BoB vs Bandhan Business Loan, 2026.
Reviewed by Jay Patel· Last reviewed: stale
A ledger-columns read on Bank of Baroda and Bandhan Bank— rate, EMI, fee, fine print. Which one wins your file, not the pitch deck.
BoB vs Bandhan — Business Loan Comparison
Key parameters compared side by side.
| Parameter | BoB | Bandhan |
|---|---|---|
| Interest Rate (p.a.) | 10.5% – 14.75% | 12% – 16% |
| Processing Fee | 1.00% (min Rs 5,000) | 2.00% (min Rs 5,000) |
| Max Loan Amount | Rs 5 Cr | Rs 1 Cr |
| Max Tenure | 7 Years | 5 Years |
| Bank Type | Public Sector | Private Sector |
| Founded | 1908 | 2015 |
| Headquarters | Vadodara | Kolkata |
Interest Rate (p.a.)
BoB
10.5% – 14.75%
Bandhan
12% – 16%
Lower/better: BoB
Processing Fee
BoB
1.00% (min Rs 5,000)
Bandhan
2.00% (min Rs 5,000)
Max Loan Amount
BoB
Rs 5 Cr
Bandhan
Rs 1 Cr
Lower/better: BoB
Max Tenure
BoB
7 Years
Bandhan
5 Years
Lower/better: BoB
Bank Type
BoB
Public Sector
Bandhan
Private Sector
Founded
BoB
1908
Bandhan
2015
Headquarters
BoB
Vadodara
Bandhan
Kolkata
Rates as of April 2026. Subject to change based on RBI policy and bank revisions.
EMI Comparison
Estimated EMI for Rs 20 Lakh business loan for 5 years at each bank's lowest rate.
BoB
Bandhan
Savings: Choosing BoB saves you approximately ₹1,501 per month, or ₹90,060 in total interest over the loan tenure.
Feature Comparison
Key features offered by BoB and Bandhan for business loan.
| Feature | BoB | Bandhan |
|---|---|---|
| Baroda Mudra Loan | ||
| MSME special schemes | ||
| CGTMSE coverage | ||
| Lower rates for Gujarat-based businesses | ||
| Micro & small enterprise focus | ||
| No collateral for small amounts | ||
| Quick disbursement | ||
| Doorstep banking |
Baroda Mudra Loan
MSME special schemes
CGTMSE coverage
Lower rates for Gujarat-based businesses
Micro & small enterprise focus
No collateral for small amounts
Quick disbursement
Doorstep banking
Which Is Better — BoB or Bandhan?
It depends on your priorities. Here is a quick guide.
Choose BoB If...
- Lower starting interest rate (10.5% vs 12%)
- Higher max loan amount (Rs 5 Cr vs 1 Cr)
- Longer max tenure (7 yrs vs 5 yrs)
- Government-backed (public sector bank)
Choose Bandhan If...
- Trusted brand with strong business loan offerings
Still unsure? Contact Money Matrix Hub for a free personalised recommendation based on your income, credit score, and loan requirement.
Eligibility Comparison
General eligibility criteria for business loan at both banks.
BoB Eligibility
- Business vintage: 2+ years (ITR required)
- Min annual turnover: Rs 10 Lakh
- CIBIL score: 650+ preferred
- Valid GST registration
- Age: 21–65 years at loan maturity
Criteria may vary. Contact Money Matrix Hub for exact eligibility assessment.
Bandhan Eligibility
- Business vintage: 2+ years (ITR required)
- Min annual turnover: Rs 15 Lakh
- CIBIL score: 650+ preferred
- Valid GST registration
- Age: 21–65 years at loan maturity
Criteria may vary. Contact Money Matrix Hub for exact eligibility assessment.
Frequently Asked Questions
Common questions about BoB vs Bandhan business loan.
Which bank has a lower business loan interest rate in 2026 — BoB or Bandhan?
BoB currently offers a lower starting rate of 10.5% p.a. for business loan. However, the actual rate you receive depends on your credit score, income, and loan amount. Money Matrix Hub can help you get the best negotiated rate from both banks.
What is the maximum business loan amount I can get from BoB vs Bandhan?
BoB offers a higher maximum loan amount of up to Rs 5 Cr. BoB offers up to Rs 5 Cr while Bandhan offers up to Rs 1 Cr for business loan.
Which bank charges a lower processing fee for business loan — BoB or Bandhan?
BoB charges a processing fee of 1.00% (min Rs 5,000), while Bandhan charges 2.00% (min Rs 5,000). Processing fees are often negotiable, and Money Matrix Hub can help waive or reduce these charges.
Should I choose BoB or Bandhan for business loan in 2026?
The best choice depends on your specific needs. BoB offers rates from 10.5%–14.75% with a max tenure of 7 years, while Bandhan offers 12%–16% with 5 years tenure. Contact Money Matrix Hub for a personalised comparison based on your profile.
Can Money Matrix Hub help me apply for a business loan from both BoB and Bandhan?
Yes. Money Matrix Hub is an authorised DSA partner for both BoB and Bandhan. We can submit parallel applications at no extra cost and help you pick the best sanction offer. Our service is 100% free for borrowers.
Also Compare BoB vs Bandhan
Related Business Loan Comparisons
View Individual Bank Pages
Want Jay to compare your rate across 40+ banks?
Jay or Rushik will reply on WhatsApp — usually within a few hours. Free, no obligation.