Central Bank of India (CBI) Personal Loan to Pensioners

Eligibility Criteria

Eligibility conditions for Central Bank of India Personal Loan to Pensioners:

• Applicant needs to be a Pensioner Family Pensioners and must be drawing their pension from branches of Central Bank of India.
• Pensioners and their families who are former employees of Central Bank of India.
• Pensioners that receive their pension payments via DPDO or Treasury.

Quantum of Finance

Category	Pension Amount	Maximum Limit	EMI Condition
Pensioners aged up to 70 years	18 months’ pension	Max. Rs.10 lakh	EMI not exceeding 50% of monthly pension
Pensioners aged above 70 years	12 months’ pension	Max. Rs.5 lakh	EMI not exceeding 50% of monthly pension
OD Facility	Not applicable	Not applicable	Notional EMI should not exceed 50% of monthly pension

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Features of Central Bank of India Personal Loan to Pensioners

1. The loan can be disbursed as a term loan and Overdraft.

1. Pensioners at the age of 70 years will receive 18 months pension or a maximum of Rs.10, 00, 000

1. Pensioners above the age of 70 years will receive 12 months pension or a maximum of Rs.5, 00, 000

1. The interest rate will be RBLR(Repo Rate+ Spread)+ CRP(Credit Risk Premium) = 10.95%

1. You could download the forms from the website to apply for the application, and along with supporting documents can apply at the nearest Central Bank of India branch.

1. The application form can be procured online, however you will need to visit the branch along with the duly filled form and supporting documents.

Repayment

The conditions for repayment of the pension loan are given below:

Age of Pensioner - Tenure

1. Up to 65 years - 60 months
2. Above 65 years & up to 70 years - 36 months
3. Above 70 years - 24 months

Additionally:

1. The drawing power in an OD (Overdraft) facility will be reduced monthly by the notional EMI amount.

1. The notional EMI should not exceed 50% of the monthly pension.

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Guarantee

The conditions for guarantee related to this loan scheme are given below:

1. The pensioner's spouse or the beneficiary's lawful heirs must become co-borrowers.

1. Acceptance of a life insurance policy with a surrender value of at least 50% of the loan amount is possible.

Minimum CIC Score

1. Transunion CIBIL - 700
2. EXPERIAN - 700
3. EQUIFAX - 700
4. CRIF - 700

Fees and Charges

1. Processing Fee - Nil
2. Documentation Fee - Rs.500 + GST

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FAQs on Central Bank of India (CBI) Personal Loan to Pensioners

• How can I learn whether my loan application is being processed?

  You may easily find out the status of your application for a personal loan by giving the customer support department a call. When you call the customer care line, make sure you have the reference number on hand. 

• If I already have a personal loan, may I receive another one from the Central Bank of India?

  Indeed. Even if you have other loans, you can still apply for a personal loan from the Central Bank of India. However, as a pensioner make sure you have a steady capital flow to play your loan EMIs. 

• When will I receive the loan funds following the approval of my application?

  The bank will notify you if your loan application is accepted or denied. The loan amount will be credited to your bank account in less than 48 hours. 

• Can current senior citizen customers of the Central Bank of India receive a pension loan at a lower interest rate?

  Indeed. Senior Citizens with good credit can usually get loans with lower interest rates. You can speak with the bank directly to get your pension loan interest rate lowered further. 

• What is the minimum credit score required for obtaining a personal loan?

  A credit score of at least 750 is required to be eligible for a personal loan from the Central Bank of India. The bank may decide that financing to someone with a score below this threshold is too hazardous. 

• Who can apply for a pension loan from the Central Bank of India?

  The applicant must be receiving their pension from Central Bank of India branches and be a Pensioner Family Pensioner. 

• Does a 70-year-old qualify for a personal loan?

  Lenders often do not issue personal loans to borrowers older than 60 years because most seniors do not have a steady source of income. On the other hand, you may qualify for the loan if you do receive a regular pension. Pensioners can now apply for personal loans from some Indian institutions. 

• What distinguishes a personal loan from a pension loan?

  Pensioners may choose to take out a pension loan to handle this unforeseen financial necessity. A personal loan intended exclusively for pensioners is called a pension loan. It can be utilised for a number of things, including marriage and medical emergencies.