FARM MECHANISATION SCHEME FOR AGRICULTURISTS

To ease the burden of the farmers, Union Bank finances for purchase of power tillers, tractors/implements etc on easy terms and conditions.

ELIGIBILITY

For Tractors, Power Tillers with accessories, implements &/or Trolley etc.
· Farmers having atleast 5 acres of perennially irrigated Land for tractor and 3 acres of perennially irrigated Land for tillers or corresponding acreage as prescribed for different categories of land under the concerned State Land Ceiling Act.

• Productive work for minimum 1000 hrs. for Tractors and 600 hrs. for Power Tillers.

LOAN AMOUNT

75% to 90% of cost of the Unit based on quotation.

MARGIN

10% to 25%

SECURITY

• Hypothecation of crops.
• Hypothecation of tractors/power tillers and other machinery.
• Mortgage of land &/or 3rd party guarantee for loans exceeding Rs.50,000/-
• Lien over the tractor/power tiller with the RTA.

REPAYMENT PERIOD

Tractor - 7 to 9 years
Power Tiller - 5 to 7 years


INSURANCE

Comprehensive insurance policy of the tractor/power tiller and other machinery.