Hypothecation Loan

  • Hypothecation cash credit facility is available as a working capital for development of business against prime security of stock and collateral Security. Trading / Manufacturing units, Traders, Business community can avail the credit facility.


  • Last three years balance sheet, copy of income tax return, copy of Partner’s personal return , Memorandum and Article of Association in case of limited company, resolution for loan application.
  • Tax bill of Property
  • Three photographs of Applicant
  • Business proof of Applicant
  • Applicant’s Pan card / Partner’s Pan Card / Limited Company’s Pan card
  • Bank account statement of last 2 years
  • Stock statement of the business
  • Applicant has to show all original documents to the bank for verification with zerox copy. Original documents will be returned to applicant after verification.
  • Guarantor Details :

    • Photograph-2 copies
    • Last tax bill + Receipt of Paid
    • Last 3 year income tax return copy + Receipt of paid
    • Address proof – electric bill / telephone bill (any one) As per KYC norms
    • Photo proof – Pan card / Voter card / Driving license/Aadhar card As per KYC norms
  • Conditions :

    • The limit will be decided on the basis of turn over (sales) / projected sales i.e. 20% of turnover (sales) or projected sales against stock 20% margin of stock.
    • Applicant has to provide collateral security to the tune of 80% of the limit by way registered mortgage declaration of residential premises, office, shop, godown, shed etc.
    • Insurance of stock and mortgage property to be taken in favour of bank by the applicant.
    • Original documents such as share certificate, Sale deed, Tax receipt allotment letter are required for registered mortgage of the property.
    • Title clearance and valuation report will be done by approved lawyer and valuer of the bank. Applicant has to pay their fees.
    • Applicant has to submit stock statement at the end of quarter and before 10th of the next quarter.
    • The applicant has to provide two guarantors.
    • Limit is subject to renewal after 12 months.
    • Applicant has to take share @ 1.00% of the limit.
  • Requirements of Documents

    Adhar Card Adhar Card
    Pan Card Electricity Bill (not more than 6 months old)
    Voter ID Card Municipal Tax Bill
    Pass Port Gas Bill / Telephone Bill :Latest
    College / School ID Card Latest LIC Primium Receipt
    Government / Semi Government ID Card Other Bank Passbook
    • Passport Size Photograph 2 Copies
    • Birth Certificate for minor account
    • Introduction From Existing account Holder