AGRICULTURAL GOLD LOANS

Purpose

Bank extends hassle free finance to farmers / agriculturists against Gold Ornaments / gold wares to increase their liquidity to meet crop production expenses, Investment expenses related to agriculture and / or allied agricultural activities.

Eligibility

Any person engaged in agriculture or allied activities as well as persons engaged in activities permitted to be classified under agriculture. Evidence of farming activity (like proof of Land records) is necessary.

Quantum of Loan

Upto 75% of the value of the ornaments.

Security

Pledge of gold ornaments.

How do you repay

Cash Credit / Overdraft: Like KCC, it is a running account for a period of 3 years, subject to review at annual intervals.

Demand Loan / Term Loan: The repayment period of the loan should be fixed so as to coincide with the harvesting and marketing season / generation of income from the activity, allowing 2 to 3 months time after harvesting to market the produce and realize the proceeds. However, the total period will not generally exceed one year from the disbursement of the loan in the case of short-term loan / production credit and 36 months in other cases.

How to apply for this loan

Nearest Branch engaged in Agricultural advance may be contacted.