SBI Pension Loan - Apply Online for SBI Pension Loan in India - Personal Banking

Eligibility

For Central & State Government Pensioners

• The pensioner should be below 76 years of age.
• Pension payment order is maintained with SBI.
• The pensioner to furnish an irrevocable undertaking not to amend his mandate to the Treasury during the tenure of the loan.
• The Treasury to give consent in writing that it will not accept any request from the pensioner to transfer his pension payment to any other bank till a NOC is issued
• All other terms and conditions of the Scheme will be applicable, including guarantee by the spouse (eligible for family pension) or by a suitable third party.

For Defence Pensioners

• Pensioners of Armed Forces, including Army, Navy and Air Force, Paramilitary Forces (CRPF, CISF, BSF, ITBP, etc.), Coast Guards, Rashtriya Rifles and Assam Rifles.
• Pension payment order is maintained with SBI.
• No minimum age bar under the scheme.
• Maximum age at the time of processing the loan should be less than 76 years.

For Family Pensioners

• Family pensioners include authorized members of the family to receive pension after the death of the pensioner.
• Family pensioner should not be more than 76 years of age.

Loan Repayment Period

• SBI PENSION LOAN:

  Repayment Period

  72 months (Loan to be repaid by 78 years of age)

• JAI JAWAN PENSION LOAN:

  Repayment:

  In maximum 72 EMIs commencing from one month after disbursal of loan through SI, or by debit to the pension a/c for recovery of EMIs.  Maximum Age at the time of loan sanction Maximum Repayment Period Age at the time of full repayment Up to 76 years 72 months 78 years

• SBI PENSION LOAN SCHEME TO PENSIONERS OF PSUs:

  Repayment Period

  72 months (Loan to be repaid by 78 years of age)

PENSION LOAN SCHEMES - RATE OF INTEREST (w.e.f. 15.08.2024)

(2-year MCLR @ 9.05%)

*The Treasury/ PSU Pensioners to be charged a premium of 0.50% in case concerned Treasury/PSU (Pension Payment Authorities) do not give consents/undertaking in writing that it will not accept any request from the pensioner to transfer his pension payment to any other Bank/Branch till a NOC is issued by our Bank/Branch.

# Effective Interest Rate will be fixed for entire loan tenure with no reset.

Terms and conditions

• EMI/NMP ratio shall not exceed 33% in all the cases for Family Pensioners
• EMI/NMP ratio shall not exceed 50% in all other type of Pensioners.
• Prepayment charges - 2% on prepaid amount.
• No prepayment/ foreclosure charges if the account is closed from the proceeds of a new loan account under the same scheme.
• Repayment mode of the loan is furnished by Standing Instructions to debit the pension account for recovery of the EMIs.
• Guarantee of loan is secured by TPG of Spouse eligible for family Pension or any other family member or a third party eligible for pension loan.
• Penal Charges: In the event of default in payment of any instalment or any irregularity in the loan account, penal charges at following rate will be applicable:
  • Irregularity up to 60 Days: 2.40% per annum on the irregular portion for the period of irregularity.
  • Continuous irregular for a period beyond 60 days: 5% per annum on the outstanding for the period of irregularity.