Loan against recovery from salary shall be granted only to members of the Society and who are permanently employed with institutions approved by the Society. Maximum amount of the loan that can be granted under the scheme is fixed at Rs.5.00 lacs (Rupees five lacs only) subject to 10 times of net salary or take home salary of the applicant after reckoning all recoveries and further on the condition that recoveries including instalment amount of the proposed loan, shall not exceed 60% of the total salary. The employee shall have minimum take home salary equivalent to 40% of total salary after all recoveries including the instalment of the proposed loan are taken into account, as per the regulations. Remaining period of service of the applicant shall also be reckoned while considering the amount of loan.
Period – 60 months
Guarantee – Loan shall be sanctioned against guarantee/surety of two employees who should satisfy the eligibility criteria for the loan. Salary Certificate and undertaking/authorisation for recovery from salary should be obtained from the sureties as in the case of the applicant.
Salary of the sureties shall also be taken into account for considering the loan amount and in case the salary of sureties is lower than that of the borrower only the lower salary shall be reckoned.
Special Loan Schemes to Employees of Amal Jyothi Engineering College and St. Dominics College
Special salary recovery loan scheme for Amal Jyoti College of Engineering and St. Dominic’s College has been approved. Loan Scheme is offered to the permanent employees of Amaljyothi Engineering College, Koovappally and St. Dominics College, Kanjirappally for meeting their genuine personal requirements against Salary certificate issued by the employer . General terms and conditions are given below.
1. Amount upto 10 times of gross salary subject to a maximum of Rs 5 L @12.5%
2. Period : For loans upto Rs 2 L upto 36 months and for loans above Rs 2 L upto 60 months . (EMI @ Rs 3346 per lakh for 36 months & Rs 2250 per Lakh for 60 months)
3. Collateral security : Nil
4. Guarantee of two colleagues satisfying the eligibility criteria
5. Applicant must be a member of the Society and must have minimum 3 years confirmed service and remaining service of one year after due date of the loan
6. Loan will be considered for permanent employees who are regular in attendance and consistent in earnings whose deduction from salary do not exceed 50 % including EMI of the proposed loan