Dropline Overdraft

Dropline Overdraft

Having an overdraft feature on your bank account gives numerous benefits. Drop Line Overdraft account protection is a customized feature which lets you spend beyond what is in your account. If you are qualified, your financial institution can give you overdraft protection although it usually comes with a fee. It is not uncommon to be charged a fee as well as a percentage rate on the amount of money that you use in your overdraft. Drop Line Overdraft protection can be extremely useful in the event that you do not have enough money in your account for a pre-authorized bill. If you are protected by overdraft you will not get charged a non sufficient funds fee which accompanies a payment in the event that it is declined by your financial institution. It can also be a great back up for unexpected expenses. If you need to dig into your overdraft account in an emergency situation overdraft provides peace of mind that it is there for you to do so.

Drop Line Overdraft is a facility granted to you whereby you can overdraw your current account up to an agreed limit. Drop Line Overdraft is an efficient form of borrowing as you pay interest only for the time you use the money. It gives you flexibility. You can at any time deposit money into the account to reduce the outstanding balance or can draw out money whenever you need it as long as you do not exceed the limit. Interest is calculated daily on the fluctuating outstanding balance and is normally charged at the end of each month. Drop Line utilized determines the interest that will be payable by the customer. Drop Line Overdraft is a flexible product offering that allows you facility against residential or commercial property. This product is useful for professionals, Sole Proprietors, Proprietorship Firms, Partnership Firms or a Private Limited Company.

Drop Line Overdraft Facility do not have a yearly renewal charge but it has onetime processing fees. Drop Line Overdraft are only offered to self employed persons or companies. Drop Line Overdraft Facility is best for Manufactures, traders & retailers where booking capital requirement is needed for day to day transactions Drop Line Overdraft Facility don't require a charge to be made on your stocks book debts, it also not requires any quarterly or half yearly audits of the stock.

  • Drop-line Overdraft limit of up to Rs. 10 Crores
  • Both residential and commercial property accepted as collateral
  • Interest charged only on the amount utilized
  • Minimal documentation and faster approvals
  • Attractive interest rates
  • Excellent debt consolidation tool

There are several steps in the Dropline Overdraft process. Here are the steps in brief:

  • Application form & Document Submission
  • Cibil report check
  • Residence verfication
  • Office
  • Eligibility calculation
  • Technical & Valuation
  • Personal Discussion
  • Credit decision
  • Offer Letter
  • Submission of Property documents & legal check
  • Registration of property documents
  • Signing of agreements and submitting post-dated cheque
  • Disbursement
  • An Indian Resident
  • Minimum age of applicant: 24 years
  • Maximum age of applicant at loan maturity 65 years
  • Minimum turnover of Rs 1 Crore financial should be audited.
  • Years in business: Minimum of 3 years in current business and 5 years total business experience.
When can I apply for a Drop Line Over Draft?
When you are looking for a facility/Loan and have a mortgage free commercial or residential property you can opt for this facility. You can also transfer Loan Against Property in to Drop Line Over Draft to avail the interest benefit.
How can I get personalized solution through Creative Finserve for my Drop Line Over Draft?
We professional at Creative Finserve puts our best effort to give you a complete personalized solution. We take the pain of coordinating with various banks for you to give the best offer and service available in Drop Line Over Draft.
Who can avail a Drop Line Over Draft?

Any self employed and who is capable of paying Interest can avail a Drop Line Over Draft.

What is the process in availing a Drop Line Over Draft?

The process involved in availing the Drop Line Over Draft is as follows

• Application

• Processing

• Documentation

• Property Valuation

• Personal discussion

• Sanctioning of the Loan

• Disbursement

What are the loan tenure options for Drop Line Over Draft?

Drop Line Over Draft generally is available for 1year to 15 years.

What are the documents required for applying for a Drop Line Over Draft?

Following are the list of the documents for Loan Against Property:

For Self-Employed:

• Application form with photograph

• Identity proof and Address Proof

• Proof of business existence

• Last 3 years ITR

• Last 3 years P&L and Balance Sheet with Audit Report

• Bank Statements (Last 12months)

• All Loan Sanction Letter (if any)

• Processing fee cheque

• Spouse income

• Property Papers

How Much Drop Line Over Draft can I avail from the bank?

It mainly depends on your financial profile, credit reputation, and your loan repayment ability. Lenders evaluate these factors to consider what the amount of a Drop Line Over Draft should be. Generally it is up to 10 Cr.

What is the range of interest rates offered in Drop Line Over Draft?
Rate of interest offered in Drop Line Over Draft is between 11% to 13.5% on monthly reducing balance. It varies from bank to bank. So contact us to get the best rate of interest for Drop Line Over Draft.
In Drop Line Over Draft can I prematurely (prepay) close my loan?
Closing loan prematurely is called full closer of the loan. This is very much possible in Drop Line Over Draft once the lock in period of the loan is over. This exit clause is always mentioned in the Loan Agreement signed with the bank.
How long is this sanction letter valid in Drop Line Over Draft?
In Drop Line Over Draft the sanction letter is valid for 1 month to3 months varies from bank to bank.
What security/collateral do I have to provide in Drop Line Over Draft?
Any residential of commercial property which you wish to mortgage with the bank which is technically and legally clear can be provided for Drop Line Over Draft.
Does the property have to be insured in Drop Line Over Draft?
Yes, property has to be insured in case of Drop Line Over Draft.
What is the Floating Rate of Interest in Drop Line Over Draft?
This is the rate of interest that fluctuates according to the market lending rate.
In Drop Line Over Draft can I apply jointly with my spouse? Will both our income be taken into consideration for calculating the loan amount?
Yes, your incomes can be clubbed for the purpose of calculation of the loan amount. This can be done either when the property is jointly held with the spouse or the spouse stands as a guarantor/Co-applicant.
How much time does it take for the disbursement of Drop Line Over Draft?
The processing of Drop Line Over Draft usually takes approx 15 working days after all the documents are submitted. Subject to clearance of legal and technical of your Property papers.
Should I compare Drop Line Over Draft online?
Comparing Drop Line Over Draft online depends on many factors such as your income, your obligation (existing loan) etc,. In online approach you will get general comparisons while you can get a personalize solution from Creative Finserve, which will help you with the best rate of interest and services for Drop Line Over Draft.
Should I apply Drop Line Over Draft online?
There is no process for applying online Drop Line Over Draft unless and until you have a relationship with the same bank. Mandatorily you need to submit relevant documents and sign the application form to complete the formalities. Creative Finserve gives you a personalized solution for Drop Line Over Draft so why to confuse yourself with online approach if you can get better rate of interest and maximum eligibility through Creative Finserve.
What is Drop Line Over Draft eligibility calculator?
Drop Line Over Draft eligibility calculator is a mechanism where you can calculate your Drop Line Over Draft eligibility by sharing your information such as your salary/income. This loan eligibility calculator cannot get you the exact loan amount so we recommend you to get in touch with our professional team to serve you better.
How to get best rate of interest for Drop Line Over Draft?
Rather than hunting in the market or approaching unprofessional consultants for better offers give your few details and upload your few documents and get a personalized solution for your Drop Line Over Draft for better rate of interest in few minutes from our professional team.
How to choose the right bank for my Drop Line Over Draft?
Choosing a right bank for Drop Line Over Draft is a cumbersome process, Creative Finserve guides you properly according to your requirements and gives you a personalize solution for your Drop Line Over Draft.
How I will come to know whether my Drop Line Over Draft is sanctioned or rejected?
Once your Drop Line Over Draft is sanctioned or rejected you will get a sms alert or call from the bank or and if you have applied through us we will coordinate with the respective banks and inform you.
Is balance transfer of Drop Line Over Draft suggested?
It depends upon the current rate of interest of your existing Drop Line Over Draft as against the rate of interest available in the market.
Can the co-applicant's income get included in Drop Line Over Draft when banks calculate my eligibility?
Yes in Drop Line Over Draft the banks also add-up the co-applicants income to determine the eligibility.
How long will it take for the financial institution to approve my Drop Line Over Draft?
Most of the Lenders sanction Drop Line Over Draft in 10 to 15 working days in which they do various verification and calculations. They also do "Personal Discussion" with the customer at his office.
Can the loan amount be decreased after the Drop Line Over Draft is sanctioned?
Yes, the loan amount can be decreased by the Bank if the customer's requirement is lesser than the sanctioned amount.
Can the loan amount be increased in Drop Line Over Draft after sanctioning?
Yes in few conditions you can get the loan amount enhanced / revised.
For E.g
If the income eligibility is there and you have applied for lesser loan amount or,
If you have not added co-applicants income while applying the loan or,
What is Carpet area?
Carpet Area is the area enclosed within the walls, actual area to lay the carpet. This area does not include the thickness of the inner walls. It is the actual useable area of an apartment, office, unit, showroom etc.
What is Built Up area?

Built up Area consists of carpet area, area covered by inner and outer walls and additional areas mandated by the authority such as flower beds, dry balcony etc.

What is Super Built-Up area?

Super Built Up Area is the built up area plus proportionate area of common facilities such as the lobby, lifts, shaft, stairs, etc. Sometimes it may also include the common areas such, swimming pool, garden, clubhouse, etc. This term is therefore only applicable in the case of multi-dwelling units.

What is approved plan?

The building plan made by the developer which is approved by the Municipal Corporation or the concerned authority is approved plan.

What is full form of CC & explain?

CC means Commencement Certificate. A commencement certificate is issued by the local authorities to allow the builder to begin construction once all norms have been met. Unless the commencement certificate is granted, the construction is illegal. It is subsequent to the approved plan. During Drop Line Over Draft CC is very much important document required for sanctioning your loan.

What is full form of OC & explain?

OC means Occupation Certificate. This certificate issued by the local municipal body to the builder/developer once the said building is complete in all respects and fit for occupation. During Drop Line Over Draft OC is very important document required for sanctioning your loan.

What does conveyance deed mean?

Conveyance is the act of transferring ownership rights of the property (plot of land where the building is built) from the developer / builder / development authority to the society.

What is share certificate?

In a society share certificate is issued to its members (flat owners); it is a legal document that certifies ownership of a specific distinctive number of shares in a society. Share certificate will bear the seal of the society & will be signed by the Chairman, and the Secretary. During Drop Line Over Draft Share Certificate is very much important document required for sanctioning your loan.

What is a stamp duty?

It is a duty collected by the state government. It is paid as per the true market value as assessed by the Stamp Office. Stamp duty is decided by the respective State and hence would vary from state to state. When an agreement is to be franked, it needs to be unsigned and undated.

Where is the registration done?

The agreement should be registered with the Sub-Registrar of assurances under the provisions of the Indian Registration Act. Stamp duty is to be paid prior to the Registration.

What is Chain of Agreements in Drop Line Over Draft?

In Drop Line Over Draft chain Agreements is chain of all the agreement right from its first purchase from the builder to the present owner. During Drop Line Over Draft process we need to submit the chain of agreements to the banks/NBFC to do technical and valuation of the said property.

What is the minimum area needed for a residential property In Drop Line Over Draft?

The minimum area required in Drop Line Over Draft is 400sqft.It may vary from bank to bank.

What is legal Verification of the property and who does it in Drop Line Over Draft?

In Drop Line Over Draft legal verification is a process where all the agreements & documents related to the concerned property are given to a lawyer to verify the legal and title of the concerned property. It is done by panel of qualified lawyers appointed by the Banks/NBFC.

What is called as technical verification and who does it in Drop Line Over Draft process?

In Drop Line Over Draft technical is a process where the valuator assigned by the BANK/NBFC evaluate the cost of the property, checks its permissions and the condition of the building. It also checks whether the property is mortgagable and free from all legal issues.

What is the full form of NOC in Drop Line Over Draft & who issues it?

NOC means No Objection Certificate. It is asked by the lenders from builders/society on their letter head. In this letter the builder / society mentions that they have noted in their books the charge created by them on the said property. All Banks/NBFC have their own format which builders/society need to oblige. To obtain this all the dues & transfer charges of the society need to be cleared.

What is Full form of MV & explain?

MV is called as Market Value. It is the actual cost of the property in a particular area at that point of time.

What is the full form of LTV in Drop Line Over Draft?

LTV - Loan to Value Ratio
It is the percentage of Loan amount that can be provided with respect to the Value of the property.

In Drop Line Over Draft When is the case disbursed?

The case is disbursed when all process is complete i.e. Loan agreement is signed, PDC's, ECS, NOC is given. The original documents of the property is mortgaged and submitted & all the pre-disburse conditions is complete.

What is equitable mortgage in Drop Line Over Draft?

An equitable mortgage is the transfer of an interest in property to a lender as a security for a loan of money on the condition that this interest will be returned to the owner when the terms of the mortgage have been satisfied or performed. Bank/NBFC give this loan by deposit of title deeds of the property (interest) with the lender.

What is Registered mortgage in Drop Line Over Draft?

In this case property is registered with sub-registrar and charge is created against the property in Government records.

What happens to processing or administrative fees if I don't avail of the disbursement in Drop Line Over Draft?

Once the case is sanctioned the banks charge the customers Processing / Administrative charges. There is also certain validity of the sanction letter. After that time the bank may or may not revalidate the sanction letter on the charges paid earlier.
Even if one dose not avail disbursement banks rarely return charges taken from the customer which they have already collected.

What is Drop Line Over Draft Balance Transfer?

Drop Line Over Draft balance transfer is a process where the customer transfers the existing Drop Line Over Draft from present banker to a new one. This is done either to get a rate benefit or if a customer has a service issue with the bank.

What does 'Agreement to Sell' mean? Does it have to be registered?

The 'Agreement to Sell' in a property transaction is a legal document executed on a stamp paper that records in writing the understanding between the buyer and the seller and all the details of the property such as area, possession date, price etc.

In many Indian states, the Agreement to Sell is required to be registered by law. We suggest that in your own interest you should register the Agreement within four months of the date of the Agreement at the office of the Sub-Registrar appointed by the State Government, under the Indian Registration Act, 1908.

What does encumbrance refer to?

Encumbrance on a property refers to claims or charges on the property due to liabilities such as unpaid loans and bills. It is critical that during your home search you consider properties which are free of encumbrances of any sort.

What is an under construction property?

An under construction property refers to a home which is in the process of being constructed and where possession would be handed over to the buyer at a subsequent date.

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