Small Loans (Secured)

Personal / Housing Renovation Term Loan

Term Loan facility for individual members to meet housing repair, renovation and other legitimate personal financial needs.

Eligibility

Any individual member of the Bank.

Type of Facility

Term Loan

Loan Limit

Up to a maximum of ₹25.00 Lacs per borrower, subject to repayment capacity and not exceeding 48 times the monthly income.

Purpose

  • Repair, additions/alteration and renovation of own house or that of spouse / father / mother / parents-in-law (for married female members)
  • Any other legitimate, non-speculative financial requirement such as:
    • Marriage
    • Medical treatment
    • Education of dependents
    (with documentary proof acceptable to the Bank)

Margin

15% of the cost of repair / renovation, or suitable margin on the value of mortgaged property in other cases.

Rate of Interest

10.50% p.a., subject to change from time to time as per Bank’s guidelines.

Other Charges

As per Bank’s rules from time to time.

Repayment

Up to 120 equal monthly instalments (including any moratorium period).
Monthly instalment + other deductions should not exceed 60% of applicant’s monthly income.

Security

  • Mortgage of immovable property owned by the borrower or surety
  • For loans up to ₹5.00 Lacs: may be considered against Employer’s Consent Note for salary attachment, subject to merit

Sureties

Two sureties of good means, as per Bank’s discretion.

Other Conditions

  • Borrower must submit income proof such as:
    • Salary Certificate / Pay Slip
    • Income Tax Return
    • Affidavit (if below taxable limit)
  • For business/profession: latest financial statements required
  • Similar income documents for sureties are also required