Finance related provisional period processing charges
hdshardik
(Querist) 27 June 2014
This query is : Resolved
our cash credit renewal has been under three months provisional basis . Bank has charged the int which is higher than what it should be charge in renewal sanction . i would like to know that during the provisional period , what are the charges are manadatory to charge . first is obvious the interest but is processing charges levied @0.35 % of cc limit is mandatory ? bank has again charge the processiong fees for the sanctioned limit for the period . we do not know for what bank have charged for the documenantation . even we have not get any paper for signing for the process carried out in provisional period of cc limit . pl guide us .
ajay sethi
(Expert) 27 June 2014
read terms and conditions for grant pf cc facilities by the bank . it must be mentioning the interest to be charged
Rajendra K Goyal
(Expert) 27 June 2014
Go through the terms and conditions of sanction and service charges of the Bank. If the audited / annual balance sheet is not provided / delayed, Bank renew the limit provisionally on the basis of provisional data. Bank charges depends upon terms for such adjustment.
