of Sales Tax returns of the Previous year’s / quarters. OR Advance Value of collateral assets to be charged, whichever is lower.


Mortgage of Immovable Properties:
Residential Property (House / Flat)
Commercial property (Building / Land & Building)
Plot of Land (not agricultural land)


  • 40% on Realizable Value of immovable properties
  • 10% on Bank’s own FDRs.
  • 15% on the surrender value of Life Insurance Policies and face value of NSCs, Government Bonds etc.

Repayment Period

  • Term Loan : 120- months
  • Overdraft : 12- months; subject to annual review

Unified Processing Charges

The unified processing charges (which includes Processing Charges ,Documentation charges ,Document Verification/ vetting charges ,Pre- Inspection (Contact Point Verification-CPV) charges ,One time post inspection charges ,Advocate charges for legal opinion ,Valuer charges for valuation (One time at the time of sanction) , Bureau report charges , CERSAI charges , ITR Verification charges ) to be levied as detailed below

Commitment Charges

The interest applicable on 60% of sanctioned Limit in the Overdraft accounts in case the quarterly average utilization of the account is below 60%, will be charged on quarterly basis.

Legal opinion & Valuation charges

Title of the property proposed to be purchased is to be clear, absolutely unencumbered and marketable to the satisfaction of the Bank’s solicitor/ advocate. Title verification and Valuation of the property will be done by the empanelled advocate/ valuer of the Bank.

In case of limit above Rs.1.00 Crore, 2nd valuation of the property also to be obtained and to be satisfied upon. The lower of the -2- valuations to be considered while calculating the limit.

Other Expenses

Like stamp duty for execution of documents, registration charges varying from State to State and other related charges/ expenses for the loan shall be borne by the Borrower.

Credit Information Report

Bank is authorized to make enquiries from any of the Credit Information Bureau and get the Credit Information Reports. Bank is also authorized to disclose from time to time any information relating to the loan to Credit Bureaus approved by Government of India or Reserve Bank of India without any notice to the borrower.

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  • Total Interest
  • Total Amount
Monthly Payment Rs. 1,977.00

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