Canara Bank Pradhan Mantri Awas Yojna Housing Scheme
Canara Bank PMAY 2024 – Check Documents, Subsidy Scheme, Interest Rates, Loan Amount, EMI, Processing Fees, Eligibility, Disbursement Process of Canara bank at Deal4loans.
A house is a place out of all the places where you can relax and be yourself. A house provides you with the serenity and security to abound under the roof where you can be sure that you are safe and secure. Under this scheme the Government of India provides affordable houses to any individual belonging to a poor urban class or rural people. Canara Bank is one of the bank that provides with PMAY loan product. Moreover, PMAY comes with Zero (0) processing fees. Some of the basic features and purposes of the scheme under Canara Bank are listed below.
| Interest Rates | 8.85% – 11.25% |
| Subsidy under the scheme | · Any beneficiary is eligible for an interest rate subsidy of 6.5% for a time period of 15 years or time period whichever is lower.
· Interest subsidy is available for loan amount for Rs 6 lacs and loan amount which is above Rs 6 lacs will be non-subsidized at normal bank rates. · The bank shall demand for subsidy from Central Nodal Agency after the distribution of the loan amount and it shall be credited upfront to the loan account which will result in the reduction effective of the Housing Loan. · When a borrower switches his/her Housing Loan availed of the interest subvention under the scheme to another account than the beneficiary is no more eligible for interest subvention again. · Suppose if the account becomes NPA or if the project is delayed or the construction is not completed within 18 months than the interest subsidy will be recovered and it shall be refunded to the Central Nodal Agency. |
| Ambition | · To provide under PMAY scheme to purchase House/Flats, Construction of houses on the site owned, purchase of flats under construction.
· It also provides loan for existing Kucha units which requires extensive renovations to make concrete houses. · You can also purchase houses/flats confirming to area norms. |
| Eligibility | · The age of the eligible beneficiary should be 21 years or above up to 55 years of age.
· Suppose if the beneficiary is 50 years of age then the major legal heir to join the loan. |
| Income Criteria | · EWS : (Economically Weaker Section) The minimum income of an EWS must be Rs 3 lacs per annum.
· LIG : (Low Income Group) The minimum income of a LIG category must be Rs 3 lacs to Rs 6 lacs per annum. |
| Maximum Loan Amount | · The maximum loan distributed by the bank must be 4 times the gross annual income with Net Take Home salary of 40% after deducting the loan installment.
· The maximum eligible loan is Rs 24 lacs. |
| Disbursement | · The loan is disbursed while the construction is in progress in case loan amount must be disbursed for construction purpose.
· The construction must be completed within 18 months to become eligible for subsidy. |
| Repayment | · You can repay the loan amount within a maximum period of 15 months through EMIs
· The time of the loan can be more than 15 years but the interest subsidy must be only up to 15 years and not more than that. · In case of construction of the house or the flat, repayment must be made one month after the completion of House/Flat or 18 months of first disbursement, whichever is earlier. |
| Security | · Equitable Mortgage of the house.
· In case of LIG beneficiaries, if the loan amount is more than Rs 8 lacs than a third party guarantee has to be obtained. |
| Margin | Upto Rs 30 lacs
· New house/flat : Minimum Margin 10% of the property value. · Old house/flat(up to 10 years old) : Minimum margin of 20% of the property value. · Old house/flat(more than 10 years) : Minimum margin 25% of the property value. Above Rs 30 lacs and up to Rs 75 lacs · New house/flat : Minimum margin 20% · Old house/flat(up to 10 years old) : Minimum margin 20% · Old house/flat(above 10 years) : Minimum margin 25%. |
| Documents Required | · Identity Proof
· Proof of income : Salaried employees – Salary Certificate, Salary Slips, Form 16, ITR which is applicable. Self-employed/Professionals : Self-declared Income Certificate/Affidavit can be submitted for annual income up to Rs 2.50 lacs. For annual income which is more than Rs 2.50 lacs suitable income proof must be submitted to the bank. |
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