THE KERALA STATE CO-OPERATIVE AGRICULTURAL AND RURAL DEVELOPMENT BANK LTD(KSCARDB)

Comprehensive Rural Development Through Credit

Housing - NHB Rural Housing Scheme

  • The K.S.C.A.R.D.Bank has started giving housing finance from 1989-90 and made a markable progress in implementing the scheme for Rural Housing by availing refinance facility from National Housing Bank. Now NABARD also give refinance for this purpose.

  • The housing loans are advanced through the affiliated eligible PCARDB Banks to the individual borrowers. The rural housing loan is available for construction of new houses, extension/ upgradation of houses and purchase of ready built house. The maximum eligibility for purchase/construction of houses shall be Rs.5 (Five lakhs) lakhs. The maximum eligibility for purchase of ready built house shall be 75% of the purchase price as per title documents subject to a maximum of Rs. 5 lakhs.The maximum loan for repairs and renovation of houses will be Rs.3 lakhs.

  • The interest shall be charged at the rate prevailing from time to time.

  • The house and house site to be constructed/purchased/renovated shall constitute the primary security of the loan, wherever primary security is not sufficient, additional security in the form of personal sureties or landed properties may be given. The minimum area of house site shall be 5 cents.

  • The loan shall be repaid within a maximum period of 15 years. The beneficiaries contribution for availing the loan is 25% of the estimated cost. The share linkage in respect of housing lending shall be 5% between borrower and PCARD Banks subject to a maximum of Rs. 10000/-

  • Only the PCARD Bank with the following recovery performance have the eligibility to grant housing loans.

    • In respect of overall lending: At least 60% of total demand during the end of preceeding co-operative year.

    • In respect of housing loan: Minimum 85% of the total demand during the end of preceeding Co-operative year.

  • In the event of a PCARD Bank slipping below the prescribed recovery level after the housing loan granted, NHB’s financial assistance would be available for subsequent instalments only and that Bank is not eligible for disbursement of fresh loans.