Indian Bank has drop down its rate of interest on gold loans offered to farmers to 7%. The name of this gold loan scheme is ‘Bumper Agri Jewel’ which is for the short term.
Before the current updated rate of interest, the previous interest rate on the product was 7.5%.
A release said that this reduction has been done due to the present pandemic situation and also to provide easy credit to the needy farmers at a low cost.
The bank said that “With effect from July 22, 2020, Agricultural Jewel Loans are sanctioned at 7% fixed which means it is only ₹ 583 per lakh per month.”
Under this ‘Bumper Agri Jewel’ loan scheme, the bank is giving 85% of the ornament value as loan and the loan is repayable in six months.