HDFC Business Loan Product features

Apply For HDFC Business Loan

Fulfil Your Every Need

Avail of a loan up to Rs. 40 lakhs (up to Rs. 50 lakhs in select locations) without any collateral (Collateral is a necessary element that a recipient has to keep with him to get a loan. Securities can also be used as collateral.), guarantor (A guarantor is a person who guarantees payment by another. A guarantor becomes a co-endorser and assumes liability in event of default.) or security, to fulfil your every business need, from business expansion and working capital, to your child's education or a home renovation.

Transfer Loan Balance with Ease

Transfer your existing Business Loan to HDFC Bank for lower EMIs, and enjoy our benefits

  • Interest rates as low as 15.75%* on the existing loan transfer
  • Processing fee as low as 0.99%
To transfer your loan balance,apply now.

Dropline Overdraft Facility

It provides Overdraft facility without any security. Limit is set in separate Current account which drops monthly till end of the tenure. Pay the interest only on the amount utilized.

  • Dropline Overdraft Facility up to Rs.5 Lac - 15 Lac*
  • No Guarantor (A guarantor is a person who guarantees payment by another. A guarantor becomes a co-endorser and assumes liability in event of default.)/ Security required.
  • Tenure ranging from 12-48 months.
  • Attractive Rate of Interest
  • No Foreclosure / part Closure shall be permitted during the first 6 months of the limit setting.

Quick Eligibility Check & Disbursal

Check your Business Loan eligibility online or at any branch in just 60 seconds. Loans will be disbursed based on previous repayment of home loans, auto loans and credit cards.

Flexible Tenure

You can repay your loan over a period of 12 to 48 months.

Convenient Borrowing

For any help with your loan, you can reach out to us via SMS, Webchat, Click2Talk and PhoneBanking.

Stay Protected

  • Take care of your loved ones by paying a nominal premium* and covering your loan with our Credit Protect
    • Plan:
    • Benefits:
      • Protects the family by paying off the loan amount in case of death of the customer
      • Life Coverage – provides peace of Mind
      • No need to use other savings to repay the loan
      • Tax Benefits as per applicable laws
      • One convenient package - loan + insurance
    • The premium for this product will be deducted from the loan amount at the time of disbursal, after levying service taxes and applicable surcharge/cess at the rates notified by the government.
    • In case of Natural/Accidental Death of the customer, the customer/nominee can avail of the Payment Protection Insurance (Credit Protect), which insures the principle outstanding on the loan up to a maximum of the loan amount.
*Terms & Conditions of the Insurers shall apply. The above product is offered by HDFC Life Ins Co. Ltd.

The following people are eligible to apply for a Business Loan:

  • Self employed individuals, Proprietors, Private Ltd. Co. and Partnership Firms involved in the business of Manufacturing, Trading or Services.
  • The business should have a minimum turnover of Rs. 40 lakhs
  • Individuals who have been in the current business for a minimum of 3 years, with 5 years total business experience.
  • Those whose business has been profit making for the previous 2 years
  • The business should have a Minimal Annual Income (ITR) of Rs. 1.5 lakhs per annum
  • The applicant should be at least 21 years at the time of applying for the loan, and should be no older than 65 years at the time of loan maturity

Enclosed below are HDFC Bank Business Loan Interest Rates & Charges
Senior Citizen Customers are eligible for discount of 10% on all service charges

Fee Charges
Rack Interest Rate Range Min 10.00% & Max 22.50%
Loan Processing Charges Up to 2.00% of the loan amount
NIL Processing Fees for loan facility up to Rs. 5 Lakh availed by Micro & Small Enterprises subject to URC submission prior to disbursal
Prepayment- Part or Full No pre-payment in part or full permitted until repayment of 6 EMIs
Part-payment allowed after 12 EMIs up to 25% of principal outstanding. It is allowed only once in the financial year and twice during the loan tenure.
Pre-payment charges 06-24 months - 4% of principal outstanding,
25-36 months - 3% of principal outstanding
>36 months - 2% of principal outstanding
*NIL Foreclosure/ Prepayment Charges for Fixed rate loan facility up to Rs. 50 Lakh availed by Micro & Small Enterprises and Closure from Own Source
Loan Closure Letter NIL
Duplicate Loan Closure Letter NIL
Solvency Certificate Not applicable

Charges Post Loan Disbursement

Fee Charges
Overdue EMI Interest 2% per month
Charges for changing from fixed to floating rate (An interest rate that is allowed to move up and down with the rest of the market or along with an index.) of interest Not applicable
Charges for changing from floating to fixed rate (An interest rate that will remain at a predetermined rate for the entire term of the loan.) of interest Not applicable
Stamp Duty & other statutory charges As per applicable laws of the state
Credit assessment charges/th> Not applicable
Non standard repayment charges Not applicable
Repayment mode change charges Rs 500/-
Amortization Schedule Charges / Repayment Schedule Charges Rs 50/- Per Instance
EMI / Payment Return Charges Rs 450/-
Legal/Incidental Charges At actuals
Loan Cancellation & Rebooking Charges NIL for cancellation of Loan (However client would be charged interest for the interim period between date of loan disbursement and loan cancellation and Processing Fees would be retained.). Rs. 1000/- for rebooking the loan.
IRR Q2 (2022-23)
Min IRR 8.00%
Max IRR 21.01%
Avg IRR 16.43%
APR Q2 (2022-23)
Min APR 8.00%
Max APR 21.02%
Avg APR 16.43%

*Government Taxes and other levies as applicable will be charged over and above the Fees and Charges
Loan at the sole discretion of HDFC Bank Ltd.

  • The following documents are required along with your Business Loan application:
    • PAN Card – For Company/Firm/Individual
    • A copy of any of the following documents as identity proof:
      • Aadhaar Card
      • Passport
      • Voter's ID Card
      • PAN Card
      • Driving License
    • A copy of any of the following documents as address proof:
      • Aadhaar Card
      • Passport
      • Voter's ID Card
      • Driving License
    • Bank statement of the previous 6 months
    • Latest ITR along with computation of income, Balance Sheet and Profit & Loss account for the previous 2 years, after being CA Certified/Audited
    • Proof of continuation (ITR/Trade license/Establishment/Sales Tax Certificate)
    • Other Mandatory Documents [Sole Prop. Declaration Or Certified Copy of Partnership Deed, Certified true copy of Memorandum & Articles of Association (certified by Director) & Board resolution (Original)]