The maximum amount loan under the scheme is restricted to Rs. 3,00,000/= or fifteen times of the Net Pension whichever is less.
The rate of interest on the loan shall be 12.00% on monthly rest basis and interest shall be calculated from the date of disbursement of loan
The loan will be disbursed to the borrower's Savings Bank Account maintained with State Bank of Sikkim after deduction of applicable charges.
Loans shall be charged a processing fee @ 1% with minimum of Rs. 500.00
Application for SBS Pensioners Loan will have to be made in prescribed loan application form available at Head Office.
State Bank of Sikkim reseves the right to decline the application with or without any reason.
(i) The loans along with interest shall be repayable in maximum of 36 equated monthly installments.
(ii) The recovery will commence from the next month of disbursement of Pension.
(iii) The loanee can, if so desires, may repay before the due date with any amount against future installments payable to him.
(iv) If the repayment of principal and interest are not made as per the declaration / authorization made by the applicant in the application form, penal interest at the rate of 2 (two) percent shall be charged.