Individuals who want to buy new or used tractors can get tractor loans from banks and financial institutions across the country at competitive interest rates that start at 9.00 percent p.a. A processing fee of 0.5 percent to 2% of the loan payback term may be charged to prospective tractor loan borrowers. The majority of lenders provide repayment terms of up to seven years.
SBI New Tractor Loan Scheme
Agricultural term loans are available from the State Bank of India for people looking to buy new tractors and related equipment. This loan is available to individuals, groups of individuals, institutions, and organisations.
Major Highlights/Benefits:
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To be qualified for this loan, the potential borrower must have a steady source of income.
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There is a 15% margin that can be used.
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To obtain this loan, the applicant must hypothecate his or her tractor and accessories.
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After taking out a loan, the borrower must insure the tractor and accessories.
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The lender charges an advance fee of 0.5 percent of the loan amount.
ICICI Tractor Loan
Individuals with agricultural loans might get a tractor loan from ICICI Bank. The agricultural revenue of the potential borrower is taken into account while determining their eligibility. To be eligible for this loan, the applicant must own at least 3 acres of land.
Major Highlights/Benefits:
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With a 4% processing fee, the lender charges a low rate of interest.
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Non-mortgage loans are also available.
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Borrowers have a variety of repayment alternatives available to them.
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For the remaining loan term, 4.72 percent of the outstanding loan amount or outstanding interest is due.
HDFC Tractor Loans
Farmers and non-farmers can get tractor loans from HDFC Bank to buy new or used tractors. The company offers a competitive interest rate and approves tractor loans in as little as 30 minutes.
Major Highlights/Benefits:
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The lender has a simple documentation procedure.
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Interested borrowers can borrow up to 90% of the tractor's value.
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The lender offers a variety of repayment options. Borrowers can pay back their loans through post-dated cheques, ECS, SI, and other methods.
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HDFC Bank offers tractor loans that can be taken out with or without collateral.
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Applicants must be at least 18 years old to qualify for this loan.
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2% of the loan amount is charged as a processing fee.
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Pre-closure fees can be upto 6% of the outstanding amount.
Axis Bank Tractor Loans
Axis Bank offers tractor loans with low interest rates and a slew of perks for the borrower. Borrowers can choose between a monthly, quarterly, or bi-annual repayment schedule and a repayment period of up to 5 years.
Major Highlights/Benefits:
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To apply for a tractor loan from Axis Bank, the applicant must be at least 18 years old.
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The loan applicant's maximum age at the time of funding should be 75 years old.
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At least 3 acres of land must be owned by the loan applicant.
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The documentation process is quick with this lender.
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The vehicle that is purchased on loan must be hypothecated to the lender in order to qualify for this loan.
Magma Fincorp Tractor Loans
Magma Fincorp is a leading financial firm that provides loans for all types of new and old tractors. Farmers in Telangana, Andhra Pradesh, Maharashtra, Tamil Nadu, Punjab, Madhya Pradesh, Uttar Pradesh, Rajasthan, Kerala, Karnataka, Orissa, West Bengal, Bihar, Jharkhand, Haryana, Gujarat, and other states can apply for loans.
Major Highlights/Benefits:
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Individuals living in rural areas of India can apply for loans from the lender.
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The documentation procedure is straightforward and painless.
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The repayment schedule for a borrowed debt can be monthly, quarterly, or half-yearly.
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Customers who have previously obtained tractor loans from the institution are granted new loans without having to provide their land holding paperwork.
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Borrowed loans are subject to foreclosure six months after the loan is disbursed.
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Pre-foreclosure fees are 5% of the outstanding principle.
