If you are a Central or State Government or Defence pensioner drawing your pension through one of SBI branches and are not more than 76 years of age, you can avail of a loan from your branch to meet your personal expenses. SBI understands you may have an urgent or unexpected need for funds or a family obligation to be fulfilled and appreciate your association with the bank.
Features of SBI Pension Loan
- Nominal processing fees (Nil Processing Fees for Defence Pensioners).
- No hidden costs
- Quick loan processing.
- Whenever you have some surplus funds, you can credit your loan account, thereby reducing your loan liability and interest burden.
Eligibility for SBI Pension Loan
1. For Pensioners - Central & State Government Pensioners
The pensioner should not be more than 76 years of age. In addition, pensioners whose pensions are disbursed by Government Treasuries by means of cheques drawn in favour of SBI branches, as per mandate of the pensioner, are also proposed to be included. In such cases, the original Pension Payment Order (PPO) remains in the custody of the Treasury and the pensioner gives a mandate to the Treasury for payment of pension through a particular branch of a bank.
Such pensioners will be included under the purview of the Scheme subject to the following conditions:
- The pensioner concerned furnishes an irrevocable undertaking that he will not amend his mandate to the Treasury to pay his pension from the branch, during the currency of a loan availed by him from SBI.
- The Treasury concerned consents in writing that it will not accept any request from the pensioner to transfer his pension payment to any other bank/ branch till an NOC is issued by the Bank.
All other terms and conditions of the Scheme will be applicable, including guarantee of the spouse (who will be eligible for family pension) or a suitable third party. The norms for family pensioners will continue.
2. 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 who’s Pension Payment Order is with SBI.There is no minimum age bar under the scheme. The Maximum age at the time of availment of loan should be 76 years.
3. For Family Pensioners (including Defence Family Pensioners)
Family pensioner, i.e. spouse authorized to receive pension after the death of the pensioner, subject to condition that family pensioner should not be more than 76 years of age.