Loans for Investment Credit and Allied Activities against the security of Gold Ornaments

Objective

This is a package designed for farmers to avail term loan for Agricultural purpose against security of their gold Jewellery.

Eligibility

Individual farmers who own jewels and are engaged in Agricultural activities are eligible.

Purpose

Investment activities namely land development, minor irrigation, purchase of agricultural machinery etc. and also activities allied to agriculture (dairy, sheep, goat, fisheries, duck rearing, honey bee rearing etc.),

Quantum of Loan:

You can contact our nearest branches for per gram rate of advance against gold ornaments.

Maximum loan amount per individual will be Rs.10 Lakhs.

Security

Hypothecation of assets to be created out of Bank loan.

Pledge of gold Jewellery.

Repayment

Repayment programme depends on the purpose of the loan, income generation and repaying capacity of the borrower either in monthly instalments or in quarterly / half yearly or annual instalments with a maximum period of 36 months.

Holiday Period

Maximum of one year  

Rate of Interest

Varies from time to time. Presently

Upto Rs.3 lacs: One year MCLR+0.35%

Above Rs.3 lacs upto Rs.5 lacs- One year MCLR+1.65%

Above Rs.5 lacs upto Rs.10 lacs- One year MCLR+2.25%

For other details, please contact your nearest IOB branch.