For those who are unaware of the new loan, regulation passes by the Indian government should be enlightened with this scheme. The Pradhan Mantri Yojana is implemented for those communities who wish to avail loan for housing expenses. Through this act, the government aims to provide affordable housing rates to the consumer who has to fit certain criteria. If a person fulfils all such specified criteria of the scheme should be able to avail those benefits.
The scheme will offer aid through Credit Linked Subsidy Scheme that enables a person to get a home loan with a subsidy. Overall interest amount levied by any commercial bank will now be a little less as the government is willing to pay its certain percentage. By paying a certain percentage of the interest the government enables a person to purchase a house at an affordable rate. The specified interest rate under the Pradhan Mantri Yojana will range from 3% to 6.5% varying on the overall income of the household.
The scheme regulators have devised three categories that vary on the overall income. The three different sections are:
- Middle Income Group being the top among the other three
- The intermediary Lower Income Group
- The impoverished lower Income Group
The yojana benefits a person by allowing them to save on their interest. Any community can hope to save an amount of nearly 3 lakhs while paying an interest rate home loan of 7%. Registering under the scheme will require documents like Aadhar, PAN and document showing overall income.
