Purpose – To offer housing loan for residential purpose covering construction, addition, purchase, takeover and renovation of house property, building etc Finance for purchase of land is only permissible in case the purchase is for residential use and is constructed within one year.
Eligibility – Salaried employee in age of 21 to 65 yr (at end of tenure) having regular income to liquidate loan; Self employed individual & professional in age of 21 to 65 years(Minimum Two years Business); Co-op or groups housing societies (Approved by Bank)
Repayment – Maximum repayment period is 15 yrs including moratorium or repayment holiday. At request of borrower, Bank may consider fixing graduated installment based on reasonable expectation of growth in income of borrower in coming years with approval of Board of Management.
Moratorium – Moratorium is at option of borrower. It will be till completion of construction or 18 months from the date of disbursement of first installment of loan whichever is earlier.
Rate of Interest – 0.25 % less than floating rate of interest applicable in housing loan as on date of sanction of loan
Security – Equitable or Registered mortgage of property or pari-passu charge of property as case may be. Collateral – Assignment of LIC / NSC, pledge of share, term deposit of Bank in deserving cases.