The Allahabad Bank Laghu Udhyami Credit Card (LUCC) is offered to borrowers as working capital to finance the purchase of equipment, raw materials, and so on. The credit cardholder can also avail a loan against his/her credit card for the purpose of purchasing all necessary things to assist the process of production. With the Allahabad Bank Laghu Udhyami Credit Card (LUCC) Scheme, cardholders can also avail a loan from the purpose of improving their annual turnover.
The percentage of loan margin available on the Allahabad Bank Laghu Udhyami Credit Card (LUCC) scheme is 25%.
The primary security in terms of working capital can be the hypothecation of book debts, stocks, current assets, etc. The primary security that has to be pledged with the bank for availing a term loan under this scheme, is the hypothecation of assets such as plant and machinery, that has been purchased using the finance provided by Allahabad Bank.
The security/collateral that has to be placed in the Bank will be determined based on the borrower’s profile, amount of loan he/she has applied for, etc and it also has to meet the guidelines set by the Government of India.
The Allahabad Bank Laghu Udhyami Credit Card (LUCC) scheme provides credit to the cardholder for the purchase of equipment, raw materials, and more.
The credit cardholder can avail a term loan against the Laghu Udhyami Credit Card under this scheme for financing the purchase of tools and equipment that assists the process of production.
|Interest rate||Interest rate is determined based on the borrower’s profile and is usually calculated as Base Rate or BR+5.00% p.a., with monthly rests, depending also on the risk rating of the borrower’s account.|
The repayment period for credit taken for working capital will be specified by the Bank. This is subject to yearly reviews.
The Allahabad Bank Laghu Udhyami Credit Card is valid for up to 3 years.
The tenure of the term loan taken against the Allahabad Bank Laghu Udhyami Credit Card can be anywhere from 5 years to 7 years.
You can apply for an Allahabad Bank Laghu Udhyami Credit Card from any branch of the bank.