Consortium Fee Calculator
Generate a consortium fee statement — lead bank management fees, processing charges, and member bank service fees with borrower communication letter.
Consortium Fee Wizard
Step 1 of 3RBI Disclosure Requirement
Under RBI's Fair Practices Code, all consortium fees must be disclosed upfront in the sanction letter. No fees can be collected retroactively without written consent of the borrower.
Typical Fee Ranges
FAQs on Consortium Fees
What is a consortium fee?
A consortium fee is charged by the Lead Bank for arranging and managing a consortium credit facility. It covers the Lead Bank's extra responsibilities — convening meetings, coordinating reviews, and interfacing with the borrower on behalf of all member banks.
Who pays the lead bank management fee?
The borrower pays the lead bank management fee annually. It is typically 0.10%–0.50% p.a. on the total consortium limit and must be disclosed upfront in the sanction letter per RBI's Fair Practices Code.
Is consortium fee regulated by RBI?
RBI has not prescribed specific fee rates but mandates full transparency under its Fair Practices Code. Banks cannot levy undisclosed charges and must include all fee schedules in the consortium arrangement letter.
Can borrowers negotiate consortium fees?
Yes. Consortium fees are negotiable. Highly rated borrowers or large exposures can often negotiate fee waivers or reductions. The agreed fee schedule is documented in the Inter-Se Agreement among member banks.
Welcome Back
Sign in to save reports and access premium credit tools.