PNB enables housewives and other ladies to supplement family incomes and to use their spare time profitably through this scheme by taking up projects as artisans, or under village and cottage industries, SSI, small business and retail trade. Industrial projects requiring higher assistance may also be considered under the scheme of financing small-scale industries.

Eligibility

Any Woman/Housewife, 18 years of age and above, living at a place for more than 6 months, who has not been a member of any industrial co-operative society and not indebted to any cooperative or state agency.

Amount of loan

Need based, subject to ceiling of Rs.25,000/- per borrower for purchase of machinery/equipment etc. and meeting working capital requirement of one operating cycle.

Margin: Nil

Security

Pledge/hypothecation/mortgage of assets created out of bank loan. No collateral security/3rd party guarantee is required.

Rate of Interest

11.50% p.a (PTLR)*

* This is subject to change from time to time.

Insurance

Generally speaking, insurance against fire, theft, burglary and/or any other special risk to safeguard the bank's interest in the light of circumstances prevailing and depending upon the nature of securities/the premises in which the security is/will be lying with bank clause, will be taken and kept in force. and also on the bank record.

Repayment

The term loan/composite term loan will be adjusted along with interest in 36 monthly installments starting 3 to 6 months from the date of availment depending upon generation of surplus. The borrower will be required to open a savings fund account with the bank in which she must deposit once every fortnight net income after spending such amount out of it as needed for meeting the working/living expenses. She shall also undertake to maintain such balance in her savings fund account at the end of each month as would enable the bank to debit the said account with monthly installment towards adjustment of the loan.

Disbursement

The amount of loan for purchase of equipment shall be paid directly to the supplier. Advances against raw material will be made either in the form of pay order in favour of the supplier or on the presentation of bill to the bank indicating that the material has been delivered to the borrower. In respect of requirements of petty items, cost not exceeding Rs.800/- per item, the amount may be released either to the borrower or to the supplier as convenient in cash up to Rs.3000/- for purchase of tools, equipment and raw materials on merits without insisting for performa bills, cash-memo(s) etc.