Compare best Unsecured Dropline Overdraft (Flexi Loan) Business Loan Rates in TamilNadu

Flexi Loans are available for salaried individuals, self-employed individuals, professionals and businessmen.

Get the latest Flexi Loan interest rates for TamilNadu on BankVallet.com.

Compare Flexi Loans, what Banks/NBFCs have to offer and how you can benefit from them, here.

Flexi Loan

How to Get a Flexi Loan in TAMILNADU?

1

2

3

Know your loan eligibility

Wondering how much you can borrow? We can help you with that. Your loan amount is determined by your Fixed Obligations to Income Ratio (FOIR) or Debt-Service Coverage Ratio (DSCR) or Banking Transactions or Repayment Track Record (RTR) implemented by banks and Financial Institutions. Reach out to us, so you can find out your loan eligibility quickly.

Get your In-Principle Approval (IPA)

Gone are the days when you’d have to visit banks for your In-Principle Approval. We’ve streamlined the process to make it easier and faster for you to get one. Simply gather the required documents, submit everything to us and wait for approval.

Apply for flexi loan

Once you get your IPA, you’re all set for the next step – getting the best Flexi loan in TAMILNADU. With the help of our knowledgeable Flexi Loan Specialists, you can be confident that you’ll be getting the highest loan amount at the lowest interest rates.

Flexi Loan - Overview

Flexi Loans are the new way of borrowing funds in India, where you get access to a pre-approved loan limit based on your credit rating. Borrow funds whenever you need them and prepay when you have additional funds in hand. Also, pay interest only on the amount you utilize out of the borrowed amount, and get the option to pay just the interest amount as your EMI for first year.

Flexi Loans are available for salaried individuals, self-employed individuals, professionals and businessmen.

Key Benefits and Features

No multiple applications

Simply withdraw money form your loan limit and transfer it directly to your account

Free part-prepayment

Part-prepay your loan whenever you have surplus funds, without any extra charge.

Choose to pay interest as EMI

Reduce EMI amount upto 50% by paying only interest as your EMI and principal amount at the end of your tenor

Multiple withdrawals

No additional documentation or extra charges required to withdraw funds multiple times.

Online withdrawal and payments

Withdraw and part-prepay funds through the online customer portal, Experia, for hassle-free and smooth processing.

Interest charged on daily basis

You are changed interest on daily basis, as per the amount utilized at the end of the day. Check day-wise interest calculation using our Flexi interest calculator

Loan Amount

Collateral Free Loan

Quick Approvals in 24 hours*

Flexible Repayment

Balance Transfer Facility

Dropline Overdraft Facility

Door Step service

Loan Amount:

Banks/NBFCs offers Flexi loan ranging from Rs.3 Lakhs to Rs.50 Lakhs for small, medium and large businesses/professionals/salaried individuals.

Collateral-Free Loan:

Banks/NBFCs unsecured Flexi loan which means you can fund your business without any collateral/guarantor.

Quick Approvals in 24 hours*:

Get quick approval on Flexi loan from many Banks/NBFCs with hassle-free processing to meet immediate financial needs.

Flexible Repayment:

Many Banks/NBFCs provides Flexi loans with flexible tenures of upto 72 months to make repayment easy.

Balance Transfer Facility:

Transfer your existing personal/business loan to other Banks/NBFCs for lower EMIs, lower Interest and processing fee waiver.

Dropline Overdraft Facility:

Many Banks/NBFCs 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. Tenure ranging 12-72 months. Some Banks/NBFCs assigned overdraft line functions like a normal overdraft facility in first year of loan tenure & drops every quarter in equal portion beginning second year for remaining tenure.

Door Step services:

Along with your business, BankVallet.com also takes care of your convenience. Enjoy our doorstep services by availing our Flexi loan.

Who could be eligible for a Flexi Loan?

Are you thinking of availing a Flexi loan anytime soon? Browse through Banks/NBFCs Flexi loan eligibility criteria mentioned below, to make sure your Flexi loan is approved at the very first go:

  • The applicant has to be in business for last 3 years with a minimum turnover of Rs.40 Lakhs
  • If the applicant involved in business for last 6 months, then need a minimum banking turnover of Rs.3 Lakhs/per month
  • The company’s profit after tax (PAT) for the last two years should be positive
  • The applicant should be a Sole Proprietor / Partnership firm / Private Ltd Co. / Trust / Limited Liability Partnerships / Closely held limited companies involved in the business of Manufacturing, Trading or Services, Self employed Individuals / Professionals / Non-Professionals
  • Self-employed professionals usually include doctors, chartered accountants, company secretaries, architects, etc. This is subject to the applicants who have proof of qualifications and also are practicing their profession.
  • Self-employed non-professionals include traders, manufacturers, service providers, etc.
  • The main applicant should be minimum of 25 years of age & should be no older than 68 years at the time of loan maturity.
  • For Salaried Individuals, you should be between 25 to 55 years old. You should be a salaried employee of either an MNC, public, or private company. You should be an Indian citizen. (Select cities applicable)
  • Good credit rating score in credit bureau
  • Eligibility may vary as per Banks/NBFCs scheme chosen
  • Banks/NBFCs may offer Flexi loans to only certain cities and towns.

*If you are not sure if your profession/business falls under a restricted category or location, you can contact us @ +91 - 90470 45470 to confirm your eligibility.

Flexi Loan Documents

Open all
For Salaried:
Identity Proof (any one):
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Employer ID Card/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
Employment Proof:
  • Current Employer Appointment or Offer Letter
  • Employer ID card (optional)
Income Proof:
  • Copy of Form 16
  • Latest 3 months salary slips or Salary certificate
  • Latest 6 months salary credited SB A/c statement
For Co-Applicant (if needed):
Identity Proof:
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
For Self Employed Non Professionals (SENP - Business):
For PROPRIETORSHIP BUSINESS:
For Company:
Business Proof:
  • Professional Tax Receipt or SSI Certificate or Company’s RC (TIN No) Copy or Any other old business proofs
  • GST Certificate copy
Income Proof:
  • Latest two Financial Year’s (FY) Income Tax Return copies with full set (with auditor seal & sign)
  • Bank account statements for all the bank accounts (Current/OD/CC) owned by the applicant for the last one year
For Proprietor:
Identity Proof:
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
Own House Proof:
  • Own House EB bill or Latest House Tax Receipt
For Co-Applicant (if needed):
Identity Proof:
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
For PARTNERSHIP FIRM:
Business Proof:
  • Professional Tax Receipt or SSI Certificate or Company’s RC (TIN No) Copy or Any other old business proofs
  • GST Certificate copy
  • Partnership Deed
  • Company PAN
Income Proof:
  • Latest two Financial Year’s (FY) Income Tax Return copies with full set (with auditor seal & sign)
  • Bank account statements for all the bank accounts (Current/OD/CC) owned by the applicant for the last one year
For Partners (51% share holding partners should come into the loan proposal):
Identity Proof (any one):
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License or Electricity Bill or Water Tax or Property Tax or Aadhaar Card or Telephone Bill or Valid Passport or Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
Own House Proof (for any one partner):
  • Own House EB bill or Latest House Tax Receipt
For Co-Applicant (if needed):
Identity Proof:
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
For PVT LTD/LLP COMPANY:
Business Proof:
  • Professional Tax Receipt or SSI Certificate or Company’s RC (TIN No) Copy or Any other old business proofs
  • GST Certificate copy
  • AOA/MOA Copy
  • Company PAN
  • Directors Identification Number (DIN) copy
Income Proof:
  • Latest two Financial Year’s (FY) Income Tax Return copies with full set (with auditor seal & sign)
  • Bank account statements for all the bank accounts (Current/OD/CC) owned by the applicant for the last one year
For Directors (51% share holding directors should come into the loan proposal):
Identity Proof (any one):
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License or Electricity Bill or Water Tax or Property Tax or Aadhaar Card or Telephone Bill or Valid Passport or Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
Own House Proof (for any one director):
  • Own House EB bill or Latest House Tax Receipt
For Co-Applicant (if needed):
Identity Proof:
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
For Self Employed Professionals (SEP – Doctors/Engineers/Chartered Accountants/Other Professionals):
Identity Proof (any one):
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License or Electricity Bill or Water Tax or Property Tax or Aadhaar Card or Telephone Bill or Valid Passport or Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs
Qualification Proof:
  • Certificate of Qualification (for Doctors/C.A. and other professionals)
  • Medical Registration Certificate (for Doctors)
Income Proof:
  • Copy of Form 16 or Latest two Financial Year’s (FY) Income Tax Return copies with full set (with auditor seal & sign)
  • Bank account statements for all the bank accounts (SB/Current/OD/CC) owned by the applicant for the last one year
Own House Proof (for any one director):
  • Own House EB bill or Latest House Tax Receipt
For Co-Applicant (if needed):
Identity Proof:
  • PAN (mandatory)
  • Driving License/ Voter ID/Valid Passport/Smart Ration Card
Current Residence Address Proof (any one):
  • Copy of Driving License/Electricity Bill/Water Tax/Property Tax/Aadhaar Card/Telephone Bill/Valid Passport/Notary Public Affidavit
Passport Size Photograph:
  • Two passport size recent photographs

*Requirement of flexi loan documents might vary according to the scheme chosen. Banks/NBFCs may require additional flexi loan documents which will be intimated to you while processing your application.

Dropline OD Loan (Flexi Loan) Interest Rates

Compare the lowest Unsecured Drop-Line Overdraft Loan (Flexi loan) interest rates starting from 10.50% p.a. and apply for the best flexi loan. Get the complete list of current flexi loan rate of interest in India from all leading banks and financial institutions.

Dropline OD Loan
Bank/NBFCs Interest Rate (%) Processing Fees (%) Tenure (yrs.)
min max min max min max
Bajaj Finserv 18 21 2 2.5 1 3
TATA Capital 18 22 2 2.5 1 4
Ofbusiness 18 19 2 2.5 1 3

Flexi Loan Fees and Charges

Depending on the type of loan you are applying for, the following charges may be levied:
Processing fees :

This is a one-time non-refundable fee that is to be paid to the Flexi loan provider after the loan application has been approved. The processing charge varies depending on the bank and the loan scheme you are applying for.

Prepayment charges:

Prepayment penalty is the fee you will have to pay the lender if you plan on repaying your Flexi loan before the completion of the loan tenure. Some Banks/NBFCs may charge up to 2% on the part payment amount and some Banks/NBFCs may not charge any amount for this feature.

Foreclosure Charges:

Foreclosure charge is the fee you will have to pay the lender if you plan on foreclose your Flexi loan before the completion of the loan tenure. Some Banks/NBFCs may charge up to 4.72% on the disbursed loan amount and some financial institutions may not charge any amount for this feature.

One time AMC charges:

Some Banks/NBFCs charge one time AMC at the end of first year. It may be Rs 5000 for facility less than 10 lakhs and Rs 15000 for facility more than 10 lakhs. Some Banks/NBFCs debit the Annual maintenance charges from your account on anniversary of your loan.

Cheque dishonor charges:

The fee is levied when the loan provider find that a cheque issued by the borrower is found to be dishonored due to reasons such as insufficient funds in the borrower’s account.

Insurance:

This is a one-time non-refundable fee that is to be paid to the Flexi loan provider after the loan application has been approved. Some Banks/NBFCs add this charge with the approved loan amount and deducted with EMIs.

Default charges:

Loan providers also charge a penalty on delayed repayments i.e. if you fail to make your Equated Monthly Installments (EMIs) or Pre-EMIs on time. The defaulting charges vary from one bank to another.

Incidental charges:

This charge covers for the expenses incurred by the bank to recover dues from a borrower who has failed to make his monthly installments on time.

Charges On Account Of Delayed Payments:

Delayed payment of interest or EMI shall render the customer liable to pay additional interest up to 24% per annum.

Calculators

FAQs on Flexi Loans

Open all
Do I need to go to a Banks/NBFC branches to get a Flexi loan?

No, there is no need to visit Banks/NBFC branches to apply for a Flexi loan. We have made the process simple; you can apply for a Flexi loan through our website.

You can submit required details through our website and we will call you back and let you know about eligibility and application status. BankVallet will have the necessary documents picked up from your residence or office.

If you have any questions regarding the Flexi loan application process, please feel free to contact our customer care at +91- 90470 45470 or write to us at wecare@bankvallet.com.

How secure is my information when I provide it during the BankVallet.com loan comparison process?

All your sensitive information like personal/financial information is encrypted and safeguarded with our best in class security systems. We don't share your information with any marketing agencies or any 3rd party without your consent

How long does it take to get a flexi loan?

At BankVallet, we have simplified the process of obtaining a flexi loan. You can visit our website and apply for the flexi loan by submitting your details. We will call you back and notify you if you are eligible. Thereafter, you can submit your documents to our representative who will visit either your home or office as per your convenience. We strive to process the complete application within 24 hours of complete document submission. If you have any questions regarding the flexi loan application process, please feel free to contact our customer care at +91-90470 45470 or write to us at wecare@bankvallet.com.

Do I need to provide any security or guarantor or collateral to apply for a flexi loan?

Banks/NBFCs provide unsecured flexi loans without any collateral. There is also no need for any co-signee or guarantor either. Lenders provide you with flexi loans without security so that you can get easy access to credit for your business expansion or personal/professional needs.

What is the maximum loan amount I can get?

You can get a flexi loan from a minimum of Rs. 3 lakh to a maximum of Rs. 75 lakh.

What is the tenure for which I can apply for a flexi loan?

All lenders offer flexible tenures so that the EMI is always affordable and serves your needs instead of being a burden. You can choose loan tenure between 12 and 72 months when you take a Flexi Loan.

Can Banks/NBFCs offer business loan as an overdraft?

Yes, you can avail business loan with short term overdraft facility

When can I make the first part prepayment?

Part prepayment can be done post 36 hours of loan disbursement

How many times can I make a part pre-payment?

A Flexi Loan customer can make part prepayments on his loan as many times as he wants. There is no limit to the number of part-prepayments in a day.

How many times can I withdraw from my Flexi Loan in a day?

Banks/NBFCs allows you can withdraw a maximum of five times a day

Can I withdraw and part prepay in the same day?

Yes, Banks/NBFCs allows you can withdraw and part-prepay in the same day.

In how much time will the money be credited to my account?

Banks/NBFCs use RTGS/ NEFT for money transfers. The same will be credited to your account within the stipulated time as per banking guidelines.

I have made a prepayment before my EMI date. Do I still need to pay my installment?

Yes, the installment will be deducted on the due date, irrespective of part-prepayment amount. Since the EMI is recovered on amount utilized during the billing period.

How long will it take for part-prepayment and withdrawal to come into effect in the statement of account?
  • Requests for payments under Flexi Loans will be processed in under 20 minutes
  • Presently, Flexi Loan withdrawal requests are raised on an hourly basis, and the payment process will be initiated as per the agreed turnaround time.
  • The withdrawal entry will reflect in the statement of accounts immediately, as soon as the payment request is authored in the system.
  • However, the said batch needs to be authorized at the bank site before being credited to your account.
Will the monthly instalment/EMI of a Flexi Loan contain a principal amount?

In a Flexi Loan, you will pay only interest in the form of EMI. For example: A Flexi Loan amount of Rs.5 lakhs will have an EMI of approximately Rs.6,000 (only Interest) and not regular EMI of Rs. 12,000.

How can I convert Flexi Loan to a Term Loan?

You will have to write an email to Banks/NBFCs customer service (with your consent) to convert your Flexi Loan to a normal loan application.

Customer service will take your consent and raise a request on your behalf.

Post this; your Flexi Loan will be converted into a term loan for 60 months or 72 months and a regular EMI including the principal amount.

Can a term loan be converted to a Flexi Loan?

Yes, some Banks/NBFCs accept this. A new Flexi Loan will be booked with a new agreement and existing loan will be closed.

What is the perpetual draw period of 12 months?

You have to renew your flexi loan facility after every 12 months by paying annual maintenance charges. Annual maintenance charges will be charged at 1.0% of sanctioned loan amount.

Can I make part pre-payment before the 1st EMI?

No, major Banks/NBFCs not allowed part prepayment before 1st EMI. So, you cannot make part prepayment before 1st EMI.

Under what scenarios is flexi loan facility blocked for usage?

Your usage of a Flexi Loan facility can be blocked due to:

  • Bounce of your monthly installment with particular Banks/NBFCs or other any other financial institution
  • Drop in your credit bureau score
  • Change in employment
  • Change in contact information (unless intimated in advance to Banks/NBFCs).
What is Broken Period Interest?

An indicative broken period is the time gap between the disbursement of a flexi loan and the time when the payment of EMI starts. Banks charge interest on the broken period which is called broken period interest. For example, the EMI of a particular personal loan has to be debited on the 5th of every month. Let’s say the loan has been disbursed on 1st of February, so on the 5th of February, you will have to pay interest of 5 days i.e. 1st to 5th February. The interest which you pay on 5th February does not include on your total outgo of the loan. Your EMI deduction will start from 5th of March onwards. In this way, the payment which you paid on the 5th of February was not considered towards loan repayment.

Is the interest rate for the flexi loan standard between lenders?

No, the interest rates offered by lenders vary.

Is there any CIBIL impact if I close my flexi loan?

There is no impact of closing a flexi loan early on your CIBIL score.

What kind of Benefits of Prepayment the loan?
  • Reduces the outstanding principal.
  • Lowers either the EMIs or the loan tenure.
  • Frees you from debts quickly.

A GST rate of 18% will be applicable on banking services and products from 01 July, 2017.

How To Apply for a Flexi Loan

1

Compare the best Flexi Loan packages

At BankVallet, we give you an overview of the latest Flexi Loan packages available in the market. With just a few clicks, you’ll be able to compare the best interest rates from our Banks and Financial Partners.

2

Get in touch with our Flexi Loan Specialist

From knowing your loan eligibility to getting your IPA, we’ll fill you in with all the pertinent details regarding Flexi Loan. Our Flexi Loan Specialists will help you throughout the process and give you unbiased advice.

3

Apply for your Flexi Loan

Once you have your IPA, we can get started with your Flexi Loan application. We understand that this is a major life decision and we’re here to guide you. With our help, the Flexi Loan application process can be completed within 1 working day. Although, some banks and financial institutions may take up to 2 working days to complete.

Why Get Your Flexi Loan
Through Us?

Simple, Fast, Convenient

Leave your Flexi Loan research to us and we will break it down for you in simple terms. Our Flexi Loan Specialist will contact you directly so you can save time for other important things in life.

We compare so you get better deals

Feeling so spoilt for choice you cannot decide? Settling for the first option is like being forced to marry the first person you come across on a matrimony app. Don’t feel pressured. We compare across all banks in TamilNadu to ensure that you get the best deals.

Most importantly it's free!

Our service to you is free. But, of course we are not doing this for charity! All banks pay us a standard referral fee for our services and our awesome job done. We don’t take sides or give biased advice.

We have helped thousands of Tamilnadu consumers choose and apply for their Flexi Loans

Unforgettable experience with bankvallet team. My special thanks to OD loan team. They are done a wonderful service to me. They are very responsive and fast. I got my loan from Bajaj.

mari yappan
Employed full time

I really love bankvallet loan service. I'm one of the existing customer. Previously i got my business loan from HDFC Bank and now I availed flexi business loan from Bajaj Finance. My past and present experiences are good in bankvallet. I strongly suggest them to all.

Senthil Kumar
Employed full time

Very responsive guys. I know nothing about flexi loans like what is it and how to get, what's the interest rate, which documents are required, etc. They guide me all the things and supports to get the loan. I availed my loan from Bajaj Finance in low rate of interest.

Suresh Jeyachandran
Employed full time

We Work with All Major Flexi Loan Providers