Production Credit/ Investment Credit
| For loan upto Rs. 1.60 lakh | Hypothecation of crops and/or assets created out of Bank loan. |
| KCC (crop/ dairy/ fishery/ animal husbandry) loans upto Rs. 3.00 lakh under tie-up arrangement approved by HO: Agriculture Division | Hypothecation of crops and/or assets created out of Bank loan. |
| Above Rs. 1.60 lakh | a) Hypothecation of crops and/ or assets created out of bank loan AND b) Charge on land as per Agricultural Credit Operations and Miscellaneous Provisions Act of the State concerned/ Mortgage of agricultural land/ SARFAESI compliant immovable property valued at 75% of loan amount for other farmers and 50% of the loan amount for small and marginal farmers. OR Alternate security viz. charge/ lien over liquid securities such as term deposits/ NSC/ KVP, etc. which may be considered adequate OR Suitable third party guarantee Note: If the Primary Security is in the shape of Land & Building, Residual Value over and above 100% of the loan amount shall be treated as collateral security. |
Under the Scheme of Agri-Clinics and Agri-Business Centres
| For loan upto Rs. 5.00 lakh | Hypothecation of assets created out of Bank loan. |
| Above Rs. 5.00 lakh | a) Hypothecation of assets created out of bank loan AND b) Charge on land as per Agricultural Credit Operations and Miscellaneous Provisions Act of the State concerned/ Mortgage of agricultural land/ SARFAESI compliant immovable property valued at 75% of loan amount for other farmers and 50% of the loan amount for small and marginal farmers. OR Alternate security viz. charge/ lien over liquid securities such as term deposits/ NSC/ KVP, etc. which may be considered adequate OR Suitable third party guarantee Note: If the Primary Security is in the shape of Land & Building, Residual Value over and above 100% of the loan amount shall be treated as collateral security. |