Group Project Report

On

Kotak Mahindra Bank

Submitted in the partial fulfillment of the requirement of the need of

the subject (Banking Operations & Credit Analysis)

for Post-Graduation Diploma in Management

(BATCH 2021-23)

Term - 6

Submitted To:

Dr. Sandeep Varshneya

(Associate Professor, Finance)

Submitted By: Group 06

Lavisha Chachan_PGFA2153

Dilip Kumawat_PGSM2104

Gurpreet Singh_PGSM2106

Khushi Agrawal_PGFB2120

Jaisurya Rathore_PGFA2118

Sahaj Preet Monga_PGFB2140

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Component 1

Mar 22 Mar 21 Mar 20 Mar 19 Mar 18

TOTAL DEPOSITS 311,684.11 280,100.05 262,820.52 225,880.36 192,643.27
TOTAL Advances 271,253.60 223,688.62 219,748.19 205,694.81 169,717.92
TOTAL BRANCHES 1700 1604 1600 1500 1388
TOTAL ATM 2705 2598 2519 2352 2199
CATEGORY WISE
METRO 761 715 712 662 618
URBAN 365 341 340.8 323 298
SEMI-URBAN 308 292 294.4 291 277
RURAL 266 256 252.8 224 195

Component 2

 The kinds and features of savings and current accounts offered by Kotak Mahindra
Bank

Kotak Mahindra Bank gives its customers a wide range of savings and checking accounts to
meet their different needs. Here are some of the types of savings and checking accounts that
Kotak Mahindra Bank offers, as well as some of the features of each:

1. Savings Accounts: Kotak Mahindra Bank has several types of savings accounts, including
a. Classic Savings Account: - You must have at least Rs. 10,000 in your account. - Mobile
banking and internet banking are free. - A debit card with discounts and deals

b. Junior Savings Account: Designed for kids under 18; no minimum balance required - A
free debit card with the child's name on it. - A free way to move money online

c. Grand Savings Program: Offers special perks and benefits to people with a lot of money.
- Access to airport lounges with a free Priority Pass membership - Personalized banking
services from a relationship manager

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d. 811 Digital Bank Account: Opening an account doesn't require any paper, and there's no
minimum balance. - Moving money and paying bills online is free. - Get more money back
from your savings

2. Current Accounts: Kotak Mahindra Bank has several types of current accounts,
including:

a. Neo Current Account: For small businesses and startups - No minimum balance
requirement - It's free to move money and pay bills online. - I Getting a Business Visa Debit
Card with deals and discounts is free

b. Edge Current Account: For medium-sized businesses Minimum balance of Rs. 1 lakh.
Free online money transfers and bill payments. Free Business Visa Debit Card with offers
and discounts.

c. Ace Current Account: This is for big companies - You must have at least Rs. 5 lakhs in
your account. - Personal bank services with a dedicated relationship manager - Free Visa
debit card for business with deals and discounts

 The various kinds and features of fixed and recurring deposits offered by Kotak
Mahindra Bank

Kotak Mahindra Bank has many fixed and recurring deposit schemes for its customers. Here
are some of the types of fixed and recurring deposits that Kotak Mahindra Bank offers and
what they are good for:

1. Fixed Deposits: Kotak Mahindra Bank offers fixed deposits with terms ranging from 7
days to 10 years. Most fixed deposit schemes have a minimum deposit amount of Rs. 10,000.
Here are some of the different kinds of fixed deposits the bank has and what they are used
for:

a. Regular Fixed Deposit: The interest rate stays the same for the duration of the deposit.
Interest can be paid monthly, quarterly, semi-annually, or annually. - You can withdraw your
money early and get a loan against your FD.

b. Tax Saving Fixed Deposit: - 5-year fixed deposit scheme eligible for tax deductions under
Section 80C of Income Tax Act - The interest rate is fixed for the entire tenure of the deposit
- Interest is paid at maturity - There is no early withdrawal.

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c. Multi-Option Deposit: This type of deposit lets customers choose from several options with
different terms and interest rates. Interest can be paid monthly, quarterly, half-yearly, or
annually. You can take money out early or get a loan against your FD.

2. Recurring Deposits: Kotak Mahindra Bank has recurring deposits with terms from 6
months to 10 years. Most recurring deposit schemes have a minimum deposit amount of Rs.
100 per month. Here are some of the types of recurring deposits that the bank accepts and
what they are used for:

a. Regular Recurring Deposit: - The interest rate is fixed for the entire term of the deposit -
Interest is paid monthly, quarterly, half-yearly, or annually - Early withdrawal and loan
against RD facility available

b. Step Up Recurring Deposit: - Allows customers to gradually increase the amount they put
away each month - Interest rate stays the same for the whole time the deposit is open -
Interest is due at the end of the term. - You can take money out of your RD early and get a
loan against it.

c. Flexi Recurring Deposit: Customers can put in any amount at any time during the deposit's
term. The interest rate stays the same for the whole term of the deposit. Interest is paid when
the deposit matures. - You can take money out of your RD early and get a loan against it.

These are some of the different kinds of fixed and recurring deposits that Kotak Mahindra
Bank offers and some of their features. For more information about the deposit plans, interest
rates, and who is eligible, you should visit their website or call their customer service.

 The currently prevalent fixed deposit and savings account interest rates of Kotak
Mahindra Bank

Kotak Mahindra Bank may change the interest rates on fixed deposits and savings accounts
from time to time. Kotak Mahindra Bank's current interest rates for fixed deposits and
savings accounts are as follows:

1. Interest Rates on Fixed Deposits:

The interest rate on a fixed deposit depends on how much you put in and for how long. As of
March 2023, here are the interest rates for fixed deposits:

• For deposits under 2 crore rupees:

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• 7 days to 14 days: 2.50%

• 15 days to 30 days: 2.75%

• 31 days to 45 days: 3.00%

• 46 days to 90 days: 3.50%

• 91 days to 179 days: 4.00%

• 180 days to 269 days: 4.75%

• Less than a year: 4.75 percent

• Between 1 year and 389 days: 5%

• Less than 18 months: 5.10 percent

• 18 to 24 months: 5.25 percent

• Two years and one day to five years: 5.30%

• Five years and one day to ten years: 5.50%

• Interest rates are available on request for deposits of Rs. 2 crores or more.

• Rates of return on savings accounts:

The rate of interest on savings accounts depends on how much money is in the account. Here
are the most common savings account interest rates as of March 2023:

• For balances up to 1 lakh rupees: 3%

• For balances of more than 1 lakh but less than 1 crore: 4.00%

4.25 percent on balances over Rs. 1 crore

Keep in mind that the bank can change these interest rates at any time. For the most up-to-
date information on interest rates and other details, it is best to go to the bank's website or call
their customer service.

 The features of the certificate of deposit offered by Kotak Mahindra bank and the
currently prevalent interest rates on the same for Kotak Mahindra Bank

Customers can buy certificates of deposit (CDs) from Kotak Mahindra Bank. CDs are short-
term investments that banks give out for a set amount of time at a fixed rate of interest. Here

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are some of the features of Kotak Mahindra Bank's certificates of deposit and the current
interest rates on them:

What a Certificate of Deposit has:

• The least you can invest is Rs. 1 crore

• Term: 7 days to 1 year • Interest paid: at end of term • Withdrawals before term: not
allowed

• Eligibility: Indian residents, non-resident Indians, and companies

2. Interest rates on certificates of deposit at the moment:

The rate of interest on a certificate of the deposit depends on how long you choose to keep it.
Here are the prevalent interest rates for certificate of deposit as of March 2023:

• 7 to 14 days: 2.50%

• 15 to 30 days: 2.75%

• 31 to 45 days: 3.00%

• 46 to 60 days: 3.25%

• 61 to 90 days: 3.50%

• 91 to 180 days: 3.75%

• 181 to 270 days: 4.00%

• Less than a year: 4.25 percent

Keep in mind that the bank can change these interest rates at any time. For the most up-to-
date information on interest rates and other details, it is best to go to the bank's website or call
their customer service.

 Information on: for calculating interest on fixed deposits, does the compounding
happen monthly / quarterly / half-yearly / annually, for Kotak Mahindra Bank

How often Kotak Mahindra Bank adds up interest on fixed deposits depends on how long the
customer keeps the deposit. For deposits that last up to 6 months, interest is usually

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calculated using simple interest and paid out at the end of the term. The interest is usually
added up every three months for deposits with terms of 6 months or more.

But Kotak Mahindra Bank also lets people with fixed deposits of one year or more choose to
have their interest paid out every month. In these situations, the interest is calculated every
three months and given to the customer every month.

Checking with the bank to find out the exact compounding frequency for a certain fixed
deposit scheme and the term is a good idea. You can find out more about this on the bank's
website or by calling customer service.

Component 3

Investment product
Insta SIP

 Automatic Portfolio Creation

 Budget-friendly Investment Plans
 Invest in multiple SIPs in one go.

Sovereign Gold Bond Scheme

 The minimum permissible investment will be 1 gram of gold.

 The Bonds will be denominated in multiples of gram(s) of gold with a basic unit of 1
gram.
 To be issued by Reserve Bank India on behalf of the Government of India.

Demat Account

 Dedicated and trained Customer Care Officer to handle all your queries
 Highly competitive service charges
 Demat and Savings accounts can be opened in the Bank and Online trading account
with Kotak Securities, a subsidiary of Kotak Mahindra Bank Ltd

Kotak ASBA Facility

 Easy to apply in Initial and Follow-on Public Offers (IPO and FPO)
 Enjoy continued TD/Savings Account returns on the Bid amount.
 Place multiple bids and also apply for your family members through your Kotak
Account

Tax Planning
 The secret of effective tax planning is starting well ahead of time.

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Qualified Foreign Investor

 Open a depository account with a Qualified Depository Participant

 Open a trading account with a brokerage firm.
 Obtain a separate and distinct Permanent Account Number (PAN) for Income Tax
purposes from the Tax Authorities in India

Portfolio Management Services

 Investment Specialists to help you with a range of focused products.

Mutual Funds

 Dedicated Relationship Manager

 Assistance at every step of the investment process
 An experienced research team to analyze and research the Mutual Funds available in the
market

Insurance Products

Protection Plan –
1. Kotak Term Plan
This is a pure risk cover plan, which provides insurance coverage to the family of the insured
in case of any eventuality. Moreover, the Kotak term plan is a convertible plan which can be
converted to a Kotak Mahindra Life insurance plan before the last 5 years of the policy. Let's
take a look at the features of the policy.

2. Kotak e-Term Insurance Plan

Kotak e-Term plan is an online term plan, which is specifically designed to provide financial
security to the family of the insured against any emergency. The plan offers financial
protection in form of a death benefit to the beneficiary of the policy in the event of the
unfortunate demise of the insured person. The following are some of the features of the
policy.

Saving and Investment Plan

1. Kotak Invest Maxima

This is an investment-griented unit-linked life insurance policy that offers the combined
benefit of insurance and investment returns. The plan comes with a lock-in period of 5 years
and offers 5 different fund options to choose from. Along with the benefit of investment
return and wealth creation in the long-term, the plan also provides financial security to the
insured's family in case of any eventuality let's take a look at some of the features of the
policy.

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 2. Kotak Single Invest Plus
This is a single premium payment unit-linked insurance plan wherein the policyholder needs
to pay the premium as a lump sum and can reap the benefits through the tenure of the policy
the plan comes with a joint-life protection cover and offers different fund options to choose
from. Here are the features of the policy.

3.Kotak Platinum Plan

This is a unit-linked insurance plan that comes with three investment strategies and offers
flexibility to the insurance holder. The policy offers an extensive option to diversify the
wealth so that the policyholder does not have to look for any other investment options.

4.Kotak Ace Investment

This is a unit-linked insurance plan, which is specifically designed to provide insurance
coverage to the family of the insured along with the benefit of investment return. The plan
offers the option to choose from different fund options to invest in so that you can accumulate
wealth in the long term along with the benefit of insurance coverage. The following are some
of the salient features of the policy

5. Kotak Premier Endowment Plan

This is a savings cum insurance plan, which offers guaranteed addition in the first 5 policy
years. The plan helps the insured to create a financial cushion for the future and also provides
insurance coverage to the family against any type of eventuality. The following are the
features of the policy.

6. Kotak Premier Moneyback Plan

This is a limited pay moneyback policy that provides a lump-sum payout to the insured at
regular intervals so that he/she can meet the short-term financial requirements let's take a look
at the features of the policy.

7. Kotak Premier Income Plan

This is a savings cum protection plan that offers a guaranteed annual income immediately
after the premium payment texture to provide additional annual income. The plan offers
accrued bonuses in lump-sum at the end of the policy tenure The following are the key
features of the policy.

Capital Market Services

Kotak is one of the leading facilitator banks in the capital and commodity market space.
Stock and commodity market brokers have needs that are peculiar and different from normal
banking requirements. At Kotak, we have a dedicated team of domain experts and
professionals to cater to just that!
We offer a complete range of financial products to such capital market participants:

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 Settlement activities: Kotak is empanelled as a Settlement Bank for all the major
exchanges including NSE, BSE, MCX, NCDEX, MSEI, and NCDEX E-Market. We are
also an Empanelled Settlement Bank in IFSC Gift City (INDIA INX and NSE IFSC) and
offer services such as Foreign Currency denominated Current accounts, Settlement
accounts, and related Activities.
 Credit facilities such as Bank Guarantees, Overdraft against shares, property,
receivables, FD and third-party collaterals, Short Term Loans, and Support in Ad hoc
requirements.
 Transaction banking services: We offer an entire range of transaction banking services
including cash management products for payments and collections, instruction
transmission like Host to Host, API, File uploads, online banking platform for doing real-
time transactions, fund pooling mechanisms like NACH and UPI, payment gateway for
accepting payments from Kotak customers, outward FX remittance of sale proceeds of
shares by foreign customers, portfolio investment scheme and other banking services like
corporate salary accounts offerings.

Component 4

Home Loan Eligibility Criteria

Home Loan Eligibility Criteria for an Individual
Age:
· Home Loan Eligibility for Salaried persons is between 18 and 60 years.
· Home Loan Eligibility for Self-employed persons is between 18 and 65 years.
Indian Resident with a Gross Income of:
· Minimum Income of Rs. 20,000 per month for residents of Delhi, Mumbai, Bangalore,
Pune, and Chennai.
· Minimum Income of Rs. 15,000 per month for the residents of other cities.
Minimum Qualifications:
· If the applicant works with a private limited company or a partnership firm, the minimum
educational qualification required is a Bachelor’s degree.
· If the applicant is employed with either a public limited company or MNC or Government
or public sector company, no minimum qualification is required.
Home Loan Eligibility Criteria for a Partnership Firm/ LLP/ Indian Company
· The firm/organization should have been existing for a minimum of three years.
· The partnership firm/LLP/Indian Company should have a minimum net income of:
O 2,40,000 per annum for companies/firms/LLPs in Delhi, Mumbai, Bangalore, Pune, and
Chennai.
O 1,80,000 per annum for companies/firms/LLPs in other cities.

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Home Loan Eligibility Criteria for a Hindu Undivided Family (HUF)
· The applicant or the co-applicant must be the Karta of the HUF.
·  The HUF should have been in existence for a minimum of three years.
· The HUF should provide their IT returns for a minimum of three years.
·   HUF with a Minimum Net Income of:
o 2,40,000 per annum for the HUFs in Delhi, Mumbai, Bangalore, Pune, and Chennai.
o 1,80,000 per annum for the HUFs in other cities.

How to use Kotak Mahindra Bank’s Home Loan Eligibility Calculator?

A home loan eligibility checker can help you identify whether or not you fit the housing loan
eligibility criteria. It is crucial that you check home loan eligibility before applying for a
home loan to avoid your housing loan application from being rejected. Moreover, the housing
loan eligibility criteria is also a key indicator of how much loan amount can be approved in
each case.
You can either manually calculate the total amount of loan you are eligible for, or you can do
it in an easy and efficient way, that is, by using Kotak Mahindra Bank’s Home Loan
Eligibility Checker. Simply enter the required information such as your employment type,
customer type, monthly in-hand salary, existing EMIs, loan tenure, and current interest rate.
The home loan eligibility calculator will calculate the exact amount of home loan that you are
eligible for.
Factors Affecting Housing Loan Eligibility
These factors affect your housing loan eligibility:
·         Your Monthly income: Your monthly income is one of the most important aspects of a
home loan application process. It helps lenders decide the total amount of loan that you can
afford. A person with a low income will be eligible for a lower loan amount and vice versa.
·         Your Current Age: Next important factor that affects your home loan eligibility is your
current age. If you are young, then you can opt for a long loan tenure. Since tenure is long
your interest rate will be low, which, in turn, will lower your EMI.
·         Credit History: A good credit history indicates that you are sincere in paying your dues
and that you have a solid financial state. A good credit history leaves a positive impact on the
lenders, which increases your chances of getting a home loan.
·         Existing Loan Obligations: It is to keep in mind that if you have any existing loan
obligations, it can impact your housing loan eligibility. These are considered as regular
monthly expenses that can affect your loan repayment ability.

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·         Regulatory Requirements: The National Housing Bank (NHB) has set a limit that
decides the maximum loan amount that can be disbursed. This depends on the cost of the
residence. The high-priced homes in the market may have lower maximum limit while the
lower-priced homes may have a higer maxim limit.

Eligibility Criteria
Age Eligibility
·         There is no specific restriction regarding the age of a student in order to be eligible for
an education loan.
·         Age of joint applicant / co-borrower / guarantor should be minimum 21 years at the
time of loan origination and maximum age at the time of loan maturity can be 70 years.
If the student was a minor while the joint applicant / co-borrower / guarantor executed the
document for the loan, the bank will obtain a letter of ratification from him/ her upon
attaining majority.
Student Eligibility
·         The student should be an Indian National
·         The student shall have secured the admission in India or abroad through an entrance
test or through merit based selection process
Eligible Courses
India
·         Post-Graduation Courses: Masters and Ph.D. from accredited institutions.
·         Professional Courses: Engineering, Medical, Agriculture, Veterinary, Law, Dental,
Management and Computer Sciences.
·         Other professional courses such as CA, ICWA, CS, and CFA.
·         Masters and Diploma Management Programs.
·         Other courses leading to degree/diploma conducted by colleges/universities approved
by UGC / Govt. / AICTE / AIBMS / ICMR, etc.
·         Regular Degree/Diploma course like aeronautical, pilot training, shipping, nursing or
any other discipline approved by Directory General of Civil Aviation / Shipping / Indian
Nursing Council or any other regulatory body as the case may be, if the course is pursued in
India.
·         Any other course as shall be declared from time-to-time.

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Studies abroad
·         Graduation: Reputed universities.
·         Post-graduation: MCA, MBA, MS and other courses as shall be declared from time-to-
time.
·         Other courses such as CIMA - London, CPA in USA, CFA, CISA, and other approved
courses as shall be declared.
Degree/Diploma course like aeronautical, pilot training, shipping, etc. provided these are
recognised by competent regulatory bodies abroad for the purpose of employment in
India/abroad.

CAR LOANS

Eligibility Criteria
 Indian Residents
 Minimum income of Rs. 15,000 per month
 Minimum residence stability of 1 year
 Minimum employment stability of 1 year
 Minimum 21 years of age

In today’s world, owning a car has almost become a necessity with the freedom of movement
and comfort that it offers. And with the Kotak Mahindra Prime Ltd. Car Loan, your dream of
owning a car can become a reality with minimum effort.

We provide new as well as used car loans, all tailored to meet your individual requirement
with flexible schemes. Additionally, our convenient repayment options, easy processing, and
flexible car loan interest rates mean that, no matter what your dream car, we can help you
turn that dream into a reality.

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Interest rates on Car loans:

Interest rates on car loans vary from 7.70% p.a. to 25% p.a. depending on profile of applicant,
product segment, interest gradation approach by KMPL etc. Credit at the sole discretion of
KMPL.

CONSUMER DURABLES LOANS

Eligibility Criteria
Nationality: Only Indian Nationals

Age limit to apply for loans:

 For consumer durables: Minimum 21 years; Maximum 65 years

 For digital products: Minimum 23 years; Maximum 65 years

Area of current residence:

 Customer’s current residence address should be in the same city as that of the store
from where the product has been purchased, in case of in-store purchases.

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Income source

 Individual: Salaried (private/government)

 Individual: Self-employed
 Individual: Pensioner
 Individual: Business owner

Minimum documents:

 Identity proof
 Current residence address proof

Characteristics of a Kotak Mahindra Bank Loan Against Fixed Deposit

Mentioned here are the features of a loan against FD from Kotak Mahindra Bank:

 Loan amount of 90 per cent

You can borrow between 70 and 90 per cent of your fixed deposit amount. So if you have a
fixed deposit of, say, Rs. 10 lakhs, you can get anything between Rs. 7 lakhs and Rs. 9 lakhs.
Even after the loan has been approved, the remaining cash in the fixed deposit account will
continue to generate interest.

 Flexibility

One crucial factor to remember is that the loan against a fixed deposit has the same term as
the fixed deposit. Therefore, while the loan might have a shorter term than the fixed deposit,
it cannot have a longer term than the deposit. For example - if the Fixed Deposit time period
is five years, the loan could be less than or equal to a period of 5 years but not greater than
that.

 Easy Application

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This is a loan that is relatively simple to obtain. There is little documentation needed as you
already have a fixed deposit account. You only need to finish the necessary forms, and you
can also apply for a loan against a fixed deposit online.

 No Processing Fee

This is a straightforward loan. There is no need to pay any added processing fee, as is the
case with other loans. As a result, the overall cost of the loan is reduced.

 Better Choices

Unfortunate circumstances, catastrophes, and unexpected developments may cause many

people to withdraw funds from their fixed deposit accounts for immediate cash flow.
However, with the option of taking out a loan against your fixed deposit, you can maintain
your deposit while meeting your immediate cash demands.

 Lower Rates

Loans against fixed deposits have substantially lower interest rates than other loan types. Let
us suppose that it is only 2% to 3% higher than the fixed deposit rate. If your bank gives 9.25
% on fixed deposit accounts, you will have to pay 11.25 % against FD. This is far lower than
the average interest rate charged on personal loans.

Eligibility for Loan Against Fixed Deposit

While receiving a loan against an FD may appear simple, remember that there are specific
conditions you must follow to get a loan against an FD. The following are the requirements
for becoming eligible for such a loan:

 First, you must have one to qualify for a loan against a fixed deposit.
 This scheme does not apply to a fixed deposit in the name of a minor.
 The amount of the fixed deposit should be more than the amount of the loan.
 The loan's payback term cannot be longer than the fixed deposit's duration.

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  For example, a person with a five-year tax-saving FD cannot take a personal loan
against it.

LIFE INSURANCE LOANS

Eligibility Criteria

I. Eligibility
People who hold a life insurance plan and ULIPs (Unit Linked Insurance Plans) can apply for
this loan. Unlike the traditional insurance policies, ULIPs offer life insurance covers that
provide options to invest in areas like shares, stocks and bonds. Additionally, ULIP policies
are considered the best option when it comes to taking a loan against life insurance policy.
When you opt for a ULIP policy, other than getting the dual benefit of insurance and
investment in one plan, you also get the feature of availing of a loan against it. Therefore, if
you plan to apply for a loan of this kind in the future, you must buy life insurance first.

II. Rate of Interest

For a loan against an insurance policy, the interest rate is charged depending on the interest
rate applicable when taking the policy. The borrower has to pay interest for six months’ even
if the loan has been cleared within this time frame. However, the loan against insurance
policy interest rate is generally more affordable than that of other types of loans. Although, it
is advised to check with your loan provider for a clearer picture regarding the loan against
insurance policy interest rate.

III. Repayment
The repayment period of loan against life insurance policy is usually six months. But the
terms and conditions of repaying your loan may vary based on your lender. For instance,
some insurance providers do not require the borrower to pay the principal amount. Instead,
they directly credit it from the policy value at maturity or claim, provided you are paying the
interest amount on time.

Additionally, timely repayment is highly recommended when taking a loan against life
insurance policy, even if you only have to pay the interest. This is important because your

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insurance policy works as collateral here, and failing to pay the loan might lead to bad
repercussions.

IV. Surrender Value of Policy

Your life insurance policy acquires a surrender value if you have been paying your premiums
on time for three years of buying the policy. The period for acquiring a surrender value may
differ according to your insurer. But you cannot avail yourself of a loan if your policy doesn’t
have a surrender value

V. Loan Amount
The eligibility for a loan against an insurance policy that you can borrow has to be checked
with your insurer. The loan amount is a percentage of the surrender value, with the loan being
up to 85-90% against traditional life insurance plans with guaranteed returns.

VI. What Happens If You Fail to Repay?

If you fail to repay the loan taken against the life insurance policy, the interest adds to the
balance amount. If the amount borrowed for the loan against the insurance policy exceeds the
insurance policy’s cash value, then this can cause the policy to lapse. The insurer will then
have the right to recover the loan amount and interest from the surrender value of your policy
and terminate the insurance policy.

VII. What Is the Drawback Of Availing Loan Against an Insurance Policy?

The drawback of a loan against a life insurance policy is that in the event of your death, the
beneficiary will receive the death benefit but will not be able to recover the entire policy
amount. The insurer will deduct the outstanding loan amount and interest before paying the
death benefit.

VIII. How to Apply For A Loan Against Life Insurance Policy?

Applying for a loan may differ from one insurance company to another. But you can contact
your insurer to inquire about the policy’s surrender value, the eligible loan amount, and the
terms and conditions related to this feature.

IX. Documents

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To avail yourself of this loan, you need to fill out a loan against insurance application form,
which needs to be accompanied by the original insurance policy document. You will also
need to attach a copy of a cancelled cheque and a payment receipt for the loan amount.

Thus, before you plan to opt for a loan against insurance policy, you are recommended to
speak to an insurance advisor to fully understand the terms and conditions before borrowing
against life insurance or any other similar plans. This will make you well aware of the short-
term and long-term risks, empowering you to make prudent financial decisions.

Find details/eligibility criteria of loan against shares/ bonds/ units of mutual fund
offered by Kotak Mahindra Bank

Kotak Mahindra Bank gives loans in exchange for shares, bonds, and mutual fund units. Here
are the details and what you need to do to qualify:

1. Loan based on stock:

• The loan can be applied for by individuals, HUFs, Partnership firms, and Corporations.

Loan amount: The loan amount can be anywhere from 10 lakh rupees to 50 crores rupees.

• The interest rate starts at 9.50% and goes up from there.

• Length of time to pay back: This can be anywhere from 12 to 36 months.

• Margin: You need 50% of the value of the shares as a margin.

• The processing fee is 1% of the amount of the loan.

• Documents needed: Application form, KYC documents, Demat account statement, Latest
Share Holding Pattern of the company, and other financial documents as needed.

Bonds as collateral:

• The loan can be applied for by individuals, HUFs, Partnership firms, and Corporations.

Loan amount: The loan amount can be anywhere from 10 lakh rupees to 50 crores rupees.

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• The interest rate starts at 9.50% and goes up from there.

• Length of time to pay back: This can be anywhere from 12 to 36 months.

• Margin: You must put up 50% of the value of the bonds as a margin.

• The processing fee is 1% of the amount of the loan.

• Documents needed: Application form, KYC documents, latest bond holding statement, and
any other financial documents asked for.

3. Loan against mutual fund shares:

• The loan can be applied for by individuals, HUFs, Partnership firms, and Corporations.

Loan amount: The loan amount can be anywhere between Rs. 1 lakh and Rs.

• The interest rate starts at 10.50% and goes up from there.

• Length of time to pay back: This can be anywhere from 12 to 36 months.

• Margin: You must put up 50% of the value of each mutual fund unit as a margin.

Processing fee: 1% of the loan amount. Documents needed: Application form, KYC
documents, Mutual fund statement, and other financial documents as requested.

Please keep in mind that the eligibility requirements, interest rates, and loan amounts can
vary depending on things like the borrower's credit score, income, and the value of the
securities pledged. It is best to check with Kotak Mahindra Bank for the most up-to-date
information and details about these loans.

Find details/eligibility criteria of gold loan offered by Kotak Mahindra Bank

Gold Loans are available from Kotak Mahindra Bank to customers who need money quickly
for personal or business needs. Here is what you need to know about Kotak Mahindra Bank's
Gold Loans and who is eligible for them:
1. Criteria for eligibility:
• To be eligible, a person must be at least 18 years old.

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• The borrower must own the gold that is being used as collateral.
Loan Amount: The loan amount can be anywhere between Rs. 25,000 and Rs.
Rate of Interest: The rate of interest starts at 7%.
4. Length of time to pay back the loan: The length of time to pay back the loan is between 6
and 36 months.
Margin: • The margin that is needed for gold loans is set by the bank.
6. Processing Fees: Kotak Mahindra Bank charges up to 2% of the loan amount as a
processing fee for Gold Loans.
7. Documents Required:
• Proof of identity (Aadhaar card, Voter ID, or Passport) • Proof of address (Aadhaar card,
Voter ID, Passport, or utility bill) • Gold ornaments to be pledged as collateral
• Photographs
Please keep in mind that the loan amount, interest rates, and length of time to pay back the
loan can vary based on the borrower's credit history and the value of the gold being used as
collateral. For the most up-to-date information on Gold Loans, you should check with Kotak
Mahindra Bank.

Corporate Banking

• Find details/eligibility criteria of Overdraft facilities offered by Kotak Mahindra Bank

Kotak Mahindra Bank gives its customers, Overdraft facilities so that they can get money
quickly for business or personal needs. Here's what you need to know about Kotak Mahindra
Bank's Overdraft facilities and who can use them:

1. Criteria for eligibility:

• People with a Kotak Mahindra Bank savings account or current account can ask for an
overdraft facility.

• A customer can get an overdraft facility if he or she has good credit and if the assets being
used as collateral are worth enough.

2. Loan Amount: The loan amount depends on how good the borrower's credit is and how
much the assets being used as collateral are worth.

Rate of Interest: The rate of interest on an overdraft starts at 10.50%.

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4. Time to pay back: • The overdraft facility is a revolving credit line that the customer can
use as needed, as long as they follow the bank's rules.

Processing Fees: • Kotak Mahindra Bank charges a processing fee of up to 2.5% of the loan
amount for Overdraft facilities.

6. Collateral: A Fixed Deposit, Mutual Funds, Shares, or any other approved security can be
used as collateral for an overdraft facility.

7. Documents Required:

• Proof of who you are (Aadhaar card, Voter ID, or Passport); • Proof of where you live
(Aadhaar card, Voter ID, Passport, or utility bill)

• Proof of income (salary slips for the last 3 months, bank statements for the last 6 months,
Form 16 or IT returns for the last 2 years)

• Documents about the security being put up.

Please keep in mind that the loan amount, interest rates, and length of time to pay back can
change based on the borrower's credit history, income, and other factors. It's best to check
with Kotak Mahindra Bank for the most up-to-date information and details about Overdraft
facilities.

Find details/eligibility criteria of Cash Credit facilities offered by Kotak Mahindra

Bank
Kotak Mahindra Bank gives its customers Cash Credit facilities so that they can use the
money for their business needs. Here's what you need to know about Kotak Mahindra Bank's
Cash Credit facilities and who can use them:
1. Criteria for eligibility:
• The borrower must be a sole proprietor, a partnership, a private limited company, or a
public limited company.
• The person who wants to borrow money must have a good credit record and a steady source
of income.
2. Loan Amount: The loan amount depends on how good the borrower's credit is and how
much the assets being used as collateral are worth.
Rate of Interest: The interest rate on the cash credit facility starts at 10.50%.

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4. Time to pay back: • The cash credit facility is a revolving credit line that the customer can
use as needed, as long as they follow the bank's rules.
Processing Fees: • Kotak Mahindra Bank charges a processing fee of up to 2.5% of the loan
amount for Cash Credit facilities.
6. Collateral: The cash credit facility may require a Fixed Deposit, Mutual Funds, Shares, or
any other approved security as collateral.
7. Documents Required:
• Proof of your name (Aadhaar card, Voter ID, or Passport)
• Proof of address (Aadhaar card, voter ID, passport, or utility bill); • Proof of income; (salary
slips for the last 3 months, bank statements for the last 6 months, Form 16 or IT returns for
the last 2 years)
• Documents about the item being used as collateral • Business registration certificate • Proof
that you own the business
Please keep in mind that the loan amount, interest rates, and length of time to pay back can
change based on the borrower's credit history, income, and other factors. Checking with
Kotak Mahindra Bank for the most up-to-date information on Cash Credit facilities is a good
idea.

Find details/eligibility criteria of Bill Discounting facilities offered by Kotak Mahindra

bank
Bill Discounting is a service that Kotak Mahindra Bank gives to its customers so that they
can get working capital for their businesses. Here's what you need to know about Kotak
Mahindra Bank's Bill Discounting services and who can use them:
1. Criteria for eligibility:
• The borrower must be a sole proprietor, a partnership, a private limited company, or a
public limited company.
• The person who wants to borrow money must have a good credit record and a steady source
of income.
2. Loan Amount: The loan amount depends on how good the borrower's credit is and how
much the assets being used as collateral are worth.
Rate of Interest: The bill discounting facility has an interest rate that starts at 10.50%.

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4. Time to pay back: • The bill discounting facility is a short-term credit line that is usually
available for up to 90 days.
Processing Fees: Kotak Mahindra Bank charges up to 2.5% of the loan amount as a
processing fee for Bill Discounting.
6. Collateral: A Fixed Deposit, Mutual Funds, Shares, or any other approved security can be
used as collateral for the bill discounting facility.
7. Documents Required:
• Proof of your name (Aadhaar card, Voter ID, or Passport)
• Proof of address (Aadhaar card, Voter ID, Passport, or utility bill)
• Proof of income (salary slips for the last 3 months, bank statements for the last 6 months,
Form 16 or IT returns for the last 2 years)
• Documents about the security being put up.
• Registration of the business • Proof of ownership of the business
Please keep in mind that the loan amount, interest rates, and length of time to pay back can
change based on the borrower's credit history, income, and other factors. Checking with
Kotak Mahindra Bank for the most up-to-date information on Bill Discounting facilities is a
good idea.

• Find the marginal cost of funds-based lending rate (MCLR) for Kotak Mahindra bank
As an AI language model, September 2021 is the end of my knowledge, and I don't have
access to real-time data. But I can give you the most up-to-date MCLR for Kotak Mahindra
Bank, as far as I know:
As of September 2021, the following is the MCLR for Kotak Mahindra Bank:
MCLR Tenor (per annum) 6.70% 7.0% for one month 7.10% in three months After 6 months,
7.45% 7.60% in one year 8.05% in two years 8.15 % in three years

Please keep in mind that the MCLR can change at any time, so it's best to check with Kotak
Mahindra Bank for the most up-to-date MCLR rates.

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