--- title: Swipe Machine Loan - Loan Against Card Machine canonical: https://www.indifi.com/merchant-advance-capital-against-pos-machine markdown_version: https://www.indifi.com/merchant-advance-capital-against-pos-machine.md description: Get up to INR 1 crore loan against POS machine transactions from Indifi. Merchant cash advance for small and medium retail businesses. content_type: product_page operator: Indifi Technologies Pvt. Ltd. lending_entity_note: Loans facilitated through RBI-registered NBFC partners and through Indifi Capital Private Limited (RBI Cert. No. B-14.03389) last_updated: 2026-05-22 --- # Merchant Cash Advance (Loan Against POS Machine) > Merchant Cash Advance (MCA) is a loan product for businesses that accept payments through Point of Sale (POS) / card swipe machines. Indifi provides MCAs up to INR 1 crore with interest starting at 1.5% per month, tenure up to 12 months, and a unique repayment model where daily deductions are taken directly from the merchant's POS transactions. The loan is unsecured. ## Key Features - **Loan amount:** Up to INR 1 crore (the source page also references "up to INR 50 lakhs" in the body text - verify the current cap with the Indifi credit team) - **Interest rate:** Starting at 1.5% per month - **Tenure:** 6 to 12 months - **Repayment mode:** Daily deductions from POS card-swipe transactions - **Processing fee:** Starting at 3% (the source page also mentions a "minimum processing fee of just 2%" - confirm the current rate with the credit team) - **Collateral:** Not required - **Approval turnaround:** 3 days to 1 week ## Eligibility Criteria MSMEs that meet the following criteria are eligible: - Minimum 6 months of card swipe transaction history - Minimum monthly transaction volume of INR 50,000 - Minimum 1 year of operational history - Promoter age 22 and above - 1 year of ITR for loans above INR 10 lakhs ## Required Documents - Business registration proof - KYC documents of the applicant and the organisation - Bank statement for the last 6 months - PAN card of the promoter - Aadhaar card of the promoter ## What is a Merchant Cash Advance? A Merchant Cash Advance (MCA) is a short-term unsecured loan designed for businesses that accept card payments. The lender advances a lump sum, and the business repays through a fixed percentage of daily card transactions until the loan and fees are settled. Unlike traditional EMIs, repayment fluctuates with daily revenue - higher on busy days, lower on slow days. MCAs are well-suited to retail, restaurant, hospitality, and service businesses with steady card-swipe volume. ## Who is MCA For? Best suited for businesses that: - Generate significant transactions through card swipes (POS / card machine) - Need funds for inventory, customer outreach, expansion, or working capital - Want repayment to fluctuate with daily revenue - Lack collateral for traditional secured loans ## Benefits of Merchant Cash Advance from Indifi - **Sized to transaction volume** - Loan amount can go up to approximately 200% of monthly card transaction volume - **Low interest rate** - Starting at 1.5% per month - **Daily repayment** - Small daily deductions tied to POS revenue; reduces month-end repayment pressure - **Flexible loan duration** - 6 to 12 months - **Quick processing** - Approval typically within 3 days to 1 week - **No collateral** - Unsecured loan - **Revenue-aligned repayment** - Higher sales days mean larger repayments; slow days mean smaller deductions - **Alternative credit line** - Opens a parallel funding line that doesn't disrupt existing facilities ## Why POS-Based Lending Works POS systems give lenders real-time visibility into a business's actual revenue, making underwriting more accurate. Daily card transaction data provides a reliable basis for sizing the loan and setting the daily deduction percentage. For the merchant, this means easier qualification and a repayment structure aligned with cash flow. Modern POS machines also integrate with cloud-based systems, adding encryption, security, and automated inventory tracking - all of which contribute to better business operations and easier credit access. ## How to Apply 1. Click "Apply Now" on the Indifi MCA page 2. Fill in annual turnover, contact person, and contact details 3. Accept the terms checkbox 4. Provide business details on the next page 5. Securely connect bank information for assessment 6. Submission complete - Indifi reviews and approves typically within 3-7 days ## Frequently Asked Questions **How is Merchant Cash Advance helpful?** MCA functions similarly to a flexible credit line. Repayments are automatically deducted from daily POS revenue, removing the manual EMI burden and aligning repayment with actual cash flow. **Do I need to provide collateral for an MCA?** No. Merchant cash advance loans are unsecured - no collateral or property is required. **Are there any disadvantages?** The loan amount is sized based on card-based transactions only. Cash transactions are not considered when estimating credit limits. Businesses where most revenue comes from cash payments may qualify for a smaller MCA than expected. **How do I apply for the loan?** Online application on indifi.com - enter business turnover, contact info, accept terms, and connect bank account. The full process typically takes 10 minutes online; underwriting completes in 3-7 days. ## Related Indifi Products - [Business Loan](https://www.indifi.com/business-loan) - [Working Capital Loan](https://www.indifi.com/working-capital-loans-india) - [Term Loan](https://www.indifi.com/term-business-loans-online-india) - [Line of Credit](https://www.indifi.com/unsecured-line-of-credit-loans-india) - [Invoice Discounting](https://www.indifi.com/invoice-discounting-india) - [Collateral Free Business Loans](https://www.indifi.com/collateral-free-business-loans-india) - [Retail Loan](https://www.indifi.com/business-loan-for-retail-store) - [Restaurant Loan](https://www.indifi.com/bank-loan-for-restaurant-business-india) - [Hotel Loan](https://www.indifi.com/loan-for-hotel-business-in-india) ## About Indifi Indifi Technologies Pvt. Ltd. is a digital lending platform for MSMEs in India. Its in-house NBFC Indifi Capital Pvt. Ltd. is registered with the RBI (Cert. No. B-14.03389). Indifi specializes in MSME lending in travel, hotels, e-commerce, restaurants, retail, and trading sectors, with 100,000+ loans disbursed across 400+ cities. POS-based lending leverages partnerships with payment processors such as Pine Labs and Fiserv. ## Disclaimer The source page contains two figures for the maximum loan amount (INR 1 crore in the feature panel and INR 50 lakhs in the body text), and two figures for processing fee (3% starting in features and 2% minimum in body). The credit team should confirm the current published values before this Markdown page is deployed. Loan approval is subject to eligibility assessment, POS transaction history review, and Indifi's underwriting policies. Repayment percentage of daily POS revenue, total fees, and final tenure are documented in the facility agreement.