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Cauvery Kalpatharu Grameena Bank- Farm Mechanisation

Cauvery Kalpatharu Grameena Bank is one of the Regional Rural Banks established under Regional Rural Banks Act, 1976. The bank offers a variety of loan products such as personal loan, agricultural loan, vehicle loan etc.

Purpose                      – Purchase of Tractors and Power Tillers

 

Eligibility                     – Farmers or applicant should have a minimum land holding of 4 Acres of Perennially Irrigated Land or 8 Acres of Dry Land or          2.5 Acres of Irrigated Land and 5 acres of Dry land

 

Quantum of loan        – Based on the quotation for the supply of tractor/power tillers and required implements to the maximum of 90% of the cost of machinery

 

Repayment                 – 7 to 9 years; Repayable in Yearly or half Yearly installments

 

Rate of Interest         – Special Rates as Farm Mechanisation is treated as Thrust Area Advance. The current rate of interest is 12%

 

Other conditions        – For the purchase of new tractors or power tillers, the tractor has to  have a minimum of 1000 hours of productive work in agriculture per year on own farm  or on own farm and custom hiring (50% on own farm);For power tillers 150 hours of productive work will be adequate. In case of second hand tractors, the tractors should not be more than 7 years old.

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