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HDFC Bank provides diverse credit solutions for large corporate dealers and customers, available standalone, collateral-backed, or through structured transactions. These offerings ensure competitive interest rates, supporting dealer funding needs for enhanced sales and efficient working capital management.

Types of Dealer Financing

Bill Discounting

HDFC Bank’s specialist trade finance team offers dealers bill discounting services, backed by a nationwide network of branches and correspondent banks. The services are customised to suit dealers’ need for short term finance, from sale to payment. As a dealer, you can get:

  • Short-term finance

  • Credit of up to 90 days for purchase of goods to corporates

  • Credit line is based on financials of dealer and need for funds 

  • Minimal documentation

  • A letter of recommendation specifying the dealer's history, track record, etc. and a commitment to stop supply in case of default would be taken from the corporate

Card Reward and Redemption

Factoring Solutions

How is your business supposed to grow when it takes so long to collect accounts receivable? What do you do when you need quick access to working capital, but don't want to take on more debt and dilute your equity? With HDFC Bank factoring solutions, you will never face these roadblocks.

  • Under factoring solutions, HDFC Bank would purchase a pool of receivables or a set of identified receivables from the company

  • Receivables may be purchased with specified margins

Card Management & Control

Mortgage-Backed Term Loans

HDFC Bank’s commercial mortgages make owning, refinancing, or renovating commercial real estate easy and affordable. Dealers can also use these loans for working capital.

  • Term loans provided for working capital and to acquire business premises

  • Tenors of up to 5 years

  • Limits based on financial projections, acceptable DSCR and security provided

  • Up to 75% of the project cost would be funded. Balance to be promoter's contribution

  • Facilities to be secured by assets being financed. Collateral security may be obtained in certain cases

  • Minimal documentation

Redemption Limit

Working Capital Facilities

HDFC Bank’s Working Capital Finance helps dealers easily meet their cash flow requirements.

  • HDFC Bank extends working capital facilities through cash credit, WCDL, LCs, guarantees and export credit to select dealers of corporates

  • Credit is provided based on analysis of financials, need for funding, regulatory guidelines and security

  • Funding is provided against hypothecation of stocks and book debts with a minimum margin of 25%. Collateral security may be taken in specific cases 

  • Minimal documentation

Smart EMI

Frequently Asked Questions

Dealer Finance can offer more flexible terms, such as lower interest rates and incentives like cash rebates. It’s often more convenient, allowing you to arrange financing and purchase in one place. It can also be faster, sometimes providing same-day approval.

Yes, individuals with less-than-perfect credit scores may still qualify for Dealer Financing. Dealerships often have relationships with multiple lenders, which can increase the chances of approval. However, it’s important to shop around to get the best deal.

While choosing Dealer Finance options, consider the interest rates, loan terms, and any additional fees or charges. Evaluate the dealer’s reputation and read the fine print for any conditional offers or clauses.