News from the Minister for SMEs : SME Loan is Coming

Nowadays, when the economic agenda is very active, we can say that SMEs were given good news with the statement made by Economy Minister Berat Albayrak and Trade Minister Ruhsar Pekcan on August 31, 2018.

In the joint statements made by the two Ministers; It has been announced that SME Support Loan with CGF (Credit Guarantee Fund) will be given for Small and Medium Size Enterprises (SMEs). Let us begin to convey the subject to the finest details for our esteemed readers.

What Does SME Support Loan Mean For SMEs

What Does SME Support Loan Mean For SMEs

When we look directly at the statements made by the Minister of Treasury and Finance Berat Albayrak in this regard;

“Today, we will earn its name together. I would like to express my happiness to be with you within the scope of SME Support Loan. I find it important to be chosen as a slogan. We said this in the face of economic attacks that started in July and peaked in August. We will eventually win.

Our banks, most of all, as far as being in strong solidarity in Turkey’s history, with the support of our nation to the world a very strong offer Turkey a photo. As of today, we are clamping to get much stronger than this test we are facing. We’re putting our hands under the stone, trying to move Turkey is a much stronger economy. “

Credit Guarantee Fund will vouch


The SME support loan, which was previously implemented as the Breath Loan, continues from where it was again as the SME Support Loan in the revised state. The most important detail in this loan is; for the loan in question, the Credit Guarantee Fund is a guarantor to the SME that will use the loan. In other words, CGF (Credit Guarantee Fund) will enter the circuit in case the loan cannot be paid. Of course, it will not be possible to not play after the loan use and leave the debt to the Credit Guarantee Fund.

The main reason for the guarantee of the Credit Guarantee Fund is; It can be said that facilitating the use of credits of SMEs that have problems in terms of using loans, and that some kind of banks provides loans to SMEs by minimizing their risk levels. Now, What is the Credit Guarantee Fund explaining to you; Let’s continue with topics such as SME Support Loan Terms, Interest Rates, Repayments.

CGF SME Support Loan Terms

CGF SME Support Loan Terms

When we look at the details of the Credit Guarantee Fund SME Support Loan;

Each member can use a maximum of 200 thousand credits,

Monthly interest rate will be 1.85%,

The annual interest rate will be 22%,

The repayment plan is; the main money will be completed in a total of 18 months, with 6 months non-refundable and 12 equal installments in the next period,

The Credit Guarantee Fund will vouch for 85% of the loan amount withdrawn.

Terms and Details of CGF SME Support Loan

Terms and Details of CGF SME Support Loan

At this point, of course, the most important criterion; is related to SME (Small Medium-sized Individual Business) class. Let us briefly describe the SME definition with a sentence. According to the latest regulations, SME;

“The annual net sales revenue and the financial balance upper limit is 125 million, the annual number of employees is upper limit 250” . Please am I SME that we have prepared for you in detail in this regard?

Apart from that, let’s continue with short questions and answers in some individual cases.

Can Those Who Pay Tax and Social Security Premium Debt Benefit?

Without entangling the word, the application on this subject; It should be noted that the SGK is overdue so that it should not have premium debt and tax debt. Moreover, this situation should be documented with a document that was issued 90 days before and after the loan usage.

CGF SME Support Loan Application Document Request

CGF has no document request at this point. However, in case of a deficiency in the documents required by the bank in the loan phase, CGF (Credit Guarantee Fund) can request these documents.

How Much is SME Support Loan Expenses

An application fee of 400 per request will be charged, while 250 of surety allocation fee per loan will be charged.

Also, the surety commission fee will be charged. This price is; are collected at a relative rate;

• 1% in provisional and final guarantee letters for commitment services,

• Applied at 2% on surety for all other cash and non-cash loans.

How Long Should the Company Be for CGF SME Support Loan

We can say that CGF (Credit Guarantee Fund) does not make any restrictions in this regard, it provides bail including new establishments and facilitates loan financing.

Where to Apply for CGF SME Support Loan

SME Support Loan applications; They can apply to any of the 40 CGF branches currently operating in 35 provinces of our country. SMEs in our provinces that do not have a CGF branch can apply from the city with the closest CGF branch.

How to compare mortgage loan offers?

Mortgage is not immune to the tendency of the consumer to want to compare before signing. Here are the main tracks to help you get the best loan offer.

How to compare two loan offers?

How to compare two loan offers?

To find out the total cost and be able to compare two separate loan offers, the future buyer that you are can use one of the following two operations:

Either, you will make the sum of the charges (reimbursements + additional costs) from which you will subtract the borrowed capital.

Or, you will calculate the APR, the overall effective annual rate. You will ensure that all the elements helping to calculate it are communicated to you.

Suffice to say that if you have to compare 2 loan offers, the method of comparing the nominal rates between the 2 offers will not be reliable, since a low nominal rate with higher fees can quite result in a total cost higher credit.

What should you take into account?

The borrowed capital which is a function of your personal contribution, the level of your resources and your disposable income and the amount of your real estate transaction.

You will be able to compare the nominal interest rate that banks are willing to grant you.

How to compare two borrower insurance contracts?

How to compare two borrower insurance contracts?

The group contract offered by the banks or the delegated insurance contract? Each candidate for credit has the possibility of choosing a different borrower insurance than that of the lending bank which has a higher cost as a rule.

What should you compare?

Guarantee conditions, deductibles, waiting periods and exclusion clauses for certain sports activities, certain conditions, etc. and the cost.

It is in your best interest to use the borrower insurance comparator in order to choose the guarantees that best meet your needs and expectations.

The borrower insurance comparator allows you to query several insurers at the same time.

Each credit expert will offer you the offer that best suits your needs.

How to compare two intermediaries?

How to compare two intermediaries?

Credit experts are all subject to the same requirements laid down by the Monetary and Financial Code with obligations to register with the orias, good repute, liability insurance, financial guarantee and professional skills.

What should you compare?

The conditions for exercising the profession being fulfilled, the comparison lies in the cost between each.

You will have entered a loan or insurance offer asking for expert skill to define what it contains and compare it to another.

Do not hesitate to call on a broker to accompany you and advise you on the financing part of your life project and this whether it is free or paid!