Challenge

By 2024, M/s Preety Traders had reached a turning point in its growth journey. Operating a single manufacturing unit at full capacity, the company faced increasing customer demand that it could no longer meet with existing infrastructure. The owner recognized the need to expand by establishing a second unit to scale production and strengthen brand visibility. However, limited working capital posed a major obstacle to this vision. The business required significant investment for factory setup, procurement of raw materials, hiring skilled staff, and marketing the new facility. Despite strong financial performance and steady customer growth, the absence of collateral made securing traditional financing difficult. The challenge lay in finding a suitable funding solution that would support expansion without disrupting operations or cash flow.

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Solution

To address these challenges, Preety Traders collaborated with CITI CAPITAL to secure a ₹30 lakh unsecured Business Term Loan under the SME Small Business Loan Program. The process began with preparing a comprehensive business plan, detailed revenue forecasts, and audited financial statements, demonstrating the company’s solid foundation and growth potential. CITI CAPITAL guided the borrower through documentation, lender selection, and financial structuring to ensure smooth approval. Within 20 working days, the loan was sanctioned at an interest rate of 11.5% per annum for a five-year tenure. The funds were strategically allocated to factory setup, machinery purchase, staff recruitment, and working capital. This timely financial assistance enabled Preety Traders to expand operations, enhance productivity, and strengthen its market presence — transforming a capacity challenge into a sustainable growth opportunity.

Challenge

Mr. and Mrs. Patwari, a young professional couple, aspired to purchase their first home but faced several challenges in obtaining the right home loan. Their primary concern was meeting eligibility criteria, especially since a portion of their household income came from Mrs. Patwari’s variable pay. They also needed to secure a competitive interest rate to ensure manageable EMIs and long-term affordability. Balancing between a shorter loan tenure and comfortable monthly payments added to their dilemma. Additionally, the couple found the complex documentation and formalities involved in the loan application process overwhelming. Navigating through multiple lender options, varying rates, and financial terms made the process both time-consuming and stressful, requiring careful financial planning and comparison.

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Solution

To address these challenges, the Patwaris took a structured and informed approach. They conducted extensive research across public and private sector banks as well as housing finance companies to compare loan offers, processing fees, and repayment terms. After evaluating their options, they chose HDFC Bank, which offered an attractive 8.5% floating interest rate, low processing fees, and convenient branch accessibility. The EMI structure of ₹26,034 suited their budget, allowing them to maintain financial balance and lifestyle stability. HDFC’s transparent process, reliability, and quick service further reinforced their decision. With thorough documentation and timely submission, the couple successfully secured their home loan — transforming their homeownership dream into reality while strengthening their financial confidence.

Challenge

At 43, Mr. D. Kumar Phalswal, a well-established manager in the financial sector, faced a critical gap in his financial planning. Despite consistent investments in SIPs, stocks, and government bonds, his insurance coverage was significantly inadequate — only ₹10 lakh across three policies. With a family dependent on a single income and regular household expenses, he found it difficult to allocate funds toward additional premiums. Moreover, he was initially reluctant to invest in more insurance, perceiving it as an unnecessary financial burden. The challenge lay in balancing his limited paying capacity, overcoming his hesitation, and ensuring adequate financial protection for his family’s future security.

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Solution

To address these challenges, a personalized and strategic approach was implemented. The first step was identifying the insurance gap and highlighting the importance of comprehensive protection. A tailor-made plan was then proposed, combining a Term Insurance Policy to meet the ₹40 lakh coverage need, a Family Floater Health Plan to enhance medical security, and a Balanced Investment Plan offering modest life cover with market-linked returns. This integrated approach provided both protection and growth while remaining affordable within his financial limits. Through clear communication and need-based advice, Mr. Phalswal gained confidence in the plan — successfully bridging his protection gap and achieving a more secure financial future for his family.

Challenge

At 61, Mr. Singh, an agriculturist and insurance agent from Punjab, aimed to purchase a second property for investment but faced significant financial hurdles. Despite a decent combined income of ₹1,00,000 per month, his CIBIL score was weak due to previous loan defaults and delayed credit card payments. The property’s lack of government approval further complicated the process, making many public-sector banks unwilling to finance the purchase. In addition, his variable agricultural income posed eligibility concerns, as lenders prefer stable income sources. Balancing the need for a competitive interest rate, a manageable EMI, and navigating extensive documentation requirements made the loan approval process even more challenging for the couple.

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Solution

To overcome these obstacles, Mr. Singh took a structured and strategic approach. After comparing multiple lenders, he identified that HDFC Bank offered the most viable solution, with a competitive 8.5% floating rate and smooth processing. The loan application was customized using both agricultural and commission income, effectively meeting eligibility requirements. HDFC’s efficient verification and flexible service ensured a quick turnaround, while the affordable EMI of ₹25,231 aligned comfortably with their monthly budget. This well-planned strategy not only helped Mr. Singh secure the desired loan despite credit setbacks but also allowed him to maintain financial stability and achieve his long-term investment goal confidently.