Aryavart Gramin Bank, a Regional Rural Bank, was constituted on 3rd October 2006 after amalgamation of three Regional Rural Banks (RRBs) namely Avadh Gramin Bank, Barabanki Gramin Bank and Farrukhabad Gramin Bank as per Government of India notification no. F.No.1/4/2006-RRB dated 03-10-2006. The said three RRBs were sponsored by Bank of India and had location proximity. Like the parental bodies, the amalgamated entity functions under Regional Rural Banks’ Act 1976 and is sponsored by Bank of India.
The Aryavart Gramin Bank, henceforth mentioned as the Bank, has 306 branches, six Regional Offices and a Head Office. The bank offers home loan, personal loan, agricultural loan etc in order facilitate the customers in rural and semi urban areas.
Purpose – The loan is offered to make small and Marginal land holdings economically viable to make barren land suitable for agriculture to provide credit facility to Landless and small farmers.
Eligibility – Small and Marginal farmers, share croppers etc. having land holding not exceeding 8.00 acres to 9.25 acres for dry land and 6.75 acres to 7.50 acres for irrigated land depending upon the land holding criterion of the district. This land ceiling includes the land to be purchased through this scheme.
Quantum of Loan – 100% of net annual income, as per area in which the land is to be purchased, its valuation and development cost
Margin – For loans up to Rs.50,000/ it is NIL, for loans above Rs.50,000/- minimum 10%
Rate of Interest – 12.50% per annum
Repayment – In 7 to 12 years in Half Yearly equated installments.