ho la cir.41-09 la cir.natural calamities

8/13/2019 HO LA Cir.41-09 LA Cir.natural Calamities

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C:\Documents and Settings\admin\Desktop\Circlu\Loan 30.05.2011\Circular 2009\HO LA cir.41-09 LA cir.Natural calamities.doc

Sarva U.P.Gramin Bank

Sponsor-Punjab National Bank)

Head Office: C-39/5, Jagrati Vihar, Meerute-mail: [email protected]: www.upgb.com

Head Office:-

Tel.: 0121-2767793,2767796

Fax% 0121-4007290

General Manager:-

Tel.: 0121-2767518

CM Secretariat:-

Tel.: 0121-2767731

TO ALL OFFICES Dated : 14.10.09

LOANS AND ADVANCES CIRCULAR NO. 41/2009

REG: SCHEME FOR PROVIDING RELIEF AND REHABILITATION

ASSISTANCE TO PEOPLE IN AREAS AFFECTED BY NATURALCALAMITIES LIKE DROUGHT, FLOOD ETC.

NABARD has been circulating from time to time the guidelines to be adopted by RRBs

for providing relief to their borrowers affected by Natural Calamities. The consolidated

guidelines have been circulated by NABARD vide its Master Circular No. 229/PCD-26/ 2005

dated 08.12.05

We have finalized the guidelines to be adopted by branches as under. These guidelines

are based on NABARD guidelines.

Our banks instructions regarding margin, security, moratorium, repayment period,

rate of interest, penal interest and documentation have also been incorporated.

Branch managers and dealing staff are requested to provide relief to beneficiaries as

per these guidelines.

(D.K.Sharma)

General Manager.Encl.: Annexure.


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ANNEXURE

GUIDELINES FOR RELIEF MEASURES TO FARMERS AFFECTED BY NATURAL CALAMITIES

NABARD has observed that periodical but frequent occurrence of droughts, floods, cyclones, tidal

waves and other natural calamities take a heavy toll of human life and cause wide spread damage to

economic pursuits of human beings in one area or the other of our country. The devastation caused by such

natural calamities call for massive rehabilitation efforts by all agencies. The State and local authorities draw

programmes for economic rehabilitation of the affected people. The developmental role assigned to co-

operative banks and RRBs, warrants their active support in revival of the economic activities.

Since the area and time of occurrence and intensity of natural calamities cannot be anticipated, it is

imperative that the banks have a blueprint of action in such eventualities so that the required relief and

assistance is provided with utmost speed and without any loss of time. Keeping the foregoing in view and to

avoid delay in providing relief, a set of standing instructions spelling out the action that the branches will

have to initiate in the calamity affected areas immediately after the requisite declaration by the district/

State authorities, are outlined below.

To enable the bank to take uniform and concerted action expeditiously, particularly to provide

financial assistance to agriculturists, artisans & self employed persons, SSI & Tiny units, and small businessaffected by natural calamities, the following guidelines have been adopted by the Bank.

1. To facilitate coordination and expeditious action by the financing institutions, the convenors of the

District Consultative Committees of the affected districts convene a meeting immediately after the

occurrence of natural calamities. The ROs should remain in touch with the LDM and district authorities for

implementation of the programme in collaboration with the State/ district authorities. While determining

the quantum of assistance required by a person affected by the natural calamity, the banks may take into

consideration the assistance/subsidy received by him from the State Government and/or other agencies.

2. Identification of the beneficiaries

The ROs should obtain from the Government authorities concerned lists of affected villages within their

area of operation. From among the identified persons, assessment of loss sustained by the existing

constituents of the banks would be easier. In the case of fresh borrowers, however, discreet enquiries

should be made in this regard and assistance of the Government authorities should be sought wherever

available for ascertaining genuineness of their requirements.


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3. Priorities

Immediate assistance including finances would be needed for protecting and rejuvenating standing crops/

orchards/ plantation, etc. Equally important will be repairs to and protection of live stock sheds, grains and

fodder storage structures, drainage, pumping, and other measures and operations to repair pumpsets,

motors, engines and other necessary implements. Subject to seasonal requirements, next crop financing is

also required to be taken up.

4. Agricultural loans

The bank assistance in relation to agriculture would be needed in the form of short term loans for the

purpose of raising crops and term loans for purchase of milch/draught animals, repairs to existing tubewells

and pumpsets, digging of new tubewells and installation of new pumpsets, land reclamation, silt/sand

removal, protection and rejuvenation of standing crops/ orchards/ plantation, etc., repairs and protection of

livestock sheds, grain and fodder storage structures, etc.

5. Crop loans

In the case of natural calamities such as droughts, floods, etc., the State Government concerned would

declare 'annewari' based on a scientific assessment of crop yields in the affected areas through the

prescribed number of crop-cutting experiments and wherever the 'annewari' so declared is less than 6 annas

(i.e. the yield is less than 50% of the average yield in a normal year), the State Government would issue

'Annewari' certificates in the prescribed format and also declare remission/suspension of land revenue andother dues to the Government from the affected farmers, so that the banks could consider extending relief

to the affected farmers by way of conversion/rephasement/reschedulement of loans. However, where such

declaration has not been made, the bank should not delay in providing conversion facilities. The banks may

adopt the following procedure as an alternative to the system of Annewari declaration:

'The District Collector, on occurrence of the natural calamity such as drought, flood etc., may ask

the Lead Bank Officer to convene a meeting of the DCC, and submit a report to the DCC on the

extent of crop loss in the area affected by the natural calamity. If the DCC is satisfied that there

has been extensive crop loss on account of the natural calamity, the relief including

conversion/restructuring facilities of agricultural loans as per the standing guidelines may be

extended to the farmers affected by the natural calamity, without declaring Annewari.'

6. Guidelines for providing conversion facilities

The following steps/procedure is to be adopted for providing conversion facilities:


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On the treatment of agricultural loans affected by natural calamities for the purpose of prudential norms

and NPA classification, norms fixed by RBI should be followed.

10. Investment Credit

Persons affected by natural calamity may be given the facility of restructuring/rescheduling of the existing

loans, and interest due, clubbed together, to be repaid over a period of 5 years with a moratorium of 2 years

depending on the income generation and repaying capacity.

In cases where there is a partial/total loss of asset (such as death of milch animal, destruction of poultry

sheds, destruction of plantation and horticultural crops etc.), Incumbents Incharge may consider fresh loans

to the existing borrowers for rehabilitation/ replacement of asset/creation of asset,

Insurance claims, if any, received will be adjusted towards the loan account and the restructuring/

rescheduling facility will be restricted to the balance amount.

11. Consumption Loans

In view of the damage to crops and property, existing borrowers may need consumption loans forsustenance till the flow of income is resumed. The Incumbents Incharge may extend general consumption

loans up to Rs 1,000 to eligible persons in the areas affected by natural calamity.

12. Artisans and self-employed persons

For all categories of rural artisans and self-employed persons including handloom weavers, loans will be

needed for repairs of sheds, replacement of implements, and purchase of raw materials and stores. In

sanctioning the loan, due allowance will be made for subsidy/ assistance available from the State

Government concerned.

13. Small Scale and Tiny Units

Rehabilitation of units under village and cottage industry sector, small-scale industrial units will also need

attention. Term loans for repairs to and renovation of factory buildings/sheds and machinery as also for

replacement of damaged parts and working capital for purchase of raw materials and stores will need to be

provided urgently.

Where the raw materials or finished goods have been washed away or ruined or damaged, banks security

for working capital will naturally be eroded and the working capital account (Cash Credit or Loan) will be out

of order. In such cases, Incumbents Incharge will convert drawings in excess of the value of security into a

term loan and also provide further working capital to the borrower, within his vested powers.4Depending

on the damage suffered and time needed for rehabilitation and restarting production and sales, term loan

instalments will have to be suitably rescheduled, keeping in view the income generating capacity of the unit.

Shortfall in margins will have to be condoned or even waived and borrower should be allowed time to build

up margin gradually from his future cash generation. Wherever State Government or any agency has

formulated special scheme for providing grants/ subsidy/ seed money, suitable margin may be stipulated to

the extent of such grants/ subsidy/ seed money.

The primary consideration before the bank in extending credit to a small/tiny unit for its rehabilitation

should be the viability of the venture after the rehabilitation programme is implemented.


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14. Security Norms

Where the bank's existing security has been eroded because of damage or destruction by floods, assistance

will not be denied merely for want of additional fresh security. The fresh loan may be granted even if the

value of security (existing as well as the asset to be acquired from the new loan) is less than the loan

amount. For fresh loans, a sympathetic view will have to be taken by the branches.

(i) Where the crop loan (which has been converted into term loan) was earlier given against personal

security/ hypothecation of crops and the borrower is not able to offer charge/mortgage of land as security

for the converted loan, he/she should not be denied conversion facility merely on the ground of his inability

to furnish land as security. If the borrower has already taken a term loan against mortgage/charge on land,

the conversion of the crop loan into term loan should be secured by creating a second charge on the already

mortgaged land. Branches should not insist on third party guarantees for providing conversion facilities.

(ii) In the case of term loans for replacement of equipments, repairs, etc., and for working capital

finance to artisans and self-employed persons or for crop loans, usual security may be obtained. Where landis taken as security in the absence of Original Title Records, a Certificate issued by the Revenue Department

Officials may be accepted for financing farmers who have lost proof of their titles i.e. in the form of deeds as

also the Registration Certificates issued to registered share-croppers.

15. MARGIN:

Margin requirements may be waived as per the decision of SLBC or the grants/ subsidy given by the

concerned State Government may be considered as margin.

16. Reschedulement/ conversion /Deferment of instalments

Reschedulement of short term loan and deferment of instalments is to be considered by the sanctioning

authority or the concerned officer only where Damage to the crop is more than 50% in terms of

'annewari' declared by district administration / SLBC or considered eligible for deferment in theespecially convened DCC meeting.

All incumbents incharge can consider deferment of amount due only upto 3 years. the amount of interest

due from Small Farmers/Marginal Farmers (SF/MF) in respect of the loans eligible for conversion/

rephasement/ reschedulement, could be deferred for one year.

ROs can consider deferment upto 5 years.

17. Documentation

Further, at the time of Reschedulement, certain supplementary documents are required to be taken which

are provided as per appendix - I to V. The essential documents for different loans will be as under:

a) General Documents to be taken in all cases of Reschedulement:


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1. LETTER OF REQUEST : Appendix -I

2. LETTER OF INTIMATION - FOR CONVERSION OF CROP LOAN (CC) INTO TERM LOAN (TL) AND

FOR RESCHEDULEMENT OF TERM LOAN : Appendix II

3. CONSENT LETTER FROM GUARANTOR : Appendix III

4. BALANCE CONFIRMATION (BC) LETTER FROM BORROWER(S)/ GUARANTOR(S)

b) Additionally, the following documents are required in different cases:

(i) For KCC :

- SUPPLEMENTARY TERM LOAN AGREEMENT : Appendix IV

(ii)For Term loans:

- SUPPLEMENTARY TERM LOAN AGREEMENT FOR SMALL LOANS : Appendix V

(iii) For Consumption loan:

- SUPPLEMENTARY TERM LOAN AGREEMENT FOR SMALL LOANS : Appendix V

In case of fresh KCC loan is to be considered, the usual documentation prescribed for fresh KCC loans vide

Loans & Advances cir. No. 18/07 dated 30.11.07 shall continue to be obtained and safeguards prescribed

therin to be meticulously followed.

18. In order to avoid delay in taking relief measures on the occurrence of natural calamity, the branches are

advised to follow the above guidelines and ensure that the affected farmers and other persons are suitably

provided relief.

Appendix I to Appendix V are enclosed for ready reference.

*****


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APPENDIX-II

LETTER OF INTIMATION

FOR CONVERSION OF CROP LOAN (CC) INTO TERM LOAN (TL)

AND FOR RESCHEDULEMENT OF TERM LOAN

To

Shri___________________________

______________________________

Dear Sir,

Subject: Your liability under Loan Account No.____________ with us.

Please refer to the loan papers executed by you in respect of the limits referred to in the subject.

The liability(ies) in the aforesaid account as on ________________ is/are detailed hereunder: -

1.

2.

3.

On review of your loan account, we hereby permit you to repay as follows: -

SCHEDULE OF REPAYMENT

(ii)


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The other terms and conditions of the loan shall remain unaffected in so far as rights of the Bank

end your obligations are concerned.

Yours faithfully,

FOR SARVA UP GRAMIN BANK I agree to the above.

MANAGER

BORROWER(S)

Place: ___________________ Place: ___________________

Date: ___________________ Date: ___________________

(iii)


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APPENDIX-III

CONSENT LETTER FROM GUARANTOR

The Manager,

Sarva UP Gramin Bank,

BO _____________

District ___________.

Sir,

Reg.: Continuance of guarantee for the Loan granted to Shri______________________ S/o

Shri_______________________

R/o_____________________________________________________

The Bank has granted term loan of Rs.________________________________ to Shri

_________________________________S/o Shri ___________________________

______________________________________________________________________ for the

purpose of________________________________________ vide Loan Agreement

dated______________. The repayment of above loan has been guaranteed by me/us in terms of

Agreement of Guarantee dated______________ executed by me/us.

It has now been agreed by and between the borrower(s)

Shri___________________________________________________________________ aforesaidand the Bank to reschedule the repayment programme as per Letter of Request

dated________________ of the borrower(s) and confirm that my/our guarantee shall

continue and remain binding irrespective of change in repayment programme and I/we undertake

to continue to be liable for the same.

Thanking you,

Yours faithfully,

Place:___________________ Signature/Thumb Impression

Date:___________________ of Guarantor(s) with address.

(iv)


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APPENDIX-IV

SUPPLEMENTARY TERM LOAN AGREEMENT

THIS SUPPLEMENTARY AGREEMENT made at___________________ this_________ day

of_______________________ between Shri______________________________ S/o

Shri_______________________________________________________________ residing/having

place of business of __________ ______________________hereinafter referred to as The

Borrower(s) (which expression shall unless the context or subject otherwise requires, include

his/her heirs, executors and administrators) of the One Part and SARVA UP GRAMIN BANK, a body

corporate constituted under the Regional Rural Bank Act, 1976, carrying on banking business and

having its Head Office at C-39/5, Jagriti Vihar, Meerut and one of the branch office

at___________________________________ hereinafter referred to as the Bank (which

expression shall, unless the context or subject otherwise requires, include its successors and

assigns) of the Other Part.

WHEREAS the Bank has granted to the Borrower a loan for the purchase of his business

of____________________ as per Term Loan Agreement dated____________ whereby the

Borrower(s) has by way of security for repayment thereof along with interest and other charges,

hypothecated with Bank

goods________________________________________________________________ hereinafter

referred to as the hypothecated goods.

AND WHEREAS the Schedule-II of the above Term Loan Agreement

dated_________________ provides the repayment of aforesaid loan in _______years bymonthly/quarterly/half-yearly/yearly installment of Rs._______________________.

AND WHEREAS the Bank has agreed to revise the repayment schedule as provided in the

above Term Loan Agreement.

NOW THIS DEED WITNESSETH and it is hereby agreed by and between the parties hereto

as follows:

That the Borrower shall repay the principal loan amount together with interest thereon byinstallments in the manner set out in Schedule-I hereto. PROVIDED that notwithstanding anything

contained herein or in the Agreement dated______________ in default of the payment of any of

the aforesaid installment on the due dates or on the happening of any events sanctioned in the

Agreement dated_____________ the Bank shall be entitled to recall and the Borrower shall in that

event pay the whole of the moneys then owing from the Borrower to the Bank whether by way of

principal, interest or otherwise.

(v)


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PROVIDED FURTHER that notwithstanding anything herein contained or in the Agreement

dated______________ in the event of non-payment of any installment and/or any interest

on the due date, such arrears shall bear interest at the rate of ___________ percent per

annum with ________rests until the interest and/or installment in arrears as the case may

be are paid in full.

That this Agreement shall be supplemental to the Agreement dated__________ and allother terms and conditions mentioned therein shall be treated as part of this Agreement.

SCHEDULE-I

Signature of the Borrower

Signature of the Bank

Date:

Place:

(vi)


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APPENDIX-V

SARVA UP GRAMIN BANK

Supplementary Term Loan Agreement for Small Loans

This supplementary Agreement made at________________ this___________ day

of_____________________ between Shri________________________________ S/o

Shri_______________________________________ residing/having place of business

of___________________________________________________________ hereinafter referred to

as the Borrower (which expression shall unless the context or subject otherwise requires, include

his/her heirs, executors and administrators) of the One Part and SARVA UP GRAMIN BANK, a body

corporate constituted under the Regional Rural Bank Act, 1976, carrying on banking business and

having its Head Office at C-39/5, Jagriti Vihar, Meerut and one of the branch office

at___________________________________ hereinafter referred to as the Bank (which

expression shall, unless the context or subject otherwise requires, include its successors and

assigns) of the Other Part.

WHEREAS the Bank has granted to the Borrower(s) a loan for the purpose of his business

as per Term Loan Agreement dated____________ whereby the Borrower(s) has/have by way of

security for repayment thereof hypothecated with Bank goods_________

_______________________________________________ hereinafter referred to as the goods

hypothecated.

AND WHEREAS the Bank has agreed to grant further loan to Borrower(s) for consumption

purposes as per Borrower(s) application dated___________________.

AND WHEREAS it has been agreed that the goods hypothecated shall also be security for

the repayment of the dues under this Agreement and the Bank shall have General Lien thereof by

way of additional charge.

NOW THIS DEED WITNESSETH and it is hereby agreed by and between the parties

hereto as follows:

1. The Bank agrees to lend to the Borrower(s) and the Borrower(s) agrees to borrow from the

Bank for the purpose of and subject to the conditions hereinafter set out (as also in the

Borrower(s) said application) a loan to the maximum extent of Rs._____________

(_______________________________________) carrying interest @ _______ per cent per

annum with _____________ rests. The loan will be disbursed by the Bank to the

Borrower(s) or to his/her nominee(s) in Schedule-I appended, in instalments as given in

the said Schedule-I.

(vii)


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2. The Borrower(s) shall pay the principal loan amount together with interest thereon by

installments in the manner set out in Schedule-II hereto. PROVIDED that notwithstanding

anything contained herein, in default of the payment of any two of the aforesaid

installments on the due dates or on the happening of any events mentioned in Clause 7

below, the Bank shall be entitled to recall and the Borrower(s) shall in that event pay the

whole of the moneys then owing from the Borrower(s) to the Bank, whether by way of

principal, interest or otherwise, PROVIDED ALSO that notwithstanding anything hereincontained, in the event of non-payment of any installment and/or any interest on the due

date, such arrears shall bear interest at the rate of________ per cent per annum with

____________ rests until the interest and/or installment in arrears, as the case may be, are

paid.

3. The Borrower(s), before availing of the loan or any part of it, if so required by the Bank

shall:

(i) Secure the loan by providing an acceptable security and/or

(ii) Open a (Savings) Bank Account with the Bank and shall, unless otherwise agreed toby the Bank in writing, at least once a week deposit in the said account, the whole of

the proceeds of his business for the week.

The Bank shall have a right to appropriate and adjust from the amounts in the said account

such amounts as the Bank may consider necessary or desirable, towards the principal

amount, interest and other charges payable by the Borrower(s) to the Bank.

4. As security for the payment to the Bank of the amounts due under or arising from this

Agreement, the Borrower(s) hereby hypothecates into the Bank by way of additional charge

the assets described and detailed in Schedule-III hereto and the same shall remain andcontinue hypothecated and charged with the Bank as security till its entire dues are received

by the Bank. The Borrower(s) shall furnish to the Bank periodical statements relating to the

said assets, as may be prescribed by the Bank and shall also keep the Bank informed from

time to time about the place(s) and/or where the hypothecated goods are kept.

5. The securities hereby created are continuous and shall operate for the balance from time to

time, due to the Bank and neither the loan account of the Borrower(s) shall be treated as

closed for the purpose of these securities nor shall these securities be treated as exhausted

or discharged by reason of the Borrower(s) account being brought to credit at any time or

time to time.

(viii)


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6. The Borrower(s) hereby agree(s) that a margin at the rate specified in Schedule-III against

various types of securities of such other margin as may be fixed from time to time by the

Bank, shall always be maintained by them in favour of the Bank, that is to say, that the

balance due to the Bank on the said account shall always be kept lower than the marketvalue or invoice value of the security to be determined by the Bank at its discretion (which

value will not be questioned by the borrower(s) by the stipulated margin percentage or such

other percentage as may be fixed from time to time by the Bank. If at any time the said

margin falls for whatever reason below the said percentage, the Borrower(s) agree(s) on

demand in writing to immediately make it up by cash payment or deposit of further security

approved by the Bank. In case of default by the Borrower(s), in this behalf, the whole

amount due to the Bank on the account shall become payable at once.

7. If the Borrower(s) shall fail to perform any of his obligations under these presents or if the

Bank shall be of opinion that the security hereby created is otherwise imperilled or is likely

to be impaired as to all or any of which matters the opinion of the Bank shall be conclusive,

it shall be lawful for the Bank, its agents and nominees, without assigning any reason and

without any previous notice to the Borrower(s) and at the Borrower(s) risk and expense, to

enter upon the said premises and/or take possession of the said hypothecated goods

wherever lying and/or to call the same without notice. The Borrower(s) shall, on demand,

deliver to the Bank the possession of the hypothecated goods. The Bank shall apply the net

proceeds of sale of the said hypothecated goods in satisfaction so far as the same shall

extend to the moneys which shall be then owing and due from the borrower to the Bank

under this Agreement and Term Loan Agreement made on__________________. If the net

sale proceeds are insufficient to cover the amount due to the Bank under this Agreement,

the Borrower(s) shall be liable forthwith to pay the balance appearing due to the Bank and if

there is surplus after adjusting amounts due under the Term Loan Agreement and this

Agreement, the Bank shall be entitled to adjust/set off the same for any other

sums/amounts, due to the Bank from the Borrower(s) in any other account whatever.

8. The Borrower(s) hereby covenant(s) with the Bank that the Borrower(s) has not in any way

hypothecated, charged or encumbered except for the first charge of the Bank created under

Agreement made on _____________ nor will hereinafter hypothecate, charge or encumber

the said hypothecated goods, except with the specific written permission of the Bank.

(ix)


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Head Office:-

Tel.:0121-2767793,2767796

Fax% 0121-4007290

General Manager:-

Tel.: 0121-2767518

CM Secretariat:-

Tel.: 0121-2767731


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PUNJAB NATIONAL BANK RETAIL BANKING DIVISION HO: ATMARAM HOUSE,

1 TOLSTOY MARG, NEW DELHI.

TEL: 23357900, 23315484, 23325066

FAX Nos.- 011-23753375, 23357898 RBD (A)

TO ALL OFFICES

RETAIL BANKING DIVISION: ADVANCES: CIRCULAR NO:58

PNB FESTIVAL SEASON BONANZA OFFER 2009

Guidelines regarding PNB Festival Season Bonanza 2009 were issued in terms of RBD Advances

Circular NO. 41 dated 12.08.2009, 46 dated 28.8.2009 and 54 dated 29.9.2009.

2. Based on the feedback received from the field, it has been decided to extend the validity date of the

captioned Bonanza for housing loans upto Rs.30 lacs and Car Loans, upto 31.12.2009, on the existing terms

& conditions. Further, the Bonanza Offer shall be applicable in respect of loans sanctioned during Bonanza

period i.e. upto 31.12.2009 and disbursed upto 31.01.2010.

3. Keeping in view the prevailing customer friendly market scenario, it is opportune time to add

volume to retail asset book. It is, therefore, advised that aggressive marketing/publicity campaigns of the

Bonanza Offer be ensured for maximum business.

4. Progress in this respect be conveyed to us through Circle Office, on fortnightly basis (as per the

proforma overleaf); first report be sent as on 14.11.2009.

5. The accounts should be opened in CBS, strictly with Interest Rate/Mode of Advance/Scheme codes,

as conveyed through RBD Advances Circular No. 41 dated 12.8.2009.

6. All concerned are advised to note the above guidelines for meticulous compliance.

(SUDESHNA SHARMA)

GENERAL MANAGER

Dated :

BRANCH/HUB/CCPC _____________________

CIRCLE OFFICE ___________________

RBD ADVANCES CIRCULAR NO.

58/2009


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FORTNIGHTLY REPORT UNDER PNB FESTIVAL SEASON BONANZA-2009

FOR THE FORTNIGHT ENDED ___________________.

amount in lacs

Scheme No. of accounts

sanctioned during the

fortnight 1.11.2009

to _____________

Amount

sanctioned

during the

fortnight

1.11.2009 to

____________.

Total number of

loans sanctioned

under Festival

Bonanza upto

________

Total amount of loan

sanctioned under

Festival Bonanza upto

_____________.

Housing

CarTotal


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PUNJAB NATIONAL BANK RETAIL BANKING DIVISION HO: ATMARAM HOUSE,

1 TOLSTOY MARG, NEW DELHI.

TEL: 23357900, 23315484, 23325066 FAX Nos.- 011-23753375, 23357898

RBD ADVANCES CIRCULAR NO.

41/2009RBD (A) Dated: August 12, 2009

TO ALL OFFICES

RETAIL BANKING DIVISION: ADVANCES: CIRCULAR NO:41

PNB FESTIVAL SEASON BONANZA OFFER 2009

HOUSING LOANS UPTO RS.30.00 LACS AND CAR LOANS________

To accelerate credit growth, it has been decided to come out with a Bonanza Offer under the title

PNB Festival Season Bonanza 2009 containing special concessions/relaxations for prospective Housing

and Car Loan borrowers availing loan during the period from 14.8.2009 to 31.10.2009. Details are as

under :-

HOUSING LOANS UPTO RS.30.00 LACS

Interest Rate 8.50% (fixed, with a reset clause of three years) applicableacross all repayment tenors

Re-set Clause First re-set will be done on 01.01.2013 and thereafter everythree years.

Margin For loan upto Rs.20 lacs 15%For loan above Rs.20 lacs 25%

Processing (upfront) Fee &

Documentation ChargesNIL

Take-over/Swapping Not to be permitted.Other terms & conditions(including charges for pre-

payment of loan and

change of option from fixed

to floating)

These will be applicable as per Banks regular Housing FinanceScheme for Public.

The Housing Loan Agreement be, however, taken as per the

revised format at Annexure I.


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-2-

CAR LOANS

Interest Rate For loans with repayment tenor

Upto 3 years 10%

Above 3 years 10.50%

The above rates will be under fixed interest rates option. First

re-set to be done on 01.04.2011and thereafter every year as

per Banks regular Car Loan Scheme.

Re-set Clause be got suitably amended in the prescribed Car

Loan Agreement before its execution.

Note : The above interest rates are no more linked to PNB Score Model, instead to be fixed on

the basis of repayment tenor, as above.

2. No further concession in interest rate and service charges will be permitted by any authority in

the field under the captioned Offer. Even the provisions of Mahila Shasktikaran Schemecontaining rate

of interest, margin requirement and other relaxations in case of women borrowers, will not apply.

3. It is advised that maximum use of above concessions/relaxations be made for quantum jump in

the credit offtake during the period of FestivalSeason Bonanza offer upto 31.10.2009. Incumbents should

also ensure that staff at all levels and prospective borrowers are sensitized about all the

provisions/concessions of the Offer. A wide and penetrative publicity campaigns be also launched for

success of the Offer.

4.. The accounts should be opened in CBS, strictly with following Interest Rate/Mode of

Advance/Scheme codes :-

Nature of Loan

under Bonanza

Offer

Interest Code Mode of AdvanceCode

Scheme Code

Housing Loan HLFSB DHFSB TLPHL


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Car Loan For repayment tenor-upto

3 yrs. VFBU3-above 3 yrs.-VFBA3

DCFSB TLPVL


(SUDESHNA SHARMA)

GENERAL MANAGER


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TO ALL OFFICES 11/11/09

LOAN AND ADVANCES: CIRCULAR NO : 45/09

SUPGB FESTIVAL SEASON BONANZA OFFER 2009

HOUSING LOANS UPTO RS.30.00 LACS AND CAR LOANS

To accelerate credit growth, it has been decided to come out with a Bonanza Offer under the

title SUPGB Festival Season Bonanza 2009 containing special concessions/relaxations for prospective

Housing and Car Loan borrowers availing loan during the period from 07.11.2009 to 31.12.2009. and

Disbursed UPTO 31/01/09 Details are as under :-

HOUSING LOANS UPTO RS.30.00 LACS

Interest Rate 8.50% (fixed, with a reset clause of three years) applicable

across all repayment tenors

Re-set Clause First re-set will be done on 01.01.2013 and thereafter every

three years.

Margin For loan upto Rs.20 lacs 15%

For loan above Rs.20 lacs 25%

Processing (upfront) Fee &

Documentation Charges

NIL

Take-over/Swapping Not to be permitted.

Other terms & conditions

(including charges for pre-

payment of loan and

change of option from

fixed to floating)

These will be applicable as per Banks regular Housing

Finance Scheme for Public.

The Housing Loan Agreement be, however, taken as per the

revised format at Annexure I.

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Head Office:-

Tel.: 0121-2767793,2767796

Fax% 0121-4007290

General Manager:-

Tel.: 0121-2767518

CM Secretariat:-

Tel.: 0121-2767731


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2. No further concession in interest rate and service charges will be permitted by any authority in

the field under the captioned Offer.

3. It is advised that maximum use of above concessions/relaxations be made for quantum jump in

the credit offtake during the period of FestivalSeason Bonanza offer upto 31.12.2009. Incumbents

should also ensure that staff at all levels and prospective borrowers are sensitized about all the

provisions/concessions of the Offer. A wide and penetrative publicity campaigns be also launched for

success of the Offer.

4.. The accounts should be opened in CBS, strictly with following Interest Rate/Mode of

Advance/Scheme codes :-

Nature of Loan

under Bonanza

Offer

Interest Code Mode of Advance

Code

Scheme Code

Housing Loan HLFI5 to HLFI8 DHFSB TLRTS


(D K SHARMA)

GENERAL MANAGER


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Head Office:-

Tel.: 0121-2767793,2767796

Fax% 0121-4007290

General Manager:-

Tel.: 0121-2767518

CM Secretariat:-

Tel.: 0121-2767731