Get Your New Tractor Loan Scheme Online in India | SBI - Agri & Rural

1

Eligibility

• Minimum land holding of 2.00 acres.
• Farmer or group of farmers i.e Joint Liability Groups (JLGs)/Self Help Groups (SHGs), institutions or organization having regular income either from farm activity or custom hiring from the tractor and accessories to be purchased.

2

Purpose of Loan

To meet the part cost of purchase of tractor, accessories, implements, insurance and registration.

3

Type of Facility

Agriculture Term Loan

4

Quantum of Loan

Total cost of tractor, accessories and implements including insurance and registration.

5

Margin

15% of project cost including insurance and registration charges.

6

Interest Rate

2.00% above one year MCLR.

7

Repayment

Repayment in EMIs, based on repayment Hiring potential and age of income from allied activities.

8

Security

Loans up to Rs. 1.00 lac:

Primary: Hypothecation of Tractor, accessories and Implements purchased out of Bank finance.

Collateral: Nil .

Loans above Rs. 1.00 lac:

Primary: Hypothecation of combine harvester and accessories.

Collateral: Mortgage of land /charge on land or Third Party Guarantee.

9

Processing Charges

0.50% of the loan amount as upfront fee + GST

10

Insurance

Comprehensive insurance of tractor, accessories and implements purchased with bank’s finance.

11

Documents Required

• Duly filled in application form
• Quotation of the Tractor from reputed dealer.
• Identity proof- Voter ID card/PAN card/Passport/ Aadhaar card/Driving License etc.
• Address proof: Voter ID card/Passport/Aadhaar card/Driving license etc.
• Proof of agricultural land/ cultivation.