COIMBATORE: Indian Overseas Bank is targeting Rs. 50 crore to Rs. 100 crore disbursement in a year under its “IOB Urban Horticulture Yojana” scheme, according to its Executive Director Nupur Mitra.
Disbursing credit under the scheme to beneficiaries in Karumathampatti (Kollupalayam Branch) here on Friday, Ms. Mitra said the bank was encouraging its customers to take the loan as it is a contribution by the bank for a greener planet.
Any salaried person would be able to avail of themselves the scheme. It would be also for existing clients of the bank and no security was required, she said.
General Manager of the bank, Coimbatore Regional Office, S. Palanisamay said Coimbatore region’s credit disbursement target for this year was Rs. 4,350 crore.
According to a release from the bank, the scheme was to finance home garden, ornamental garden, kitchen garden, flower garden, orchards and roof garden in office, school premises and home. Individuals would get Rs. 10,000 to Rs. 1 lakh loan and institutions would get up to Rs. 10 lakh.
The scheme was open to salaried personnel and those having regular income supported by documentary evidence.
All branches in metro, semi-urban and rural areas would be offering this scheme.
The minimum area required was 500 sq.ft. and the rate of interest varied from 10.5 per cent to 11.75 per cent. The loan should be repaid in 12 to 24 months by individuals and in 12 to 36 months by institutions.
The scheme was a retail product and it would be cross sold to MSME borrowers, housing loan clients and other individual customers.
Loans worth Rs. 2.25 crore were disbursed to 101 beneficiaries.