Objective

To extend retail credit facility on easy terms for raising kitchen garden, Flower Gardens, Small Orchards, Roof Gardens and landscaping.

Eligibility

Individuals possessing independent houses having atleast 500 sq ft of open space, for raising roof garden, similar area of open unencumbered roof space must be available. Should have regular source of income. Salaried persons, Professionals and business men with regular source of income.

Corporate Clients, Privately owned schools, offices, guest houses, hospitals, hotels, Proprietary or Partnership firms, Trusts and Societies etc. having atleast 1000 sq ft of open space for gardening are eligible.

Purpose

For raising kitchen gardens, flower gardens, small orchards , roof gardens in independent houses, bungalows, guest houses, offices and private institutions having open space inside their compounds.

Amount of Loan

Minimum loan amount : Rs 33000/- (for 1000 sq ft of area)
Maximum loan amount :  For Individuals : Rs. 2.5 lacs, For Institutions: Rs 25 lacs

Margin

No margin for loans upto Rs 1.60 lac. 
15 % margin for loans above Rs 1.60 lac.

Security

For loans upto Rs 1.60 lac:

Prime: Hypothecation of crop and assets created out of loan. Collateral Security is waived.

For loans above Rs 1.60 lac:  

1. For Employees: Undertaking letter from employer for routing of salary through the branch backed by standing instructions.
2. For Other individuals: Third party Guarantee of an individual with worth not less than that of the borrower.
3. For institutions: Collateral security of atleast 50 % of the loan amount and personal guarantees of Partners/trustees/promoters.
4. Hypothecation of crop and assets created out of loan, for all the above cases.

Repayment

Repayable in 3 years in monthly EMI

Holiday

Nil

Rate of Interest

Varies from time to time. Presently

Upto Rs.5 lacs: One year MCLR+1.40%

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

For other details, please contact your nearest IOB branch.