TNAU Agritech Portal :: Banking & Credit

Banking & Credit :: State Bank of India


11. Financing of Second Hand / Used Tractors Scheme Purpose Loans provided for the purchase of second hand tractors refurbished by Mahindra & Mahindra and Tractors & Farm Equipments Ltd. Eligibility Individual farmer or a group of farmers not exceeding three in number (as co-borrowers) owning minimum 3 acres of perennially irrigated agricultural land. In case of co-borrowers the land should be in same area . Loan amount Upto 85% of the cost. The cost will be based on the price fixed by the company for each tractor after refurbishing. The overall maximum limit will be Rs.2.50 lac including the cost of implements. The implements purchased shall be new . Security Loan upto Rs 50,000/ - Hypothecation of tractor and accessories. Above Rs.50,000/- (1) Hypothecation of tractor and accessories (2) Mortgage of the land of the farmer or any other tangible Security to cover atleast 50% of the loan amount or suitable third party guarantee .

Source: http://www.statebankofindia.com/portal/agri