EDFS stands for Electronic Dealer Financing Scheme. This is a cash credit scheme that helps dealers meet their short-term capital requirements in order to procure inventory. Only authorised dealers of industry majors with SBI tie-up arrangements have access to this facility. This facility is under supply chain finance with the State Bank of India. It helps reduce the hassle of accessing finance among the authorised exclusive dealers. The dealers will have to furnish collateral of adequate value during the same.
EDFS SBI scheme features
- It is a cash credit scheme
- Amount sanctioned depends upon- need, projected sales and past performance and the limit recommended by the corporate. It is the lowest of the three amounts.
- The stakeholders in the scheme are corporates, dealers, distributors and banks.
- Rates of interest are based on 1 year MCLR.
- The collateral required varies between nil to 50% of the amount.
- The processing fee will vary from 10,000 to 30,000 INR.
- Maximum credit days are 90.
Other conditions
The objective of the scheme is to offer finance to the authorised dealers. The following are terms and conditions:
- Transactions must be carried out on the bank’s internet banking portal of the bank, which is convenient to all stakeholders.
- There are multiple channel repayment options, including cash, cheque, fund transfer, RTGS, NEFT, etc.
- The two methods of transaction are Pull Method (when the Industry Major makes a request for debit in the dealer’s account) and Push Model (when dealer originates the remittance).
SBI EDFS: Eligibility
Authorised dealers of industry majors with tie-up arrangements with the SBI are eligible to take part in the scheme.
SBI EDFS login
- Visit the official website.
- The home page will open up. Click on the Login option.
- Now, click on the ‘Continue to Login’ option.
- Now, you will be redirected to the SBI EDFS login page.
- Enter the required entails and click on login.
- You will be logged in.
See also: Read about State bank of India IFSC code
SBI EDFS: Helpline numbers
To seek help, you can contact 044-66195622 or 044-66195623.
FAQs
What is the full form of EDFS?
EDFS refers to Electronic Dealer Financing Scheme.
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