Loans

Types of Credit Facilities
Funded
1.Cash credit/Overdraft-Repayable on demand 2.Term Loan-Repayable in EMI

Loan Schemes

  1. Housing Loan
  2. Education Loan
  3. Personal Loan
  4. Vehicle Loan
  5. Consumer Loan
  6. Gold Loan
  7. MSME
  8. Building Value Loan
  9. Loan against liquid security
  10. Transport Loan
Loan Schemes
Building Value Loan Scheme (For Individuals)
S No Parameter Details
1 Type of credit facility Term Loan / Overdraft
2 Purpose To meet the personal and/or business need but not for speculative purpose, capital market activity or any other prohibited activity
3 Eligibility ·     Permanent salaried employees/ Businessmen/Self-Employed Persons
4 Minimum Annual Income

·      Salaried persons: Minimum net monthly salary Rs.10,000/- as per salary slip for  the month preceding the date of application,

·      Other eligible applicants: Minimum average annual income Rs.1.20 Lakh as per Income Tax Returns for the last two financial years immediately preceding the year of date of application
5 Age Limit Individual borrower/co-applicant(s):18 years and upto 65* years (Relaxable in upper age limit in the discretion of the sanctioning authority)
6 Amount of Loan/Limit Five times of annual salary/ average annual income for the last two financial years immediately preceding the year of date of application (income of siblings can be clubbed to arrive at maximum loan amount, if they become co-borrower /guarantor) OR 80% of the value of immovable property, whichever is less Minimum Rs.2.00 Lakh                          Maximum upto exposure limit The loan amount will be further restricted, keeping in view, (1) the period of repayment and (2) the Equated Monthly Instalment (EMI) being restricted to 60% of gross monthly salary including EMI of the proposed loan or 70% of average annual income for the last two financial years including EMI of the proposed loan, as the case may be
7 Rate of Interest As prescribed from time to time
8 Repayment period

A)    Overdraft Limit : Valid for 12 months and thereafter renewable by way of review annually

B)    Term Loan       : Maximum 120 months

In the case of businessmen/self employed persons, the period of limit/loan will also be restricted to the age of borrower (younger in case of joint applicants) reaching at 70 years.

In the case of salaried employees, the period of limit/loan will be restricted to the age of borrower reaching at 70 years, if they are entitled to pension after retirement
9 Processing Charges 0.50% of the Loan Amount (Minimum:Rs.1000/- Maximum: Rs. 25000/-)
10 Security Primary – Equitable mortgage of immovable property against which loan/limit is to be sanctioned. The property should be either in the name of borrower(s)/co- borrowers/guarantor Collateral – As may be prescribed
11 Guarantor Guarantee of a person in her/his personal capacity. The net worth/net means of the guarantor should be equal to or more than the loan amount and she/he should be Income tax payer
12 Share Linking The applicant will be admitted as share holder member of the Bank and she/he will subscribe to share capital at the minimum rate of 2.5% of the loan amount. The guarantor will be enrolled as Nominal Member of the Bank
13 Others

·   Income Tax Returns alongwith computation of income and Form 16 (salaried person), Balance Sheet & Profit & Loss Account (businessmen/self employed persons), for the last two financial years (Audited, if required as per Income Tax rules/Companies Act

·   Bank Statement for the period of last 12 months of applicants

·   Id proof, address proof, PAN card of applicant/co-applicants and guarantor/s

·   Details of present liabilities and assets of the applicant/co-applicants and guarantors

·   3 photos of applicant (s) & 2 photos of  guarantor/s

·   Legal search report from panel advocate and Valuation report from empanelled valuer for the immovable property proposed to be mortgaged. Fresh legal search report/valuation report after completion of two years from the date last search/valuation, will vest in the Bank, in its sole discretion. The legal advisor’s fee and the valuation fee will be payable by the borrower

·   Copies of title deed (s) & other required documents of the immovable property offered as security
Vehicle Loan Scheme
SNo Particulars Details
1 Type of credit facility Term Loan
2 Purpose

·Purchase of 2 wheelers

·Purchase of new and old (not older than 5 years) four wheelers i.e. Car, Jeep, Multi Utility Vehicles (MUVs), SUVs etc. for personal use not for hiring/ferrying passengers
3. Eligible Applicant

· Salaried persons/Businessmen/Self-Employed Persons

· Farmers engaged in production oriented agricultural activities and in other allied activities

· Companies/Partnership Firms/Societies
4. Minimum Annual Income Rs.1.20 lakh for two wheelers Rs.3.00 lakh for four wheelers As per salary slip and/or IT return for the month/financial year immediately preceding date of application
5 Age Limit For individuals (18 years and above)
6 Amount of Loan

· For Salaried Persons

· Upto 20 times of Net Monthly Salary on the basis of last salary drawn, subject to ‘Deduction Norms’

· For Others

· Upto 2 times of gross average annual income based on 2 years ITRs for financial years immediately preceding date of application, subject to Deduction Norms

· Subject to Maximum ceilings as follows

· 2 Wheelers – Rs. 1.00 lakh

· New Car – Rs.30.00 lakh

· Old Car – Rs.10.00 lakh
7 Margin

· For 2 Wheelers – Minimum 15%

· For New Car – Minimum 20% (on road price consisting cost of vehicle + registration + insurance+ road tax)

· For Old Car – Minimum 30% (of the value of the car as

per the valuation report of the insurance valuer)
8 Rate of Interest As prescribed from time to time
9 Repayment

· For 2 Wheelers – Maximum 60 months

· For New Car – Maximum 84 months

· For Old Car – Maximum 60 months (commensurate with

residual life of car as mentioned by insurance valuer)
10 Deduction Not to exceed 50% of the gross annual income including EMI of proposed loan
11 Processing Charges 0.50% of the Loan Amount (Minimum:Rs.500/- Maximum: Rs. 5000/-)
12 Guarantor Guarantee of one person in her/his personal capacity. The net worth/net means of the guarantor should be equal to or more than the loan amount and she/he should be Income tax payer If the loan is fully backed by liquid securities (like FDR, NSC, KVP, LIP etc.), personal guarantee may not be instead upon.
13 Security Primary – Hypothecation of vehicle to be purchased from loan amount. Noting of Bank’s charge in the books of RTO and Certificate of Registration Collateral – As may be specified by the Bank
14 Share Linking The applicant will be admitted as share holder member of the Bank and she/he will subscribe to share capital at the minimum rate of 2.5% of the loan amount. The guarantor will be enrolled as Nominal Member of the Bank
15 Others

Documents/Papers to be obtained

· Id proof, address proof, PAN card of applicant & guarantor

· Form No. 16 in case of salaried person. Income Tax Return for last two years alongwith computation of income and Balance Sheet & Profit & Loss Account in other cases

· Bank Account Statement for the period of 12 months preceding the date of application

· 2 photos of applicant & guarantor

· Quotation from an authorized dealer/sub-dealer

· In case of old car, Technical /Valuation report from Insurance valuer showing fitness & residual life of the car alongwith copy of present RC Book, Insurance Policy, ID & address proof of the Seller

· In case of Agriculturist/Farmer, income certificate issued by Tehsildar/SDM

· Driving license
Personal Loan Scheme
SNo Particulars Details
1 Type of credit facility Term Loan
2 Purpose To meet personal exigencies
3. Eligible Applicant Government/Semi Government/Local Bodies/Corporations/ Educational Institutions Employees*/Businessmen/Self Employed Persons
4. Minimum Annual Income Rs.1.20 lakh As per salary slip and/or IT return for the month/financial year immediately preceding date of application
5 Age Limit Minimum – 21 years                               Maximum – 60 years
6 Amount of Loan

·                 For Salaried Persons

·                 Upto 24 times of Net Monthly Salary on the basis of last salary drawn, subject to ‘Deduction Norms’

·                 For Others

·                 Upto 2 times of gross average annual income based on 2 years ITRs for  financial years immediately preceding date of application, subject to Deduction Norms

·                 Maximum –  Rs.5.00 lakh (in all cases)
7 Margin 25% of the cost of goods
8 Rate of Interest As prescribed from time to time
9 Repayment Maximum 60 months
10 Security As may be prescribed
11 Deduction Not to exceed 50% of the gross annual salary/income including EMI of proposed loan
12 Processing Charges 0.50% of the Loan Amount (Minimum:Rs.500/- Maximum: Rs. 2500/-). May be waived, if applicant’s salary is being credited in her/his account with us and Employer’s irrevocable undertaking is available
13 Guarantor Guarantee of one person in her/his personal capacity. The net worth/net means of the guarantor should be equal to or more than the loan amount and she/he should be Income tax payer If the loan is fully backed by liquid securities (like FDR, NSC, KVP, LIP etc.), personal guarantee may not be instead upon.
14 Share Linking The applicant will be admitted as share holder member of the Bank and she/he will subscribe to share capital at the minimum rate of 2.5% of the loan amount. The guarantor will be enrolled as Nominal Member of the Bank
15 Others

Documents/Papers to be obtained

·        Id proof, address proof, PAN card of applicant & guarantor

·        Form No. 16 in case of salaried person. Income Tax Returns for last two years alongwith computation of income and Balance Sheet & Profit & Loss Account in other cases

·        Bank Account Statement for the period of 12 months preceding date of application

·       2 photos of applicant & guarantor
*Overdraft facility may be allowed in the case of employees having salary accounts with us and their employers furnish an undertaking (i) to deduct from salary EIM of loan and remit to the Bank, (ii) remit/continue to remit the salary for credit to her/his account with the Bank and (iii) remit any amount payable to the employee on her/his death, retirement/resignation or discontinuing for service for any reason whatsoever to the Bank towards the balance outstanding in loan account(s).
Housing Loan Scheme
S No Parameter Details
1 Name of scheme Housing Loan Scheme
2 Type of credit facility Term Loan
3 Purpose For construction/purchase of house/flat, repair/alteration and addition to house/flat and for purchase of plot of land for construction of house thereon
4 Eligibility Individuals – Salaried Persons/ Businessmen/Self-Employed Persons / Entrepreneurs having regular source of income The income of spouse who is co-applicant will be considered to ascertain the eligibility of loan amount The income of co-applicants if they are joint owners in the property will be considered to ascertain the eligibility of loan amount
5 Minimum Annual Income For Salaried/Non salaried person: Rs.2.00 lakh as per Form No.16/ITR for past  2 years
6 Age Limit 18 years and above
7 Amount of Loan General Amount Priority Amount

(A) For construction/ purchase of house/flat / alteration and addition thereto

(B) For repairs of existing house /flat

(C) For purchase of a plot of land, provided a declaration is obtained from the applicant that he intends to construct a house on the said plot, within 3 years

 Maximum Rs.70.00 lakh subject to the repaying capacity Maximum Rs.10.00 lakh in Metropolitan centres and Rs.6.00 lakh in other centres subject to the repaying capacity Maximum Rs.35.00 lakh subject to the repaying capacity

(A)  For construction/ purchase of house/flat / alteration and addition thereto

(B) For repairs  to house/ flat

 Maximum Rs.35.00 lakh subject to the repaying capacity Maximum Rs.10.00 lakh in Metropolitan centres and Rs.6.00 lakh in other centres subject to the repaying capacity
8 Margin 20%
9 Rate of Interest As prescribed from time to time
10 Repayment

A)  For construction/purchase of house/flat: Maximum 240 months or borrower reaching at age of 70 years, whichever is earlier, including moratorium period of maximum 18 months

B)  For repairs /alteration/addition to house/flat: Maximum 120 months or borrower reaching at age of 70 years, whichever is earlier, including moratorium period of maximum 6 months
11 Deduction Not to exceed 60% of the Gross Income including EMI of proposed loan
12 Processing Charges 0.50% of the Loan Amount (Minimum:Rs.1000/- Maximum: Rs. 15000/-)
13 Guarantor Guarantee of one or two persons in their personal capacity. The net worth/net means of the guarantor should be equal to or more than the loan amount and she/he should be Income tax payer.
14 Security Equitable mortgage of property for which loan is sanctioned. In case this is not feasible, security of adequate value in the form of LIC policies, shares/debentures, gold ornaments may be accepted with the prior approval of the sanctioning authority
15 Share Linking The applicant will be admitted as share holder member of the Bank and she/he will subscribe to share capital at the minimum rate of 2.5% of the loan amount. The guarantor will be enrolled as Nominal Member of the Bank
16 Others A)  Steps to be taken

·   In case of loan sanctioned for purchase of house /flat, the amount of loan including margin should be remitted directly to the seller.

·   In case of construction of house, the loan should be disbursed in instalments including proportionate margin and enduse must be ensured by obtaining certificate from the borrower and also by carrying out the visit/inspection of the site. After completion of proposed construction, a certificate mentioning amount invested and completion of construction from Architect should be obtained.

B)    Documents to be obtained

·   Id proof, address proof, PAN card of applicant & guarantor

·   Form No. 16 in case of salaried person. Income Tax Return for past two years alongwith computation of income and Balance Sheet & Profit & Loss Account in other cases

·   Bank Account Statement for the period of 12 months preceding the date of application

·   2 photos of applicant & guarantor

·   Certified copy of site plan and building plan / map approved from the competent authority

·   Copy of title deed & other documents, legal search report from panel advocate and valuation report from empanelled valuer of the immovable property to be mortgaged

·   Latest Municipal Tax/House Tax paid receipts, wherever applicable

·   Permission required, if any from competent authority for creation of mortgage of the property in favor of the Bank

·   An estimate for cost of construction comprising the cost of building material/other material to be used and the cost of labor from a qualified architect and /or approved Civil Engineer. An estimate for cost of proposed repair/alteration/addition to existing house /flat
Education Loan Scheme
Consumer Loan Scheme
S No Particulars Details
1 Type of credit facility Term Loan
2 Purpose For study in Graduation/Post graduation level professional courses
3. Eligibility Students who have secured admissions in  Premier Institutes which include Business Schools, Engineering Colleges, Medical colleges and other reputed Institutes in India & abroad
4. Age Limit For Principal Borrower (Parent/Legal Guardian): Maximum 60 years
5. Expenses Considered

·   Admission fee

·   Security money

·   Tuition/course/term fees

·   Examination, library and laboratory fees

·   Non refundable Caution money deposit

·   Cost of books, equipment and other instruments like Laptop etc.

·   Travel expenses and passage money in case of study in abroad.

·   Any other expenses required to complete the coursework like study tours, thesis, project etc
6 Amount of Loan & Margin For Study in Maximum Amount Margin
·                 India Rs. 30.00 Lacs 20%
Abroad Rs. 40.00 Lacs 25%
7 Rate of Interest As prescribed from time to time
8 Repayment Maximum 180 months including moratorium period. Interest is to be serviced regularly during the moratorium period
9 Moratorium period Course period plus 6 months of getting employment OR 12 months, whichever is earlier
10 Processing Charges 0.25% of the Loan Amount (Minimum:Rs.1,000/- Maximum: Rs. 15,000/-)
12 Guarantor Guarantee of one or two persons in their personal capacity. The net worth/net means of the guarantor should be equal to or more than the loan amount and she/he should be Income tax payer. If the loan is fully backed by liquid securities (like FDR, NSC, KVP, LIP etc.), personal guarantee may not be instead upon.
13 Security
Loan amount upto Rs.5.00 lakh –
Loan amount above Rs.5.00 lakh

Collateral:

(i) Equitable mortgage of unencumbered  immovable property having market value minimum 150% of loan amount

OR

(ii) Atleast 50% of loan amount in the form of liquid securities (like FDR, NSC, KVP, LIP etc.)
14 Share linking The applicant will be admitted as share holder member of the Bank and she/he will subscribe to share capital at the minimum rate of 2.5% of the loan amount The guarantor will be enrolled as Nominal Member of the Bank
15 Insurance Term Insurance Policy (single premium) for the student availing Education loan equivalent to loan amount or more for a minimum period of loan term (i.e. course period + moratorium period + repayment period) should be obtained and assigned in the favour of the Bank. Board may waive the Insurance, if loan is secured by 100% collateral security.
16 Others

Documents to be obtained :

·      Id proof, address proof, PAN card of applicant & guarantor

·      Form No. 16 in case of salaried person. Income Tax Return for last two years alongwith computation of income and Balance Sheet & Profit & Loss Account in other cases

·      Bank Account Statement for the period of 12 months preceding the date of application

·      2 photos of applicant & guarantor

·      Mark-sheets and Certificates/Degree for class 10th,  12th , Graduation

·      Letter of admission/selection from the college where admission is sought

·      Fee Structure of the Institute

·      Statement of cost of study

·      Copies of fees already paid

·      In case immovable property is offered as security, copy of title deed  & other documents, legal search report from panel advocate and valuation report from empanelled valuer relating thereto
SNo Particulars Details
1 Type of credit facility Term Loan
2 Purpose To purchase consumer durables, electrical/electronic goods for personal use
3. Eligible Applicant Salaried persons/Businessmen/Self-Employed Persons
4. Minimum Annual Income Rs.1.20 lakh As per salary slip and/or IT return for the month/financial year immediately preceding date of application
5 Age Limit Minimum – 21 years                               Maximum – 60 years
6 Amount of Loan

·                 For Salaried Persons

·                 Upto 24 times of Net Monthly Salary on the basis of last salary drawn, subject to ‘Deduction Norms’

·                 For Others

·                 Upto 2 times of gross average annual income based on 2 years ITRs for  financial years immediately preceding date of application, subject to Deduction Norms

·                 Maximum –  Rs.5.00 lakh (in all cases)
7 Margin 25% of the cost of goods
8 Rate of Interest As prescribed from time to time
9 Repayment Maximum 60 months
10 Security

(a)   Primary – Hypothecation of goods purchased

(b)   Collateral – As may be prescribed
11 Deduction Not to exceed 50% of the gross annual salary/income including EMI of proposed loan
12 Processing Charges 0.50% of the Loan Amount (Minimum:Rs.500/- Maximum: Rs. 2500/-), may be waived if applicant’s salary is being credited in his/her account with us and Employer’s irrevocable undertaking is provided
13 Guarantor Guarantee of one person in her/his personal capacity. The net worth/net means of the guarantor should be equal to or more than the loan amount and she/he should be Income tax payer If the loan is fully backed by liquid securities (like FDR, NSC, KVP, LIP etc.), personal guarantee may not be instead upon.
14 Share Linking The applicant will be admitted as share holder member of the Bank and she/he will subscribe to share capital at the minimum rate of 2.5% of the loan amount. The guarantor will be enrolled as Nominal Member of the Bank
15 Others

Documents/Papers to be obtained

·        Id proof, address proof, PAN card of applicant & guarantor

·        Form No. 16 in case of salaried person. Income Tax Returns for last two years alongwith computation of income and Balance Sheet & Profit & Loss Account in other cases

·        Bank Account Statement for the period of 12 months preceding date of application

·       2 photos of applicant & guarantor

·       Quotation for purchase of goods from Dealer/Sub-Dealer
RATE OF INTEREST ON LOANS AND ADVANCES W.E.F ————