Indian Bank is a financial service company established in the year 1907, and since then the bank is growing leaps and bounds. Today, it is one of the top-performing public sector banks in India. The bank is owned by the Government of India and it has many branches in India and as well as abroad.
On 1 April 2020, Indian Bank merged with Allahabad Bank and became the seventh largest bank in India.
Out of an array of products & services offered by the bank, Agriculture loan is one of the widely known offerings by the Indian Bank. The main intention behind Indian Bank Agriculture Loan is to give relief to the farmers with financial aid. There are many benefits and features that the scheme offers, which is a must to know in order to opt for the best Agriculture scheme. Read on!
The objective of this scheme is to offer credit to farmers who are looking to construct new Agri godowns, cold storages, Market yields, expanding units and so on. The bank allows the farmers to take the loan irrespective of their location.
The scheme details of Agricultural Godowns & Cold Storage are as follows:
|Eligibility||Individuals, Group of Individuals|
|Types of Facility||Term loan- Under term loan, you will have to pay regular payment over a period of time. Under cash credit, you'll get a short-term loan where the account is limited to only borrowing up to the borrowing limit|
|Amount of loan||Term loan: Based on the project cost. Working Capital: Cash Budget method to assess the working capital regardless of limits.|
|Margin||Term loan: Minimum 25%. Working Capital: Minimum 30%|
|Repayment||Up to 9 years including maximum holiday period of 2 years|
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The objective of the scheme is to automate farming activities to enhance agricultural production. You can purchase tractors with a minimum three attachments including a trailer, power tiller and pre-used tractor.
You are eligible for the scheme under following circumstances-
The purpose of this scheme is to give financial help to the poor to uplift their Income levels and raise their way of living.
The loan amount is based on the linkage of the SHG’s.
The repayment period of the loan is a maximum 72 months, depending on the activity.
|1st linkage||Minimum of Rs. 1 lakh|
|2nd linkage||Minimum of Rs.2 lakh|
|3rd linkage||Minimum of Rs. 3 lakh based on the micro-credit plan prepared by SHGs|
|4th linkage||Minimum of Rs. 5 lakh based on the micro-credit plan prepared by SHGs and maximum of Rs. 35 lakh based on the previous credit history|
The joint liability group scheme focuses to increase the flow of credit to tenant farmers for cultivation of the land. The scheme also helps the farmer who doesn’t have a proper land holding through the formation and financing of SHGs.
Eligibility criteria under this Indian Bank agriculture loan are as follows-
The repayment for term loan varies from 6 to 60 months relies on the activity for which the loan is sanctioned.
The interest rate for crop loan and term loan are as follows:
|Loan Scheme||Amount Slab||Interest Rate|
|Crop Loan||KCC up to Rs. 30 lakh||7% p.a (Under interest subvention from India)|
|Term Loan||Up to 0.50/ 1 lakh per individual or Rs. 5 lakh/ Rs. 10 lakh for the group||MCLR 1 year + 2.75%|
The purpose of the Kisan Credit Card is to meet the short-term credit requirements for cultivation of crops and post-harvest expenses. This scheme’s primary motto is to help farmers for daily maintenance of farm assets and consumption requirements of farmer households.
Farmers, individuals and joint borrowers can apply for KCC. Sharecroppers, oral lessees and tenant farmers are too eligible. Furthermore, tenant farmers and sharecroppers of self-help groups and joint liability groups can avail the scheme benefits too.
Currently, under KCC, the Return on Investment (ROI) and long-term limit is linked to the MCLR.
The interest rate for short term loans and KCC for farmers is up to Rs. 3 lakh is 7% onwards.
|Up to Rs. 3 lakh||7% (whenever interest subvention is available)|
|Up to Rs. 3 lakh||1year MCLR + 2.50%|
The Agricultural jewel loan is suitable for the ones who are seeking short-term credit requirements for crop cultivation, repairs of farm assets, dairy, fisheries and poultries.
You can also opt for the scheme to fulfil farming requirements such as purchase of fertilizers, pesticides, seeds, repayment of the debt taken from non-financial institutional lenders.
|Agricultural Jewel Loan Scheme||Details|
|Eligibility||All individuals farmers|
|Loan quantum||For bumper Agri jewel loan- 85% of the market value of gold pledged, For other Agri jewel loan- 70% of gold jewels pledged|
|Repayment||You can repay the loan within 6 months for bumper Agri jewel loan. Whereas, for Agri jewel loan, the repay tenure is of 1 year|
|Bumper Agri Jewel Loan||8.50% fixed|
Indian Bank customer care helps you with the solutions for all your queries related to Indian Bank products. You can Call on the below--mentioned numbers to get their queries resolved-