|Facility||Agricultural Term Loan (ATL)|
|Purpose||Construction of farmhouse on agricultural land to facilitate farmers to have dwelling unit at farm which may also take care of other requirement such as storage of agriculture produce & farm implements, cattle shed, drying yard etc. for effective supervision and farm management.|
- Person/s engaged (singly or jointly) in agriculture and allied activities.
- Farmers having minimum irrigated land holding of 2.5 acres
- Farmers having sufficient disposable income from his own farm as well as from other sources.
- Existing borrowers having good track record for the past 3 years with the Bank and new borrowers who have not availed any agriculture loan facilities from any bank / financial institutions.
- Multiple banking not allowed.
Age at Loan Maturity should not exceed 75 Years.
- Minimum: The applicant/s must be 18 years old (completed) as on the date of application
- Maximum: 65 years subject to having sufficient disposable income
- Rs. 2.00 lakh upto Rs. 10.00 lakh: - Farmer/s having perennially irrigated land holding of minimum 2.5 acres with sufficient disposable income from his own farm, allied activities as well as from other sources.
- Rs. 10.00 lakh upto Rs. 50.00 lakh: - Farmer/s having perennially irrigated land holding of minimum 5 acres with sufficient disposable income from his own farm, allied activities as well as from other sources.
|Margin||Minimum 25 % of construction cost of proposed farmhouse.|
|Rate of Interest|
Up to Rs.10.00 lakh : 1 Year MCLR + BSS@0.50% + 2.00%
Above Rs.10.00 lakh : 1 Year MCLR +BSS@0.50%+ 3.00%
|Security||Registered Mortgage of Agril. Land/s * & Farm House constructed thereon.|
* In case landed property cannot be mortgaged for some reasons, NSC, FDR (of our Bank), Government security or such acceptable security with Margin @ 25 % may be taken as security. Security in the form of Shares shall not be accepted.
- Hypothecation of standing crop, other movable assets etc.
- Two acceptable guarantors having adequate Net Worth
- Moratorium period may be allowed upto 18 months or completion of the construction which is earlier
- The entire loan along with interest shall be repaid in yearly / half yearly / quarterly / monthly instalments along with interest within a period of 15 years including moratorium period. The repayment shall be linked to harvesting season of the main / cash crop / income generation cycle of the activity.
|Insurance||Asset created have to be insured for full value.|
- Permission for farmhouse construction should be obtained along with other requirements as per the norms stipulated by the respective State laws.
- Title clearance & search report shall be obtained from empaneled advocate for the agricultural land proposed to be mortgaged where farmhouse will be constructed.
|Other Terms & Conditions|
- Conversion of Agriculture land into Non-agriculture (N.A) is not required for construction of farm house subject to compliance of stipulated clause (if any) specified by the respective State Government
- The valuation certificate be obtained from respective Registrar / Sub-Registrar of the area to ascertain the value of land.
- Income of co-applicants may be clubbed for deciding quantum of loan & repayment capacity if property held jointly by them or individually
- The farmer should have adequate income, liquidity and capacity to serve the loan installments.
- The applicant/s should satisfy the KYC guidelines.
- Income certificate issued by Tahsildar / Mandal Revenue Officer / Revenue Department Officer having State Level Gazetted rank can be accepted where income tax returns are not filed by the farmers
- Loan application ie Form No -138, & Enclosure – B2
- All 7/12, 8 A, 6 D extracts, Chatu Sima of the applicant
- In case of Co-Applicant is salaried or businessmen, the latest salary slips / ITR / Form 16 / Balance Sheet & P/L staments
- No dues certificates of the applicant from surrounding financial institutions including PACS
- Legal search from advocate on Bank’s panel where land is to be mortgaged for 30 years
- Price quotations/ Plan estimates / Permissions / Lay out etc.
- Valuation Certificate from Registar / Sub – Registar of the area
- Guarantee form F-138
- All 7/12, 8 A & PACS dues certificate of the guarantors
- In case of Guarantor is salaried or businessmen, the latest salary slips / ITR / Form 16 / Balance Sheet & P/L