Upgrading the machinery and equipment of your business can be a hefty expense and one you can address conveniently with the Bajaj Finserv machinery loan. With it, you can get approved for a sizable amount of up to Rs. 80 lakh* (*Inclusive of Insurance Premium, VAS Charges, Documentation Charges, Flexi fees and Processing Fees) to ensure that you get the equipment you need to take your enterprise to the next level.
This loan is easily available, so long as you meet our relaxed criteria and submit the basic documents needed. In fact, on meeting the terms, you get loan approval in under 48 hours*.
Features of a machinery loan
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Loan amount up to Rs. 80 lakh
Fund your working capital requirements with ease when you opt for our machinery loan.
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Collateral-free finance
Access equipment financing without needing to pledge your assets as security.
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Flexi benefits
With our Flexi facility, you can borrow from your sanction freely and pay interest only on the amount you withdraw. If you are looking for flexible financing to support business expansion or equipment upgrades, you may also consider the option to apply for business loan tailored to your operational needs.
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Digital loan management
Our loans come with an online account to manage EMIs and simplify your access to crucial loan information.
Bajaj Finserv Machinery Loans offer several key benefits tailored to support business growth. With flexible EMI options ranging from 12 to 96 months and affordable interest rates, businesses can plan repayments with ease. The loan covers a wide range of machinery purchases with high loan-to-value ratios of up to 80%, catering to diverse customer segments. The process is simplified with minimal documentation and easy eligibility, ensuring faster access to funds. Disbursals are quick, backed by streamlined assessments for a broad range of borrowers. Additionally, customers enjoy doorstep service, with document collection and assistance provided directly by our sales managers for a hassle-free experience.
Eligibility criteria for Machinery loan
Age criteria: Applicant must be between 21 and 65 years old at the time of loan maturity.
Business stability: Minimum of 2 years of business operations required.
No past defaults: Applicant should have no history of loan or credit card EMI defaults.
Creditworthiness: A good credit score and strong repayment track record are preferred.
Documents required for machinery loan
KYC documents: PAN Card, Aadhaar, Passport, Voter ID, Driving License, and utility bills (electricity or water) of applicants and co-applicants, if applicable.
Proof of income: Valid income documents that demonstrate financial capacity.
Business existence proof: Documents showing business registration and operational history.
Financial records: Last 2 years’ Income Tax Returns and 1 year’s bank statement.
Existing facility sanction letter: Document showing details of any current loan facility.
Machine quotation: Original and valid quotation of the machinery to be purchased.
Additional documents: Any other paperwork requested by the lender.
Interest rate and fees applicable
The Bajaj Finserv machinery loan is a great option when you want to get equipment financing at a lower interest rate.
Type of fee |
Applicable charges |
Rate of interest |
14 to 25% per annum |
Processing fees |
Up to 4.72% of the loan amount (inclusive of applicable taxes) |
Bounce charges |
Rs. 1,500 per bounce. “Bounce charges” shall mean charges for (i) dishonour of any payment instrument; or (ii) non-payment of instalment (s) on their respective due dates due to dishonour of payment mandate or non-registration of the payment mandate or any other reason. |
Flexi Facility Charge |
Term Loan - Not applicable |
Penal charge |
Delay in payment of instalment(s) shall attract Penal Charge of Rs. 40 per day per instalment from the respective due date until the date of receipt of the full instalment(s) amount. |
Prepayment charges |
Full Pre-payment Flexi Term Loan (Flexi Dropline): Up to 4.72% (inclusive of applicable taxes) of the total withdrawable amount as per the repayment schedule as on the date of full prepayment. Flexi Hybrid Loan: Up to 4.72% (inclusive of applicable taxes) of the total withdrawable amount as per the repayment schedule as on the date of full prepayment. Not applicable for Flexi Term Loan (Flexi Dropline) and Hybrid Flexi. |
Stamp duty |
Payable as per state laws and deducted upfront from loan amount |
Broken period interest |
Method of recovery of "Broken Period Interest/Pre monthly instalment Interest" would be as follows: Scenario 1: If Loan is disbursed on 1st or post 10th of the month: |
Annual maintenance charges |
Term Loan: Not applicable Flexi Term Loan (Flexi Dropline): Up to 0.413% (Inclusive of applicable taxes) of the total withdrawable amount (as per the repayment schedule) on the date of levy of such charges. Flexi Hybrid Loan: Up to 1.18% (Inclusive of applicable taxes) of the Total Withdrawable Amount during Initial loan tenure. Up to 0.413% (Inclusive of applicable taxes) of the Total Withdrawable Amount during Subsequent loan tenure. |
Legal and incidental charges |
Recovery of charges |
Principal Holiday Facility Fees |
Principal Holiday (as applicable below) - (Inclusive of applicable taxes) Up to Rs. 6499 (Inclusive of applicable taxes) for loan amount less than Rs. 10,00,000. Up to Rs. 8,999 (Inclusive of applicable taxes) for loan amount between Rs. 10,00,000 and 14,99,999. Up to Rs. 13,999 (Inclusive of applicable taxes) for loan amount between Rs. 15,00,000 and Rs. 24,99,999. Up to Rs. 16,999 (Inclusive of applicable taxes) for loan amount Rs. 25,00,000 and above. Note- The above principal holiday facility fees will be deducted upfront from loan amount. Loan amount includes approved loan amount, Insurance Premium and VAS Charges. |
How to apply machinery loan
Applying for our machinery loan is simple and time-efficient. You can apply for the machinery loan online by following these steps:
- 1 Click on ‘Apply Online’ to open the application form
- 2 Fill in basic details and verify the OTP sent to your registered mobile number
- 3 Enter your KYC and business details
- 4 Upload the bank statement for the last 6 months and submit the application form
Await contact from our representative with further loan processing instructions.
*Conditions apply
FAQ
The maximum loan amount for machinery purchases can go up to 2 crore or more, depending on the lender’s policy and the applicant’s credit profile.
Yes, some lenders do offer loans for used or second-hand machinery, subject to certain conditions such as machine age, residual value, and usage.
Under government schemes like the Credit Linked Capital Subsidy Scheme (CLCSS), eligible borrowers can receive an interest subsidy of up to 15 percent on machinery loans, capped at 15 lakh.
Machinery loan tenures generally range from 12 months to 8 years, depending on the loan amount and the repayment capacity of the borrower.
A machinery loan functions like any other business loan. The funds are used to purchase or service machinery, and repayments are made through EMIs over a defined tenure, based on the lender's terms and the borrower's eligibility.
