Bank of India Loan Against Property

• To satisfy the credit need(s) of trade, commercial work, other general business, Profession
• To satisfy wedding or medical or educational costs for the family member(s) including near-relatives.
• To under-take repair(s)/re-novation/extension to the residence or commercial property.
• Purchase of consumer durable(s).
• To buy / construct house/flat, purchase of plot.
• To purchase 2/4 wheeler vehicle(s).
• For going on pilgrimage/tour(s)/excursion(s), etc.
• Repayment of existing loan(s) from other Bank(s)/FIs.

• ‘Salaried employees’:
• 48 times of mnthly net emolument(s)
• 4 times of net ‘annual-income’ with other ‘rental-income’ from property etc. based on Income-tax return(s)
• ‘Self-employed’/’professional’s/ ‘individuals’ ‘engaged in trade’/ ‘commerce’/ ‘business’- 4 times of their net ‘annual income’ based on ‘income-tax returns’ (Average of Last 2/3 yrs).
• Proprietorship’/’Partnership Firm’/’Company’ – Four times of Cash-accruals (i.e. ‘PAT’+ ‘Depreciation’) as per their ‘Audited Balance Sheet’/ P & L A/c (Avg. of Last 2/3 yrs).

Note:
For Individual(s):

• While fixing the ‘limit’, it is to be 100% ensured that the net ‘take home pay’  is not less than 30% of ‘gross income’ of the applicant. For ‘Prop. Firm’/’Partnership firm’/’Company’: DSCR: Min. 1.5
• Limit prescribed would be subject to a Max. of 70% in case of ‘salaried employees’ (50% in other cases) of value of property or eligibility level, whichever is lower.

• ‘Salaried Employees’          30% *
• Other(s)                             50% *
• *On value of property being assessed by Bank’s approved value.

• Re-payment upto3 y.rs – 4.00% above ‘Base Rate’ 14.75% p.a.
• Re-payment over 3 yrs – 4.50% above ‘Base Rate’ 15.25% p.a.
• Interest concession for ‘woman beneficiaries’ 0.25% p.a.[All borrowers to be ‘women’]

• In a/cs where ‘regular Overdraft facility’ is not proposed. :-
• Within a period of eight yrs by way of EMIs. The re-payment shall commence from the month subsequent to the month in which ‘final disbursement’ is made or 6 mnths from the first disbursement. In case of agriculturists: The re-payment will be related to the generation of farm-income from crops and other subsidiary activities.

Note:

• The property offered should be a ‘residential’ or ‘commercial building’ or a plot of land (‘residential’/’commercial’).
• The property should be ‘self occupied’ or ‘leased’ out to acceptable individuals, govt. agencies, PSUs, Corporates, etc.
• Agricultural-land is NOT accepted against  security purposes.

• One time @ 1% of Loan amnt. Min.Rs.3,000/- and max.     Rs.30,000/-.
• Overdraft Limit (not reducible as per ‘re-payment schedule’):
• 0.25% of the ‘sanctioned-limit’, Min. Rs.3, 000/- and Max. Rs.10, 000/-     on ‘annual-basis’.
• Document charge(s), advocate fee(s), architect fee(s) etc. on actual-basis.
• Loan agreement copy charge(s):  As applicable
• For ‘Partnership firms’/’Corporate’ –
• Processing charge(s) will be double that of applicable to individual(s)
• For Rural areas –Processing charge(s) will be 50% that of applicable to individuals in respect of loan(s) availed by borrowers from rural areas from the ‘Rural Branch(es)’.
• Additional charges  –One time 25% of the ‘applicable processing charge(s)’ min. Rs.500/- max. Rs.3000/-

‘Charges for deviation from scheme norms’

• Limit(s) (exceeding Rs.25 lacs upto Rs.50 lacs – Rs.6, 000/-)
• Limit(s) (exceeding Rs.50 lacs–Rs.100 lacs – Rs.15, 000/-)

SME :

• Limit(s) (exceeding Rs.25 lacs upto Rs.50 lacs – Rs.3,500/-)
• Limit(s) ( exceed(s) Rs.50 lacs – Rs.100 lacs Rs.7,000/-)

For ‘every item of deviation’ from the scheme norm(s) –
One time 25% of the ‘applicable processing charges’ min.Rs.3, 000/-; max. Rs.10,000/- per a/cs.