SBI Agriculture Loan For Financing Power Tractor (Scoring Model For Tractor Loans) to provide finance for purchase of new tractors, accessories and implements. The earlier Tractor Plus scheme stands withdrawn.
Features of Agriculture Loan For Financing Power Tractor
Borrower Risk Characteristics are assigned 56 marks and Transaction Risk Characteristics, 44 marks, making a total of 100. Good proposals, obtaining score above 60, will not come under the purview of Branch NPA factoring. Hurdle rate is 40 marks.
Eligibility Agriculture Loan For Financing Power Tractor
Agriculturists (individually or jointly ).
Margin: Margin varies from 5% to 20%, depending on the scoring as well as DSCR.
Security: Primary security: Hypothecation of the tractor, accessories and implements. Noting of Bank’s hypothecation charge in the RC Book.
Collateral security: As per scoring. Interest: As per scoring.
Upfront fee: Loan amount upto Rs.2,00,000/- : NIL. Above Rs.2,00,000/- : @ 1.25% of the amount.
Repayment: Within a maximum period of 9 years, including a grace period not exceeding 12 Months, payable half-yearly / yearly, coinciding with the harvesting.
Inspection: Regular loans (any amount) - Inspection once in six months. Irregular loans (any amount) - Monthly visits.