Last Updated - Feb 23, 2018
What we are?
SBFC is a new-age financial services platform that leverages technology and data-science to make lending quick and easy.We give 3 kinds of loans - Personal Loans, Gold Loans and Loan against property.
How does SBFC differentiate itself?
SBFC has enabled a customer - focused, human approach to lending. Our products are flexible and can be tailor made to suit the unique requirements of our customers. We leverage technology and data science to simplify the borrowing process and make it quick and hassle-free. Our products do away with heavy documentation and mandatory branch visits. The team at SBFC comprises former bankers and finance professionals who have been active in the lending space for over 15 years. The team intends to leverage its deep experience and understanding of financial services and businesses to provide funding solutions to customers as per their requirements. Developing long term, sustainable relationships with customers, providing customized products and ensuring superior customer experience are some of the key focus areas for the team.
What kind of loans does SBFC provide?
We provide 4 kinds of loans - Personal Loans, Gold Loans and SME Business Loans.
SBFC provides short term unsecured personal loans to retail customers with ticket sizes of Rs 50,000 to Rs 5 lakhs.
SBFC provides individuals with long term loans for self-construction and loans against property. Loan sizes range from Rs 2 lakhs to Rs 300 lakhs.
SBFC provides both short-term working capital as well as term loans to small and medium enterprises. Loan sizes range from Rs 1 lakh to Rs 10 crore.
How do I apply for a loan?
You can apply for a loan through any of the following ways:
You can apply directly through our website by clicking on Apply Now.
Contact our Sales team at 011 4926 1400
Email us at email@example.com
What is a personal loan?
A personal loan is an unsecured loan for your financial needs like medical emergencies, planning a holiday or a wedding, purchasing a consumer durable, furnishing your home, or meeting an unexpected cash flow need.
With SBFC India's range of Personal loans, meet all sorts of financial needs without worrying about keeping any collateral or property. Our range of personal loans are simple and flexible, designed with your changing needs in mind.
Who can apply for a Personal Loan?
SBFC Personal Loan is available for salaried individuals as well as self-employed individuals.
What are the documents required to apply for a loan?
As per RBI guidelines, we require a Proof of Identity, Proof of Address, PAN card for KYC requirements, Income document and Bank Statement to evaluate your loan eligibility.
What is the usual loan tenor?
We offer tenor upto 60 months
Do I need to hypothecate my assets or provide any other collateral to avail a Personal Loan from SBFC?
You do not need to hypothecate any assets to avail a Personal Loan from SBFC.
What is the maximum loan amount I can avail?
You can avail up to Rs 10 Lakhs. The actual loan amount eligibility will be calculated based on your income and your credit history.
How do I pay back the loan?
Once your loan is approved, and disbursed, you will be required to pay back the loan in Equal Monthly Instalment (EMI), which will be automatically debited from your bank account via ACH.
How much would I need to repay each month?
At the time of booking of your loan, the EMI (Equated Monthly Installment) will be calculated based on the loan amount sanctioned, interest rate and the tenor.
What is an EMI?
EMI or 'Equated Monthly Installment' is the convenient monthly amount that you have to service to pay back the loan availed. The EMI consists of both the principal and interest components.
Is it possible to pre-pay my loan early?
Yes personal loans can be pre-paid early. There is a pre-payment fee that applies which is part of our loan documentation.
How will the loan be disbursed?
Post approval, your loan amount will be transferred digitally to your bank account.
Why shouldn't I avail my sudden need for cash through a 'cash advance' on my credit card?
Your credit card can be an option, but withdrawing cash using a credit card can turn out to be very costly if you do not repay it quickly. Interest rates on credit card cash withdrawals can go as high as 40 per cent on an annual basis depending on the type of card you use and you also do not get the interest free period to pay back. In short, interest is charged from the moment you withdraw the cash. There is also an additional transaction charge that is levied on the withdrawal at the ATM. In comparison, a Personal Loan is cheaper and the repayment can be spread over a long period.
What happens if I miss an EMI payment?
In case you miss paying EMI, you will have to pay a bounce fee, and a late payment penalty. Your credit history may also be impacted,and as such this is not something you should plan to do.
What is MSME Secured Loan:
MSME loans are specially created loans for the small businesses. These are designed to be in tune with unique requirements which small businesses encounter during various phases of their business. Typical business requirements include new product launch, warehousing needs, expansion to new locations, entering new product categories, hiring new employees, marketing and many more such business related needs
We provide secured loans to small and medium business entities. We facilitate all your needs like business expansion, technology up-gradation, working capital requirement, erection of building and sheds to name a few.
Your property can be a blessing in ways more than one. Unlock the hidden potential of your hard earned property by availing an easy loan against your residential or commercial property. SBFC offers a wide array of Property loans to meet financial expenses pertaining to your business or other requirements.
With a wide presence across the country and an influential network of branches, SBFC Secured Loans provide a host of benefits and unique features completely customised to suit your needs. So if you have a dream or a goal, your property can help you achieve that in the most affordable way.
A Secured Loan from SBFC is a multi-purpose loan that can be availed by mortgaging your existing property in semi-urban or urban locations.
What kinds of businesses does SBFC lend to?
We work with Petty traders, shopkeepers, wholesalers, farm equipment traders, Small & micro manufacturing enterprises, Small & micro service enterprises, Self Employed Professionals etc
For what purpose can I avail a Loan against Property?
You can avail a Loan against Property for any personal or for business purposes provided the end use is not for any speculative or prohibitive reasons.
How will my loan eligibility be calculated?
Loan eligibility is usually calculated basis the repayment capacity of the borrower. Repayment capacity can be ascertained based on factors such as income, age, qualifications, spouse's income, etc.
What are the Features & benefits of availing Secured Loan from SBFC?
We provide support for overall establishing of your business with quick and hassle free loans. We hold your hand through the entire process with utmost transparency. You can always expect easy and flexible payment terms with us. We give loans upto Rs 100 lacs. The typical tenor of these loans ranges from 5 to 12 years.
What security will I have to provide?
The security for the loan will be the first mortgage of the property to be financed, normally by way of deposit of Title Deeds and/ or such other collateral security, as may be necessary. The title to the property has to be clear, marketable and free from encumbrance. In other words, there should not be any existing mortgage, loan or litigation which is likely to affect the title to the property adversely
How will the loan be disbursed
The loan would be disbursed directly to your operating bank account
What is the tenor of the Loan?
The loan can be for a maximum tenor of 15 Years or up to a maximum age of 65 at maturity of the loan.
When will the repayment of the loan commence
Repayment will commence in the month subsequent to the month in which the loan has been disbursed
How do I repay a SBFC Secured loan?
The repayment of loan is done through Equated Monthly Instalments (EMI). It can be paid through CTS compliant Post Dated Cheques (PDC) or through Electronic Clearance System (ECS).
Can I repay my loan before the due date?
Yes, you can repay your loan at any time during the loan tenor by paying a nominal fee as applicable.
What is a gold loan scheme?
As the name suggests this is the loan given against gold. It's a secured loan that enables borrowers to pledge their gold in lieu of a cash loan. It enables people to utilize their gold assets instead of storing them in lockers. Customers usually go for this loan for short period to meet the requirement of their children's education, marriage and other financial problems in the family.
What is the eligibility criterion to qualify for a gold loan?
For a gold loan, applicants should be aged above 18 years and should have gold that needs to be mortgaged with the bank.
What is the interest charge applicable on gold loan?
The interest rate on your gold loan varies from one lender to another. Please enter your details on our Gold Loan eligibility page and view gold loan offers offered by various banks and private institutions.
How is the rate of interest calculated on a gold loan scheme?
Such schemes determine the repayment by calculating simple interest based on monthly reducing balance. Take for example,
Loan Amount ~ Rs 1,00,000
Duration ~ 12 months
Interest Charged ~ 16%
EMI ~ Rs 9073
Final Payment ~ Rs 1,08,876
What is the maximum amount that can be sanctioned under the gold loan scheme?
The maximum loan amount loan varies from one lender to another. It can range between Rs. 1,500 and Rs 1 Crore depending on the eligibility criteria of particular bank/institution.
How long does it take to complete the gold loan approval process?
If an application meets all the requirements, loan is approved in less than 15 minutes and after that, the loan is disbursed in less than 30 seconds.
What is the repayment tenor of a gold loan?
A gold loan tenor can vary from 1 day to 3 years.
What are the additional fees that I will need to pay at the time of taking a loan?
A nominal processing fee is levied on your gold loan. The processing fee charged varies from one bank to another but generally does not exceed 2% of the loan amount. In addition to the processing fee, you are expected to pay a gold validation charge, which the bank will incur.
Are there any foreclosure charges on a gold loan?
Loan foreclosure charges range from 0%-3% and are applicable on the outstanding amount of your gold loan.
How can the pledged gold against the loan be reclaimed?
It's very simple to reclaim deposited gold. Plan your loan repayment efficiently and ensure you do not default. Failure to repay the loan in the stipulated time will result in auctioning of your gold ornaments.
What medium should I use to repay the loan?
The loan can be repaid by choosing any medium of money transfer as you desire, such as Cash, Cheque, Demand Draft or Online Fund Transfer.
What is the penalty for delay in repayment of loan?
Banks usually levy an annual penalty between 1% and 6%. This is in addition to the rate of interest that you would be paying to service your loan.
What documents are required for approval of your gold loan?
Documents required for approval of your gold loan are:
ID proof, such as your Driving License, Pan Card, Form 60/61, valid Passport, and Voter ID card.
Address proof, such as House Registration Documents, and Utility Bills
Can I repay the loan partially?
Yes, a gold loan can be repaid partially at any point in time. However, your deposited gold will only be returned once the entire loan amount has been repaid.
Is the gold pledged with banks safe?
Banks take a lot of precaution while storing your gold and keep it safe until the loan amount is returned. They understand the sentimental value attached to gold ornaments and act as custodians while the gold remains with them.
RBI has issued Master Directions DNBR. PD.008/03.10.119/2016-17 dated 1st September 2016 (Updated till 9th November 2017) for Non-Banking Financial Companies (NBFCs) detailing standards for fair business and corporate practices while dealing with their customers (as modified, amended and updated from time to time, the "Fair Practice Code").
The Fair Practice Code is intended to cover the following areas:
Application for Loans and their processingAll pertinent loan information as prescribed by the Fair Practice Code has been made available in the respective application form(s).This information includes:
All application forms have a perforated section which is issued to the applicant on receipt of completed application form. This is issued as an acknowledgement of receipt of the form. The terms & conditions will be explained in the language as understood by the borrower. The approximate time frame for the loan to be processed post the submission of completed application form replete with information and relevant documentation is listed below:
All loans sanctions are subject to completion of credit appraisal and verification procedures. The applications that do not meet the requisite criteria are declined. The loan status whether a sanction or a decline is promptly communicated to the customer in writing or verbally.
The application acknowledgement specifies the approximate timeframe for the loan to be processed. In the interim, the applicant may contact SBFC through the below communication channels:
Applicants are welcome to contact SBFC at any stage of the approval process
Loan appraisal and terms / conditions
Loan applications are subject to the credit appraisal process followed at SBFC.
At the time of loan sanction, a sanction letter indicating the loan amount sanctioned, the annualized rate of interest applicable, processing fee, loan tenor, EMI payable, all other applicable fees and charges and other loan details as applicable shall be conveyed to the loan applicant in writing. The loan disbursement process would be initiated on receiving the written acceptance of such terms and conditions. This written consent of the applicant shall be retained by SBFC and maintained in its records. A copy of the loan agreement shall be furnished to all borrowers at the time of disbursement of loans or sent along with the welcome kit.
Disbursement of loans including changes in terms and conditions
Any changes to the terms and conditions, including disbursement schedule, interest rates, service charges, prepayment charges etc shall be informed individually to the borrowers and terms and conditions relating to the same shall be captured in the individual loan agreements.Alternately the same made available on the SBFC website (www.sbfc.com).
For account specific charges, the changes will be communicated individually to the borrower in writing. Other charges such as bounce cheque charges, late payment charges, cheque swap charges, statement of account, document retrieval charges, prepayment charges, re-booking charges, re-pricing charges, cancellation charges, PDC replenishment charges and other incidental charges are applicable depending on the product / scheme opted by the borrower. These charges shall be standard across customers irrespective of their credit worthiness and /or credit history.
Any change in the above applicable charges (including interest rate etc) shall be informed promptly to the borrower, shall be in accordance with the terms and conditions of the individual loan agreement and shall be effected prospectively.
Decision to recall / accelerate payment or performance under the agreement shall be in accordance with the terms and conditions in accordance with the agreement and duly acknowledged by the borrower.
All securities pertaining to the loan would be released on receipt of full and final payment of the loans, subject to any legitimate right or lien, and set-off for any other claim that SBFC may have against the borrowers. If such right of set-off is to be exercised, the borrower shall be given prompt notice about the same, with full particulars about the remaining claims and the conditions under which SBFC is entitled to retain the securities until the relevant claim is settled / paid.
Any changes to the above charges standardized across customers shall be made available on our website of SBFC (www.sbfc.com). The website address is also available on the application form.
SBFC shall refrain from interference in the affairs of the borrower except for the purposes provided in the terms and conditions for of the loan agreement (unless new information, not earlier disclosed by the borrower, has come to the notice of SBFC).
In case of receipt of request from the borrower for transfer of borrowal account, the consent or otherwise i.e. objection of the SBFC, if any, shall be conveyed within 21 days from the date of receipt of request. Such transfer shall be as per transparent contractual terms in consonance with law.
In the matter of recovery of loans, SBFC and its representatives shall not resort to undue harassment viz. persistently bothering the borrowers at odd hours, use of muscle power for recovery of loans, etc. SBFC shall ensure there is no rude behavior from its staff towards customers for which staff will be adequately trained to deal with the customers in an appropriate manner.
The instructions issued vide our circular DNBS(PD).CC.No.399/03.10.42 /2014-15 on 'Levy of foreclosure charges/ pre-payment penalty on Floating Rate Term Loans' are applicable where the principal borrower is an individual. The status of co-borrower is not relevant in such case. Further, the floating rate term loan sanctioned to proprietorship/ partnership firm, even as the principal borrower, should not to be treated at par with individuals as far as extending the benefit of the said circular is concerned.
Interest Rate Policy
The borrower will be communicated the annualised rate percentage in the sanction document while communicating the approval of a loan.
This rate of interest is arrived at through SBFC interest rate model which takes into account relevant factors such as cost of funds, margin and risk premium.
We take a comprehensive approach to the gradation of risk that does not discriminate between classes of borrowers, but rather tailors the interest rate to each loan.
The decision to give a loan and the rate of interest thereon are carefully assessed on a case by case basis based on multiple factors which may include the borrower's cash flows (past, current and projected), borrower's other financial commitments, the borrower's credit record, the security for the loan as represented by underlying assets or other financial guarantees etc.
Such information is gathered based on information provided by the borrower, credit reports, market intelligence and information gathered by field inspection of the borrower's premises.
The approved Interest Rate Policy is published on the website.
Responsibility of Board of Directors
SBFC has laid down an appropriate Grievance Redressal Mechanism within the organization. Such a mechanism ensures that all disputes arising out of the decisions of SBFC are heard and disposed of at least at the next higher level. The Board of Directors of SBFC also reviews the compliance of the Fair Practices Code and the functioning of the Grievances Redressal Mechanism at various levels of management.
Repossession of vehicles financed by SBFC
SBFC has a built in re-possession clause in the contract/loan agreement with the borrower which is legally enforceable. To ensure transparency, the terms and conditions of the contract/loan agreement also contain provisions regarding: (a) notice period before taking possession; (b) circumstances under which the notice period can be waived; (c) the procedure for taking possession of the security; (d) a provision regarding final chance to be given to the borrower for repayment of loan before the sale / auction of the property; (e) the procedure for giving repossession to the borrower; and (f) the procedure for sale / auction of the property
Lending against collateral of gold jewellery
In line with the RBI guidelines on lending against collateral of gold jewellery, SBFC has a board approved Loan against gold policy. The said policy covers the following:
Copy of any one of the following:
In accordance with the regulatory requirements and the Company's internal policies where 'simplified measures' are applied for verifying the identity of customers, the following documents will be deemed to be 'Officially Valid Documents':
In accordance with the regulatory requirements and the Company's internal policies where 'simplified measures' are applied for verifying for the limited purpose of proof of address the following additional documents are deemed to be 'Officially Valid Documents':
SBFC's policy is to treat and service all the clients consistently and fairly. SBFC has laid down the appropriate grievance redressal mechanism within the organization to resolve disputes arising in this regard. This mechanism shall ensure that all disputes arising in connection with any matter pertaining to business practices, lending decisions, credit management and recovery decisions shall be heard and the response would be sent for such complaint / grievance.
Customer can forward the complaint through any of the five modes of communication namely
All the customer queries and complaints registered through the above channels shall be reviewed, monitored and resolved to the satisfaction of our customers. The focus shall be to ensure all grievances are resolved in a timely basis and to the full satisfaction of our customers.
SBFC has appointed a Grievance Redressal Officer who can be approached by the public for resolution of complaints against the Company.
All SBFC branches / places where business is transacted a notice will display the following information prominently, for the benefit of their customers:
Grievance Redressal Officer - Mr. Mahesh Dayani
Small Business FinCredit (SBFC) India Pvt. Ltd.,First Floor, C & B Square, Andheri Kurla Road, Chakala, Andheri East, Mumbai– 400059
Landline - 022 6787 5300,
Email ID: firstname.lastname@example.org
If the complaint / dispute is not redressed within a period of one month, the customer may appeal to the Officer-in-Charge of the Mumbai Office of DNBS. The complete contact details of the Officer in Charge are as follows.
Reserve Bank Of India
Department of Non Banking Supervision
Mumbai Regional Office
3rd Floor, Opp. Mumbai Central Railway Station,
Email Id: email@example.com
Level 1: Customer Care Team
If the response received from the above access channels is not satisfactory or if there is no response in 10 working days, complaint can be escalated to the under mentioned:
The Manager, Customer Care,
Small Business Fincredit India Private Limited
Unit No 762, 6th Floor, Building No 7
Solitaire Corporate Park, Andheri (E),
Mumbai - 400093
Email id: firstname.lastname@example.org
The customer shall provide his loan account number to help us understand and address the concerns.
Level 2: Service Head
If there is no satisfactory response received within 7 working days of escalating the complaint to the Customer Care Team, the same can be escalated to the under mentioned:
Email id: email@example.com
Level 3: Grievance Redressal Officer
If the concerns have not been fully addressed or if there is no revert from the Service Head within 7 working days, final level of escalation would be to:
Email id: firstname.lastname@example.org
The Board of Directors and the management team shall also periodically review the compliance of the SBFC's Fair Practices Code detailed above. They will also ensure that its functioning reflects its commitment to all the stakeholders for offering in a fair and equitable manner, the various financial services and products and the grievances redressal mechanism at various levels of management. SBFC shall modify, amend and update the above Code from time to time, in accordance with the guidelines prescribed by the RBI, from time to time.