Wednesday, January 20, 2021

« Pensioners Loan

Bank of India- BOI Star Pensioner Loan Scheme

Target Customers (Eligibility): 

  • Regular pensioners or family pensioners drawing regular monthly pension through the branch.
  • Retired employees (other than dismissed/compulsorily retired)

Type of Advance: Demand Loan/Term Loan/Overdraft (reducible as per repayment schedule)/ Overdraft

Quantum of Advance DL/TL/OD (reducible as per repayment schedule) Overdraft [Pensioner' Credit Card holder not eligible]:

Where PPO is held with Branch Pension directly received at Branch from Treasury /DPDO
Regular Pensioner / Family Pensioner where age does not exceed 75 years at the end of repayment period.
Secured / Unsecured:- 15 times of monthly pension (For Pensioner / Family Pensioner – Max. loan Amount Rs.5 Lac) Secured / Unsecured :-times of monthly Pension (Max. Loan for Pensioners Rs.3 Lacs. Max. Loan for Family Pensioner Rs.1.5 lacs)
For those over 75 years, Max. Limit Rs.1 lac.
[Proponent/borrower may be sanctioned more than one loan (i.e. two accounts – one for secured and other for unsecured/clean loan) under the scheme, depending upon eligibility].
3 times of net pension (amount credited to SB A/c. less EMI for Loans if any, Max. Rs.50000/-) 3 times of net pension (amount credited to SB A/c. less EMI for Loans if any, Max. Rs.50000/-)

Net take home Pension: The net take home pension after deduction of loan instalment should be at least 40% of the pension amount.


Unsecured / Clean:

  • To meet marriage expenses /Medical expenses /Education of self/spouse/children/near relatives.
  • Repairs/renovation/extension of existing house/flat (where Equitable Mortgage charge over the property cannot be created in favor of the Bank and the proponent has not raised loan against such property from any Bank/FI/NBFC, etc.).
  • Any other Personal Expenses of bona fide nature.

Secured Advances: 

  • Repayment of existing Housing Loan from other Banks/Fistic.
  • Purchase of Consumer Durables/Computers/Professional Equipment’s, etc.

[In case of clean/unsecured loan, an undertaking to be obtained from the borrower stating that the loan has been utilized for the purpose declared. In case of secured advances, appropriate proof/bills/receipts for expenses incurred to be obtained.]


For Clean/unsecured advance Secured Advance
Max.36 EMIs w.e.f. one month after first disbursement. 60 EMIs in exceptional cases.  Max. 60 EMIs w.e.f. one month after 1st disbursement.

 For Clean / Secured Advance : Click Here 

Processing / Handling Charges:

  • No processing charge for Senior Citizens (60 years & above)
  • For others one time @ 2% of loan amount, Min. Rs.500/- and Max.Rs.2000/-.
  • Stamp Paper charges: At actuals. Loan Agreement Copy charges .- As Applicable

Updated on : 21/1/2017