Tractor Loan

get loan to buy a tractor to plough your farm

Learn more about our Loan a Tractor Scheme for agriculture under TMB Business Loan Products.

Tractor Loan

Our loan a tractor scheme helps the rural and semi urban community to avail of loans under priority agri financing to buy a tractor. The criteria and conditions for sanction are relaxed to help extend the loan to the needy people at attractive rates of interest and low processing charges.

Being a priority sector lending, the documentation is simple and processing is quick.

Purpose
To purchase Tractor and other implements.
Eligibility
Individual / Joint, Sole Proprietary Concerns, Partnership Firms, Trusts, Societies, Limited Companies and all legal entity.
Land Holding
Minimum 2 acres of Irrigatable Land / 4 acres of dry land (fully cultivable) subject to economic viability.
Primary Security
Hypothecation of Tractor and other implements going to be purchased.
Collateral Security
  • In case of agricultural land, collateral security should be obtained for not less than 100% of the limit.
  • In case of other properties, collateral security should be obtained for not less than 50% of the limit.
  • Collateral Society may be obtained in the form of fixed deposits, National Savings Certificate, LIC Policy (Surrender Value only) or such other acceptable security.
Loan Quantum
Upto Rs. 6 Lakhs.
Margin
15%.
Repayment
Repayment period will be fixed on the basis of cropping pattern / harvesting season and income generations upto a maximum of 9 years.
Rate of Interest
  • BR + 4.00% (14.30% p.a.).
  • Current Base Rate for Lending (BR) is 10.30% p.a.
Penal Interest
Any irregularity or default in repayment will attract penal interest of 2.00% p.a. over and above the above rate of interest on the balance outstanding exceeding Rs. 25,000.00.
Processing Charges
1.00% of Limit sanctioned without any maximum cap.
Insurance
To cover the value of assets charged to the Bank.
Documentation
Simple Documentation as per Bank Norms.

All the above Terms and Conditions are subject to change and sanctioning of the loans is at the sole discretion of the Bank. Service Tax on All Service Charges extra wherever applicable.