Jana Small Finance Bank Loan Against FD

What is a Jana Small Finance Bank Loan Against FD?

Jana Small Finance Bank loan against FD is a secured lending facility where the fixed deposit of the customer is used as collateral. The borrower can borrow up to 90% of the FD value, hence gaining immediate access to liquidity without closing it prematurely or affecting the deposit. The fixed deposit will continue to earn interest at the applicable Jana Small Finance Bank interest rate. The facility is useful to borrowers who require fast access to funds but do not wish to have their savings interrupted or to make a premature FD withdrawal from their Jana SFB deposit.

Key Features of Jana Small Finance Bank Loan Against FD

The following are the key features of the loan against FD at Jana Small Finance Bank:

• Pay Interest on the Amount You Use: After getting a loan against an FD, you need to pay interest on the amount you use as a loan and not on the full FD amount.
• FD Keeps on Earning Interest: Your fixed deposit remains intact, and as you utilise the loan facility, it keeps on earning interest.
• Flexible Loan Tenure: In most cases, the loan tenure is associated with that of an FD, which ensures easy repayment and improved financial planning.
• Hassle-Free Application Process: You may visit the bank branch to avail the loan against an FD. However, you may also apply online at your convenience.

How to Apply for a Jana Small Finance Bank Loan Against FD?

Jana Small Finance Bank loan against FD is easy and hassle-free to apply for. It is possible to apply online either via the official site or by going to a branch.

Online Application Process

Here are the steps to apply for a loan against a fixed deposit online at Jana Small Finance Bank:

• Log In: Log in to Jana Small Finance Bank's internet Banking
• Check FDs: Open the Deposits section and check your active FDs
• Select FD: Choose the FD to use as collateral.
• Confirm Eligibility: Confirm FD eligibility and the amount of the loan offered.
• Complete Application: Complete and sign the necessary application forms.
• Submit Request: Submit your application and wait for approval from the bank

Offline Application Process

You also have the option of taking loans offline by visiting any Jana Small Finance Bank:

• Visit the Branch: Visit the closest Jana Small Finance Bank branch.
• Request Loan: Request the representative to apply for a loan on your FD.
• Provide Details: Present the FD details, the amount of the loan, and the payment preference.
• Submit Documents: Provide an FD receipt and KYC (ID proof, address proof, PAN).
• Loan Approval: The bank will confirm the FD and identify the amount of the loan to be granted.
• Receive Loan: On approval, the loan sum will be credited to your account or available as an overdraft.

Who Should Consider a Jana Small Finance Bank Loan Against FD?

A Jana Small Finance Bank loan against fixed deposit can be a good fit for:

• Long-Term FD Investors: You can also access liquidity without having to close your FD, in case of investors who have Long-Term FDs.
• People with Short-term Cash Requirements: A Jana Small Finance Bank loan against FD can be an option to use when paying medical bills, education costs, travel expenses, or other emergency financial bills.
• People Avoiding High-Interest Loans: A loan against FD is a more appropriate solution for people who do not want to take a personal loan or use credit cards. It offers an affordable way of borrowing money since it is backed by an FD.

Repayment Options for Jana Small Finance Bank Loan Against FD

Jana Small Finance Bank loan against FD provides flexible repayment options, and therefore, it is easy to manage your finances. Here are the key options:

• Flexible Repayment Options: Borrowers get the option to make a lump sum repayment or an instalment repayment, depending on the bank's policies.
• Interest on Utilised Amount Only: When taking an overdraft against an FD, a person will be charged with interest only on the amount utilised, and not the full limit that has been sanctioned.
• Minimal or No Processing Fees: Banks may charge no or minimal processing fees on a Loan against an FD.
• FD Access Restored After Successful Repayment: When the customer repays the loan on time, the lien on the FD is removed, and the deposition continues as usual.

Key Takeaways

Jana Small Finance Bank provides the facility to acquire a loan against your fixed deposit (FD) with ease and speed. You can get up to 90% of your FD's value to be used in liquidity while your FD continues to earn interest. Also, the loan against FD is flexible; there are no fixed EMIs, and interest is only charged for the amount you borrow. This facility can be used by individuals and businesses to meet short-term financial needs.