Purpose

• For purchase of
  
  New Tractor with trailer and/or other farm machineries/implements

Eligibility

• No minimum acreage need be insisted if the purpose is custom hiring for Agriculture/ Non-Agriculture. If usage for hiring purpose is more than the usage in farmer's own farm, it can be classified under custom hiring
• Minimum 4 acres of irrigated land (or) 8 acres of unirrigated land/dry land in case of classification under regular farm credit other than custom hiring
• Land holding in the name of family members who are blood related can also be considered
• Tractors upto 120 HP
• Min hours of use: atleast for 1000 hours per year

Eligible Amount

• As per invoice from authorized dealers/distributors or MRP whichever is less

Maximum Loan Amount

• 6 Lakhs

Rate of Interest

Margin

• Regular Farm Credit:
  a)Loans upto 1.00 Lakh : NIL
  b) Loans more than 1.00 Lakh :
  i. 5 % of the total Cost (if collateral security atleast equal to loan amount is offered)
  i. 10 % of the total Cost (if collateral security less than loan amount is offered)
  c) Loans more than 1.00 Lakh and up to 6.00 Lakhs : 25% of the total cost ( if no collateral security is offered)
  
  
• Custom Hiring Purpose:
  Loans up to 6.00 Lakhs (Both Agri/non-agricutlure) : 15% of the total cost
  

Security

• Under Tie-up with TAFE/TMTL Custom Hiring purpose - upto 6 Lakhs:
  a)Hypothecation of Vehicle purchased out of the loan amount
  b) Mortgage of land is not required
• In all other cases:
  a) Hypothecation of Vehicle purchased out of the loan amount
  b) Mortgage of land worth value at least equivalent to 1.5 times of the loan amount
  

Guarantee

• Suitable third party guarantee

Lien

• Bank’s lien will be noted in RC Book.

Repayment Period

• Maximum 7 years

Processing Charges

• 50% waiver in applicable processing charges

How to apply

• Please contact nearest Saptagiri Grameena Bank Branch for more details