| Purpose / Objective | * For mechanizing the farming activities so as to improve agricultural production / productivity.
* To purchase tractors / power tiller together with necessary equipments like cultivator, tiller, mould board plough, disc harrow, cage wheel, trailer, threshers, harvesters etc. |
| Eligibility | Farmer having minimum of 4 acres of irrigated land or 8 acres of dry land.
|
| Quantum of Loan | Based on the quotation / invoice submitted for the vehicles and implements. |
| Margin | a) 10%
b) Can be reduced to 5% if value of collateral security is at least equal to loan amount. |
| Interest Rates |
| Amount Slab(Rs. in Lakhs) |
Interest Rate |
| <0.50 |
BPLR + TP less 1.75% |
| >0.50 to 2.00 |
BPLR + TP less 0.75% |
| >2.00 to 5.00 |
BPLR + TP less 0.50% |
| >5.00 |
BPLR + TP + 0.25% |
|
| Repayment Period | Maximum 9 years, in half yearly / yearly installments depending upon the crop cultivated. |
| Security | * Hypothecation of tractor and other implements purchased with the Bank loan.
* Third party guarantee mortgage of properties. |
| * BPLR = 12.50 % and BASE RATE = 8.00 % | |
