Purpose: 

Demand Finance Facility for construction of Sheds and other Civil Works for Livestock Farms.

Eligibility:                

The applicant should be having suitable land for construction of Dairy Farms.

Amount:                   

70% of total cost of construction assessed by the Banks and PBA’s approved Surveyors.

Equity           

30% of total cost of construction assessed by the Banks and PBA’s approved Surveyors.

Security:

(a)      Primary

Leased assets in the name of Bank (if any).

(b)      Collateral

         I.    Charge on Agriculture Land through Agri. Pass Book OR Charge on urban immovable

              property through equitable/registered mortgage. OR Lien Liquid security in the shape

              Bank’s Fixed Deposited Receipts or certificates of National Savings Centres.

         II.   One personal Guarantee of reputable person of that area. ACO along with Regional

              Chief can waive this condition.

Margin on Tangible Security:

• 25% to 50% margin on landed property (Agri/Urban). & 25% margin in case of liquid security.
• The maximum amount of Finance will be allowed upto 75% of the Oast Bai Value of land (Oast Bai is verified by Revenue Officer)

Insurance:               

Comprehensive Insurance of Building. Life assurance of borrower under the Bank’s charge.

Mark-up:                  

15% per annum.

Validity:                   

Five years from the date of disbursement with first year as grace period.

Repayment:            

16 equal quarterly installments (Principal and Mark-up) after first year of grace period