Agriculture Loan

The Bank Provides Loan for Agricultural Loan and Allied purposes at low rate of interest. This is available only to A class members as per norms approved by the NABARD, on personal security. Keeping in view the specific requirements of customers, Mullakkodi Bank has introduced a range of products at attractive rates of interests.

Eligibility

A Class members of the bank are eligible for availing loan for pursuing the courses in institutions approved by Union or State Governments and All India Council for Technical Education (AICTE) – students can take a loan jointly with his guardians/parent, if he is over 18 years of age and otherwise the loan will have to be taken by the guardian/parent. Student should have first class in the qualifying examination

Courses eligible to avail loan

Graduate courses (BA,BSc,Bcom) post graduates courses and professional courses in Engineering, Medicine, Nursing, law, Management, Agricultural Science, Computer Science, fashion technology, Hotel Management and similar other courses.

Degree, Diploma and certificate courses in Chartered Accountancy (Institute of Chartered Accountants of India) Cost Accountancy (Institute of cost and works Accountants of India) CFA (Institute of Chartered Financial Analysts of India) and CMA (Chartered Institute of Management Accountants). Students those who are studying in recognized institutions and universities abroad are also eligible to apply.

Limit of Assistance

Maximum limit for loan for pursuit of studies within the country and outside are 5 lakhs and 25 lakhs respectively

Disbursement

Loan upto 85% of the total expenditure covering tuition fee, cost of books and equipments, Hostel fee, Exam fee, project cost and study tour will be provided.

Security

Advance is made against the mortgage of landed property, plant and machinery and other fixed assets or the hypothecation of goods in trade, raw material in production and finished goods. Deposit of title deed can also be applied if the original prior documents are submitted along with the title to be mortgaged

Students those who studying in abroad can also include airfare.

Amount will be disbursed directly to the university or Institute as and when required. Cost of books and equipments will be disbursed on the production of purchase bill and exam fee etc against declaration of the applicant

Repayment/ Tenure of loan

Repayment period will be 7 years after completion of the course. Loanees have the flexibility to choose for a shorter repayment period

Repayment of Principal Amount will begin within one year of the completion of the course or six months after getting employment which ever is earlier. Till then, only interest need to be paid on monthly basis. There will be no penality for premature payment

Amount will be disbursed directly to the university or Institute as and when required. Cost of books and equipments will be disbursed on the production of purchase bill and exam fee etc against declaration of the applicant

Collateral Security

Amount will be decided after evaluating the credentials of the applicants and the performance of the students in the examinations cleared. For loans upto 1 lakhs personal surety of employed persons will be applicable and for amount more than 1 lakhs, in addition to personal surety landed property to be mortgaged as equitable

mortgage/Registered Mortgage. An amount equivalent to the 75% of the market value will be sanctioned as loan

Authority to sanction the loan

Application to be submitted to the Branch Manager and Board of Directors will be the sanctioning authority. Proof of admission, certificates of examinations completed, proof of address, income statement of Co-applicant etc are to be submitted along with the salary certificates and necessary documents regarding the landed property

General

In all cases the legal and technical charges, stationary charges, registration charges and all other incidental changes shall be borne by the borrower