Canara Kisan OD

(Updated till 30.04.2023)

Purpose 1. Working capital requirements - for allied activities, farm machinery /
equipments maintenance.
2. Repairs and replacements of machinery, Repairs / Improvements of
Developmental nature and replacement of draught animals, bullock carts
etc.
3. Working capital requirements for Non-farm sector activities
4. Consumption needs
5. Repayment of genuine private debts

Eligibility i. Individual farmers / joint borrowers, partnership firms, private limited

companies and public limited companies who are owner cultivators and /
or engaged in allied activities.
ii. Agriculturists with one year satisfactory track record. This norm may be
relaxed by the next higher authority provided other norms of the scheme
are complied with.
iii. Canara Kisan OD can also be sanctioned to GPA holders.
iv. Should not be a defaulter to any of the financial institutions

Quantum of Minimum limit: Rs. 1 lakh

limit Maximum limit: Rs. 10 lakhs
Under Relaxed Norms:
a) Maximum of three times the gross annual income
b) Upper ceiling of Rs.12.50 lakhs.
c) The ceiling of finance per acre of land mortgaged with Maximum of Rs. 1
lac per acre of land mortgaged subject to 50% of the value of the landed
property mortgaged / proposed to be mortgaged. Out of which atleast 15%
security in the form of residential property.
Margin For loans upto and NIL
including
Rs. 1,60,000/-
For loans above Rs. 15% to 25% of the project cost
1,60,000/- * depending upon purpose and quantum of
loan

Security Mortgage of landed properties are to be obtained with value at least

200% of the limit as prime security & of which at least 15% security in
the form of residential property.
Repayment The limit would be in the nature of revolving OD and provide for any
Period number of drawals and repayments within the limit.The interest should be
served halfyearly and the loan must be renewed yearly. Duration of loan is
12 months only.