ICICI Bank launches credit-linked subsidy scheme under 'Pradhan Mantri Awas Yojana'

Mumbai: ICICI Bank announced the launch of a credit-linked subsidy scheme for home loans under the ‘Pradhan Mantri Awas Yojana’. Under this scheme, individuals including women borrowers from the economically weaker section and low income group will be able to acquire and construct the first brick-and-mortar (pucca) house of the family by paying significantly lower Equated Monthly Instalments (EMIs).
ICICI Bank has signed an MoU with National Housing Bank (NHB), a Central Nodal Agency for the scheme, to facilitate the credit-linked subsidy to the eligible borrowers. According to the scheme, an eligible customer will get the subsidy at 6.5% per annum on a maximum amount of Rs. 6 lakh or the loan amount, whichever is lower, for a maximum tenure of 15 years. The subsidy is computed on the Net Present Value method.
Talking about the scheme, Rajiv Sabharwal, Executive Director, ICICI Bank said, “ICICI Bank is committed to support the Government's vision to provide housing for all by 2022. In line with this commitment, we have launched the credit-linked subsidy scheme of Pradhan Mantri Awas Yojana which reduces the EMI of the borrowers from the economically weaker section and low income groups. We believe that this scheme will empower a larger section of customers including women borrowers to realise the dream of owning their first home.”
Key highlights of the scheme:
• Loan amount: Loan as per eligibility of customer. No maximum limit on loan amount
• Loan tenure : Up to 30 years based on the guidelines of the Bank
• Maximum tenure for subsidy computation: As per guidelines of the scheme, 15 years or the tenure of the loan, whichever is lower
The scheme is available to those without a brick-and-mortar (pucca) house, with families comprising husband, wife and unmarried children. Interested customers can apply for the scheme at branches of ICICI Bank which offer this facility.