Tractor Finance

State Bank Of India’s Stree Shakti Tractor Loan (SSTL)

Purpose: To extend hassle free Tractor Loans to farmers with women as co-borrowers with competitive rate of interest and shorter repayment period.

Eligibility: The loan shall be sanctioned with women as co-borrowers, with Minimum agriculture land holding of 2 acres in the name of borrower(s) and Minimum net annual income of the borrower(s) is Rs.1.50 lacs from farm activity /custom hiring / other sources. EMI / NMI shall not exceed 60%.

Margin: SSTL without Collateral security: Minimum of 50% whereas SSTL with Collateral security: Minimum margin 10%.

Security: Hypothecation of tractor & accessories. And the tractor and accessories purchased with bank's finance have to be comprehensively insured for the full value. SSTL without Collateral is Nil and SSTL with Collateral: Mortgage of immovable properties is not envisaged. Security of gold ornaments, NSC, Time Deposits (advance value of gold ornaments, time deposits, NSC) to the extent of a minimum 30% will be obtained.

Repayment: a) SSTL without Collateral: Maximum 36 EMIs with 1 month moratorium.
b) SSTL with Collateral: Maximum 48 EMIs with 1 month moratorium.

Interest: a) SSTL without Collateral security: 1.75% above Base Rate.
b) SSTL with Collateral security: 1.50% above Base Rate

Upfront Fee: Normal fee will be charged (1.25% of loan amount at present)

For further details, please visit:
https://www.sbi.co.in