Bank of India

Loans : Bank of India

| | | |

|

A- A+

You are here ->Loan & Advance ->landpurchase

Saturday, 04-Feb-2012

Agriclinics & Agribusiness

Composit Cash Credit

Farm Mechanisation

Financing for Draught Animals & Carts

Land Development

Minor Irrigation

Poultry Development

Purchase of Land

BOI Shatabdi Krishi Vikas Card

Kisan Credit Card

Kisan Samadhan Card

Star Bhumiheen Kisan Card

Online Services

::

::

::

:: know more

::

::

::

::

::

::

::

PURCHASE OF LAND FOR AGRICULTURAL PURPOSES

1. INTRODUCTION:

The agricultural policy of the Government of India envisages doubling of the farm output during the next decade. Presently, the Bank provides finance to the farmers in the form of term loans for development purpose and short-term loans for production purposes. There is also a need to finance farmers for purchasing land to expand activities and make existing small and marginal units economically viable. This would enable farmers to diversify their present activities and take up allied activities.

Agriculture which is the lifeline of our country, is predominantly a land based activity and absence of resource support particularly for purchase of land especially by Small and Marginal farmers had been a cause for concern and come in the way of their economic development. Our Hon’ble Union Finance Minister announced a package on 18 June 2004 to double agricultural credit within three years with 30% growth each year. The agricultural policy of the Government of India also envisages substantial credit flow to increase agricultural production and productivity. Banks provide agricultural term loans to farmers for investment purposes and short-term loans for production purposes. There is a need to finance farmers for purchasing land not only to expand their activities but also to make existing small and marginal units economically viable, diversify their present activities and to bring fallow lands and waste lands under cultivation.

2. OBJECTIVES:

To make the small and marginal holdings economically viable
To bring fallow lands and waste lands under cultivation
To step up agricultural production and productivity
To finance the share croppers/tenant farmers to purchase land to enable them to increase their income

3. ELIGIBILITY:

Small and marginal farmers i.e. those who would own maximum of 5 acres of non-irrigated land or 2.5 acres of irrigated land including purchase of land under the scheme. Sharecroppers and tenant farmers can also be covered under the scheme.

COVERAGE OF WOMEN
Ownership rights of land to women would lead to their empowerment. Hence, branches may encourage purchase of land by women, giving preference to those in distress, widows, SHG members etc within overall eligibility criteria as laid down under the scheme.

4. PURPOSE:

The objective of the scheme is to finance farmers to purchase, develop and cultivate agricultural as well as fallow and waste lands. Banks may also consider financing purchase of land to enable the farmers to diversify into other allied activities. The bank while considering finance for purchase of land should obtain complete details of the project proposal of the farmer.

Farmer to be advised/encouraged to purchase land at one place and fragmented holdings may be discouraged with a view on saving on production expenses. However, farmers be financed purchase of land within village boundary or in a radius of 3 to 5 Kms – to the satisfaction of the Bank as regards viability

5. MARGIN:

Upto the limit of Rs.50,000/- -NIL
Above Rs. 50,000/- - Minimum Margin of 10 %

6. SECURITY:

The land purchase out of bank finance and mortgaged in favour of the Bank will form the security for the loan from borrowers.

7. INTEREST RATE:

As per the RBI directives on the interest rates issued from time to time.

Next

Announcement

Analyst Meet Presentation for 31.12.2011

Reviewed Financial Results for the period ended 31.12.2011

Notice of Board Meeting

Analyst Meet Presentation for 31.12.2011 Reviewed Financial Results for the period ended 31.12.2011 Notice of Book Closure for Bonds

Chairman & Managing Director's Message & Address

Bank of India has decided to abolish prepayment charges on home loans for both fixed and floating rate loans across all tenures for existing as well as new borrowers

Watch recorded webcast of Analyst Meet-30.09.2011

Watch recorded webcast of Press Meet-30.09.2011

Financial Results for the quarter / half year ended 30th September 2011

Analyst Meet Presentation-30.09.2011

Festiva l offer – Rate of interest reduced on Home Loans & Auto Loans.

Watch webcast of 106th foundation day

Bank has decided to increase the Bank’s Base Rate from 10.00% p.a. to 10.75%p.a. and BPLR from 14.25% p.a. to 15.00% p.a. with effect from 28.07.2011.

The Managing Committee of the Indian Banks’ Association has appointed Shri Alok K Misra , Chairman and Managing Director, BANK OF INDIA as Deputy Chairman of the Association

Pension Calculator is available on Knowledge Portal front page

Press release launching of Mobile Based Remittance, Urban Financial Inclusion and two factor Authentication

Notice for Debit and ATM cardholders

:: Foreign Branches

Branch / ATM Locator

	Branch Locator
	ATM
	Foreign Branches

Sitemap | Disclaimer

© 2010 Bank of India. All rights reserved

For optimum view of this site you must have IE 5.0 and above

It is recommended to use Internet Explorer 8 for Safe & Secure Browsing. You may download Internet Explorer 8 by clicking on “Logo”
For Safety tips and guidelines on secure browsing through IE 8, please visit : http://www.microsoft.com/windows/internet-explorer/features/safer.aspx