Citibank

Citibank Business Loan

Years

Apply Citibank Business Loan @ 15.99%
imozi

Interest Rate

15.99%-%

imozi

Processing fee

Upto 1%

imozi

Loan Tenure upto

5 years

imozi

EMI per Lakh

2,431

About Citibank Business Loan

Citibank is one of the oldest multinational banks in India. Citibank opened its first branch in India in Kolkata in 1902. Since then, it has opened offices in many of the top metropolitan cities and towns in India. Today, Citibank is a significant foreign investor in the Indian financial market. Apart from banking activities, Citibank has established critical market intermediaries like clearing and payment institutions, depositories, and the credit bureau. Citibank has played a pioneering role in the ITES industry in the Indian financial sector by establishing institutions like Citicorp Overseas Software Ltd, Iflex Solutions Ltd, and Citigroup Global Services Ltd.

Citibank has its headquarters in India at First International Financial Centre, a world-class environmentally friendly building at Mumbai. Apart from this building, Citibank has added a couple of green-certified buildings to its office premises in 2012 and 2013. As its tagline 'Citi never sleeps' suggests, Citibank is available 24X7 to cater to the various needs of its customers.

Citibank emphasises on customer satisfaction, as it offers a variety of loan products such as Business Loan, personal loan, home loans, credit cards, loan for commercial vehicles and loans for construction equipment. In the Business Loan category, Citibank has formulated exclusive products for the MSME sector.

Why Choose Citibank Business Loan?

Citibank provides Business Loan facilities such as working capital finance, trade finance services, long-term loans to acquire assets and expand the business, and loans against property for business activities.

Exporters and importers gain by availing Citibank services because of its global presence. Remitting funds to or receiving sales proceeds from anywhere in the world is easy when availing Citibank Business Loan services.

Citibank offers customised banking services centred on the business profile of their customers. The facility of availing import and export financing at LIBOR (London Inter-Bank Offered Rate) denominated rates is an excellent benefit of choosing Citibank Business Loan.

Following are some of the reasons why you should opt for this loan:

  • Bouquet of Citibank Business Loans available
  • Attractive rates of interest
  • Fixed interest rates for predictable monthly payments
  • Quick loan disbursal

Citibank Business Loan - Features and Benefits

Following are some of the attractive features and benefits of Citibank Business Loans:

  • Short-term demand loans for six months at attractive rates of interest
  • Basket of Business Loans comprise of facilities like Overdrafts, Trade Finance, Short-term Demand Loans, Dropline Overdrafts, and Secured Term Loans.
  • Get up to 80% of collateral value in case of loans backed by property
  • Trade Finance facilities at LIBOR denominated rates
  • Trade Services advantages include export and import services, letters of credit, bank guarantees, and domestic trade facilities.
  • Loans available for the purchase of commercial vehicles and construction equipment

Citibank Business Loan Interest Rates

The interest rates on Citibank Domestic Loans including Business Loans are linked to the Marginal Cost of Funds based Lending Rate (MCLR). As the MCLR changes, the applicable rate of interest on loans also change. The applicable rate of interest on each loan facility is at the discretion of Citibank.

The MCLR for Citibank as on 07.06.2019 for various tenures are as follows:

Tenor

Overnight

One Month

Three Months

Six Months

Twelve Months

MCLR

8.45%

8.65%

8.75%

8.75%

8.70%

Types of Citibank Business Loans

Citibank offers a variety of business financing options as mentioned below:

Citibank Business Loans

Overdrafts

  • Working capital funding for managing the day-to-day cash flows
  • Pay interest only on the amount utilised

Trade Finance

  • Import Finance in the form of Buyer's Credit
  • Export Finance in the form of Pre and Post Shipment finance
  • Rate of interest linked to LIBOR to make your business globally competitive.

Short-term Demand Loans

  • Short-term loans up to six months tenure available in the form of a sub-limit Overdraft facility.
  • Attractive rates of interest
  • Loans available in Indian currency and foreign currency as well

Dropline Overdrafts

  • Overdraft facility where the sanctioned limit reduces by a fixed amount every month.
  • A combination of overdraft and term loan facility
  • Interest payable on the utilised amount alone

Secured Term Loans

  • Term Loans available against Property or Stock/book debts as collateral
  • Purchase of commercial property for business expansion
  • Maximum LTV of 80% for a property-backed line of credit

Trade Services Advantages

Export Finance

  • Export Bill Collection: Faster export credits because of the global network of branches in more than 100 countries.
  • Pre-shipment Finance: In the form of export packing credit in Indian rupees of Packing Credit in Foreign Currency (PCFC).
  • Post-shipment Finance: In the form of Export bills negotiating drawn under Letter of Credit.
  • Post-shipment Finance: In the form of Export bills purchased or discounted depending on the tenor of the bill.
  • Export LC Advising: Take advantage of a strong correspondent bank network
  • Export LC Advising: Receive export LCs within no time because of extended branch service.
  • Export LC Confirmation: Protect your receivables against political uncertainties by utilising Export LC confirmation services.
  • Export Document Scrutiny Services: This service prevents the refusal of documents, thereby ensuring prompt payments under LC.

Import Services

  • Import LC: Facility of opening import LC available to eligible importers
  • Import Payments Services: Prompt and efficient handling of import collection documents.
  • Supplier's and Buyer's Credit: Buyer's credit is available at competitive rates of interest. Foreign currency loan at rates linked to LIBOR is also available.

Bank Guarantees

  • Financial Guarantee: Guarantee repayment of financial obligation
  • Performance Guarantee: Guarantee to make payment in case of non-fulfilment of non-financial contractual obligation.
  • Shipping Guarantee: Guarantees issued to shipping companies to enable the importer to take delivery of goods without shipping documents.
  • Guarantees available either on an existing line of credit or against 100% cash collateral.

Domestic Trade

  • Collection of domestic sale and purchase documents
  • Tie up with local banks available
  • Quicker realisation of payments

Term Loans

  • A comprehensive range of financial options to help acquire commercial assets or expand business.

Working Capital Finance

  • Cash Credit facility against stocks and book debts
  • Working Capital Demand Loans to meet working capital requirements
  • Local or Foreign Currency Short-term Loans to tide over temporary working capital issues.

Loans for Purchase of Commercial Vehicle and Construction Equipment

  • Finance for purchase of both new and used commercial vehicles and construction equipment
  • Attractive and competitive rates of interest
  • An extensive range of commercial vehicles and construction equipment available
  • In the case of predictable monthly payments, Citibank offers fixed rates of interest
  • Quick disbursal of loans
  • In the case of used commercial vehicles or construction equipment, the asset should not be more than eight years old. The repayment term is between 12 and 48 months.

Documents Required Citibank Business Loan

You will need to submit the following documents to apply for Citibank Business Loan:

  • Standard KYC documents depending on the constitution of the borrower/s
  • Income documents such as financial statements and IT returns for a minimum of two years
  • Statement of bank accounts, if any
  • Invoices, if any
  • Any other contractual document necessary for bank-level processing as called for by the bank

Why Apply for Citibank Business Loan on MyMoneyMantra?

MyMoneyMantra is a reputed loan service provider for Business Loans and various other financing options. It is possible to access the Business Loan products offered by more than 90 banks and NBFCs through our site. Our financial advisors help you to choose the perfect Business Loan product depending on your requirements.

Applying for a Citibank Business Loan on our site is a simple process. Our trained team of customer service executives are ready to help you with the compilation of documents and submitting the same to Citibank. We also have a Business Loan EMI Calculator on our site to help you arrive at your affordability.

How to Apply for Citibank Business Loan on MyMoneyMantra?

It is possible to apply for a Citibank Business Loan through our website by following the steps mentioned below:

  • Access our website and select the Business Loan option
  • Submit the necessary details such as name, email id, mobile number, loan amount, and location to help us select the perfect loan products for you.
  • We have a transparent process, whereby we do not share the details submitted with any third party.
  • We will send you an OTP to the registered mobile number
  • On entering the same, you get access to a gamut of Business Loan products offered by different banks and NBFCs.
  • Select the Citibank Business Loan option to apply
  • Our team of financial advisors are ready to help you with the documentation process and understanding the subtler aspects of Citibank Business Loan.

Other Products by Citibank

Besides Business Loans Citibank provides the following loan facilities:

Personal Banking

Global Banking

Business Banking

Citi Commercial Bank

 

Corporate Banking

Personal Loan

Ready Credit

Loans for Commercial Vehicle and Construction Equipment

Loan Against Securities

Loan on your Credit Card

CitiBusiness - SME Business Loans

Credit Cards

Loan Against Property

Home Loan

Takeover Plus Enhancement

Top up Your Loan

Life Insurance

Health Insurance

Non-Life Insurance

Wealth Management

How to Calculate Citibank Business Loan EMI?

Access our website and select the EMI Calculator under the Financial Tools option. Enter the loan amount, the rate of interest, and the repayment tenure. Click on the 'Calculate' button to get the monthly EMI along with the amortisation schedule.

Citibank Business Loan - Processing Fee and Other Charges

Type of Charge Schedule of Levy

Processing fee

  • Up to 2% of the loan amount
  • No processing charges for MSE loans up to 5 Lakhs

Fees for renewal of limits

Annual renewal fee up to 2% of the limit sanctioned

Penal Interest

4% over the applicable interest rate on the outstanding loan amount, if there is a default in the monthly payment of loan instalment.

Additional interest by way of liquidated damage

2.50% per month on the defaulted amount

Pre-closure charges

Up to 2% of the outstanding amount

Insurance

All assets of the borrower whether given as security or not should be covered for full value under a comprehensive insurance policy.

Non-submission of stock statements

A penalty of 25,000 if there is a delay in submission or the case of non-submission of stock statements.

Cheque/ECS dishonour

200 per instance

Cheque/DD pickup

200 per visit

Prepayment of loan

  • 3% of principal outstanding
  • In case of MSME units: No charges for prepayment of loans up to 50 Lakhs

Any charges incurred for recovery

Actual

Stamp duty

Actual

Citibank Business Loan - Customer Care

Citibank Customer Service centre is available seven days a week, round the clock.

  • Login: If you have a Citibank user ID, you can log in and get personalised responses to all your queries.
  • Virtual Assistant: Citi Help is a virtual assistant available on the Citibank official website. It is possible to contact Customer Care Service through this virtual assistant service.
  • Write to Citibank: Choose the 'Write to us' option on the Contact Us page of Citibank official website allows customers to email their queries to Citibank Customer Service Centre.
  • Phone Option: Call Toll-free number 1860-210-2484 to resolve your queries

Citibank Business Loan - FAQs

How do I pay the Citibank Business Loan EMIs?

The best method of repaying your Citibank loan EMIs is to set up a Standing Instruction to the bank to debit your Citibank Current account on the specified day for the EMI amount. In this way, you do not miss a single EMI. The bank sends you an alert reminding you of the impending standing instruction. You can fund your account in time.

Are there alternate ways to pay the Citibank Business Loan EMI?

Yes, you can log in to your internet banking account with Citibank and pay the EMI online. Alternatively, you can submit post-dated cheques or an ECS mandate if you do not have a current account with Citibank.

How does Citibank determine the interest rate on my Business Loan?

Citibank Business Loans are linked to the Citibank MCLR. Various factors go into deciding the applicable rate of interest on your Business Loan. Your financial documents are a crucial indicator of your repaying capacity. Your credit rating plays a vital role, as well. The better your credit rating, the lower is the rate of interest on your Citibank Business Loan.

How do I improve my loan eligibility with Citibank?

Your credit rating is the most crucial factor in deciding your eligibility. Develop a good credit rating by repaying your loan instalments on time. Manage your credit card debt well by maintaining a Credit Utilisation Ration of around 30%. These factors help to improve your rating and thereby, your eligibility for a Citibank Business Loan.

Does Citibank sanction Business Loans under CGTMSE guarantee cover?

No, Citibank is not an authorised Member Lending Institution registered with CGTMSE. Hence, it does not offer Business Loan under CGTMSE guarantee.

Does Citibank offer insurance services?

Yes, Citibank offers the following insurance services to its customers by entering into tie-ups or joint ventures with reputed insurance companies in India:

  • Life Insurance: Corporate agency relationship between Citibank and Tata AIG
  • Health and Accident Insurance: Citibank offers a range of health insurance services such as Personal accident, Group Health, Family Health, and Personal Health.
  • Non-Life Insurance: It is possible to insure your property, travel plans, and other non-life items with Citibank.
  • Loan Insurance: Citibank has an exclusive loan insurance policy to take care of the repayment in the unfortunate absence of the principal borrower.

How do I contact MyMoneyMantra for applying for Citibank Business Loan? 

  • Email: Drop an email to contactus@mymoneymantra.com, and our customer service executives will contact you for further details.
  • Phone: Contact us at 1800-104-4004 and speak to any of our customer service executives for guidance.
  • Online: Apply for Citibank Business Loans through our online portal

Can I foreclose my Citibank Business Loan?

Yes, Citibank allows foreclosure of Citibank Business Loans subject to the payment of pre-closure penalty.

What is the advantage of having an export finance account with Citibank?

Citibank has an extended global network with a presence in more than 100 countries. Therefore, it becomes easy for the exporter to receive payments and make remittances. Secondly, Citibank offers LIBOR denominated rates on export finance products. These rates are incredibly competitive and beneficial to exporters.   

What is the CitiDirect facility?

CitiDirect is Citibank's online web-based banking platform. It puts all your corporate accounts and banking functions in one security-protected place, whereby you get centralised access to your account information around the globe in real time from your smartphone or computer device.

Latest News and Snippets - Citibank

Paytm enters into a tie-up arrangement with Citibank to launch its credit card

Paytm is moving towards becoming a full-fledged financial service provider. Consequently, they have partnered with Citibank to launch the Paytm credit card. Citibank will do the card issuance and underwriting business, whereas Paytm will provide the distribution and digital interface.

Citibank won two awards at the 2019 Asiamoney Best Bank Awards for India

Citibank believes in providing exemplary customer service. As a result, Citibank has won two prestigious awards at the 2019 Asiamoney Best Banks Awards for India.

  • Best Corporate and Invest Bank
  • Best International Bank

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