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In an effort to promote sustainable energy solutions and support individuals in harnessing renewable sources of power, SBI Bank India now offers Solar Rooftop Installation Loans. These loans enable existing salaried personal segment customers to install solar rooftop or ground-mounted grid-connected solar panel systems for their personal use. With attractive interest rates and flexible repayment options, this loan offers an affordable and convenient way to switch to renewable energy and reduce carbon footprints.
Features of SBI Solar Rooftop Installation Loan:
1. Target Group:
The loan is available to all existing salaried personal segment customers maintaining a salary account with SBI Bank.
2. Type of facility:
The loan is provided as a term loan which can be repaid over a period ranging from 6 months to 5 years.
3. Quantum of Loan:
Customers can avail of a loan amount ranging from a minimum of Rs. 50,000 up to a maximum of Rs. 10 lakhs.
4. Borrower’s Margin/Contribution:
A minimum contribution of 20% of the loan amount is required from the borrower.
5. Competitive Interest Rates:
The loan offers attractive interest rates at 200 basis points above 1-Year MCLR. As of July 15, 2023, the effective rate stands at 10.55%.
6. Interest Rate Concessions:
Existing home loan borrowers are eligible for a 20 basis points concession in the interest rate, subject to the extension of the mortgage. Other existing SBI customers with a good track record are eligible for a 10 basis points concession.
7. Processing Charges:
A processing fee of 0.50% of the loan amount, along with applicable GST, is levied. The minimum processing charge is Rs. 500.
8. Centralised Processing:
The loan application and processing are centralized, ensuring a quick turnaround time (TAT) for customers.
Eligibility for the Solar Rooftop Installation Loan:
1. Existing Salaried Personal Segment Customers:
The loan is available to all existing salaried personal segment customers maintaining a salary account with SBI Bank.
2. CIBIL Score:
Applicants must have a CIBIL score of 670 and above.
3. Net Annual Income (NAI):
The minimum NAI required to be eligible for the loan is Rs. 3 lakhs and above.
4. EMI/NMI Ratio:
For NAI up to Rs. 3 lakhs and up to Rs. 5 lakhs, the EMI/NMI ratio should be 40%. For NAI above Rs. 5 lakhs, the ratio should be 50%.
Eligible Security and Required Documents:
1. Eligible Security:
The primary security for the loan is the hypothecation of assets created out of the bank finance. If the housing loan borrower opts for an extension of the mortgage, the housing property can be used as collateral security.
2. Documents Required:
– Proforma Invoice/Quotation for equipment and installation.
– Feasibility approval from Jurisdictional ESCOM (wherever applicable).
– Electricity bill for the last 6 months.
– KYC documents as per the bank’s guidelines.
– Last 2 years ITR returns/Form 16.
– Salary statement for the last 6 months.
Conclusion:
SBI Bank India’s Solar Rooftop Installation Loan offers an excellent opportunity for customers to embrace renewable energy by installing solar rooftop systems. With competitive interest rates, flexible repayment options, and quick processing, the loan provides a convenient way to reduce reliance on traditional energy sources, contribute to environmental sustainability, and enjoy long-term cost savings.
Frequently Asked Questions (FAQs):
1. Can I avail the Solar Rooftop Installation Loan if I am not an existing customer of SBI Bank?
No, the loan is available only to existing salaried personal segment customers maintaining a salary account with SBI Bank.
2. How much loan amount can I avail under this scheme?
The loan amount ranges from a minimum of Rs. 50,000 up to a maximum of Rs. 10 lakhs.
3. How long is the repayment period for the Solar Rooftop Installation Loan?
The repayment period can be set between a minimum of 6 months and a maximum of 5 years, based on the borrower’s preference.
4. Are there any concessions in the interest rate for existing SBI customers?
Yes, SBI offers a 10 basis points concession in the interest rate for existing customers with a good track record. Home loan borrowers can avail a 20 basis points concession subject to the extension of the mortgage.
5. Can I use my existing home as collateral security for this loan?
Yes, if you are an existing housing loan borrower, you can opt for an extension of the mortgage and use your housing property as collateral security for the Solar Rooftop Installation Loan.
