To boost up the mechanized farming in the country, Tractor Finance Scheme is introduced to offer specialized services to farmers. Under this scheme, there is no requirement of minimum land holding because of multipurpose use of tractor for agriculture cum commercial. However, the repayment capacity and potential use of tractor will be evaluated at the time of loan processing.
- All types & makes of tractors either locally manufactured or imported can be financed
- Tractor is financed for a period of five years or earlier as per farmers choice
- Installment is on biannual basis.
- Comprehensive insurance is required to be intact during the tenure of finance
- Tractor will be jointly registered in the name of the borrower and the bank.
- Tractor will remain hypothecated in banks favour till the loan is repaid in full
- Security/collateral will be required as per bank policy.