In order to provide enhanced housing loan to an individual borrower the Reserve Bank of India (RBI) has given permission to the State and Central Co-operative Banks where they can now give an individual borrower housing loan up to Rs.20 lakhs but for a bank having a net worth of Rs.100 crore and above, the housing loan limit per borrower will be Rs.30 lakhs.
Additionally, a State/Central Co-operative bank was allowed a maximum housing loan of Rs.5 lakhs per borrower, dependent on the condition that the aggregate housing loans outstanding on any day against individuals, institutions and societies should not exceed 5% its total deposits.
However, RBI also makes it clear that housing loans would not include finance to commercial real estate sector and that the apex bank had already advised State and Central Co-operative banks through a circular in May this year to cease from financing the commercial real estate sector.
Additionally, a State/Central Co-operative bank was allowed a maximum housing loan of Rs.5 lakhs per borrower, dependent on the condition that the aggregate housing loans outstanding on any day against individuals, institutions and societies should not exceed 5% its total deposits.
However, RBI also makes it clear that housing loans would not include finance to commercial real estate sector and that the apex bank had already advised State and Central Co-operative banks through a circular in May this year to cease from financing the commercial real estate sector.
No comments:
Post a Comment