Professional Loan for Company Secretary

A company secretary in need of a loan should search for ideal deals under the professional loan category. This is because numerous Indian banks and NBFCs now offer personalised loans to them especially when they are self-employed. 

If you are someone searching for details of a CS loan online, then this post has you covered. Here, you will know about all the associated charges that you will need to pay during your tenure. In addition, you will also recognise some reliable lenders.

What are the Interest Rates & Charges for Company Secretary Loans?

Interest rates per annum are quite affordable when you are applying for a professional loan online. It usually starts from 11.75% p.a. The loan obtained can be used to expand your business, pay the salaries of the hired employees, purchase furnishings for your office, etc. 

Professional loans only incur 1-2% processing fees at the time of scheme issuance. In addition, you also get the opportunity to close your credit relationship early. In that case, you must furnish a prepayment fee of about 4% on the payable balance. 

Besides these fees, if you fail to make timely repayments then you may have to bear up to Rs. 3000 as bounce charges. Penal interest on the borrowed principal gets levied at the rate of 2% on the due EMIs during the defaulted window.  

How to Apply for a Company Secretary Loan in India?

The online application process for a CS loan is quick and easy. All you must ensure is to select a preferred lender and follow these steps:

• First, search for the application section.

• As you get redirected to a new page where you are asked to fill out an application form. Provide important details like employment particulars, income figures, and contact information. 

• Now, mention the desirable loan amount and enter the favourable loan tenure.

• Finally, you may check if there is any option to customise your loan offer. 

• After these five steps are executed, wait for the confirmation text on your registered phone number. Once approved, the loan amount gets credited to your account within a few minutes. 

What are the Eligibility Criteria for a Professional Loan for Company Secretary?

All the reputed lenders have kept the loan eligibility criteria for working professionals like company secretaries quite uncomplicated. The goal is to provide them with optimal benefits through a hassle-free process. 

In a nutshell, these are the eligibility criteria you must meet to get a professional loan as a company secretary:

• You must be an Indian resident.

• You must have a relevant degree or diploma in your current job field.

• Your age should be at least 25 years. Also, while applying, the upper age limit is marked at 65 years.

• You should not be a salaried individual as professional loans are only offered to self-employed individuals and entities.

• Your annual income estimate has to be at least Rs. 3 Lakhs. Lenders determine this by checking your professional receipts for the preceding years. 

What are the Documents Required for a CS Loan?

Lenders ask for very few documents while running through the loan approval process. Here you can get an idea of what papers you need to present while applying for a professional loan:

• Identity proof (Aadhaar card, PAN card, Passport)

• Address proof (Aadhaar card, utility bills, Ration card)

• Photocopies of your professional degree (in this case photocopy of your CS certification)

• Business bank statement reflecting transactions executed in the 6 preceding months

• Profit and loss statement of your venture

• Commercial property ownership evidence/ proof of lease of property that has been undertaken to sustain the business 

What Are Some Key Features & Benefits of a Professional Loan for Company Secretary?

Here are some attractive features of a CS loan:

• The borrower may utilise the loan amount as per their needs.

• Availing these credit facilities will not affect existing banking benefits by any means.

• These loans can be tailored to the individual necessities of an architect or engineer. 

• The associated funds get directly transferred to your beneficiary account via cheques.

• These professional loans are unsecured, meaning that you do not need to pledge any collateral to enjoy the benefits.

What are the Different Types of Professional Loans?

Several professional loans help self-employed individuals like company secretaries, doctors, engineers, etc. to run their businesses. Here is a list of professional loans one can avail in India:

• CA/ CS Loan

To fund their personal business plans, renovate office spaces, and meet other professional expenses, chartered accountants or company secretaries may apply for personalised loans. The upper limit of the loan amount depends on their experience in the relevant job field, annual income, and other essential factors. 

• Doctor Loan

Doctors may also apply for credit facilities to expand their clinic or buy any expensive machinery for efficient diagnostic services. Depending on their needs, the lender assesses their risks and provides the required money on favourable terms.

• Consultant Loan

If you are running a consultancy firm and notice any opportunity of upscaling your services then also you can apply for a professional loan. In that case, you must be able to produce the necessary documents like ITR, balance sheet, bank statement for the previous 6 months, etc.

• Engineer Loan

Engineers and architects require professional loans to purchase software licensing, manufacturing machineries, etc. In addition, they may avail loans to pursue higher education or to pay hired employees. 

• Lawyer Loan 

Lawyers run into the necessity of availing financial assistance whenever they consider chasing their career aspirations. The borrowed sum helps them to bear the upfront office setup costs and arrange for necessary promotional campaigns to acquire clientele. 

What are the Top Banks Providing a Professional Loan for Company Secretary?

Here you may compare the professional loan deals offered by various lenders to company secretaries:

Disclaimer: The metrics shared in the above table is as per latest reports collected from the official websites of the respective lenders. However, they can change anytime, thus it is advised to check the particulars before applying for a professional loan.

When you take a CS loan showing necessary documentation you may use the acquired amount for practically any purpose. However, it is recommended that you stick to the bare minimum amount to avoid unnecessary financial stress. Moreover, your banking benefits do not face any hindrance while you have taken a professional loan, provided you are able to maintain timely repayments.