Business Loans

Alfalah Merchant Line

Bank on your Alfalah POS machine


We know that meeting your daily business expense can be difficult. If you have been an Alfalah POS machine merchant for a year, and have managed at least Rs. 1 million in annual POS sales, then you qualify for Alfalah Merchant Line.


Alfalah Merchant Line is a business loan designed to help you meet day-to-day expenses.

  • Avail a loan up to Rs. 15 million for one year, renewable at expiry
  • No collateral required of up to Rs. 5 million
  • Loan amount based on percentage of annual sales through POS
  • Monthly markup payments on utilised amount


Frequently Asked Questions



What kind of financing facility does the Bank provide under Alfalah Merchant Line?


A cash flow based, running finance/term finance facility structured specially to meet working capital financing requirements of those businesses that are using our POS machines at their business premises for at least 1 year


What is the amount of financing offered under Alfalah Merchant Line?


Minimum Rs.0.25 million

Maximum Rs.5.0 million (for clean facility)

Up to Rs.15 million(with hypothecation on receivables/stock)


What is the frequency of markup repayment?


Monthly markup payable within 5 days of its due date.


What is the markup rate?


The pricing will be linked by 3 months KIBOR.


What is the tenure of facility?


In case of running finance the facility is available for one year renewal at expiry and for term loan the facility is  available minimum for 15 months and maximum for 5 years.


In which cities this facility is available?


Alfalah Merchant Line is available to those businesses who are using Alfalah POS machines at their business premises for at least one year in the following cities :


  1. Lahore
  2. Karachi
  3. Rawalpindi
  4. Islamabad
  5. Faisalabad
  6. Multan
  7. Hyderabad
  8. Rahim Yar Khan
  9. Gujranwala
  10. Sialkot


Rates and Charges


Processing fee (Up-front withLAF) As per SOC (non-refundable)
Documents charges Actual cost of revenue and special adhesive stamps
Legal charges Actual & approved charges of lawyers on the Bank’s approved panel


What is the security that I will have to offer to avail Alfalah Merchant Line?


  • Personal Guarantee (s) of Proprietor, Partners and Directors.
  • Post-dated cheque covering full limit amount plus markup for three months.
  • Hypothecation of receivable/stock (for financing above Rs. 5.0 million).


How long is the processing time?


The processing time is 7 working days from the date of receipt of complete loan application form along with required documents.


What is the processing fee?


Up to Rs.4.999 million - Up to 0.2%* or a minimum of Rs. 5,000

From Rs.5M to Rs.9.999 million – Up to 0.2%* or a minimum of Rs. 10,000

From Rs.10M to Rs.15 million      – Up to 0.2%* or a minimum of Rs.15,000

What is the eligibility criteria to avail Alfalah Merchant Line?


  • Customer should be using our POS machine for last one year
  • Annual sales through Alfalah POS machine should be Rs. 1 million and above
  • Merchant must have been operational for the last 3 years


How is the loan entitlement calculated?


Loan amount shall be based on the percentage of annual sales through POS terminal.


Is there an age restriction for availing Afalah Merchant Line?


Maximum 57 years of age at the time of filing loan application


What is the clean-up requirement under Alfalah Merchant Line?


No formal clean-up is required



What are the renewal requirements?


Renewal / Enhancement of facility shall be subject to timely repayment of principal/markup/dues and assessment of satisfactory account behavior and transactions done by the customer during validity period. Similarly at the time of renewal the turnover in account should be at least 4 times of limit assigned.





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For details about our Products & Services call our Phone Banking Service at 111-225-111