BGVB Personal Loan

Providing loans to the salaried and professional and self-employed persons to meet their personal expenses which are temporary in nature arising out of domestic and social requirements like marriage, social ceremonies, tour, medical treatment or any other purpose except hoarding and speculative activities.

The applicant who has completed at least 2 years of service and the salary of the applicant is either disbursed through the branch where the applicant has applied for the loan or the employer of the applicant (Govt establishments, PSUs, Other Reputed concerns acceptable to the Bank) has ensured the repayment of instalments by way of monthly deduction from the applicants’ salary.

In case of teacher drawing salary from our branches who has at least completed one year of service and preceding twelve months full salary has been credited to the branch salary account or the employer of the applicant has ensured the repayment of instalments by way of monthly deduction from the applicant's salary.

• Teachers of Sishu Siksha Kendra (SSK), Madyamic Siksha Kendra (MSK) and Para Teachers in High School, whose consolidated pays are disbursed through the branches of our Bank and who have at least served one year contract period or the employer of the applicant has ensured the repayment of instalments by way of monthly deduction from the applicant's salary.
• Accredited Social Health Activist (ASHA) engaged by the Govt of West Bengal, Health and Family Welfare Department under National Rural Health Mission whose consolidated pays are disbursed through the branches of our Bank and who have at least served one year contract period or the employer of the applicant has ensured the repayment of instalments by way of monthly deduction from the applicant's salary.
• Anganwari Workers and Anganwari Helpers under Integrated Child Development Scheme (ICDS) serving for not less than 5 years of engagement and having age not above 55 years as on the date of application, drawing salary from financing branch of BGVB or the employer of the applicant has ensured the repayment of instalments by way of monthly deduction from the applicant's salary and terminal benefits.
• If the wife is co-borrower and a working lady or a professional, the annual income of the wife shall be added to the income of the husband for the purpose of ascertaining the eligibility and calculating the permissible amount of loan.

• The applicant shall be in the profession or business for at least 2 years and should be an existing account holder of the branch where the applicant has applied for the loan and the minimum gross amount of annual income shall not be less than Rs.2,00,000.00.
• If the wife is co-borrower, the minimum gross amount of annual income may be relaxed upto Rs.1,50,000/- and if the wife is a working lady or a professional, the annual income of the wife shall be added to the income of the husband for the purpose of ascertaining the eligibility and calculating the permissible amount of loan.

Where applicant's salary is disbursed through the branch of BGVB or the employer of the applicant ensures repayment the maximum limit of Loan will be as follows.

• For applicants who have completed two years of service (Govt. establishments, PSUs, Other Reputed concerns acceptable to the Bank) and whose salaries are being disbursed through the branches of BGVB the maximum amount of loan shall be Rs.700000.00, (Enhanced from Rs.500000.00 lakh) provided it does not exceed 18 months Gross Salary, subject to total deduction of the applicant does not exceed 60% of the Gross Salary.
• For teachers who have completed at least one year of service and salaries are being disbursed through the branches of BGVB, the maximum amount of Loan shall be Rs.150000.00 provided it does not exceed 12 months Gross Salary subject to total deduction of the applicant does not exceed 60% of the Gross Salary.
• For applicants who are not drawing salary from our branches but where employer (Govt establishments, PSUs, Other Reputed concerns acceptable to the Bank) will ensure deduction of monthly instalment towards recovery of the loan and send directly to the Bank and also ensure that in case of discontinuation of service of the applicant loanee employee, the loan dues would be recovered from the terminal benefits, the maximum amount of loan shall be Rs.150000.00 provided it does not exceed 12 months' gross salary and the total deduction does not exceed 60% of the Gross salary. It is to be noted that the relaxation in obtaining employer’s undertaking as defined in above will not apply in such cases. In other words, employer’s undertaking for deduction of monthly instalment towards recovery of the loan and send directly to the Bank and that in case of discontinuation of service of the loanee employee, the loan dues would be recovered from the terminal benefits is mandatory.
• For SSK (Sishu Siksha Kendra) Teachers, MSK (Madhyamik Siksha Kendra) Teachers and Para-Teachers of the High Schools whose consolidated pays are disbursed through the branches of our Bank and who have at least served one year contract period the maximum amount of loan shall be Rs.1,50,000.00 (Enhanced from Rs.1,00,000.00) provided it does not exceed 12 months' gross salary and the total deduction does not exceed 60% of the Gross salary.
• Accredited Social Health Activist (ASHA) engaged by the Govt of West Bengal, Health and Family Welfare Department under National Rural Health Mission whose consolidated pays are disbursed through the branches of our Bank and who have at least served one year contract period or the employer of the applicant has ensured the repayment of instalments by way of monthly deduction from the applicant's salary the maximum loan amount will be Rs. 40,000.00 (Enhanced from Rs.20,000.00) subject to total deduction of the applicant does not exceed 60% of the Gross Salary.
• Anganwari Workers and Anganwari Helpers under Integrated Child Development Scheme (ICDS) serving for not less than 5 years of engagement and having age not above 55 years as on the date of application, drawing salary from financing branch of BGVB or the employer of the applicant has ensured the repayment of instalments by way of monthly deduction from the applicant's salary and terminal benefits, the maximum loan amount will be Rs.50000.00 and Rs.30000.00 respectively subject to total deduction of the applicant does not exceed 60% of the Gross Salary.

• The maximum amount of loan shall be Rs.2.00 lac or 50% of gross annual income of the applicant whichever is lower subject to the condition that the loan amount shall be secured by surrender value of LIP or NSC/KVP or Relief Bond or any other government securities or bank's term deposits of adequate face value after applying 15 % margin or mortgage of immovable property of adequate value after applying 50% margin.
• If the wife is co-borrower, the maximum amount of loan may be raised to Rs.3.00 lac or 50% of gross annual income of the applicant whichever is lower subject to the condition that the loan amount shall be secured by surrender value of LIP or NSC/KVP or Relief Bond or any other Government securities or bank's term deposits of adequate face value after applying 15 % margin or mortgage of immovable property of adequate value after applying 50% margin.
• If the wife is co-borrower as well as a working lady or a professional, the maximum amount of loan may be raised to Rs.4.00 lac or 50% of gross annual income of the couple whichever is lower subject to the condition that the loan amount shall be secured by Surrendered Value of LIP or NSC/KVP or Relief Bond or any other government securities or bank's term deposits of adequate face value after applying 15% margin or mortgage of immovable property of adequate value after applying 50% margin.
• Quantum of loan and the margin may be modified from time to time.

NOTE :- No top-up will be allowed and fresh loan may be sanctioned only after closure of the earlier loans.

MCLR + 4.00 %, i.e. 13.00 % p.a. at present chargeable at monthly rest Interest will be subject to change as per directives of the Bank/RBI/NABARD or every change in MCLR.

NOTE :- No top-up will be allowed and fresh loan may be sanctioned only after closure of the earlier loans

Branch Manager shall be the sanctioning authority for this scheme. However, in case of salaried employees of corporate houses, educational institutions and municipalities/corporations prior consent of concerned RMs shall be obtained. All the sanctions made by the Branch Manager shall be reported to the Regional Managers through the monthly Discretionary Power Statement.

• Primary
  • There shall not be any primary security for loans under these schemes.
• Additional

  Sl No.	Cases covered under para	Securities stipulated
  1	1.3.1, 1.3.2, 1.3.3, 1.3.4,1.3.5 & 1.3.6	No additional securities should be insisted on
  2	1.3.2	At least 20% of the loan amount.
  3	1.4	Loan amount shall be secured by surrender value of LIP or NSC/KVP or Relief Bond or any other government securities or bank's term deposits of adequate face value after applying 15% margin or mortgage of immovable property of adequate value after applying 50% margin.

Service Charge/Processing Fees on the sanctioned loan amount at the prescribed rate should be realised at the time of sanctioning the loan.

• Regular employees of Central and State Governments, Government/Semi-Government undertakings, reputed corporate houses, educational institutions, corporations and municipalities.
• Professional and/or self-employed persons.

• Demand Promissory Note along with general Letter of Lien from the loanee.
• Letter of Assignment for assigning LIP or NSC or KVP or other securities in favour of the Bank and authorizing the Bank to realise the matured proceeds of assigned LIP or NSC or KVP or other securities from respective authorities (wherever applicable) and Letter of set off for Bank's own TD.
• Memorandum of deposit of title deed for creation of equitable mortgage, search, marketability and valuation report of the property in case the loan is secured by mortgage of property.
• The loanee shall deposit post-dated cheques of other bank for all the instalments of the loan along with irrevocable letter of commitment not to stop the payment of such cheques.

• The loan shall be repaid within a period not exceeding 60 months by equated monthly instalments (EMI) so that net take home salary of the applicant after all deductions, including instalment of proposed loan and loans granted by his/her employer, is not less than 40% of his/her gross salary/Income. It should be ensured that adequate length of service shall remain to cover the proposed repayment schedule.
• If the wife is co-borrower, the repayment period may be extended upto 72 months at the consent of the applicants provided net take home salary of the applicant after all deductions, including instalment of proposed loan and loans granted by the applicant's employer, is not less than 40% of gross salary of the husband or gross income of the couple when the wife is a working lady or professional. It should be ensured that adequate length of service shall remain to cover the proposed repayment schedule.

No penalty should be charged for early repayment of loan.

• Application for Personal Loan with a photograph - Annexure - A.
• Letter of Authority of Borrower - Annexure – B.
• Employer's Undertaking (in the letter head) - Annexure – C.
• Employer's confirmation of deduction of Monthly instalment (EMI) - Annexure – F.
• Latest salary certificate from the employer of the applicant in case of salaried persons.
• A copy of the latest Income Tax Assessment Order and/or a copy of the latest Income Tax Return filed before the IT authorities by the applicant in case of Professional and self employed persons.

Please contact your nearest BGVB branch for further information.

Terms & conditions apply.