Surity Loan

This is among the most utilized loan scheme that can be used for any purpose like buying house hold appliances, marriage at home, to meet any family expenses / emergency. The loan is offered with minimum of conditions and has been designed with a common man’s need in mind. The documentation is simple and processing is fast.

Purpose

• To purchase consumer durables / house-hold articles, to meet the marriage expenses, other family expenses, etc.

Eligibility

• Permanent employees, aged below 54 years, who are confirmed in the services of Govt. Departments, Reputed Corporates / Business Houses, Recognised Educational Institutions, etc.

Repayment Period

• Maximum of 36 EMI, while fixing repayment, take home salary of the employee, the remaining period of service, etc., will be taken into account so as to ensure that the loan amount is recovered within the period of service of the applicant

Rate of Interest

• 18%

Penal Interest

• Any irregularity or default in repayment will attract penal interest of 3.00% p.a. over and above the above rate of interest on the balance outstanding.

Processing fees

• 1.30% of Limit sanctioned without any maximum cap.

Loan Quantum

• If the employer deducts and remits the installment amount every month or the installment is deducted from the salary account maintained by the Branch - 6 times of the gross salary as per latest salary bill with a maximum ofRs. 2,00,000.

Interest Calcualtion Method

• Reduced Balance method

Basis of Advance

• 85% (loans upto Rs. 25 lakh) or 80% ( loans above Rs. 25 lakh) of Cost of flat +Stamp Duty +Registration OR Cost of land & construction thereon OR
• Salaried : Maximum 60 times of the Avg net take-home salary
• Businessman : Maximum 5 times of Avg Net cash accruals
• 1 or 2 stated above whichever is lower

Security

Lien over Salary, Bonus and other emoluments.

Primary: Hypothecation of assets created out of the loan proceeds in case loan is sanctioned for purchasing Consumer Durables / House-hold articles. Suitable third party guarantee to be obtained, if necessary.

Collateral: Obtention of collateral security need not be a prerequisite.

Guarantee: If the employer does not undertake to deduct and remit the instalment or the instalment is not deducted from the salary account maintained by the branch, suitable guarantee from two worthy persons should be obtained.

Documentation

Simple documents as per our Bank Norms.