MOTOR CONVEYANCE LOAN
TERMS & CONDITIONS

Officers (including SSC officers)

Types Eligibilty Quantum of Loan
( )
Repayment
(No. of Instalments)
New Four wheeler Officers who have completed at least six months of actual service from the date of their first appointment (incl post-commissioning trg assignment) after grant of PC/SSC.  25 Lakh 180
Pre-owned four wheeler -do- 6 Lakh 120
New Two Wheeler On commissioning (PC/SSC). 4 Lakh 96

Airmen

Types Eligibility Quantum of Loan
( )
Repayment
(No. of Instalments)
New four wheeler SNCOs and above with 5 yrs of service 10 Lakh 180
Cpl and above after completion of 5 yrs of service 5 Lakh
Pre-owned four wheeler SNCOs and above with 5 yrs of service 3 Lakh 120
Cpl and above after completion of 5 yrs of service 2 Lakh
New Two Wheeler SNCOs/Cpl & below with two years of service. 2 Lakh 96

NCs(E)

Types Eligibility Quantum of Loan
( )
Repayment
(No. of Instalments)
 New Two Wheeler After completion of two years of service. 1.5 Lakh 96

Rate Of Interest

  • 7.75% p.a

Processing Fees

  • Nil. (Processing Fee has been waived wef 01 Oct 2017)

Loan Insurance

  • A one-time non-refundable contribution towards insurance of loan will be recovered from the loanee from the sanctioned amount.
  • Click here for details

Documents For Availing Loan

Note : All the legal papers in the application form are to be used as-it-is and not to be retyped or rephrased
New Car Second Hand Car Two wheeler
  • Performa invoice from the company / CSD from whom the vehicle is to be purchased indicating the price and availability of vehicle.
  • Latest pay slip IN ORIGINAL (F 1517/ 1523)
  • All pages of Application Form Duly completed.
  • Xerox copy of registration Book of seller (vehicle should not be on lease).
  • Willingness certificate from seller.
  • Original latest F 1517/ 1523.
  • All pages of Application Form Duly completed.
  • Performa invoice from dealer.
  • Latest pay slip IN ORIGINAL (F 1517/ 1523)
  • All pages of Application Form Duly completed.

Discipline Cases

  • Not eligible if two or more (red ink) entries and five years have not lapsed from the last entry and/or disciplinary proceedings (SOE/GCM/DCM etc) are initiated/ in progress.

Submission of Documents after availing Loan

  • Cash Receipt.
  • Vehicle Registration Certificate.
  • Loan clearance certificate from Bank/FI (for loan takeover cases).
  • Within three months from the date of issue of cheque/ date of payment.

Pre-payment/Refund of loan

  • Re-fixation of EMIs/refund of loan is allowed not more than two times in a financial year.
  • Minimum amount for refund of MCL is Rs one lakh for four wheeler and Rs 20,000/- for two wheelers.
  • Such refund in full must preferably be made before 20th of a particular month.
  • Details of such refund, of made by e-remittance, must be immediately communicated to AFGIS.

Penal Rate Of Interest

  • Penal rate of interest is chargeable for non-submission of documents and non-compliance of stipulated policy & rules.

Application Forms