How do Chola SBPL Loans help microenterprises untouched by other lenders?

The main aim of Chola Secured Business and Personal Loans (SBPL) is to serve the customer segment untapped by other NBFC lenders and banking companies. Chola SBPL Loan offers hassle-free business and personal loans to self-employed microenterprise owners, non-professionals and salaried individuals who currently rely on risky and unorganized local money lenders. The interest rates offered by these local lenders are too high compared to the interest rates of banks and NBFCs.

Serving the microenterprises

The microenterprises are the businesses operating on a very small scale. These small businesses are mainly backed by microcredit from local lenders, who are not authorized by the RBI. Do you know the reason why other organized lending companies and banks does not consider this customer segment for providing loans? The main reason is that these small businesses and microenterprises operate on very small ticket size with a low monthly cash flow. Also, these small enterprises lack proper history of credit due to low flow of funds in business. RBI organized lenders and banks offering business loans mandatorily ask for traditional documentary proofs of income. These criteria make these small enterprises ineligible for accessing formal sources of credit.

So, even though these enterprises possess collateral to pledge as security for their loan, their access to organized loan schemes remains blocked. Chola grants quick and easy loans to these small enterprises, whose loan applications are untouched by the other lenders.

Chola SBPL Loans for financial freedom

Chola provides secured loans with self-occupied residential property or residential-cum-commercial property as collateral. Unlike other lenders who have inflexible loan schemes, Chola offers a range of flexible loan schemes suitable for small business owners and self-employed individuals. The eligibility to sanction loan for a customer depends on monthly cash flow in business, Income Tax Return (ITR), assets created or average bank balance.