| Purpose |
- Advances against the primary security of physical shares in dematerialized form
|
| Eligibility |
- Individuals/ Firms/ Companies
- Shares of Companies listed in NEPSE & approved by bank to be pledged
- Shares to be transferable in bank’s name
|
| Limit |
- Individual/Firms/Companies
|
| Nature |
- Overdraft/ Demand loan (OD for individual maximum upto Rs. 50.00 Lacs)
|
| Margin |
- Minimum margin 50%
- Loan is extended upto 50% of the average value of the pledged shares as calculated on the basis of closing price of previous 180 working days or prevailing market price of shares, whichever is less
- Drawing power is calculated at weekly intervals
- Payment of margin shall be called in case of fluctuation in value of the shares
|
| Interest rate |
- Competitive rate (subject to change)
|
| Repayment |
- Subject to renewal (OD only) upon satisfactory performance.
|
| Security |
- Earmarked/Rokka of shares with Security Exchange Board in Bank’s name
|
