Objective

• To Provide loan against Government Bonds.

Type of Assistance

• Any individual and institution.

Permissible Loan Amount

• 90% of the pledged government bond.

Interest Rate

• 8.00% (Per Annum).
• Interest is payable quarterly( Ashwin end, Poush end, Chaitra end & Ashad end ).

Security

• Pledge of Government Bonds.

Tenure

• Depends upon the maturity of the Govt. bonds.

Repayment

• Principal payment upon maturity.
• In the event of non-payment of any installment or in the event of any other irregularity
  continues, in such a situation a penalty will be levied as per the Bank’s regulations.

Documentation

• Loan Agreement Paper
• Letter of Lean
• Promissory Note
• Internal Loan Commitment Paper