Purpose: 

Running Finance Facility for purchase of animals, cost of feed, medicines and other running

expenses of the Farm. Running Finance Facility will be provided for following type of Live stock

Farming:

1.         Calves Fattening Farms       2.         Broilers Farming.      3.         Layer Farming.

4.         Fish Farming.                         5.         Semen Production Unit.

Eligibility:                

The applicant should be well experienced and having its own well constructed Live Stock Farm, Semen Production Unit.

Amount:                   

In case of Running Finance, upto 70% of total running expenses.

Primary Security:

  I.          Leased assets in the name of Bank.

  II.         Hypothecation of Stocks.

Collateral Security:

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

          property through equitable/registered mortgage. OR Liquid security in the shape Bank’s

          Fixed Deposited Receipts/DSC/NSC or Regular Income Certificates.

  II.        One personal guarantee of reputable person. ACO along with Regional Chief can waive

          this condition.

Margin on Tangible Security:

25-50% 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 the Lease/Hypothecated stock at borrower’s cost.

Life assurance of borrower under the Bank’s charge.

Mark-up:                  

Average 6 month’s KIBOR + 450 bps with floor of 10% per annum.

Recovery of Mark-up

In case of Running Finance Facility, the Mark-up will be recovered on quarterly basis

.

Validity:                   

One year in case of Running Finance Facility.

Repayment:            

Full adjustment of entire principal along with markup on expiry of the term.