Baroda Personal Loan – This loan is offered by the bank to applicants for personal expenses. However, the loan cannot be used for speculation purpose. The loan is categorised into three sub-sections, namely, retail loans, agriculture loans and SME loans.
Key features of Baroda Personal Loans:
- This loan is sanctioned to all personal requirements other than speculations.
- This loan is granted to the salaried class, self-employed individuals, government employees, defence personnel, etc.
- Staff members are not eligible for this loan.
- The minimum age to apply for this loan is 21 years.
- The maximum age to apply for this loan:
- For salaried individuals – Age plus repayment period should not exceed the retirement age or 60 years, whichever is minimum.
- For self-employed individuals – Age of the borrower plus the repayment period should not be more than 65 years.
- The maximum amount sanctioned by the bank is Rs 10 Lakhs in urban centres and metros whereas semi-urban and rural branches approve loans of up to Rs 5 Lakhs.
- The minimum amount sanctioned by the bank is Rs 1 Lakh in metro and urban centres whereas it is Rs 50,000 for semi-urban and rural branches.
- 2% processing charge with a minimum of Rs 1,000 and a maximum of Rs 10,000 is levied by the bank on customers.
Baroda Home loan Suraksha personal loan - Bank of Baroda also extends personal loans to its existing home loan borrowers for the purpose of funding life insurance premium for Group credit life insurance in the form of Baroda Home Loan Suraksha personal loan.
- This BOB Personal loan is extended as a personal loan for funding the premium amount under group credit life insurance issued by M/s. IndiaFirst Insurance Co. or M/s. Kotak Life Insurance. This scheme is available exclusively to home loan borrowers.
- This BOB personal loan is sanctioned along with Baroda home loans. However, for all the existing home loan borrowers this facility has to be availed separately.
- In case the borrower wishes to close his/her loan account, then he/she will have to also close this personal account.
- The income details of the customer as per the existing criteria of home loans to Resident Indians or NRI/PIO or Baroda Home loan advantage scheme will be the deciding factor of the eligible loan amount.
- The maximum amount of BOB personal loan issued is subject to the amount of the premium for Group Credit Life Insurance cover for home loan borrowers and co borrowers.
- The age criteria and other charges are same as the Home Loan guidelines.
- The repayment period for the new borrowers is set at a minimum of 50% of the original home loan period.
BOB Pension Loan – Bank of Baroda offers personal loan which is specifically provided to individuals who are earning a pension. The features of the loan include:
- The BOB Pension loan granted can be used for any purpose except for speculation.
- The loan is available to regular or family pensioners or retired members of the Bank of Baroda or their family pensioners. Family pensioners include the spouse of the pensioner who receives the pension after the death of the pensioner.
- 18 times the monthly pension is the maximum amount of loan available under this loan scheme
- For regular pensioners, the absolute amount of maximum loan depends on the age of the pensioner. For individuals aged up to 70 years, the amount is Rs.8 Lakhs while for individuals aged above, the maximum amount is Rs.5 Lakhs. For family pensioners, the amount is Rs.3 Lakhs for ages up to 70 years and Rs.1.5 Lakhs for higher age.
- The applicant should repay BOB Personal Loan within 60 months if the pensioner’s age is up to 70 years and within 36 months if pensioners are above 70 years of age.
- The rate of interest charged on the loan is 2% higher than the base rate for normal pensioners. If the pensioner was a Bank of Baroda member, the rate of interest charged would be the Base Rate only.
- For failing the payment of any installment, the bank would charge a penal interest at the rate of 2% on the amount of loan outstanding as on the date of default
- Prepayment facility is available where the loan can be prepaid without incurring any additional charges.
- Other pensioners are required to pay Rs 1000 as the loan processing fee. This fee is waived for the family pensioners or regular pensioners who are Bank of Baroda members.
- Details of pension or PPO number is required along with other necessary documents in case of this loan.
Read More: 5 Tips to Get Your Personal Loan Approved