Eligibility:
i. The proposed borrower should hold minimum 08 kanals of irrigated land OR 16 Kanals of un-irrigated land singly or jointly. Loan to be given on single name, Joint land holder will stand as guarantor. Negative lien/mortgage (wherever applicable) on the joint land will be obtained.
ii. The maximum age of Applicant at loan maturity should be not more than 70 years.
iii. Applicant should possess or purchase minimum three implements like Trolley, Tiller, Leveler, etc.
iv. Tractor proposed to be purchased must be approved by Govt. of India as per norms.
v. The applicant should be from the area of operation of the branch/ Bank.
Quantum of Loan:
75% of the unit cost i.e. cost of tractor including implements. However, insurance and other costs shall be borne / paid by the borrower separately.
Margin:
25% of the unit cost.
Repayment Period:
The loan shall be repayable in 18 half yearly installments. The first installment will start at the first harvest availment of loan.
Security:
Primary:
Hypothecation of tractor including implements to be purchased. Bank's lien/ name as hypothecate to be got noted in the books of the RTO and also in the Registration Certificate (RC).
Collateral:
(i) Up to Rs.5.00 Lakh:
a. Negative Lien on the land (minimum 8 kanals of irrigated land OR 16 kanals of un-irrigated land).
b. Third party guarantee of two persons of sound financial net means, good for the loan amount & acceptable to Bank.
(ii) Above Rs.5.00 Lakh:
a. Mortgage of land (minimum 8 kanals of irrigated land OR 16 kanals of un-irrigated land) with adequate value.
b. Third party guarantee of two persons of sound financial net means, good for the loan amount & acceptable to Bank.
Processing Charges:
0.50% of the loan amount.
* Conditions Apply