Submitted by admin on August 13th, 2024
The largest India’s non banking finance company by market capitalisation is keen on borrowing up to $500 million overseas, people close to the development said, joining a clutch of shadow financiers seeking external funds as local sources dried up due to the crackdown.
Bajaj Finance Ltd., an Indian consumer-finance company, is finalising the details of an overseas debt facility having a minimum involvement of four foreign banks, sources said on condition of anonymity due to the vagueness of the information. The term on the debt may be between three and five years, and the pricing tied to SOR, which is increasingly becoming popular with deals in Asia, or SOFR, they said.
These will be raised under the fresh external commercial borrowing standard set by the Reserve Bank of India that has fixed the interest rate at 500 basis points above the benchmark level.
Bajaj Finance’s public relations did not want to elicit comment regarding the deal.
Some of the leading Indian shadow financiers are accessing global credit market after RBI pressed banks to build up extra capital for consumer credit to slow risky lending. Originally, the rule change has raised the problem of how these lenders can raise bank loans, leaving them with no option than to explore credit market.
Gold loan companies such as Manappuram Finance Ltd. and Muthoot Finance Ltd. along with Piramal Capital & Housing Finance Ltd. are among those shadow financiers who have borrowed abroad this year. HDB Financial Services Limited a subsidiary of India ’s largest lender in terms of market capitalization is planning to take foreign currency funds.
Bajaj Finance is a financier which is a part of one of the oldest Indian business groups and provides auto loans for the purchase of two- and three-wheelers produced by the affiliate Bajaj Auto Ltd and consumer durables. The top rated company is also involved in business of offering of personal and mortgage loans.
Int Rates : 10.5% - 22%
Loan Amount: ₹ 1,00,000.00
Maximum Tenure - 7 Years
Lowest EMI : ₹ 1,686
Interest Rate 13.99% - 24.99%
Loan Amount: ₹ 1,00,000.00
Maximum Tenure – 5 Years
Lowest EMI : ₹ 2,326
Interest Rate 9% - 13%
Loan Amount: ₹ 1,00,000.00
Maximum Tenure – 20 Years
Lowest EMI : ₹ 1,014
Interest Rate 8.40% - 12%
Loan Amount : ₹ 1,00,000.00
Maximum Tenure – 35 Years
Lowest EMI – ₹ 739
It can be difficult to keep track of repayments if each lender has a different repayment amount or repayment date. There are two possibilities that may assist you: loan consolidation and also balance transfer. But which one can save you more mon....
Read More
It may be hard to keep track of several loans. When you have multiple EMIs, different interest rates, repayment dates and loan terms, it can become challenging to keep track of everything.When you're asking yourself how to pay off all your l....
Read More
Can you take out a personal loan if you already have a loan? Let us assume you qualify with the lender. The presence of an existing loan doesn't mean that your loan application will be denied. But before approving another loan, lenders will look....
Read More
Pioneering ease of access to Basic Banking & Financial Services in Rural India
