Loans to Employees of affiliated to societies
Type of loan
|
Medium term loan – Non-agriculture.
|
Method of Repayment
|
Non-EMI
|
Purpose
|
Housing / Vehicle Loan Purpose.
|
Eligibility criteria
|
Employees of affiliated Societies
|
Scale of finance
|
Not applicable.
|
| Limit of loan |
Up to Rs: 500000.
|
Margin
| Not applicable.
|
Holiday period
| Not applicable.
|
Repayment period
|
60 Months.
|
Rate of interest
|
As per interest structure.
|
| Penal Interest |
2% for overdue installments. When the loan is fully overdue 2% of additional interest on contract rate is charged.
|
Charges
|
1) Up to 50000 service charge is collected @ 0.25% of the total Loan amount sanctioned. Above 50000 it is @ 0.5% and this is credited under the head HO Miscellaneous income.
2) Risk fund @ 0.25% of loan amount is collected from the Loanee with a minimum of Rs: 100 and a maximum of Rs:525. Risk fund collected is kept under Suspense Liability and once in a month transferred to HO.
|
Subsidy/Re-finance
|
Nil
|
Security
|
Personal / Collateral security.
|
Insurance of stock in the joint name of bank and the loanee should be submitted.