Business Credit Line
The purpose of the loan:
Business credit line is designed to finance working capital needs of business entities.
Loan conditions:
| |
MNT |
USD |
| Loan amount |
The loan amount will depend on business scope, capital, and financial capacity |
| Interest rate |
2.2%-1.5% (26.4%-18% per annum/) |
1.8-1.2%(21.6%-14.4% per annum) |
| Loan term |
up to 18 months |
| Commitment interest |
4 percent (per annum) |
2 percent (per annum) |
Fees and commissions:
Loan application fee: MNT 15,000 USD 15
Acceptance fee: MNT 1 % USD 0.5%
Requirements:
- Permanent residence in the local area.
- Engaged in production or service business and possess at least one year experience in the field.
- Market demand for the product/service and principal and interest debt service capacity.
- In possession of assets that meet the bank’s requirements.
- Existing accounts with Khan Bank for income and expense transactions.
- If applicant is engaged in foreign trade, foreign settlement must be conducted by Khan Bank.
- Other types of financial services obtained from Khan Bank.
Necessary documentation:
- Personal ID
- Passport photo 1 copy
- Proof of residency
- Special operating license.
- State registration certification of business entity and company charter
- Proof of income
- Consent of co-owner, if any
- Documentation related to the property to be pledged as collateral
- Reference letter from State Real Estate Registration Office confirming absence of lien or encumbrance against the collateral property
- Credit checks verifying the existence of loans at other banks
- Financial statements audited by an audit company and the taxation office
- Documents evidencing the intended use of loan
- Resolution from Board of Directors and minutes of Shareholders’ meeting authorizing the loan
- Proof of loan history, loan agreements and payment records
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