who can benefit Loan Against FD
- resident citizens of India
- Hindu Undivided Family (HUF)
- Sole Proprietorship, Partnership Firm,
- associations
- trust
The features of loan against FD are given below: State Bank Of India Website:
- Get a loan up to 95% of the value of your Fixed Deposit
- Both demand loan and overdraft facility as per your requirement
- low interest rates. Also, we charge interest on daily decreasing balance!!
- zero processing fee;
- No prepayment penalty.
- Minimum loan amount (for online overdraft against fixed deposit): Rs. 5000
- Maximum Loan Amount (For Online Overdraft Against Fixed Deposit): Rs. 50 million
- Margin : Get loan up to 95% of your fixed deposit value
- Security lien on underlying fixed deposit
- Loan Type : Demand Loan and Overdraft
- Channel: Internet Banking/YONO/Branches
- Processing Fee: Nil
- Interest Rate: 1% above the relative fixed deposit rate
Eligibility to take loan against FD
SBI customers can avail this loan including single, joint account holders of SBI’s TDR/STDR/RD/NRE/NRO/RFC and FCNR(B) deposits. Single account holders can also avail overdraft on online deposits.
In SBI, the maximum overdraft limit that can be availed online against a fixed deposit is Rs 5 crore. There is no prescribed credit limit for advances in branches.
How much loan can be taken against FD
Banks provide loans on fixed deposits by charging some interest and the amount will range from 75% to 90% depending on the bank.
How to get loan against FD in SBI?
Step 1: Login to Net Banking
Step 2: Select e-Fixed Deposit option from the menu section.
Step 3: Select the option of “Overdraft against Fixed Deposit”.
Step 3: Select any one active deposit from the list and request to apply overdraft.
Step 4: Select “Proceed” and verify the overdraft amount, applicable overdraft interest rate and expiry date.
Step 5: Enter the high security password on your registered mobile number
Alternatively, customers can also approach the branch to avail this facility.