Lease Rental Discounting Interest Rates, Processing Fees, and Charges

Check the fees and charges applicable before applying for a lease rental discounting.

Applicable fees and charges

We advise you to read about our fees and charges thoroughly before applying.

Type of fee

Applicable charges

Rate of interest (floating) 8% to 14% per annum

Processing fees

Up to 3.54% of the loan amount (inclusive of applicable taxes)

Documentation charges

Up to Rs. 2,360 (inclusive of applicable taxes)

Flexi fee

Term Loan: Not applicable
Flexi variant: Not applicable

Pre-payment charges

Full pre-payment/Foreclosure

  • Term Loan: Up to 4.72% (inclusive of applicable taxes) on the outstanding loan amount as on the date of 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: Not applicable

Part pre-payment

  • Up to 4.72% (inclusive of applicable taxes) of the principal amount of Loan prepaid on the date of such part pre-payment.
  • Flexi Term Loan (Flexi Dropline): Not applicable

Note: If all borrowers and co-borrowers are Individual, loan availed on floating interest rates, and loan taken for purpose other than business use, then there will be no foreclosure/part-payment charges.

Annual maintenance charges

Term Loan: Not applicable
Flexi Term Loan (Flexi Dropline): Not applicable
Flexi Hybrid Loan: Not applicable

Bounce charges

Rs. 1,500/- per bounce.
“Bounce charges” shall mean charges for 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.

Penal Charge

Penal Charge is applicable in the following scenarios:

a. Penal Charge:
Any payment default shall attract penal charge of Rs. 190 per day for period of such delay from the respective due date and continue to apply until the date of receipt of amounts under the said default.

b. Covenant Perfection Charge:
i) Rs. 800/- per day for non-submission of critical documents after 90 days of disbursement. Levy from the date when due on non-compliance of any one or all heads in the category.
ii) Rs. 500/- per day for non-submission of non-critical documents after 120 days of disbursement. Levy from the date when due.

Stamp duty (as per respective state)

Payable as per state laws

Broken Period Interest/ Pre-EMI Interest

Broken Period Interest/Pre EMI-Interest' shall mean the amount of interest on loan for the number of day(s) which is(are):
Scenario 1 - Over and above the period of 30 (thirty) days from the date of disbursement of the loan:
Method of recovery of Broken Period Interest/Pre-EMI Interest:
For Term Loan: Deduct from disbursement
For QDP process: Added to first instalment amount
For Flexi Term Loan: Added to first instalment amount
For Hybrid Flexi Loan: Added to first instalment amount
Scenario 2 - Less than period of 30 (thirty) days from the date of disbursement of the loan, Interest on first instalment will be charged for actual number of days.

Mortgage origination fees

Up to Rs. 6,000 (inclusive of applicable taxes) per property charged upfront.

Note - In case of re-valuation of the property then MOF will be levied again and shall be deducted from loan disbursement amount.

CERSAI charges Up to Rs. 118/- (inclusive of applicable taxes)
Conversion fee (floating to fixed)

For Term Loan: Up to 1.18% (inclusive of applicable taxes) of principal outstanding + undisbursed amount (if any)

For Flexi Term Loan and Hybrid Flexi Loan: Up to 1.18% (inclusive of applicable taxes) on flexi limit + undisbursed amount (if any)

Note:

a) The company would charge additional interest rate risk premium of 200 bps over the applicable rate of interest on the borrower's loan account as on that date.
b) Three conversions are permissible throughout the entire tenure

Conversion fee (fixed to floating)

For Term Loan: Up to 1.18% (inclusive of applicable taxes) of principal outstanding + undisbursed amount (if any)

For Flexi Term Loan and Hybrid Flexi Loan: Up to 1.18% (inclusive of applicable taxes) on flexi limit + undisbursed amount (if any)

Note: Three conversions are permissible throughout the entire tenure.

Switch fee for ROI change Up to 2.36% (inclusive of applicable taxes) of principal outstanding
Commitment fee Maximum up to total PF amount.
Cash collection handling charges Rs. 177 (inclusive of applicable taxes) will be charged if customer opts to make payment in cash when the collection is done by the collection agents. This fee is charged only once per month, regardless of the number of payments made against multiple LANs.
Cash deposit charges Customers will incur a cash deposition charge of Rs. 50 (inclusive of applicable taxes) when making cash payments at our branch offices.
PG facility charges Rs. 11 (inclusive of applicable taxes) will be charged for utilising the payment gateway to make part or full payments towards the loan through digital properties.


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Step-by-step guide to apply for a lease rental discounting

  1. Visit our official site and click on the APPLY option.
  2. Fill in the application form with the required details.
  3. Click on the ‘SUBMIT’ button.

That is it! Your application is submitted. Our representative will connect with you to guide you through the next steps.