Vendor Finance

The backdoor to Vendor success

Are you a vendor to a well known OEM? Do you make 10 Cr business with them? Cosmos Vendor Finance is your go to scheme. With reasonable ROI; quickest disbursement and easy processing, we are here to help you concentrate more on where its needed- you Business!

This loan is usually issued to individuals who are vendors for Original Equipment Manufacturers (OEMs). The perk of this scheme is that there is no fixed loan limit, as it depends upon the credit exposure of the individual who is the borrower. We provide our valued services to customers at an affordable margin of 10%.

Loan Highlights

Loan Limit
Loan limit set according to maximum credit exposure. Limit for individual borrow.

Rate of Interest
9.50%
Existing ROI less 1% or 8.00% whichever is higher

Time of Disbursement
15 Days

Repayment Period
Review of the limit within 12 months
Usance period of Bill of Exchange shall be maximum 90 days

Prepayment Charges
Nil

Process Charges

0.50% for New proposals
0.20% for as it is review

Foreclosure Charges

upto 12 mths - 3%
12 Mths Before 24 mths - 2%
After 24 months - 1%

Eligibility

The applicant should be a vendor of Original Equipment Manufacturer (OEM) or a well-known/financially strong Public Limited or Pvt. Limited Company.
This scheme is normally sanctioned to applicants having expected business of Rs.10 crores & above with the OEM Company.
The vendor shall furnish a No Objection Certificate (NOC) from its Principal Banker in favour of our Bank to sanction the said facility and the Principal Bank will not have any charge on the Bill discounted with us.

Facility

Please contact the branch for further details.

Documents Required

KYC Documents
3 years Income papers/Financial papers
Latest Online ROC Search of OEM shall be taken on record
Copy of agreement, contract or purchase order between the principal and vendor for supply of goods.
Audited financials with income proof.
past 12 months bank account Statement.
Estimated balance sheet & profit or Loss account for the Current year.

Get In Touch

Our Expert will call you back on the number provided by you within 24-48 hours to assist you further. Thank you for your interest in Cosmos Bank

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Ideal for people

Providing financial support to the firms or companies having regular business relations with well-known OEMs as a registered vendor

Good to Know

All general terms & conditions of Bills discounting limit will be applicable, such as Membership, Shareholding, Agreement, Processing Fee, Visit etc.
Guarantors: Preferably 2 guarantors acceptable to the Bank
RoI: As decided from time to time by the bank, Interest to be recovered upfront for every Bill
Security: Bills drawn on vendor along with a bill of exchange which is duly accepted by OEM will be the prime security for the loan. No collateral should be insisted.
Account Opening: Credit Limit is to be sanctioned to the Vendor for factoring/discounting the accepted Bill of Exchange.

Separate limit for each OEM will be sanctioned in case there are more than 1 OEMs to whom the borrower is supplying.
Processing: All paper formalities such as loan application, submission of financial papers, registrations, etc. as obtained in normal credit proposal will be taken and appraisal shall be made as usual.

The sanctioning authorities and loan documentation will be as per other present loan schemes.
Terms & Conditions: All general terms & conditions of Bills discounting limit will be applicable, such as Membership, Shareholding, Agreement, Processing Fee, etc.
Form: Form Available on Online Form Centre