Eligibility

Any person engaged in agriculture or allied activities as well as persons engaged in activities permitted by GOI /RBI to be classified under agriculture. The applicant should satisfy the KYC guidelines & loan will be given based on declaration. Additionally, proof of pursuing the activity to be given for loans above Rs 1 lakh.

Type of Loan

• Short Term Production Credit. The same may be granted as a UGC/Cash credit/Short term loans (tenability/tenor upto one year).
• Term loan from 36 to 60 months depending upon the purpose.

Purpose of the loan

Agriculture Silver loan is for meeting crop production expenses and/or for creation of assets to be used in his/her farming operation or for allied agricultural activities like diary, poultry fisheries etc and Agri related activities.

Margin

Silvery Jewelry - 40%

Quantum      of
Loan

• The purpose of loan can be for any one/variety of purposes for meeting the farm activity related expenses including that for allied activities.
• The loan assessment will be based on scale of finance for crop production and actual credit requirement by farmers for other purposes. However, this shall be based on the declaration of the farmers in the application form.
• The loan will be extended only against pure silver jewellery and not against silver vessels / articles, etc
• Maximum amount Rs.5.00 lacs

Repayment

• Cash Credit/Overdraft:  An operative limit/ cash credit account for a period of 5 years on the line of UGC scheme subject to annual review.
• Demand Loan: total period not exceeding 18 months.
• Term Loan: The repayment period shall be fixed in line with the Term Loan purpose but not exceeding 3 years

Forms & Documents

• Appropriate DPN note, Letter of continuity,  Hypothecation of agreement, Letter of general lien and setoff ,Hypothecation of assets other than agriculture ,Agreement for pledge of ornaments , Undertaking from borrower /Guarantor for disclosure to CIBIL and any other document stipulated in sanction.