Loans are traditionally designed to be rigid, adhering to strict guidelines, which in turn translate to lengthy formalities and processes. A flexi loan offers flexibility and ease of use to customers, enabling them to borrow as per their discretion without having to worry about reapplying each time. South Indian Bank offers flexi loans designed for individuals who are on the move and are used to uncomplicated working conditions.
A flexi loan from South Indian Bank can be used for multiple purposes, provided it is not used to aid illegal activities, hoarding or speculation purposes. NRIs cannot use this loan to invest in agriculture, real estate or plantations. Any other legitimate financial requirement can be met using this loan.
The primary target group of South Indian Bank Flexi Loan are High net worth individuals, although anyone who is able to satisfy the basic criteria laid down by the bank can avail this loan. A joint or a single loan account can be maintained through this loan scheme.
The minimum loan amount which can be availed is Rs 2.50 lakh, with the upper limit decided by the bank based on individual applications and the collateral provided. A maximum of Rs 15 crore can be obtained against a prime urban/non-urban residential property.
The loan amount is disbursed by crediting the SB/NRO account of a borrower.
Individuals who wish to avail this loan need to satisfy the following basic criteria.
Indian/NRI: An applicant should be an Indian citizen or a NRI.
Income: An individual should have sufficient funds to repay the loan. The salary should be such that the annual repayment requirements are less than 75% of his/her total annual income.
Security: The value of a collateral should be double the loan amount.
Interest rates charged by South Indian Bank on its Flexi Loans depend on the base rate, which currently stands at 10% (as of November 2015). An additional interest of 3.8% is added to this base rate, taking the overall interest to 13.8% per annum.
Note: Interest rates charged by South Indian Bank are at their sole discretion and subject to change without intimation.
This loan can be repaid through flexible EMIs, with a minimum repayment tenure of 6 months and a maximum tenure of 10 years.
A penalty is charged on the amount defaulted during a particular duration. This fee is currently 2% per annum for the particular amount.
Individuals who wish to apply for this loan can do so either online, through the official website of the bank or offline, by directly visiting any branch. They are required to fill in their basic information like name, address, contact number and account details (if they are existing account holders) and submit the relevant forms.
Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.