BANGALORE, INDIA: The Bank of India has announced 'Star Channel Credit' scheme for Indian SMEs.

Facilities:

a. Drawee bill finance for suppliers

b. Drawee bill finance or overdraft facility for dealers

Who is eligible for the scheme?

Sponsoring corporate can be a manufacturing unit or a wholesale dealer/distributor of goods rated ‘AA’ and above. Facilities to suppliers and dealers would be extended based on the referral of the sponsoring corporate.

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Documentation:

Simplified application forms and rationalized documentation

Maximum exposure:

A cap of Rs. 25 lakh is prescribed in respect of each supplier and dealer for financing under liberalized norms. Above these limits, the bank’s normal lending norms/procedures will be made applicable.

Tenure of the facility:

Maximum 90 days exclusive of free period offered, if any.

Payment mechanism:

Payment as per agreed upon terms (inclusive of charges) would be made by fastest means of remittance - through the bank's MBB/CBS etwork or RTGS system.

For more information on Bank Of India's SME offerings, visit www.bankofindia.com