Equitas Small Finance Bank Loan Against FD

What is an Equitas Small Finance Bank Loan Against FD?

An Equitas Small Finance Bank loan against FD provides access to your fund in a flexible and hassle-free way while keeping your fixed deposit secure. This loan against FD facility ensures that your FD continues to earn interest during the loan period. With minimal documentation required, your FD serves as collateral, providing you with quick access to funds without the need to liquidate your savings.

Key Features of the Equitas Small Finance Bank Loan Against FD

Equitas Small Finance Bank loan against FD benefits customers of varying financial needs:

• Low Interest rate: The final interest is paid at a competitive rate that is marginally 1% to 2% higher than the current interest rates on Equitas Small Finance Bank FD rates and is only charged as long as the funds are used.
• Pay Interest on Only Amount Used: You will receive interest on the entire deposit, but only pay interest on the amount actually transacted.
• Broad Eligibility: The loan against FD facility is also extended to individual and joint account holders and the Hindu Undivided Families.
• FD Growth: Your fixed deposit continues to earn interest even while the loan is active, ensuring you retain the benefits of your original investment.

How to Avail an Equitas Small Finance Bank Loan Against FD?

The following are the ways through which you can apply for the Equitas Small Finance Bank loan against FD on online or offline platforms:

Online Loan Application

Online applications can be done quickly either by Equitas NetBanking or the Mobile App. To apply, follow the steps below:

• Log in to NetBanking or Mobile App: Log in to the NetBanking or Mobile App using Customer ID and password.
• Go to the Deposits Section: Go to the section of deposits and choose the Fixed Deposit.
• Select FD for Loan: Select the type of FD to be taken on the loan.
• Apply for Loan Against FD: Click on “Use Deposit as Loan against FD.
• Choose Loan Type: Choose the type of loan as Overdraft Against FD.
• Check Information and Register: Check the information and register.

Offline Loan Application

To apply offline, visit your nearest Equitas branch and follow these steps:

• Visit Your Nearest Branch: Go to the Equitas Small Finance Bank closest to you./li>
• Request a Loan: Request the representative that you would like to have a loan based on your FD.
• Provide Required Documents: Submit ID documents, your FD receipt, and details about your linked savings account.
• Select FD for Loan: Select the FD that you wish to place the loan with the representative.
• Review Loan Details: Check the details of the loan, such as the rate of interest and loan amount.
• Fill Necessary Forms: Fill the necessary forms, and the bank will work on your application.

Who Can Benefit from an Equitas Small Finance Bank Loan Against an FD?

Loan against FD Equitas Small Finance Bank suits a very diverse group of customers, including:

• Customers Facing Short-Term Cash Needs: Equitas Small Finance Bank's loan on FD offers quick access to funds for medical emergencies, educational fees, or travel expenses, without the need to liquidate your FD.
• Small Business Owners or Self-Employed Professionals: The loan against FD is useful for business owners who need to manage short-term working capital or operating costs.
• People Avoiding High-Interest Loans: If you want to avoid higher interest rates from personal loans or credit cards, this facility offers a lower-cost borrowing option using your FD as collateral.

Repayment Options for Equitas Small Finance Bank Loan Against FD

Equitas Small Finance Bank provides its customers with multiple ways of repayment. The principal repayment options are as follows:

• Repay Anywhere: The loan can be repaid anywhere with no fixed EMI payment. You are not required to pay the amount as a lump sum.
• Multiple options of payment: Pay in NetBanking, UPI, NEFT or by branch.
• Partial or Full Repayment: You may pay off the loan in instalments or in one full, at your convenience.
• Automatic Adjustment of FD Maturity: FD proceeds will be automatically adjusted against the outstanding loan on maturity.
• Repayment of Other Accounts: You have the flexibility to repay the loan on any other account you hold with Equitas Bank.

Key Takeaways

The Equitas Small Finance Bank loan against FD allows you to borrow up to 90% of your FD sum at the prevailing FD interest rate on your deposit. It is easily processed using NetBanking or via an offline medium. By having a flexible repayment option, you can either pay the loan in instalments or in a single instalment, as convenient to you. You can make the payment either via online banking, UPI or at the branch.