Frequently Asked
Questions
Can I get a business loan for a new business from United Finance?
In order to qualify for our business loan, you must simply maintain an annual turnover of at least Rs.5 lakh. We require business vintage of minimum 3 years to lend the loan.
Do I have to visit a physical branch to apply for a United Finance Business Loan?
No. You can apply online for a United Finance Business Loan in just 5 easy steps and grow your business with ease.
How should I prepare when getting a business loan?
The best way to prepare for a business loan is to use the EMI calculator. This online tool helps calculate business loan EMI amounts accurately, and give you a leg up in loan planning.
How does the EMI calculator help with loan planning?
The EMI calculator displays the interest payable, EMI amount, and gives access to the amortisation schedule. All of this information can help during decision making and is vital to finding cost-effective repayment strategies.
Which of the following are the main features of micro finance?
- The borrowers are generally from low income backgrounds.
- Loans availed under microfinance are usually of small amount, i.e., micro loans.
- The loan tenure is short.
- Microfinance loans do not require any collateral.
- These loans are usually repaid at higher frequencies
What is financial inclusion?
Financial inclusion or inclusive financing refers to delivering financial services at affordable costs to sections of disadvantaged and low-income households in society who are otherwise unable to avail formal financial services.
Why is microfinance important for rural women?
As rural women are more subjugated to discrimination, microfinance aims to improve their status within the family and community by giving them access to financial services. Women availing microfinance activities tend to be more assertive, confident, own more assets and play a stronger role in decision-making.
What is the difference between bank and microfinance?
Banks are financial institutions that provide banking and other financial services such as accepting deposits and providing loans to customers. On the other hand, MFIs’ mainly target underserved households in rural areas to access financial services such as very small loans (micro credit) to help them to invest in or scale up their small businesses.
How can I apply for the United Finance Business Loan online?
To apply online, follow these simple steps.
- Visit the business loan webpage
- Click on ‘Apply Now’
- Provide KYC, business, and financial documents
- Await verification and loan processing
- Receive loan approval
- Authorise disbursal
What is Microfinance?
Microfinance refers to a variety of affordable financial services that target low-income clients, living either on or below the poverty line, particularly women. It aims to empower these clients by providing them access to microcredit for income-generating activities, savings and insurance, and remittance services.
Who are microfinance clients?
Microfinance clients are either below or above the poverty line who otherwise do not have access to financial services from formal financial institutions such as banks. They may reside in either rural or urban areas but due to lack of proper documents or insufficient collateral security, are unable to utilise banking facilities.
Are microfinance institutions regulated?
Microfinance Institutions in India are regulated by the Reserve Bank of India through its master circulars pertaining to NBFC-MFIs. Based on the RBI Circular No: DNBS (PD) CC No: 395/03. 10. 38/2014-15
What is the key objective of micro finance?
The objective of microfinance is similar to that of microcredit; its goal is to provide financial services to help encourage entrepreneurs in impoverished nations to act on their ideas and obtain the financial tools available to do so and to eventually become self-sustainable.