Canara Bank Loan for Senior Citizens

Canara Bank Pension Loan Highlights 2024
Interest Rate	Floating rates: 11.75% p.a. Fixed rates: 12.50% p.a.
Loan Amount	Up to Rs 15 lakh or 24 months pension (for loan applicants below 60 years at the time of loan application) Up to Rs 10 lakh or 24 months pension (for loan applicants between 60-70 years at the time of loan application) Up to Rs 5 lakh or 18 months pension (for loan applicants aged between 70-75 years at the time of loan application)
Loan Tenure	7 years (for loan applicants aged below 60 years at the time of loan application) 5 years (for loan applicants aged between 60-70 years at the time of loan application) 3 years (for loan applicants aged between 70-75 years at the time of loan application)
Margin	40% (for general public/family pensioners)
Processing Fees	Nil

Note: Interest rates as of 29th April 2024

Canara Bank Pension Loan Interest Rates

The Canara Bank Pension Loan interest rates for pensioners/family pensioners is 11.75% p.a. (at floating rates) and 12.50% p.a. (at fixed rates). Loan applicants applying for pension loans with Canara Bank can also get in touch with other banks or non-banking financial companies (NBFCs) to check their eligibility for availing personal loans from those lenders. In case they are eligible, they should compare the personal loan interest rates offered by those lenders with the Canara Bank Pension Loan interest rates and then, avail the one offering the lowest borrowing cost.

Fees and Charges for Canara Bank Pension Loan

Particulars	Rates
Processing Fees	Nil

Canara Bank Pension Loan Eligibility Criteria

The following categories of pensioners, who are drawing their pension through Canara Bank, are covered under the eligibility criteria for availing Canara Bank Pension Loans:

• Maximum Age: 
  • For loans up to Rs 15 lakh or 24 months pension: Below 60 years (at the time of loan application) and 67 years (at the time of loan repayment
  • For loans up to Rs 10 lakh or 24 months pension: 70 years (at the time of loan application) and 75 years (at the time of loan repayment)
  • For loans up to Rs 5 lakh or 24 months pension: 75 years (at the time of loan application) and 78 years (at the time of loan repayment)
• Pensioners of central government (central, railways, civil, defence, defence civilians, armed forces, freedom fighters, etc.)
• All state government pensioners
• Pensioners of all government department undertakings.
• Pensioners of public sector undertakings or corporate pensioners.
• Family pensioners belonging to the above mentioned categories.

The lender also needs the co-obligation of the following parties under the Canara Bank Personal Loan Eligibility Criteria:

• For pension loans to individual pensioners: Co-obligation of the pensioner’s spouse (if there is provision for family pension) or other person/pensioner for the total loan amount
• For pension loans to family pensioners: Either co-obligation or third party guarantee for the loan amount

Documents required for Availing Pension Loans from Canara Bank

The list of pension loan documents required for availing Canara Bank Pension Loans are mentioned below:

• Stipulated loan application with 2 passport size photographs
• Co-obligation (unless waived by the lender)
• Delivery letter for DPN (demand promissory note)

Note: Canara Bank may ask its loan applicants to submit additional Pension Loan documents depending on the applicant’s profile.