CHEQUE COLLATERALIZED LOAN

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Cheque Collateralized Loan

When seeking a short-term loan to meet your business needs, most banks require real estate collateral, incurring financial costs and time for your business. However, BKT can assist you and your business in handling transactions through cheque collateralized loan. This short-term financing method is applicable when the customer provides a post-dated cheque to be discounted before its maturity.
Target Customers: Existing Credit Customers (Corporate and Commercial), Existing Operational Customers, and selectively chosen new customers with strong financial position. The targeted customer should primarily be involved in wholesale or retail trade, manufacturing, or production activities.

 

General Conditions:

  • Collateral. The cheque to be discounted will serve as security for the loan granted to the company.
 
  • Limit Maturity: 
       For Cheque collateralized limit: Maximum 12 months.
      For single loan disbursements: Maximum 6 months & remaining within the maturity of post-dated cheque.
 
  • Payment Method:
      Discounting rate: Discountable & payable in advance at the moment of loan disbursement.
      Accrued on a monthly basis until maturity.
      Principal payment: To be made on the maturity date of the post-dated cheque.