A security based working capital loan, CC Hypothecation/BookeDebts is one the least expensive financing options available. The prime security is Hypothecation of stock & Book Debts.
Cash Credit OD/HP Hypothecation of stock / Book Debts
Margin against stock 40%.
Margin against BooksDebts 50%.
ROI if collataral given is NA/NOC clear property 9.50% to 11.00% otherwise 13.00%.to 13.50%
For small Borrower who do not maintain stock adequately and methodically they can avail loan of Rs. 10,00,000/- under Karnavati Vepar Vikas Loan / Cash Credit against mortgage of NA / NOC clear property.