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  • Reverse Mortgage Loan Scheme for Senior Citizens.
  • Easy to avail loan against mortgage of residential house/ flat / commercial property.
  • Competitive interest rate.
  • Flexible loan repayment tenure.
  • Minimum documentation.
  • No Prepayment penalty.
  • To meet the financial needs of Senior Citizens owning self occupied residential property.
  • Maintenance of family, Medical, emergency expenditure.
  • Repayment of an existing loan taken for the residential property to be mortgaged.
  • Up gradation, renovation and extension of residential property.
  • For uses associated with home improvement, maintenance/insurance of residential property.
  • Meeting any other genuine need.
  • Owners of residential house/flat, who are residents of India, above 60 years of age.
  • Property self-acquired and self-occupied as permanent primary residence and property free from encumbrance.
  • Residual life of property should be at least 20 year.
  • Incase of flats the age of the flat should not be more than 10 year.
  • In case of jointly owned properties the joint owner who is aged above 60 years shall be the first borrower.
  • Commercial property not eligible under the scheme.
  • No loans against ancestral property.
  • Couples will be eligible as joint borrowers and in such cases, at least one of them should be above 60 years of age and the spouse/joint borrower should be more than 55 years of age.
  • Loan Quantum
    • Depending upon the age of the borrower and the assessed value of the property. flats/house.
    • Incase of independent house Minimum loan quantum Rs.5.00 lacs and maximum Rs.50.00 lacs. (*)
    • Incase of flats Minimum loan quantum Rs.5.00 lacs and maximum Rs.25.00 lacs. (*)
    • (*) Loan amount including interest till maturity.

  • Nature of Payment

      Nature of payment to be decided in advance as part of the RML covenants, as under :

    • Periodic payments (monthly/quarterly).
    • Option once exercised for monthly or quarterly payments shall remain unchanged throughout the tenor of the loan and interchangeability cannot be permitted.
    • One time Lump-sum payment,not more than 20 % of the eligible loan amount.
      In case of periodic disbursement, the payments shall be made during the loan period of 15 years or till the death of the surviving borrower, whichever is earlier.
  • Repayment tenure
    • The loan shall become due and payable only when the last surviving borrower dies or would like to sell the house, or permanently moves out of the house.
    • Period of Loan: Maximum 15 years.
  • Security
    • The loan shall be secured by way of mortgage of residential property, by way of Registered Mortgage or equitable mortgage with memorandum of deposit of title deeds in favour of the bank.
  • Processing charges
    • 0.25% of loan amount with a maximum of Rs.10,000/-.
  • Documentation charges
    • Rs.100/- per Lakh (Minimum of Rs. 1,000/- & Maximum of Rs. 25,000/-).
  • Stipulated loan Application form.
  • Photograph, KYC and PAN Number of the applicant and all legal heirs.
  • In addition to above, the borrower has to submit the following documents every year:
    • Property tax paid receipts.
    • Life Certificate.
    • IT Clearance certificate.
  • All other documents as applicable for creating mortgage-EMT/simple mortgage, as the case may be.
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Last updated on 25-08-2023 01:04 PM

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