1

Purpose

Purchase/Installation of

a. Solar Heaters

b. Home/Indoor Lighting Systems

c. Off Grid/Grid Connected Roof Top Solar system

Purchase/Installation of Grid Connected Rooftop Solar System

2

Eligibility

Individual Borrowers and Non Individual Borrowers subject to repayment capacity

New and Existing Housing Loan Customers

3

Loan Amount

For Individual Borrowers -Max. Rs. 20 Lakhs

For Non Individual Borrowers-Max. Rs. 10 Lakhs. Non Individual Borrowers can avail higher loan under our Bank's IOB Tejas Scheme.

Rs. 20 Lakhs

4

Repayment Period

Max. 120 Months

Repayment aligned with Housing Loan. Borrower may avail shorter repayment period also

5

Holiday Period/Moratorium Period

For Purchase and Installation of Rooftop Solar System-6 Months or installation and commissioning of RTS whichever is earlier.

For Other equipment-Repayment without any Holiday/Moratorium period.

6 Months

6

Interest Rates

IOB Surya Scheme

Loan Amount upto Rs. 2.00 Lakhs is 7% Only (For Individual Borrowers)For loan Above 2 Lakhs Click here

Fixed ROI-13%

IOB HL Surya Scheme

Loan Amount upto Rs. 2.00 Lakhs is 7% Only For Loan Amount Above Rs.2.00 lakhs -As per Housing Loan Interest Rate as per Rating. Fixed ROI-13%

7

Processing Charges

RTS Upto 10 kW: Nil

RTS above 10 kW and other solar equipment: 0.40% of Loan Amount

Processing charges, subject to maximum Rs. 5000/-

Nil

8

Security

Prime: Hypothecation of RTS equipment

Collateral:

For Loans for RTS upto 10 kW: -Nil

For Loan for RTS above 10 kW:  Mortgage of Property or other Liquid Security such as Life Insurance Policy, NSC, KVP/Term Deposit /SGB etc.

For Loans for other Solar Equipments:

Prime: Hypothecation of Equipment purchased.

Collateral:

For Loans upto Rs. 1 Lakh:-Nil

For Loans above Rs. 1 Lakh: Mortgage of House/Flat/Plot or Liquid Security in the form of Life Insurance Policy, NSC, KVP/Term Deposit/SGB etc. to the extent of 100% of loan amount.

Prime: Hypothecation of Equipments purchase out of Loan

Collateral: Undertaking for Extension of Mortgage of House Property

9

Income Norms

For Loan Amount upto Rs. 2.00 Lakhs: No Minimum Net Annual Income eligibility criteria.  

As per the guidelines outlined by IBA, for Installation of Rooftop Solar for Loan Amount up to Rs. 2.00 Lakhs, assessment of net annual income is not required. Accordingly, loan applications falling under this category shall be processed based on the applicant’s Self-Declaration.

For Loan Amount above Rs. 2.00 Lakhs: Minimum Net Annual Income shall be Rs. 3 Lakh.

For Salaried borrowers: 2 Years ITR and/ or 3 months Salary Slip. Average salary of last 3 months   & deduction as per latest salary slip to be taken for assessment. Employment particulars to be obtained and verified.

For Self Employed and Businessman Category: 2 Years ITR to be obtained. Average income to be taken for assessment purpose.

Borrowers who are not under the category to file mandatory ITR may submit income proof issued by Revenue Authorities. Repayment capacity to be examined by the Branch carefully for such borrowers.

 For Non-Individual Borrowers: Assessment shall be based on average cash profit (Net Profit after Tax plus Depreciation) for the past 2 years as per their ITR.

For Loans for other Solar equipment: No Minimum Net Annual Income criteria, however THP norms to be complied.

To establish Roof-Top Rights, ANY ONE of the following documents may be accepted by the Banks:

• Property tax receipt
• Panchayat letter
• Land Records
• Land possession certificate
• Copy of the sale deed*/ Lease deed*/ Govt. grant/ allotment lease cum sale agreement/ occupancy/ allottee
• Partition deed*
• Mutation certificate*
• In case of cooperative housing societies, share certificate along with NOC
• Flat allotment letter, share certificate, occupancy certificate, letter of possession, NOC from society (in case of flats)

Upfront disbursement to the vendors would be made to the extent of 70% of the project cost (including proportionate margin money contributed by the applicants) and remaining 30% will be disbursed within 30 days of satisfactory installation and post installation verification by the bank.

Disbursement to be made directly to the Vendor/ EPC Contractor after submission of all the required feasibility reports as mandated by MNRE.

Disbursement of Loan Amount + Borrower’s Margin.

Subsidy shall be claimed by the Borrower providing Loan Account Number for credit of subsidy into the Loan Account.

15

Subsidy if Any

As per Govt. Rules

16

Rooftop Solar Vendors (Empanelled with MNRE) - (Click here)

17

Link to National Portal - (Click here)