IOB - Krishi Samridhi Scheme

Objective

To provide credit facilities to meet both the production and investment credit needs of farmers

Eligibility

Individual farmers/Group/Proprietor/Partners/Corporates

Purpose

• To provide agricultural term loans under

(a) Farm credit including allied activities

(b) Agricultural infrastructure

(c) Ancillary Agricultural Activities.

Amount of Loan

• Loan amount - above Rs. 1 lac upto Rs. 25 lacs.

• Project cost less promoter's margin or entitlement on the basis of collateral security whichever is lower.

Margin

15% to 25%

Rate of Interest

Varies from time to time. Presently

Upto Rs.3 lacs: One year MCLR+0.20%

Above Rs.3 lacs upto Rs.10 lacs- One year MCLR+1.20%

Above Rs.10 lacs upto Rs.25 lacs- One year MCLR+1.95%

Security

Hypothecation of assets created out of Bank loan

Collateral:

a)   Liquid Security:

• Bank's deposits/ Life Insurance policy of any IRDA approved Insurance company /NSC/KVP upto following ceilings:

• Life policies - 90% of surrender value

• NSC/KVP - 90% of Face value

• Term Deposits of our Bank - 90% of present value.

b)   Immovable property:

• landed property situated in metro/urban/semi urban areas -70% of forced sale value

• Landed property situated in rural areas - 60% of forced sale value.

Repayment Period

• 7-9 years including holiday period, in yearly/Half yearly/Quarterly/Monthly installments depending upon the cropping pattern or income generation from the activity.

Holiday

• Gestation/Holiday period may vary from 3 months to 18 months depending upon the activity.

For other details, please contact your nearest IOB branch.