Business Loan Interest Rate
A business loan interest rate is the amount charged against a borrower, computed as a percentage of the principal loan amount. Specifically, a business loan interest rate is the amount charged against business loans applied for by business owners or entrepreneurs.
With PSBank, the business loan interest rates are based on the prevailing rate of the Bank at the time of loan approval. This means that the current interest rate in the market is what PSBank applies on the loan.
PSBank Business Loans
The following are the business loans offered by PSBank which are charged with prevailing interest rates:
PSBank SME Term Loan with Prime Rebate
PSBank SME Term Loan with Prime Rebate is perfect for entrepreneurs who wish to address their company’s long-term financial needs without using their personal funds. It provides borrowers with a predetermined amount of funds they can use to increase their working capital, acquisition of fixed assets, or for construction.
Product Features
Loan Amount:
- Minimum of Php 2 million if the collateral is against real estate property
- Php 500,000 if against deposits
Loan Term: 1 to 7 years
Interest Rate: depends on the prevailing rate of the Bank at the time of loan availment
Collateral:
- Any prime residential, commercial, or industrial property, whether or not it has been improved.
- Cash deposits.
PSBank SME Business Credit Line
PSBank SME Business Credit Line provides low-interest rates to entrepreneurs who wish to borrow funds immediately. This is ideal for small and medium-sized business owners who would like to increase their working capital, stock merchandise, or expand their square footage without having to sign promissory notes or visit the office.
Product Features
Line Amount:
- Minimum of Php 2 million if the collateral is real estate property
- Php 500,000 if against deposits
Credit Line Expiry: (1) year from the date of setup, renewable annually.
Interest Rate: based on competitive SME business credit line rates.
PSBank SME Credit Line
Entrepreneurs looking for a way to access extra funds in order to grow and expand their businesses are welcome to apply for PSBank SME Credit Line. It offers credit line options suitable to the company’s size, budget, and financing needs.
Product Features
Loan Amount:
- Minimum of Php2,000,000 with collateral
- Php 500,000 if against deposits
Line Expiry: One (1) year from the date of setup and is renewable annually.
Interest Rate: Depends on the prevailing rate of PSBank at the time of loan application.
PSBank Standby Credit Line Certification
PSBank Standby Credit Line Certification is ideal for small and medium-sized business owners that need a certification that proves their company’s financial capacity to conduct business with their significant clients.
Product Features
Loan Amount:
- Minimum of Php2,000,000 with collateral
- Php 500,000 if against deposits
Line Expiry: One (1) year from the date of setup and is renewable annually.
In Case of Drawdown:
- Interest Rate: Depends on the prevailing lending rate of PSBank at the time of loan application.
- Availability: Maximum of 120 days from the payment date
- Repayment: Interest is paid in arrears while the principle is due on or before the maturity date.
PSBank Domestic Bills Purchase Line
Under the Domestic Bills Purchase Line, PSBank buys the borrowers’ dated checks or sales bills and advances the funds to them while they await payment from their clients and clearing from the bank. This is to help them make the best use of their resources without having to rely on the clearing of payments to conduct their business.
Product Features
Line Amount: Based on 50% of the average daily balance for the previous six months
Line Expiry: One (1) year from the date when it was approved and can be renewed yearly.
Interest Rate: Usual DBP charges.
Business Loan Repayment Methods
PSBank Business Loans are payable through the following:
- Automatic Debit Arrangement (ADA) from any CA / SA maintained with PSBank
- Over-the-counter cash or check payment
- PSBank Online
- Via InstaPay by paying/transferring funds from your accounts in other banks to your 15-digit PSBank loan account number
- At any 7-Eleven store nationwide
- GCash
Moreover, the approval of the application for any PSBank Business Loan is within 20 banking days or less from the submission of complete documents.
Conclusion
Because strategies alone do not define a company’s success, financial institutions such as PSBank that offer business loans at competitive interest rates are also important to ensure that enterprises will be able to grow their operations without having to worry about where to get their finances from, or whether or not they can afford the repayments.