- Any Purpose for meeting business/ personal needs but not for speculative Purpose. However, Loan / limit sanctioned to the companies / firms should be for existing business purpose only.
Target Group :
- Individuals (singly or jointly) including salaried persons / Firms / Company/ Societies registered under Society Act.
- Loan to HUF is not to be considered.
Nature of loan :
- Term Loan
- Overdraft (For Business Purpose only (To firms/ companies and Individuals to meet their financial needs of their MSME unit).
- For individuals – Minimum 21 years, Maximum age of entry 65 year at the time of sanction of loan.
- Loan must be liquidated before attainment of 70 years of age.
- In case of Firms/ Companies/ Society, it should be in existence for past 3 years and had net profit continuously in preceding 2 years.
- Individual: An individual should be tax payer and annual Income should be minimum of Rs.8.00 Lacs per annum. However in case of salaried customer (Employees of Central Govt. /State Govt. / Central PSUs / State PSUs/ Govt.-aided educational Institution, Central/State Universities and MNC), customer having annual income of Rs.5.00 Lacp.a. is eligible.
- Joint Borrower: While computing quantum of loan in case of joint borrowers, income of all borrowers may be clubbed. Joint borrowers may be the co-owner of the property or they may not be co owner (but must be legal heirs of owner of the property / PF nominee / Spouse having future interest in the property) but their income is to be considered as one of the source for repayment of loan and to calculate the quantum of loan only if he/ she is tax payer (for at least last 2 year and ITR is being filed regularly on yearly basis) and having annual income of Rs.5.00 Lac p.a for salaried and Rs.8.00 Lac p.a. for others.
- In case of firm, personal income of proprietor/ partners and in case of company personal income of Directors may be clubbed (only if he/ she is tax payer and having annual income of Rs.8.00 Lac p.a & above) with the income of firm /Company if the source of income is different.
Nature of owned property
- Un-encumbered Residential or Commercial Property free from all litigation in the name/s of borrower/s & situated at good residential or business centre.
- Loan should not be extended against property that have been developed / constructed for the purpose of sale.
- Loan should not be extended against Agricultural Property.
- Loan should not be extended against Partition Deed.
Loan Limit :
- Minimum: Rs.10.00 Lac
- Maximum: Rs 500.00* Lacs
- For Salaried Persons: 36 times of monthly take home salary.
- For others except agriculturist: 3 times of the net cash generation.
- For Agriculturist: 3 times of the net annual income.
- 50% of the valuation of property (Residential & Commercial building/Properties)
*Subject to change without prior notice.
- Equitable Mortgage of Property against which loan is sanctioned.
- In case of credit facility in the name of firm/ company/ society, personal guarantee of proprietor/ individual major partners/ promoter directors/ office bearer or authorized signatory to be obtained.
- Maximum 120 Months (Equated Monthly Installment) in case of Term Loan and for Overdraft: Limit will be allowed for 120 Months with annual review of the account.
- Repayment will start from next month of the date of disbursement.
- Net monthly Income/Take Home Salary (taking in to account all existing & new deductions/EMI) should not be below 40% of the Gross Monthly Income/Salary.