Loans
Loan and Advances
| Who are eligible |
| Individuals, who are |
| (i) members of the Bank |
| (ii) residing and employed within the area of operation of the Bank |
| (iii) Either are Govt. employee or employee of Semi Govt. Deptt./ Autonomous Bodies, Corporation, Board, where Govt. stake is involved or employee of certain approved educational/medical institutions. |
| Share Holder Of The Bank. |
| Loan amount |
| Rs. 1.00 lax (maximum) subject to repayment capacity of the borrower. |
| Security |
| No security required, except third party guarantee of two persons and check off facility. |
| Repayment |
| Maximum 60 E.M.Is. (Equated monthly installments) |
| Mortgage / Secured Loan |
| This scheme provides loan / overdraft facility against mortgage of property at low rate of interest. The product provides an opportunity to customers to borrow against a fixed asset (mortgage of property) at a short notice without much paper work/attendant hassles. The scheme is for people engaged in trade, commerce & business and also professionals & self employed, Proprietorship Firm, Partnership Firm, Companies, NRIs and Individuals with high net worth including salaried people and staff members. |
| Purpose |
| A ) To meet the credit needs of trade, commercial activity, other general business, Profession as also for their bonafide requirements; B ) To meet marriage or medical or educational expenses of family members including near relatives; C ) To undertake repairs / renovation /extension to the residence / commercial property; D ) To purchase of 2/4 wheeler vehicles, consumer durables; E ) To purchase / construct house / flat, purchase of plot; F ) For going on pilgrimage / tours/ excursions, etc; G ) Repayment of existing loans from other Banks / Financial Institution. |
| Who are eligible |
| People engaged in trade, commerce and business, Professionals, Self-employed, Proprietorship Firms, Partnership Firms, Companies, NRIs, Individuals with high net worth, Salaried people, Staff members. HUF not permitted. |
| Type of advance |
| Term Loan / Overdraft (reducible as per repayment schedule). Overdraft facility (not reducible as per repayment schedule) can also be permitted to eligible customers (other than salaried people). |
| Calculation of quantum of advance |
| The sanctioned limit is to be related to the value of security repayment capacity of borrower, subject to: |
| i) Salaried employees: a) 48 times of monthly net emoluments (take home salary) OR b) 4 times of net annual income with other rental income from property etc. based on Income-tax returns (Average of Last 2/3 years). |
| ii) Self-employed / professionals / individuals engaged in trade / commerce/ business: Four times of their net annual income based on income-tax returns (Average of Last 2/3 years). |
| iii) Proprietorship / Partnership Firm / Company: Four times of Cash-accruals (i.e. PAT+ Depreciation) as per their Audited Balance Sheet/ P&L Account ( Average of Last 2/3 years) |
| For individuals: |
| While fixing the limit, it is to be ensured that the net take home pay (net of EMI (notional EMI in case of non reducible OD) of proposed advance is not less than 40% of gross income of the applicant. |
| For Proprietorship / Partnership firm / Company: Minimum DSCR is 1.5 |
| Limit prescribed would be subject to a Maximum of 70% in case of salaried employees and 60% in other cases of value of property or eligibility level, whichever is lower. |
| Security |
| Equitable / Legal Mortgage charge over property in the name of applicant(s) or his / her / their spouse or parents or third party. The owner(s) of the property to be mortgaged should be either a borrower / co-borrower(s) or guarantor(s). |
| a) The property offered should be a residential or commercial building or a plot of land (residential / commercial); |
| b) The property should be self occupied or vacant or leased out to acceptable individuals, government agencies, PSUs, Corporates, etc; |
| c) Agricultural land is NOT accepted as security for this facility. |
| Housing Loan |
| Purpose |
| (i) To purchase / construct house / flat. |
| (ii) To purchase a plot of land* for construction of house |
| (iii) To renovate / extend / repair existing house / flat. |
| (V) To acquire embedded furniture & fixtures along with the house / flat. |
| Who are eligible |
| All Individuals, who are |
| (i) member of the Bank |
| (ii) residing and employed in gainful activity in the area of operation of the Bank |
| (iii) Salary earners/businessman/entrepreneur/self-employed/ professional or engaged in any of valid gainful activity. |
| Vehicle Loan |
| Purpose |
| Purchase of brand new two wheeler/four wheeler vehicle for personal use. |
| Purchase of brand new three wheeler/four wheeler vehicle for commercial use, such as Auto-Rickshaw, Loading taxi, Taxi car, Cab, Bus, Truck, Tractor etc. |
| For purchase of personal vehicles powered by non-conventional energy, such as electronic / battery operated small vehicles for urban transport provided they are registered with RTO. Such vehicles not registered with RTO can be financed subject to specified reduced limits of advance preferably with collateral security. |
| Who are eligible |
| Share Holder Of The Bank. |
| Salaried employees, Professional & Self-employed Individuals. People engaged in trade / commerce / business, Directors of Companies, Staff Members of our Bank. Non-Resident Indians in India – advance to be granted jointly with Resident Indians (close relative only) Age of the individual borrower not to exceed 65 years at the time of availing the advance. Minimum three years service as a permanent employee for salaried employees and remaining service till repayment period. Minimum three years experience / establishment for Professional & Self-employed persons. Companies, Partnership Firms, Proprietary concern and other types of Corporate entities with existence of a minimum of three years. HUF not permitted. |