Andhra Bank
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Toll Free Number : 1800 425 1515

 
Dairy Agents
 
 Tie up arrangement


Milk processing units have to execute a tie up agreement to the effect that the proceeds of milk supplied by the Dairy Agent will be routed through the financing branch. Wherever tie up arrangements with  milk processing units is not available loan can be sanctioned against  collateral security of  100 % of loan amount.

 
  Repayment period

  • The loan is repayable in 24 monthly instalments after a gestation period of 3 months..
  • The recovery will be made from the cheques issued by milk processing units.
  • The account will be reviewed once in a quarter..
  • The loan is repayable in 48 monthly instalments  after a gestation period of  3 months for the loans  sanctioned with Rs 3.00 lacs
 
  Rate of interest

  • These loans carry the following rates of interest

  • Up to Rs.50,000/- ( BMPLR - 1.25 % + TP)= 11.00%

  • Rs.50,001 to Rs.2.00 lacs (BMPLR+TP) = 12.25%
 
  Security

Primary :  Hypothecation of receivables and assets created out of bank

 
 Finance

Collateral :  Mortgage of landed/ building property equal to 100% of the loan amount

 
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