Loan Sanctioning Procedure

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Intending borrower submits his loan application in a prescribed from duly filled & signed with copies of necessary revenue records and other required papers to the Branch concerned under whose jurisdictions his land a situated. Thereafter the sport inspection is carried out by Branch manager/supervisor to verify the nature of proposed improvement, economic feasibility, and technical viability, repaying capacity and title of applicant over the land to be taken to mortgage. Branch manager supervisor if satisfied about all these aspects, recommends the loan to be sanctioned to Branch Committed which recommends it and forwards such recommended loan cases to District Loan Committee for final sanction. After getting sanction from the District Loan Committee, the applicant is informed about the terms of sanction and loan amount is disbursed after the mortgage deed is executed. Bank gives payment of loan directly to the suppliers of machinery or the contractors who carry out the work, after verifying the bills to ensure proper utilization of loan. Moreover after the loan is disbursed the end use is verified conducting reinsertion to ensure its proper utilization, generally the loan application is disposed of within 15 days. Thus the Bank has simplified its loan procedure from time to time and powers of sanction are also decentralised by conferring the same District Loan committee since 1976.

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