Nature and Purpose of Advance

Credit facility (Term loan) to establish Roof/ Kitchen/ Flower Garden, Small orchards, and landscaping.

Quantum of Loan

Individuals - Minimum: Rs. 33000; Maximum: Rs.2.50 Lakhs

Corporates - Minimum: Rs. 1 Lakh; Maximum: Rs.25.00 Lakhs

Eligibility

Should possess independent house having at least 500 sq. ft. of open space for gardening, for raising roof garden, similar area of open unencumbered roof space must be available. Area between 500 to 1000 sq. ft may be considered as 1000 sq. ft.

Should have regular source of income like Salaried persons, Professionals, and businessmen with regular source of income are to be covered under the scheme

Salary certificates of employees and income tax assessment orders of other individuals should be obtained.

Security

Up to Rs. 1.60 Lakhs:  Hypothecation of assets created out of loan. Nil Collateral

Above Rs. 1.60 Lakhs: 

For Employees: Undertaking from Employer for routing salary through Branch backed by standing instructions.

For Other Individuals: Third party Guarantee of an individual with adequate worth not less than Borrower.

For Institutions: Collateral security valued at least 50% of the loan amount besides personal guarantee of Partners/Trustees/Promoters (Directors)

For Retired IOBians: Standing instructions for deduction of EMIs pension being routed through the Branch. At least one legal heir should be a co-obligant /guarantor for the loan.

Margin

Up to Rs. 1.60 Lac: Nil

Above Rs 1.60 Lac: 15%

Repayment

Repayable in 3 years in monthly EMI without holiday.

Rate of Interest

Up to Rs.5 Lakhs - 1Y MCLR (9.05% at present) + 1.40% (spread) = 10.45% at present.

Above Rs. 5 Lakhs up to Rs. 25 Lakhs - 1Y MCLR (9.05% at present) + 2.25% (spread) = 11.30% at present.

Processing charges

Up to Rs. 25000/- - Nil

Above Rs. 25000/- up to Rs. 2.00 Lakhs - Rs. 150 per lakhs & part thereof

Above Rs. 2.00 Lakhs - 0.80% of the loan amount