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Bank of India, which was established on September 7th, 1906, has grown to be one of India's most recognized banks. It offers a variety of financing options, including business loans. Bank of India business loans come with a number of advantages, including affordable interest rates and simple application procedures. The need for company financing has been growing as the country embraces a startup culture. A business loan from Bank of India is one of the finest and most trustworthy ways in order to start a new firm or grow an existing one.

Let's take a closer look at its interest rate, features, and perks to get a better sense of what it has to offer.

Bank of India Business Loan Interest Rate & Charges

Bank of India offers business loans to individuals, sole proprietors, partnership businesses, and limited corporations in order to build or extend their existing operations. Here’s a closer look at the BOI business loan interest rate & other charges. 

Interest rate

10.20% onwards

Processing charges 

₹500 onwards

Loan amount

Up to ₹5 Crores

Maximum tenure

7 years

**Disclaimer: Interest rates are subject to market conditions and financial institutions’ discretion.

Bank of India Business Loan EMI Calculator

In order to make the process of BOI business loans more transparent, the institution offers an EMI calculator on its website. The main objective of Bank of India’s business loan EMI calculator is to give the details about the precise amount of monthly EMIs that a borrower needs to pay. It allows you to save time by providing you with the result within just a few seconds. Moreover, it eliminates the possibility of errors. 

Since it’s a free tool, you can use it anytime and anywhere. With the help of Bank of India’s business loan calculator, you can plan your finances wisely. You are only required to provide details about the principal loan amount, interest rate, and repayment tenure. You can refer to the table below to understand this better.  

Loan amount

Interest rate 

Repayment tenure (in months)


₹10 Lakhs




₹10 Lakhs




₹10 Lakhs




₹10 Lakhs




Bank of India Business Loan Documents

Before applying for a Bank of India business loan, you must keep a few documents handy to avoid rejection and to ensure your loan application is processed faster. The following are details about the same. 

  • Identity proof (Aadhaar card, Voter ID card, Driving licence, Passport)

  • Address proof (Aadhaar card, Ration card, Voter ID card, Driving licence, Utility bills)

  • Business proof 

  • Borrower/co-borrower and guarantor photographs with signatures certified by their bankers

  • In the case of firms, the balance sheet and profit and loss statement for the previous two years

  • In the event of a partnership firm, a partnership letter is required

  • For limited firms, a copy of the memorandum, articles of association, business commencement, the fully certified certificates of incorporation, and a copy of the board resolution are required

  • A copy of the registration certificate for any automobiles that the borrowers currently own

  • A guarantee deed (If applicable)

  • A letter from the borrower that is legally signed and submitted to the insurance company directing them to pay claims to the bank

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Bank of India Business Loan Eligibility

If you are considering applying for a BOI business loan, you must be aware of its eligibility criteria in order to save your time and avoid rejection. Here are the details about the same. 

  • Micro & Small Enterprises (MSME) in rural, semi-urban, urban, and metro areas are eligible to apply for the loan.

  • Limited companies and proprietorship businesses should have been in operation for at least three years, and they must have audited financial statements.

  • The company should have generated profits during the previous two years.

  • The credit rating must satisfy the bank's standardised requirements.

Features and Benefits of Bank of India Business Loan

Flexible Repayment Options

You may pay back the loan in manageable EMI instalments since the bank offers repayment terms of up to 7 years.

Quick Approval

Within a few days, your business loan will be approved. You don't have to wait weeks for your loan to get processed.

Competitive Interest Rate

The Business loan interest rate of the Bank of India is another factor that makes this loan more attractive. It starts at 10.20% which makes it more affordable for people. 

Nominal Processing Fees

The bank charges a minimal processing fee which starts at ₹500, making the loan acquiring process inexpensive. 

Types of Business Loan Schemes offered by Bank of India

The organisation provides a variety of business financing programs so that new and established businesses may secure financing to develop and grow. Following are the details about the same:

  • Star Laghu Udyami Samekat Loan

The loan is a hybrid loan provided to small enterprises to meet their capital investment and operating capital needs with a 5-year maximum repayment term. ₹1 Crore is the highest sum that may be sanctioned under this.

  • Star SME Liquid Plus

It is a term loan granted to a sole proprietorship or partnership business that meets the criteria to be an SME. To be eligible for this loan, businesses must have been in operation for at least three years and have made a profit in the previous two years. Additionally, businesses must have an SBS 5 entry-level credit rating.

Under this, the minimum amount that can be given is ₹5 Lakhs and the maximum is ₹5 Crores. 

  • Star SME Contractor Credit Line

This loan is provided to civil contractors, engineering contractors, mining contractors, transport contractors, etc. to cover their working capital requirements. Established sole proprietorship businesses, partnership businesses, limited corporations, etc. are eligible for this line of credit. The applicant firm must have been operating over the last three years and should have an SBS 5 entry-level credit rating. The lowest and highest amounts that can be awarded under this are ₹5 Lakhs and ₹5 Crores, respectively.

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How to Apply for Bank of India Business Loan

You may visit your nearest branch and contact the officials. They will guide you throughout the application process. Furthermore, before visiting the bank, you can go through their website to learn about the solutions available for business loans. 

Compare Bank of India with Other Banks/NBFCS

Apart from BOI, there are several banks that offer business loans. Here’s a closer look at their interest rates. 

Our Partners

Interest Rate Range

Max Loan Amount/ Tenure

Avail Loan

Bajaj Finance Limited

17% onwards

72 months

Apply Now

Ambit Finvest 

20% onwards

36 months

Apply Now

AYE Finance

28% onwards

36 months

Apply Now


12% onwards

36 months

Apply Now

IIFL Finance

18% onwards

60 months

Apply Now


20% onwards

48 months

Apply Now


16% onwards

36 months

Apply Now


15% onwards

9 months 

Apply Now

Lendingkart Finance Limited

15% onwards

36 months

Apply Now

Protium Finance Limited

1.25% p.m. onwards

72 months

Apply Now

**Disclaimer: Interest rates are subject to market conditions and financial institutions’ discretion.

Factors That Determine Your Business Loan Interest Rate

Several factors affect the Business loan interest rate of Bank of India. Hence, it is advisable to be informed about them so that you can maintain them carefully.

  • CIBIL Score

Your CIBIL score is the foremost thing that the institution takes into consideration while approving or rejecting your loan application. It is a three-digit number that ranges between 300 to 900. A score above 700 is deemed as good. It also helps in getting a loan at a low-interest rate. 

  • Credit Report

Your financial health is another factor that influences the interest rate of a business loan. To get a fair idea, the bank checks your credit report as it displays your repayment history, credit history, and other financial obligations. This report determines whether you are good at managing your finances or not. 

  • Earnings and Profit

Before determining the interest rate, the bank always looks at the earnings and profit of your company. You may be charged a higher interest rate if your profit is not meeting the criteria of the bank. 

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Bank of India Customer Care

You can contact the BOI official with the help of details given below:

Toll-free number

1800 220 229

1800 103 1906

Landline number

022 40919191

Email ID


Fax number

0032 3231 8387


The information and suggestions provided by BFDL hereinabove is related to the Non-Partnered Banks/ NBFCs and is just for the purpose of information and under no circumstances the information provided hereinabove is intended to be source of advice or recommending any financial advice or endorsement of any sort. 

The information including interest rates or fees, loan amount and other charges with regard to any product, provided on this website is gathered through publicly available sources over the internet and is considered as accurate and reliable to the best of our knowledge. BFDL disclaims any responsibility or liability regarding inaccuracies, omissions, mistakes etc. as well as offers by the Non-Partnered Banks or NBFCs. The use of information set out is entirely at the User’s own risk and User should exercise due care prior taking of any decision, on the basis of information mentioned hereinabove. You are advised to visit/ contact the respective Banks/ NBFCs to verify the information before making any application or opening an account. Further, BFDL does not undertake any responsibility or liability to update this information. YOU ARE SOLELY RESPONSIBLE FOR ANY LIABILITY OR DAMAGE YOU INCUR THROUGH ACCESS TO OR USE OF THE SITE OR SUCH INFORMATION OR MATERIALS EXCEPT WHERE THE LAWS AND REGULATIONS OF A PARTICULAR JURISDICTION CONCERNING WARRANTIES CANNOT BE WAIVED. Additionally, display of any trademarks, tradenames, logo and other subject matters of intellectual property owners. Display of such Intellectual Property along with the related product information does not imply BFDL’s partnership with the owner of the Intellectual Property of such products.

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FAQs for Bank of India Business Loan

Here are the steps to follow.


  • Visit the nearest branch

  • Fill in the application form

  • Submit it along with the supporting documents


In addition to the above-mentioned steps, you may also ask the bank officials to guide you throughout the process.

This is entirely up to the bank's discretion and will vary from case to case.

You can visit the website and track your application status. 

Under PSB loans, you may apply for MSME or SME loans from the Bank of India and get approval within 59 minutes of application form submission.

The minimum loan amount under PSB Loans in 59 minutes is ₹1 Lakh, while the highest loan amount is ₹5 Crores.

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