LOAN SCHEMES
AGRICULTURE LOAN
Beneficiary | Farmers being the member of PACS through PACS. |
Purpose | Cultivation of Crops. |
Loan Limit | As per Land Holding and Scale of finance. |
Rate of Interest Subsidy | |
Margin | No margin money required |
Repayment Period | Half yearly linked with harvesting. |
Collateral Security | Nil. |
| Beneficiary | Only for existing regular RCC holders in last year Not defaulters of KCC last three crops. Not default in any other loan by Bank or Society. |
| Purpose | To meet out their farming expenses, land development, minor irrigation, purchase of farm equipment, mini dairy/backyard polutry farm and allied agriculture activities. |
| Loan Limit | Rs.20000/- per acre , Maximum Loan Rs.150000/- Per Borrower. |
| Rate of Interest | Click Here |
| Margin | No margin required. |
| Repayment Period | 24 months /Â 4 half yearly instalments in one year |
| Collateral Security | As per scheme. |
| Beneficiary | Farmers being member of PACS through PACS. |
| Purpose | Investment credit for instalation of pump set, purchase of Agri. Implements land reclamation, construction of bunds, poultry,piggery,purchase of milch cattle, gobber gass plant and allied activity. |
| Loan Limit | Â |
| Rate of Interest | Click Here |
| Margin | As per scheme |
| Repayment Period | 5 yrs. |
| Collateral Security | 150% of loan amount, calculated as per govt. rates. |
Beneficiary | Any individual farmers holding the agricultural land being the member of PACS. |
Purpose | Socio Economic needs |
Loan Limit | Any farmer including member as well as non-members of PACS having agricultural land in his/her name will be entitled for sanction of cash credit facility upto maximum of Rs. 20.00 lacs subject to limit of Rs. 2.00 lacs per acre. In case of fragmented land holding, the limit will be sanctioned on pro-rata basis. Further, customer will be given option of Term Loan maximum upto 30% of total eligible amount. The term loan will be repayed in half yearly installments latest by 30th June and 31st January every year in maximum tenure of 5 years. In case of existing RCC limits, borrower may avail this option at the time of renewal subject to fresh loan documentation. However, the borrower shall have to become nominal member of the Bank. |
Rate of Interest | |
Margin | No Margin required. |
Repayment Period | Renewable on annual basis. |
Collateral Security | he member shall have to mortgage his land in favour of the bank by way of Collateral Security. The land to be mortgaged should be free from all encumbrances. To evaluate the land for mortgage purpose for financing under the RCC scheme, bank has to obtain 150% collateral security of the loan/limit as per collector rate fixed by the District Administration. The mortgaged deed shall be deposited in the branch of the Central Coop. Bank against receipt to be issued by the branch of the Central Coop. Bank. It will be the responsibility of the member to get mutation sanctioned in favour the Bank and copy of the same shall be produced before availing Cash Credit Limit/Term Loan. |
DAIRY LOAN
Beneficiary | Any Individual who shall be  Members of MPCS/PACS. |
Purpose | Shed, Milch animals and equipments |
Loan Amount | 50.00 Lacs |
Rate of Interest | |
Margin | 15.00% |
Repayment Period | Maximum period of repayment of loan is 9 years, with maximum moratorium period of 9 months or one month after date at last disbursement of loan, whichever is earlier. However, the recovery of interest accrued shall be affected on monthly rests during the moratorium period. |
Collateral Security | 150% of Loan Amt. and guarantee of two person who shall be nominal members of bank. |
Beneficiary | Any Individual who shall be Members of MPCS/PACS. |
Purpose | Purchase of Milch Animals |
Loan Limit | 5.00Â Lacs(Rs.0.50 lac per animal). |
Rate of Interest | |
Margin | 15.00% |
Repayment Period | Maximum 5 Years. |
Collateral Security | 150% of Loan Amt. and guarantee of two persons who shall be nominal members of bank. |
EDUCATION LOAN
Beneficiary | Salaried employees of coop. banks, Punjab govt./Chandigarh administration and its boards and corporation residing in the area of operation of the bank. |
Purpose | India and Abroad higher Study |
Loan Limit | The amount of loan will depend upon the expenses involved in completion of course subject to the maximum of Rs. 20.00 Lakh for studies in India and Abroad. The minimum amount of loan would be Rs. 50000/-. |
Rate of Interest | |
Margin | No margin required. |
Repayment Period | The recovery of principal amount will start after one year of total duration of course or after 6 months of getting the job/employment by the applicant whichever is earlier. However, during the moratorium period the interest will be recovered on monthly basis. After moratorium period the loan will be recovered in maximum period of 60 months. |
Collateral Security | In case of salaried employees : No collateral Security shall be taken for loan upto Rs. 5.00 lakh in case of parents/guardian of student is salaried employee of Punjab Govt./Apex and Central Cooperative Institutions/Board/Corporation. However, an undertaking/irrevocable letter authorising DDO/Employer for deduction of instalment of loan u/s 39 of the Punjab Cooperative Societies Act 1961 shall be obtained. In case loan is above Rs. 5.00 lakh, the loan will be advanced against collateral security valuing 150% of the amount of loan. The collateral security can be in the form of land/building, NSC/KVP/LIC policy/Bank deposits. In case of employees of PSCB/DCCB no collateral security shall be taken for loan upto Rs. 15.00 lakh in case of parents/guardian of student is salaried employee of PSCB/DCCB. However an undertaking/irrevocable letter authorising DDO/Employer for deduction of instalment of loan U/S 39 of the Punjab Cooperative Societies Act 1961 shall be obtained. In case of other than salaried employees : No collateral security shall be taken for loan upto Rs. 1.00 lakh. In case the loan is above Rs. 1.00 lakh the loan will be advanced against collateral security valuing 150% of the amount of loan. The collateral security can be in the form of land/building, NSC/KVP/LIC policy/Bank deposits. In addition to above in all categories mentioned above, one guarantor known to the bank will also be taken. |
EMPLOYEE LOAN
Beneficiary | Salaried employees of coop. banks, Punjab govt./Chandigarh administration and its boards and corporation residing in the area of operation of the bank. |
Purpose | Personal use. |
Loan Limit | 20 times of gross monthly salary or Rs. 15 lakh whichever is less. However, it should be ensured that the carry home salary should be 40% of the gross salary after deductions. |
Rate of Interest | |
Repayment Period | Loan is repayable in equated monthly instalments in the form of 5 post-dated cheques and thereafter ECS Mandate/Standing instructions. The first Instalment will start after 1 month of the date of sanction. The full loan along with interest shall have to be repaid 6 months before retirement. The borrower has to enrol under Pradhan Mantri Sehkari Bank Bima Yojna (PMSBY/SBBY) or Pradhan Mantri Jeevan Jyoti Bima Yojna (PMJJBY) as per eligibility of the borrower as per age. The cost of the insurance is to be borne by the borrower. |
Collateral Security | Irrevocable letter from employer and one good surity |
Beneficiary | Salaried employees of coop. banks, Punjab govt./Chandigarh administration and its boards and corporation residing in the area of operation of the bank. |
Purpose | The loan should be advanced for socio-economical needs of the borrower. |
Loan Limit | The Loan limit per borrower is 20 times of gross monthly salary or Rs. 3.00 lakh or whichever is less. However, it should be ensured that the carry home salary should be 40% of the gross salary after deductions. |
Rate of Interest | |
Repayment Period | Loan is repayable in equated monthly instalments in the form of 5 post-dated cheques and thereafter ECS Mandate/Standing instructions. The first Instalment will start after 1 month of the date of sanction. The full loan along with interest shall have to be repaid 6 months before retirement. The borrower has to enrol under Pradhan Mantri Sehkari Bank Bima Yojna (PMSBY/SBBY) or Pradhan Mantri Jeevan Jyoti Bima Yojna (PMJJBY) as per eligibility of the borrower as per age. The cost of the insurance is to be borne by the borrower. |
Collateral Security | Irrevocable letter from employer and one good surity. |
HOME LOAN
Beneficiary | Individual |
Purpose | Purchase of built up house, Construction of new house, Repair/renovation and Addition of existing House in rural areas. |
Loan Limit | The quantum of loan shall depend upon repaying capacity of the borrowers, subject to 85% of cost of construction or value of property to be purchased. For construction/purchase of new House: Maximum loan Rs. 30.00 lacs. |
Rate of Interest | |
Repayment Period | Maximum 15 years |
Collateral Security | Where title deed of the plot is available and value of the land is 200% of the loan amount as per collector rate, no collateral security is required and the security of the loan shall be first mortgage charge on the property to be financed by the bank by way of equitable mortgage with mutation in favour of the bank in revenue records of the property. One guarantor known to the bank is also be taken having good reputation and adequate net worth. In case where the title deed is not available, in addition to the primary security, collateral security shall be taken @100% of the loan amount in the form of agricultural land. Value of agricultural land as per the norms fixed by the District collector from time to time should be taken in to consideration. In case of employees of the Govt./Semi-Govt./Board/corporations etc., constructing house within rural areas, loan can be advanced on primary security i.e. mortgage of house to be financed, along with two good sureties and undertaking under section 39 of Punjab Cooperative Societies Act, 1961. The borrower has to get insured under PMSBY/SBBY or PMJJBY or any term insurance. Insurance of asset/house to cover fire, earthquake, flood etc. at the cost of the borrower (optional). |
Beneficiary | Individual |
Purpose | Purchase of built up house, Construction of new house, Repair/renovation and Addition of existing House in urban areas. |
Loan Limit | The quantum of loan will depend upon the repaying capacity of the applicant to be calculated by the bank i.e. it should be ensured that the carry home salary should be 40% of the gross salary after deductions, irrespective of age group. Income of the spouse or family member can be considered if spouse or family member is co-applicant or guarantor. The borrower has to get insured under PMSBY/SBBY or PMJJBY or any term insurance. The maximum loan amount will be Rs. 30.00 lacs subject to other terms and conditions of the scheme. |
Rate of Interest | |
Margin | 25%Â |
Repayment Period | Maximum 15 years. |
Collateral Security | 150% of Loan Amt |
NON FARM SECTOR LOAN
| Beneficiary | BUSINESSMAN |
| Purpose | A: To meet Working Capital Requirement (WCTL). B: Term loan to meet financial need for development/renovation of shop or purchase of equipment/furniture. |
| Loan Limit | Maximum loan amount of Rs. 5.00 lakh (Rupees Five lacs only) for A & B purposes as above. |
| Rate of Interest | Click Here |
| Margin | 15% |
| Repayment Period | Working Capital Term Loan/Term Loan – In suitable monthly instalments within a maximum period of 5 years. |
| Collateral Security | PRIMARY: Hypothecation of assets created out of bank finance. COLLATERAL: Equivalent to minimum 150% (Collector value) of the loan amount in the form of build up immovable property either residential or commercial. Open plot within municipal limits with proper demarcation can also be accepted as collateral security. The value of construction shall be taken as maximum amount of Rs. 1000/- per sq. ft. for A class construction. |
Beneficiary | Individual, Sole Prop., Firm, Coop. Societies or a Company. |
Purpose | For the meeting working capital requirement of business. |
Loan Limit | For New Units : The maximum amount of Cash Credit Limit under rules shall be Rs. 25.00 Lacs. For Existing : For existing regular limit in the books of the bank from last 3 years, if the borrower desires to increase the limit as per his eligibility, the maximum amount of Cash Credit Limit under the rules shall be Rs. 40 lacs as per eligibility. |
Rate of Intt. | |
Repayment Period | Renewable on annual basis. |
Collateral Security | Upto Rs.0.50 Lacs – Two Guarantees , insurance & Hypothecation of Stock Above Rs.0.50 Lacs- Security required 150% of Loan amt and as above. |
VEHICAL LOANS
| Beneficiary | Individual, Firm, HUF,Trust etc. |
| Purpose | Purchase of new Vehicle. |
| Loan Limit | The maximum amount that can be sanctioned under the scheme is limited to Rs. 15.00 lakh or 4 times of annual income or 90% of the on-road price of the vehicle (inclusive of cost of insurance & registration charges) whichever is less in case of salary earners. In all other cases loan will be advanced as per details given below: 1. Upto Rs. 6.00 akh – 80% of the on-road price of the vehicle. 2. >Rs. 6.00 lakh & upto Rs. 10.00 lakh – 80% of the cost of the vehicle. 3. >Rs. 10.00 lakh & upto Rs. 15.00 lakh-75% of the cost of vehicle. The age of the borrower must be 21 years at the time of loan application. Income of family members may be considered but the family member must be taken as guarantor. However, it should be ensured that the carry home salary should be 40% of the gross salary after deductions. |
| Rate of Interest | Click Here |
| Margin | 20% |
| Repayment Period | The repayment of loan should be in the form of monthly instalments to be repaid within 8 years. However, farmers may opt for half-yearly instalments which have to be repaid latest by 30th June and 31st January. One month moratorium period shall be allowed under the scheme. Loan is repayable in equated monthly instalments in the form of 5 post-dated cheques and thereafter ECS Mandate/Standing instructions. The borrower must be enrolled under PMSBY/SBBY or PMJJBY schemes. |
| Collateral Security | Insurance and Hypothecation of Vehicle |
| Beneficiary | Individual, Firm |
| Purpose | Purchase of Second Hand Vehicle (Should be not more than 4 Yrs Old) |
| Loan Limit | Max.Rs.5.00 Lacs or 75% of cost of vehicle or 1.5 times of annual income whichever is less. |
| Rate of Interest | Click Here |
| Margin | 25.00% |
| Repayment Period | Max. 5 yrs. |
| Collateral Security | Two Good surities, Insurance & Hypothecation of Vehicle. |
VARIOUS NEW SCHEMES
| Beneficiary | Any men/ women Beneficieries member of the PACS. |
| Purpose | For carrying passengers or goods on hire |
| Loan Limit | 85% of on road price or Rs100000/-, which ever is less |
| Rate of Interest | Click Here |
| Margin | Minimum 15% |
| Repayment Period | 36 months |
| Collateral Security | NIL |
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| Beneficiary | Any men/ women Beneficiaries member of the PACS. |
| Purpose | For installing Solar Panels |
| Loan Limit | 85% of project cost. Max 15 Lakh for institutions, Max 5 Lakh for individuals, Max 3 Lakh if financing through MPCASS |
| Rate of Interest | Click Here |
| Margin | 15% |
| Repayment Period | 5 yrs |
| Collateral Security | Mortgage of immovable property (150% Collateral) in case loan amount is more than 2 lacs. NO collateral if salaried individual and member of MPCASS. Collateral waived upto loan of 5 lakh if applicant/co-applicant is employee of central/state/PSU/cooperative sector and take loan directly from bank. |
| Beneficiary | 4 individuals from different families. No mix groups. |
| Purpose | For meeting Socio Economic Needs |
| Loan Limit | Rs50000/- per member Rs 2Lakh per group. |
| Rate of Interest | Click Here |
| Margin | NIL |
| Repayment Period | 3 yrs |
| Collateral Security | NIL |
| Beneficiary | Farmers/self-employed/businessman having an excellent repayment record with cooperative banks. |
| Purpose | Free to use for agriculture implements and allied activities, emergency financial needs, to repay existing debt raised from any commission agent or to strengthen the businessman |
| Loan Limit | Maximum Rs. 50000/- |
| Rate of Interest | Click Here |
| Margin | No margin required. |
| Repayment Period | 12 months / 2 half yearly instalments in one year |
| Collateral Security | Â |
| Beneficiary | For KCC holders |
| Purpose | To meet out  his/her farming expenses, land development, minor irrigation, purchase of farm equipment, mini dairy /backyard, poultry farm and allied agriculture activities. |
| Loan Limit | Rs.10000/- per acre maximum Rs.one lacs per borrower |
| Rate of Interest | Click Here |
| Margin | No margin required. |
| Repayment Period | 12 months / 2 half yearly instalments in one year |
| Collateral Security | Â |
