BCC BR 106 380 PDF

BCC:BR:106/380 01.09.
2014
CIRCULAR TO ALL BRANCHES AND OFFICES IN INDIA
Sub File - Adv 2
ISSUED BY RETAIL BANKING DEPARTMENT
Dear Sir,
Re: Master Circular on ‘Baroda Home Loan’.
Please refer to the last master Circular on ‘Baroda Home Loan’

BCC:BR:105/393 dated 06.09.2013.
Now, we are attaching the Master Circular on ‘Baroda Home Loan’

with all the updated features of the following products:
• Baroda Home Loan to Individuals (Resident Indian).

• Baroda Home Loan to NRIs/PIOs/OCIs.
• Baroda Home Improvement Loan.
• Baroda Additional Assured Advance (AAA).
• Home Loan to Staff under Public Scheme.
• Golden Jubilee Rural Housing Finance Scheme (GJRHF).
This Master Circular consolidates all the instructions in respect of

“Baroda Home Loan Scheme” issued upto 31.08.2014 by Retail Banking
Department, BCC from time to time.
We are sure this updated master circular will help the branches to
update their awareness of Home Loan Products and facilitate them as
a reference material, since they will be able to find complete set of
guidelines pertaining to Home Loan products at one place.
Yours faithfully
(Usha Khamkar)
General Manager
(Retail Banking)
Master Circular
on
Baroda Home Loan
[Updated upto 31.08.2014]
Retail Banking Department

Bank of Baroda
Baroda Corporate Center
Mumbai.
Master Circular on Baroda Home Loan Page 2
INDEX
Sr.No. TOPIC Page No.
PRODUCTS UNDER BARODA HOME LOAN
I Baroda Home Loan to Individuals (Resident Indian) 6

II Baroda Home Loan to NRIs/PIOs/OCIs 33
III Baroda Home Improvement Loan 43
IV Baroda Additional Assured Advance (AAA) 47
V Home Loan to Staff under Public Scheme 52
VI Golden Jubilee Rural Housing Finance 57
PRODUCT FEATURES
I Baroda Home Loan to Individuals (Resident Indian) 6

1. Purpose 6
2. Area of operation 8
3. Eligibility 8
4. Maximum Amount of Loan 10
5. Income Criteria 10
6. Repayment Capacity 12
7. Loan to Value (LTV) Ratio 13
8. Margin 13
9. Repayment Period 14
10. Rate of Interest 14
11. Loan application and Preliminary Scrutiny 15
12. Security 16
13. Risk Rating 21
14. Documentation 21
15. Equated Monthly Instalment 21
16. Resetting of EMIs/ Extension of Repayment period on revision of
22
interest rate
17. Home Loans at Fixed Rate Option- Application of re-set clause 22
18. Conversion from ‘Fixed to Floating Rate’ 24
19 Disbursement of Loan 25
20. Unified Processing Charges 25
21. Property Insurance & Personal Accidental Insurance 26
22. Life Insurance cover to Home Loan Borrowers 26
23. Prepayment Charges 27
24. Change of tenure 27

25. Inspection of property – Pre sanction & post sanction 27
26. Home Loan to Staff under Public Scheme 28
27. Discretionary lending powers 28
28. Free Credit Card to Home Loan borrowers 28
29. Additional Assured Advance facility (AAA) 29
30. Withdrawal of concession to Group Home Loan proposals &
29
employees of preferred organizations
31. Take over of Home Loan accounts from other Banks/ HFCs 29
32. Powers of Deviations & charges for deviations 30
33. Approval of Builder/Developer/Promoter & Projects 31
34. Implementation of the orders of Delhi High Court 31
35. Payment of incentive to staff members 32
36. Payment of service charges to Approved Builders 32
37. Priority Sector Classification 32
II Baroda Home Loan to NRIs/PIOs/OCIs 33

1. Purpose 33
2. Area of operation 33
3. Eligibility & Age 33
4. Minimum Amount 34
5. Maximum Amount 34
6. Income Criteria 35
7. Repayment Capacity 36
8. Loan to Value (LTV) Ratio 36
9. Margin 36
10. Security 38
11. Rate of Interest 38
12. Documentation 38
13. Repayment Period 38
14. Recovery of interest for the pre-EMI period 39
15. Change in status of the Borrower 39
16. Application form 40
17. Reporting / Classification 40
18. Execution of Documents & operations through Power of Attorney 40
19. Other Parameters / features 42
III Baroda Home Improvement Loan – Product Profile 43
IV Baroda Additional Assured Advance (AAA) – Product Profile 47
V Home Loan to Staff under Public Scheme –Product Profile 52
VI Golden Jubilee Rural Housing Finance (GJRHF) – Product Profile 57
Credit Risk Guarantee Fund Scheme for Low Income Housing

VII 58
(CRGFS).

ANNEXURES
1. Group Credit Life Insurance for Home Loan Borrowers 64

2. Personal Accident Insurance & Property Insurance
74
(Revised Schemes)
3. Baroda Home Loan Suraksha Bima Yojna 86
4. KYC Norms & Preventive Vigilance 90
5. Rating Model 97
6. Online Home Loan Application 100
7. Approval of Builders and their Housing Projects 102
(a) Approval of builders and their housing projects where our
105
Bank granting credit facilities
(b) Parameters for approval of builders and their projects 106
(c) Information to be obtained from builders for approval of
107
projects
(d) Powers to approve deviation to accept ‘unregistered
109
agreement to sell’ in approved/unaproved housing projects
(e) Upfront disbursal of Housing Loans – RBI guidelines 111
(f) Disbursement of Home Loans on the basis of ‘agreement to
113
sell’.
8. Issuance of Free Credit Card to Home Loan Borrowers 114
9. Powers for Deviations & Deviation charges 116
10. Documents to be obtained from Customers 120
11. List of Close Relatives- Home Loan to NRI 124
12. Finacle vis-a-vis Ascrom Codes 124
13. Selling Points on Home Loans 125
14. Payment of Incentive to staff members 126
15. Payment of Service Charges to Builders 128
16. Implementation of orders of Delhi High Court 130
17. Application Form- Home Loan to Individuals (Resident Indian) 132
18. Application Form – Home Loan to NRIs/PIOs/OCIs 138
19. Pre sanction Inspection Report 142
20. Post Sanction Inspection Report 144
21. Format of letter to Advocate for legal opinion 145
22. Format for Power of Attorney 148
23. Format of Letter to be obtained from principal for execution of
151
POA
24. Format of Special POA to receive mortgage documents in case
152
of take over loans
26. Format- Details of payment of incentive to staff for Home Loans 153
27. Format- Details of payment of incentive to Builders 154
28. CRGS scheme – Format for Claims 155

BARODA HOME LOAN TO INDIVIDUALS (Resident Indian)
1. Purpose:
i. For construction of new dwelling unit and purchasing of new residential house/ flat.
ii. For purchase of old dwelling unit (not more than -25- years old).
• For dwelling units which are older than 20 years but not more than 25 years,
branch to ascertain structural soundness of the building by obtaining an
approved engineer’s certificate, certifying the structural soundness as well as
residual life of the building which should be atleast 5 years more than the
repayment period.
• For dwelling units which are older than 25 years, Regional Head may
authorize such cases on selective basis, subject to, ascertaining structural
soundness of the building by obtaining an approved engineer’s certificate,
certifying the structural soundness as well as residual life of the building which
should be atleast five years more than the repayment period of the loan.
iii. For purchase of plot of land, subject to the condition that a house will be
constructed thereon within -3- years or upto the period allowed by Development
authority, whichever is earlier, from the date of purchase of plot, without resorting to
penal interest.
There is no exclusive scheme for purchase of plot under Home Loan product and
provision of plot is a part of home loan project. As such, only a reasonable part of
the total home loan eligibility should be sanctioned/ disbursed for purchase of plot,
keeping margin for construction of house over the plot.
When the loan is considered for purchase of a plot to construct the house, the
Branch should obtain a suitable undertaking from the borrower to this effect.
Since the compliance of the undertaking rests with the borrower, Branches are
required to incorporate suitable covenants in the loan documents at the time of
sanction, to enable them to recall the loan and/or charge higher rate of interest, ab
initio, in the event of non-compliance by the borrower with his undertaking.
In this background, for the benefit of the branches, we would like to clarify the issue
as under:
In case the borrower fails to construct the house within a period of three years from
the availment of the said finance:
i. Branch to charge commercial rate of interest (Base Rate plus maximum band
declared by the Bank) from the date of first disbursement.
ii. Branch to recall the loan and recover total loan with revised interest.

iv. For repayment of the loan already availed from any other Bank / Housing Finance
Company and/or other sources, provided documentary evidences are produced.
v. For extension of the existing house to:

Our existing Home Loan borrowers
New borrowers
Borrowers who have availed Home Loans from other bank / HFC.
vi. For reimbursement of expenses incurred for houses / flats constructed / purchased
recently from own sources to good clients selectively, subject to following additional
conditions:
a. Such Loans are to be considered only to applicants who secure HL-1, HL-2 or
HL-3 risk ratings under Home Loan Rating model.
a House/flat should have been constructed / purchased recently (not prior to
24 months)
b Margin: Salaried - if monthly salary is upto Rs. 20000/- : 25%
salary is above Rs. 20000/- : 20%
Others : 20%
c Valuation Report to be obtained from approved valuer of the Bank.
d Branch to satisfy that there are no institutional / external borrowings against
the house and the amount already spent on the house has come from own
sources of the customers.
e Branch to verify and keep on record relevant money receipts, bills,
documentary proof of payment/expenditure etc.
f Creation of equitable mortgage after obtaining title clearance report from
Bank’s Advocate.
g Reimbursement of cost of plot is not admissible under the scheme.
vii.In the case of individuals who have taken loan for construction / acquisition of
house/flat from other bank/HFC and need supplementary finance, loan may be
considered to high class borrowers (HL-1 and HL-2 risk rating) after obtaining pari
passu or second charge over the property mortgaged in favour of other
Bank/HFC and / or against such other security as deemed appropriate.
viii. Branches/RLFs should not consider/sanction Home Loan proposals to builders

where disbursements are not linked to various stages of construction of housing
project in terms of Circular No.BCC:BR:105/392 dt 05.09.2013. (Details given in
Annexure-7 (B)
ix. If the car parking place is located in the same building/society/compound, the
cost of car parking place or area can be considered in the cost of house/flat.
However, it is to be noted that the car parking area should be identifiable, specific
and be clearly mentioned in the sale agreement/allotment letter.
x. The one time premium amount for Life Insurance Cover to Home Loan Borrowers
under Group Credit Life Insurance Scheme can be financed as part of Loan at the
request of the borrower, at the time of sanction. Premium amount can be part of

the loan as per total eligibility of the borrower keeping the margin and LTV Ratio as
mentioned above on cost of project excluding other charges like stamp duty,
registration charges and other expenses like life insurance premium etc. Please
note that Insurance premium should not be included on cost of project for
calculating margin & LTV Ratio. (Detail of the scheme of Group Credit Life
Insurance is attached as (Annexure-1)
xi. Property under litigation and in poor condition should not be considered for
financing.
2. Area of operation:
In terms of the revised guidelines, all the branches including at Metro & Urban
centers are permitted to consider Home Loan proposals. However, it is clarified that
the branch in metro and urban areas may consider Home Loan near to the:
Location of new flat/house to be purchased/constructed or

Place of work/business of the applicant or
Place of present residence of the applicant or
Branch maintaining salary account of the applicant
Semi-urban and rural branches may finance in their area of operation.
Please note that wherever, Retail Loan Factories (RLFs) are established, branches
covered under the RLF shall not consider home loans unless and otherwise authorized
by the concerned Regional Head.
Any deviation from the above may be considered with prior approval of Regional
Authority.
3. Eligibility:
i. All individuals singly or jointly.
ii. Principal applicant must be employed minimum for last three years.
iii. Age:
• Minimum age: Minimum age of the applicant must be 21 years. However,
the minimum age of co-borrower can be 18 years.
• Maximum age:
Salaried Persons:
a) Maximum age is 70 years. i.e., the age by which the Loan should be
fully repaid, subject to availability of sufficient regular and continuous
source of income for servicing the loan repayment, provided:

(i) Son/ Daughter/ Spouse who is a legal heir and preferably below 50
years of age, with sufficient income for servicing the loan
repayment joins as Co-Borrower/Guarantor.
(OR)
(ii) If borrower pledges FDRs / NSCs / Govt. Security etc. of adequate
value to ensure continuity of income for repayment of loan
installment with interest if sanctioning authority is satisfied about
the same.
b) Other wise i.e, if not fulfilling the above criteria (i) or (ii), age of the
borrower plus repayment period should not be beyond retirement
age.
c) Maximum age can be considered upto 70 years, also in case of

salaried persons drawing pension, subject to the condition that 40% of
the pension is sufficient to pay EMI. In case EMI exceeds 40% of the
pension, the borrower to deposit adequate amount in the loan
account so as to reduce the outstanding amount of loan to the extent
it can be serviced by 40% of the pension.
Others (Non-salaried/self-employed/professionals/agriculturists etc.):
a) Maximum age is 70 years. i.e., the age by which the Loan should be
fully repaid, subject to availability of sufficient regular and continuous
source of income for servicing the loan repayment, provided:
(OR)
(ii) if borrower pledges FDRs / NSCs / Govt. Security etc. of adequate
installment with interest if sanctioning authority is satisfied about
the same.
(b) Other wise i.e, if not fulfilling the above criteria (i) or (ii), age of the
borrower plus repayment period should not exceed 65 years.
iv. Person who already owns a house can also be considered for construction/
buying a second house / flat in the same village / town / city or other village /
town for the purpose of self-occupation.
v. Normally Home Loan is to be considered only for purchase / construction of

one house / flat. However, looking to the size of the family, income eligibility
and repayment capacity of the applicant, Home Loan can be considered for
purchase of two flats/two houses also, provided both the flats/houses are
adjacent or in the same place (city/town/village) and acquired for self
occupation.

vi. Home Loan to third dwelling units onwards: As per RBI guidelines Bank’s
exposure to third dwelling unit onwards to an individual will be treated as CRE
(Commercial Real Estate) exposure.
As such, Home Loan for third dwellong units onwards to an individual is not to be
considered under regular Home Loan scheme of Retail credit
vii. Person who has been provided accommodation by his / her employer is also
eligible for loan, even though he / she is not in a position to occupy it in the
near future and proposes to let out on rental basis.
viii. Home Loan to HUF is not to be considered as it is not meant for the purpose of
family business of HUF and also there are certain legal complications.
4. Maximum Amount of Loan
i. Rs. 300/- Lacs for Urban & Metro branches
ii. Rs. 100/- Lacs for Rural & Semi-Urban branches
iii. For extension: Rs. 10/- Lacs.
iv. Total amount of the loan sanctioned including that for extension should not
exceed Rs. 300/- Lacs for Urban & Metro branches and Rs.100/- Lacs for Rural &
Semi-Urban branches.
v. The actual quantum of loan should be arrived at after considering the income
criteria, repaying capacity & LTV/Margin norms as laid down under point no. 5, 6,
7 & below.
vi. All the sanctioning authorities at branch level as well as Regional and Zonal
Offices shall consider the Home Loan proposals upto their DLPs and if the
proposal falls beyond their DLP, same shall be submitted to next higher authority
for their consideration as hitherto.
5. Income Criteria:
The maximum amount of loan should not exceed the following:
(i) In case of salaried persons:
Monthly Income Eligibile amount of loan

Up to Rs.20,000/- -36- times of monthly gross income
More than Rs. 20,000/-
-48- times of monthly gross income
& up to Rs.1 Lac
More than Rs. 1 lac -54- times of monthly gross income

(ii) In case of others viz. professionals / self-employed / business persons etc.,
-5- times of average annual income (last three years).
Depreciation to be considered for computing eligibility subject to the

following conditions:
• The facility will be confined to Businessmen, Professionals, Self-Employed,

Individuals etc who run the business/activity on proprietorship basis.
• Sanctioning Authority will ensure verification of fixed assets, over which,
the depreciation is claimed by the borrower during pre sanction
inspection and a copy of report to be kept on record.
• Depreciation amount will be ascertained on the basis of last -3- years
“Audited Balance Sheet” of Business activity and the latest Audited
Balance Sheet should not be older than -9- months.
• Depreciation that is allowed to be added to the net income, will be
average depreciation during the last -3- years or the depreciation during
the current year, whichever is Lower.
i. Wherever income of the family members is clubbed, they should be made co-
borrowers.
ii. Considering the average life expectancy of about 65 years, the pension income
is not to be included in the income for calculating the eligible loan amount.
iii. In Retail Loans, income & repaying capacity are the main criteria for considering
loans. Therefore, critical examination and satisfaction about the employment
status of the applicant, his/ her/ their source should be regular, stable,
sustainable and of verifiable nature.
iv. Income from salary/ business/ profession should be in accordance with nature /
area of business, qualification, age, cadre in the organization etc.. If possible
verify the credit card statement to ascertain the repayment habit and default, if
any.
v. In case the applicant is not maintaining SB account with us, branch should
obtain statement of principal account of the applicant, wherein salary/ business
income is being credited and the same be analyzed properly to ascertain the
conduct of account and also to judge applicant’s other liabilities, repaying
capacity. Net Salary credited in a/c may be cross checked through bank
account statement.
vi. Independent enquiries from the employer in respect of salaried person about
employment status and salary should be made. It will help in detection of cases
of fabricated salary / employment certificates as well as in ascertaining the
actual income of the applicant. A copy of latest salary slip alongwith Form No.
16 (cross verification of salary account with last 3 salary slips will help the branch
to ascertain the genuineness of the income properly) should be obtained, duly
verified with name and designation of the employer.

vii. In case of applicants other than salaried persons, the original tax payer’s copy of
challans of tax deposited be verified to ascertain genuineness of Income Tax
Returns. Home Loan proposals of the persons, who have filed their income tax
returns of last three years in one lot or if there is major fluctuation in the amount
of the tax deposited in the current year vis-a-vis previous year should be
accorded special attention.
viii. In case of Agriculturists who are predominantly dependent on agriculture and
not required to file income tax returns, their income may be assessed by
obtaining income certificate from the local competent revenue authority only.
The income mentioned in the certificate must be assessed properly taking in to
consideration land holding of the Agriculturist, area of land actually being
cultivated by him, cropping pattern and acreage under different crops together
with number of crops harvested in a year depending on availability of irrigation
facility etc. The assessment of income so arrived must be properly recorded with
justification in the appraisal note.
ix. If the income of co borrower/s is accepted for the purpose of addition of their
income to the income of principal borrower for arriving higher eligible limit,
sustainability of income of co-borrower/s has also to be ensured and assessed in
the same line of salaried/non-salaried/agriculturist etc as the case may be.
6. Repaying Capacity:
i. In case of salaried persons:

Total Deductions not to exceed
Monthly Income
(including proposed EMI)
Up to Rs. 20,000/- 40%
More than Rs. 20000/- and up to Rs. 50000/- 50%
Above Rs.50000/- 60%
ii. In case of others:

Annual Income
Up to Rs. 2,40,000/- 50%
Above Rs. 2,40,000/- & upto Rs. 12 Lacs 60%
Above Rs. 12 Lacs 70%
However, higher repayment capacity may be considered by the Regional Authority

(in terms of circular No.BCC:BR:106/22 dated 21.01.2014) by taking into account
age, income, qualification, number of dependents, assets, liabilities
stability/continuity of employment/ business of the applicant and the co-applicant’s
income. A note justifying higher repayment capacity exceeding the above
mentioned criteria, be suitably incorporated in the appraisal note.
Repayment capacity to be calculated taking into consideration the deduction of

income tax, other statutory deductions etc. besides all reimbursements and other
Loans EMI payment, excluding Life Insurance Premiums. Payment of all type of Life
Insurance Premiums (except premiums of Unit Linked Insurance Plan - ULIP)

irrespective of Insurance Company issuing the policy, need not be considered for
deduction.
7. Loan to Value (LTV) Ratio:
In view of the revised RBI guidelines, Bank has modified the Loan to Value (LTV)
Ratio w.e.f. 15.09.2013 as under:
Category LTV Ratio (%)
Home Loans upto Rs. 20 Lacs : 90 %

Above Rs. 20 Lacs upto Rs. 75 Lacs : 80%
Above Rs. 75 Lacs : 75%
Branches should not include stamp duty, registration charges, other documentation
charges and other expenses like Life Insurance premium etc. in the cost of house
property to calculate Loan to Value (LTV) Ratio w.e.f. 15.09.2013.
8. Margin Norms:
In view of the revised RBI guidelines, Bank has modified the margin norms w.e.f.
15.09.2013 as under:
Loan Amount Margin

Loans upto Rs.20/- Lacs 10%
Loans above Rs.20/- Lacs upto Rs.75/- Lacs 20%
Loans above Rs.75/- Lacs 25%
property to calculate margin.
You may observe that the margin norms for Loan upto Rs.20/- Lacs has been reduced
to 10%. However, for Loans above Rs.75/- Lacs margin of 25% is to be stipulated in fresh
sanctions. For existing Home Loans above Rs.75/- Lacs in case the margin is currently
less than the ceiling prescribed for any reasons, efforts should be made to bring to it
within limits.
The one time premium amount for Life Insurance Cover to Home Loan Borrowers
under Group Credit Life Insurance Scheme can be financed as part of Loan at
the request of the borrower, at the time of sanction. Premium amount can be part
of the loan as per total eligibility of the borrower keeping the margin and LTV
Ratio as mentioned above on cost of project excluding other charges like stamp
duty, registration charges and other expenses like life insurance premium etc.
Please note that Insurance premium should not be included on cost of project for
calculating margin & LTV Ratio.

While taking over Home Loans from other Banks/HFCs, branches should ensure
that a minimum margin and LTV Ratio as stipulated above on the value of house
property is available.
Advance deposited with the builder is to be treated as margin only after its
genuineness is checked & verified to the satisfaction of the sanctioning authority.
9. Repayment Period:
i. Maximum repayment period is -30- years, including moratorium period.
ii. Maximum moratorium shall be -36- months as under:
-18- months moratorium period for under construction Houses and Building upto
7th floor, thereafter -6- months additional moratorium per floor subject to
maximum of -36- months.
Or
One month after completion of house/ taking possession of flat/house,

whichever is earlier.
iii. Loan to be repaid in Equated Monthly Installments (EMI) except in case of

farmers where the loan is proposed to be repaid in half yearly installments
coinciding with harvesting/marketing of major crops produced.
10. Rate of Interest:
Base Rate – for any amount and tenure (w.e.f. 01.06.2013 for fresh and existing
accounts)
(i) Fixed Interest Rate Option:
Fixed Interest Rate option stands withdrawn w.e.f. 01.07.2010 and no loan shall
be granted at fixed rate option. However, Loans sanctioned prior to 01.07.2010
under fixed rate option shall continue till their reset period/maturity whichever is
earlier.
(ii) Floating Interest Rate Option:
Floating interest rates are linked with Base Rate and will undergo change as and
when Bank will revise Base Rate.
An option of Flexi interest rate providing therein part of the loan under fixed and
part of the loan under floating rate option, conveyed through circular no.
BCC:BR:99:97 dated 30.03.2007 stands withdrawn and will not be available
henceforth, (existing accounts will be continued as earlier).

“Minimum Interest Clause” has been waived on all fresh sanctions as well as on
all existing loans with a view to pass on the benefit of down movement of Base
Rate to the borrowers.
All existing Home Loan borrowers who maintain a good track record of
repayment are eligible for a concession of 25bps in interest rate on prevailing
card rate on Car Loans (including Car Loan to HNIs) w.e.f. 08.06.2010. This
concession is in addition to the concession of 50bps being offered to the Car
Loan borrowers who offer liquid securities of a minimum of 50% of the loan limit as
prescribed in the product profile of Car Loan, subjected to the condition that
effective applicable rate should not go below Base Rate. However since, at
present the applicable rate of interest on Car Loans is Base Rate +0.25%,
maximum concession is restricted to 0.25% only.
All Home Loan borrowers are eligible for 0.50% concession in rate interest for
purchase of consumer durables under Baroda Personal Loan.
11. Submission of Home Loan application and preliminary scrutiny:
Submission of Home Loan application may be either through online or by physical

mode.
(i) Application through online mode:

In case the application is submitted online, Branches/RLFs/Regions are
requested to follow the guidelines as per Annexure- 6.
(ii)Application by physical mode:
a. On receipt of the application form the same should be scrutinized to ensure that
application has been completely filled in and all the necessary relevant papers
particularly pertaining to identity of the applicant, residence, employment /
business and property to be purchased/ constructed has been enclosed to the
application form.
b. If there is more than one branch at the center, the branch should ensure before
considering the loan application, that the applicant is not enjoying any loan
from any other branch at the center with the help of ASCROM data.
c. CIBIL / EQUIFAX data interface is to be utilised for information about other bank
borrowings of the applicants.
d. The details of applicant about his/her employment, business and residence,
furnished in the application should be cross checked telephonically by making
call to his/her residence/business establishment/employer.
e. Proper verification of the documents submitted by the applicant and
establishing correct identity of the applicant beyond doubt are the two key
important issues which if done carefully and smartly can protect the Bank’s
interest.
f. Documents submitted for identity and proof of residence i.e. copy of Ration
Card/ photo-identity card/Aadhar Card/ PAN card/ driving license should be
properly scrutinized and also verified from originals. Along with the documents for

identity, income, residence, property must be verified from originals to confirm
genuineness of the documents submitted and a noting to this effect should be
made on photocopies of the documents and kept on record.
g. The interview should usually cover:
• Cross checking of details furnished in the application form.

• Details of his/her employment, business, his/her existing residence and the
present bank.
• Location of the property, builder's details and details of flat/ house proposed
for purchase.
• If the location of the property, business place of the borrower, residence and
the branch where he/she has applied for the loan are at far off places from
each other, this should be inquired into.
• At the time of borrower’s interview other interested parties like Builder etc.
should not accompany the applicant.
h. The information collected during verification and interview should be noted and
the same should be re-checked by an officer of the branch to ensure that
requisite information has been furnished in respect of all the parameters
stipulated.
i. Proposals for financing a house / flat developed by the builders not having good
reputation in the local market / whose names are appearing in the negative list
should not be considered.
j. Involvement of middlemen is highly irregular and should be avoided at all costs.
k. Details of assets and liabilities mentioned by the applicant should be verified
from the relevant documents.
l. Based on the scrutiny of the loan application, relevant documents & Pre-
sanction inspection, the branch / RLF will take a decision to go ahead for
verification of title deed, obtaining legal opinion from the empanelled
Advocate. The report of the advocate should be exhaustive and complete
containing all vital points as mentioned in the model draft letter to be addressed
to the Advocate should be obtained. The report received from the Advocate
should be carefully studied by the branch officials.
m. Legal opinion of the document should be based on examination of original title
deed only and not on the basis of the photocopies.
n. In order to ensure that panel advocate incorporates all vital points in his report
relating to the property offered as security such as non-encumbrance,
marketability and title of the property, the branches are advised to send letters
to Advocates as per model draft (Annexure -21) while seeking his / her opinion.
o. Reports which do not contain the information on the points mentioned in the
branch letter (as per draft) must not be accepted.
12. Security:
i. Mortgage of the property constructed / purchased.
ii. If mortgage is not feasible, branch can accept, at its discretion, security of
adequate value in the form of life insurance policies, Government Promissory

Notes, shares and debentures, gold ornaments or such other security as may be
deemed adequate including third party guarantee from individual/s with the
prior permission of Regional Head.
iii. Even if it is possible to create equitable mortgage but customer desires that the
equitable mortgage need not be insisted upon, in such case branch may as a
special case, accept at its discretion, security of adequate value in the form of
life insurance policies, Government Promissory Notes, shares and debentures,
gold ornaments or such other security as may be deemed adequate with the
prior permission of Regional Head, along with stamped undertaking that the
borrower shall not create any charge on the said property to any third party and
that he will create mortgage of the dwelling units / housing property at a later
date if desired by the bank, be obtained from borrower. Margin on above
securities is to be maintained as per extant guidelines applicable for financing
against those securities.
iv. In cases where procedure for execution of sale deed / conveyance deed ,
forming a co-operative society and issuance of share certificate takes a very
long time and as such there are practical difficulties in creating equitable
mortgage at the time of sanction of Home Loan for flats developed by builders /
developers following procedure may be adopted:
Create equitable mortgage by obtaining following documents duly supported

with the advocate’s search report and opinion on title of the land as also on the
agreement to sale.
Original Agreement to sale executed by builder in favour of borrower, duly

stamped and registered.
Index – II Property Card
Original Receipt in respect of registration of “Agreement to sell”.
Copy of the map of the building duly approved by the appropriate authority.
NOC from builder for creating mortgage and noting of Bank’s lien if the
building is under construction.
Share Certificate, if society is formed, duly supported with NOC from the
society for creation of mortgage and noting of our lien in society’s record.
Possession letter in original.
As regard stamp duty, the same is to be paid as applicable on Memorandum of

Deposit of Title Deed.
Branches, however, should note to obtain the copy of sale deed executed by
the builder in favour of co-op society and also to obtain share certificates issued
by society as and when formed during pendency of the loan.
In order to prevent fraud in Home Loan by submitting forged documents/

connivance of builders / noting of lien by builder, branches are required to follow
steps mentioned hereunder:

• The genuineness of transaction and the documents supporting the transaction
must be verified by proper inquiries.
• The Bank officials should physically verify from the builder, by visit to the regular
office of the builder and not merely by visiting temporary site office of builder at
the building, whether, the builder has executed the Agreement for Sale of flat/
property with Borrower or physically verify the existence of a builder and / or
obtain a letter from him of his intention to execute the document on receipt of
initial installment / margin amount required to be paid for by Borrower.
• Wherever builders / promoters are required, as per local law, to obtain

compulsory registration of their activities as Builders / Promoters, as in the State of
West Bengal, the branches must verify and ensure that the flats constructed are
by registered Promoters / Builders. Further, the completion certificate of the
Building and occupation certificate issued by Municipal Authorities in respect of
the building in which flat / premises are situated should invariably be scrutinized
by Advocate and clearance of such formality should be included in their report
on title.
• In the same manner, the Bank officials should enquire from the builder about the
receipt of the payment made to him and modality for payment of balance
amounts of loan / instalments to be disbursed by Bank, as per request made by
borrower directly to builder together with approval of the builder to record
Bank’s charge on the Flat on execution of loan documents by Borrower.
• Standing of the builder in the market should also be ascertained by the branch
by making enquiry about his reputation and past record.
• After execution of loan documents complied with memorandum of deposit of

title deeds, Bank should ensure to get noted its charge on the flat/ property,
should be registered immediately with the office of the Sub- Registrar of
Assurances under the optional registration, and the Bank official should ensure
that the office of the Registrar of Assurances has issued index – II in favour of the
Borrower registering the documents. Similarly, for recovery of dues civil suit should
also be filed relying on loan documents including enforcement of its mortgage,
without allowing loan documents to get time barred, irrespective of FIR having
been filed.
• The stamp paper/ stamp must be purchased from the Stamp Office or from
Government approved authorized vendors / agencies.
Safeguards to be observed for accepting the property as security:
i) The search report from an empanelled Advocate should elaborately deal with
scrutiny of records in respect of the property on which the flats / houses are
constructed from the office of Sub-Registrar of Assurance and from the Records of
Civil Court in the Metropolitan Cities of Mumbai, Delhi, Kolkata and Chennai,
showing dispute pending in any of such courts is a prerequisite for consideration of

Home Loan. Mere report on the strength of copies of documents obtained from
Builder / intending seller cannot suffice. Further report on title should narrate the
history of title brought down to the builder’s right to own or develop the property
should be clearly narrated and for this purpose cost of searches and expenses as
also the legal fees should be commensurately fixed in advance and authorization
from the intending borrowers to pay the same should be obtained.
ii) Before registration of the duly embossed and duly stamped documents /
agreements with Registrar of Assurances, a search should be taken in the pending
registry records to verify whether the same flats have already been mortgaged /
encumbered.
iii) While accepting properties for mortgage, it should be done only after taking
physical search in sub registrar's office and land records concerned and all
documents are required to be entered before Registrar of Assurances (ROA).
iv) Builder’s undertaking should invariably be obtained to the intent and effect that
the flats/ houses intended to be sold to the intending purchaser are not agreed to
be sold to any other person and he is agreeable to the bank’s lien being noted in
his records and books in respect of the flats / houses restraining the intending
purchaser to sell mortgage or transfer in favour of any other person without the
consent of the bank.
v) An affidavit should be obtained from the mortgagor that the property to be

equitably mortgaged is free from encumbrances of any sort and that no suit is
pending and that there is no attachment of any type of the said property.
vi) Original title deeds should be deposited with the bank. It should be carefully
noted that the copies of title deeds or extract of revenue records/property card
do not constitute the title deeds nor an agreement for sale or a municipal order
directing handing over the land and title deeds for the purpose of creation of valid
equitable mortgage.
vii) Where equitable mortgage of property has been stipulated as security for any
facility, the facility should not be released against an undertaking to create
equitable mortgage of the property, without the prior written permission from the
sanctioning authority.
viii) In case of leasehold property, prior written consent of the lessor for creation of
mortgage should be obtained. The lease period should be not less than 30 years.
However, unexpired period of lease should be equal or more than the repayment
schedule of the proposed loan.
ix) Please ensure that in the following cases, Deed of Conveyance has been
executed and registered.

o Where the property relates to Cooperative society registered under Gujarat
cooperative society Act, 1961; sale by such society in favour of its member,
even where member is first allottee or in resale by members inter se.
o Where the property is allotted by Gujarat Housing Board or Gujarat Rural
Housing Board.
x) Where the property to be mortgaged is a vacant land or "excess land" within the
meaning of Urban Land Ceiling & Regulation Act, permission of competent
authority should be obtained for creation of equitable mortgage, if the Act is still
in force in the State where the property is situated.
xi) In case of properties situated in any of the Union Territories of India, especially at
Daman, the permission of Collector/Administration is required to be obtained for
creation of equitable mortgage as these properties are owned by the
Government and only occupancy rights are assigned to its holder.
xii) It must be ensured that no Income-tax / house tax / water tax etc. dues are
pending against the vendor and a certificate to this effect may be obtained from
the competent authority alternatively evidences to verify the above facts may be
obtained and kept on record.
xiii) In case, the property belongs to partnership firm/joint owners, authority of all
partners/joint-owners must be obtained for creation of mortgage.
xiv) While creating equitable mortgage by deposit of title deeds, a photograph of the
borrower/his representative who is authorized to deposit the title deeds, duly
signed by him across the photograph may be obtained.
xv) Signature of the person depositing title deeds should be obtained in the register
maintained by the branch for the purpose. (Not on Mortgage Memorandum).
xvi) After the mortgage is created or extended, a letter of confirmation in the form of
LDOC-90 (R) may be obtained from the depositor/owner.
xvii) Wherever Mortgage Security is created by a person on the strength of Power of

Attorney (POA) before creation of Mortgage the POA should be got scrutinized
by the Bank's Advocate/Legal Department to ensure that the requisite powers are
contained therein.
xviii) Details of the property are to be entered in Finacle through menu option –
CERSAI.
xix) Besides, valuation report submitted by Govt. /Approved valuer in respect of

immovable property, the Sanctioning Authority should assess the value of the
property independently to detect any over valuation of the property to avail
excess finance or to avoid applicant’s contribution towards margin. Integrity and
market reputation of the valuer should be of high order.

xx) If the builder is a private limited or a public limited company, report from the
office of Registrar of Companies should obtained for ensuring that the entire
property (in which flat proposed to be financed) is not charged in favour of any
bank / financial institution / other creditor for finance availed by the company.
13. Risk Rating :
All Home Loan applications are subject to Risk rating. Credit rating to be done as
per Home Loan Model under Retail Rating Models. Total marks are 168 and the
cutoff is set at 96 (Investment Grade HL-8). The details of the various ‘Rating
Parameters and risk rating model’ are given in Annexure– 5.
14. Documentation:
Following documents are to be obtained:

i. Term loan agreement – LDOC – 23A (Format as per Book of Instruction)
ii. General form of Guarantee (LDOC 33) wherever third party guarantee is
stipulated.
iii. Usual procedure for creation of equitable mortgage of the immovable property
being financed.
iv. Documents required to be obtained for recovery as per State Recovery Act.
(Declaration cum undertaking cum authority need not to be obtained)
15. Equated Monthly Instalment (EMI) Plan:
i. The recovery under EMI provides for repayment of dues uniformly through out the
loan period. The following accounting procedure may be followed in this
regard:
a. At the time of granting loan, EMI should be calculated as per chart
circulated vide circular No.CO/BR/94/149 dated 24.06.2002 or may be
calculated from Bank’s website and advised to borrower.
b. EMI amount can be calculated through the menu option ‘LAMOD’ in
Finacle.
c. The EMI amount should be in figures rounded off to next higher rupee.
ii. Accounting & interest application:

a. The monthly recovery under EMI shall be credited in full to the loan account.
b. At the time of monthly interest application, interest is to be calculated on
daily products basis and debited to the loan account. In effect, this would
result in application of interest on daily product basis at monthly rests.
iii. Change in interest rates (Under floating Rate Option):

a. As our interest rates on Home Loans are linked to Base Rate the ultimate rate
would, therefore, undergo change as and when Bank revise Base Rate.
iv. Recovery of interest for the pre-EMI period:

a. Interest charged during the pre-EMI period is to be recovered as and when
debited, before commencement of recovery by EMI.

b. For any reason, if the borrower is not in a position to repay the interest as
and when charged in one lump sum, the same may be recovered within 2
months, by charging overdue interest as and where applicable, as per rules
/ extant guidelines.
v. Issuance of interest certificate:
For the purpose of income tax, branches may issue certificate to the borrower for
interest debited during the year to the Home Loan account, being interest
actually accrued on loan account. Existing income tax rules are also to be
complied with in this regard.
16. Resetting of EMIs / Extension of Repayment Period on revision of Interest rate.
i. Change in rate of interest will be effected centrally by our data centre without
re-setting EMIs. Period of loan will be adjusted as per increase/decrease in rate of
interest, keeping EMIs at fixed level till full repayment subjected to the condition
that total/extended tenure of Home Loan does not go beyond the maximum
period permissible under Home Loans as per guidelines.
ii. However, in case any borrower approaches his Branch for change in EMI as per
revised rate of interest, branches are required to make changes at their end in
such accounts.
iii. The Insurance cover available under Bancassurance i.e, Home Loan Suraksha
Beema Yojna and under Life Insurance cover obtained from any of the
insurance provider shall remain in force only upto original tenure of loan and not
for the extended period, if any.
17. Home Loans at Fixed Rate Option- Application of re-set clause.
Prior to introduction of Base Rate System, Home Loans were available at Fixed Interest
Rate Option as well as Floating Interest Rate options.
Bank has introduced Base Rate system w.e.f. 01.07.2010 in place of Benchmark Prime
Lending Rate (BPLR) system.
As per the guidelines of Base Rate structure, conveyed vide Circular No. BCC:BR:
102/178 dated 30.06.2010:
“
• All the existing Loans/facilities based on BPLR system may run with the existing
interest rate structure till their maturity/review.
• Fixed interest rate option on all the Retail Loan products stands withdrawn with
immediate effect from 01.07.2010 and henceforth no loan shall be granted at
fixed rate option. However, existing facilities under fixed rate option shall
continue till their reset clause/ maturity whichever is earlier.”
For Home Loans sanctioned upto 15.08.2007 at Fixed Interest Rate option the rate
prevailing on the date of sanction remains applicable through entire tenure of
such loans.

Home Loans sanctioned at Fixed Interest Rate option on or after 16.08.2007 and till
16.11.2008 are subjected to re-setting of interest after completion of every -5- years
from date of first disbursement.
Home Loans sanctioned at Fixed Interest Rate option on or after 17.11.2008 and till
30.06.2010 are subjected to re-setting of interest after completion of every -3- years
from date of first disbursement.
Fixed Interest Rate option stands withdrawn w.e.f. 01.07.2010 and no loan shall be
granted at fixed rate option from 01.07.2010. However, Loans sanctioned prior to
01.07.2010 under fixed rate option shall continue till their reset clause/maturity
However, for Home Loans sanctioned under Special Home Loan Package (LA127)
effective from 16.12.2008 to 31.12.2009 under fixed rate option, fixed rate of
interest will continue upto the reset period of 5 years.
The revised rate on resetting will be determined in such a way that spread
over/below BPLR remains the same on the date of reset if compared with that on
date of original sanction.
Since Home Loans sanctioned under Fixed Interest Rate option with reset period, the
reset period falls due only after 01.07.2010 in all the cases, the revised rate on resetting
will be determined in such a way that BPLR as on resetting date +/- spread as per
original sanction will be the effective rate of interest from date of reset and requires to
be linked to Base Rate from date of reset.
(Please note that Home Loan Accounts where interest flag has been pegged as 'Y' in
Finacle indicates that the account is in fixed rate of interest)
Further, in terms of Circular No.BCC:BR:105/219 dated 01.06.2013, the applicable rate of

interest w.e.f. 01.06.2013 in all the existing Home Loan accounts under floating rate
should be Base Rate.
In view of the above guidelines, to avoid irregularities in the applicable rate of interest
in existing Home Loans, different cases of Home Loans under fixed rate options are
given as under:
Case-1: Home Loan accounts sanctioned under fixed rate option from 16.08.2007 –
16.11.2008
- As per guidelines resetting of ROI is required after 5 years of sanction. The revised
rate (which is to be linked with Base Rate) will be determined in such a way so
that the spread over/below BPLR (prevailing on the date of reset) remains the
same on date of reset if compared with that on the date of original sanction.
Further, applicable rate of interest w.e.f. 01.06.2013 to be Base Rate.
Eg: Home Loan sanctioned under fixed rate option on 16.08.2007 at 12.25% (i.e fixed at
1.00% below BPLR, BPLR being 13.25% as on 16.08.2007)
Say Bank’s BPLR changes to 14.75% as on date of reset (16.08.2012), then as per reset
clause, the rate of interest in the Home Loan account would be recomputed and

revised so that the original negative spread over BPLR remains unchanged as on date
of reset (16.08.2012).
Accordingly, new rate would be Bank’s BPLR minus 1.00% I.e, 13.75% (14.75%-1) from
date of resetting.
Say Base rate on the date of reset (16.08.2012) is 10.50%. Hence, the effective rate to be
given in finacle would be Base Rate + 3.25% under floating rate option (i.e, with interest
pegging flag option ‘N’).
Further, applicable rate of interest w.e.f. 01.06.2013 is to be made Base Rate i.e,
@10.25% at present.
Case-2: Home Loan accounts sanctioned under fixed rate option from 17.11.2008–
30.06.2010
- As per guidelines resetting of ROI is required after 3 years of sanction. The revised
rate (which is to be linked with Base Rate) will be determined in such a way so
that the spread over/below BPLR (prevailing on the date of reset) remains the
same on date of reset if compared with that on the date of original sanction.
Further, applicable rate of interest w.e.f. 01.06.2013 to be Base Rate.
Case-3: Home Loan accounts under the scheme code LA127 (i.e, Special Home Loan
scheme) sanctioned under fixed rate option from 16.12.2008 – 31.12.2009
- As per guidelines resetting of ROI is required after 5 years of sanction. In all these
cases of Home Loans sanctioned under the Special Home Loan scheme, reset
period falls due only after 01.06.2013, the applicable rate from the date of reset
will be at Base Rate (floating).
Case-4: Home Loan accounts under floating rate option: W.e.f. 01.06.2013 applicable
ROI in all Home Loans under floating rate option should be base rate.
18. Conversion from Fixed Interest Rate to Floating Interest Rate Option:
For Home Loans sanctioned upto 15.08.2007 at Fixed Interest Rate option the rate
prevailing on the date of sanction remains applicable through entire tenure of such
loans.
Requests from customers in such cases may be considered for allowing conversion from
fixed interest rate to floating interest rate option by Branch Manager with prospective
effect subject to the following:
• if the account is regular
• as one time offer from the Bank.
• upfront payment of charges on outstanding balance @ 0.5% for every year for
the residual period of the loan maximum 2% of the amount outstanding on the
date of allowing conversion.
• Borrower’s request should be in writing and acceptance of borrower and
guarantor be obtained on the copy of the branch letter conveying the revised
terms (this should be kept with the documents).

19. Disbursement of Loan:
i. In case of outright purchase of house / flat ready for possession – Disbursement

be made in one instalment directly to the seller of the house / flat.
ii. In case of construction of house / flat – In 3 to 4 stages after physical verification,
depending on the progress of construction. Payment can be made either to the
builder directly or to the borrower subject to verification of bills/money
receipts/invoices etc or certificate issued by approved valuer / architect
certifying the progress of the work and the estimated expenditure having
incurred there for, as the case may be. During the course of construction at least
once valuation report from Bank’s approved/ Govt. valuer must be obtained.
iii. To safeguard banks’ interest and as a preventive vigilance measure branches

should adhere to the guidelines given hereunder:
Upon receipt of quotation / agreement the branch should obtain in writing
the name of the Bank and Branch from the builder / vendor for the purpose
of issuing Banker Cheque / Demand Draft pertaining to the disbursement.
To obtain request letter from borrower for making the payment to the builder.
To issue Demand Draft / Bankers Cheques in favour of Bank / Branch, A/c-
No., Name of Builders / Vendors / Suppliers alongwith a letter addressed to
the vendor.
Not to hand over the Demand Draft / Bankers Cheque towards disbursement
to the borrower.
iv. In case of extension – Payment can be made directly to the borrower after
verification of bills/money receipts etc.
• Veracity of demand letter issued by the builder should be independently

verified from the builder.
• Every disbursement, wherever disbursement is to be made in stages, should
be backed by site / spot inspection and relative inspection report should be
kept on record.
• Receipt for Banker’s Cheque / Demand Draft and letter for confirmation of
Bank’s Lien in builders book must be obtained & kept on record.
• Post-sanction inspection after final disbursement should be carried out to
ensure that borrower has taken possession of the house / flat (in case of
Home loan), besides verification of end use of funds.
20. Unified Processing Charges:
Unified processing charges to be levied as detailed below:
For Loans upto Rs. 30/- lacs : 0.50% on Loan amount (Minimum Rs.5,000/- + Service tax)
For Loans above Rs. 30/- lacs: 0.40% on Loan amount (Minimum Rs.15,000/- +Service tax
& Maximum Rs.50,000/- + Service Tax))
In case of takeover of Home Loan: 0.10% +Service Tax without any maximum amount.

Unified processing charges include processing charges, documentation
charges, document verification charges and pre sanction & one time post
sanction inspection charges.
Charges in respect of Advocate fee for legal opinion and valuation charges are
to be recovered separately in addition to above Unified Processing charges.
Unified Processing charges recovered, should be credited to ‘P/L Commission

Earned – Service charge A/c’.
CIBIL/ EQUIFAX credit report charges to be recovered separately.
Please note that ‘Mortgage Creation Charges’ as conveyed vide Circular

No.HO:BR:106/51dated 01.03.2014 issued by Operations and Services Dept. is
NOT applicable to all types of Housing Loans including Home Improvement Loan
and Additional Assured Advance (AAA).
21. Insurance of the House Property & Personal Accident Insurance of the borrower:
The house mortgaged with the Bank is to be insured.
For Home Loans sanctioned upto 09.09.2012, Bank has a Scheme for free insurance
cover in the name of “Baroda Home Loan Suraksha Bima Yojana” for house
property mortgaged with the Bank and also accidental death insurance cover with
the National Insurance Company limited, who are our partner of Bancassurance
business. Under the Scheme, we were providing free property insurance cover
alongwith free personal accidental death insurance cover in all our Home Loan
Accounts under tie-up arrangement with National Insurance Company Limited
(NICL). As per the scheme, insurance premium was fully borne by the Bank to cover
Property Insurance and Personal Accident Cover in respect of principal borrower.
Details of the Scheme is given in Annexure-3
But this facility of providing free property insurance on Baroda Home Loans under
‘Baroda Home Loan Suraksha Bima Yojana’ has been withdrawn w.e.f. 10.09.2012,
but facility of providing free personal accidental insurance will continue as per
revised scheme.
The revised Scheme for obtaining personal accidental insurance and property
insurance is given in Annexure- 2
22. Life Insurance cover to Home Loan Borrowers:
Group Credit Life Insurance Cover for our Home Loan Borrowers are available
under tie-up arrangement with M/s IndiaFirst Life Insurance Co and M/s Kotak Life
Insurance Co. The Insurance Cover is optional and at the cost of borrower.
Details of the Scheme is given in Annexure-1

23. Prepayment Charges:
No prepayment charges shall be levied on foreclosure of Home Loans irrespective

of the nature of source of funds i.e, whether the loan is repaid from the own sources
of borrower or by way of take over by other banks/HFCs or otherwise w.e.f.
15.12.2011.
24. Change of Tenure:
Since w.e.f. 01.06.2013 rate of interest on Home Loans are delinked with tenure of
the Loan this clause is deleted from this circular.
25. Inspection of House Property:
i) Pre-sanction inspection is to be carried out :

to ascertain the correctness of various facts and data submitted by an
applicant.
to verify the credentials and antecedents of the applicant.
to verify the house/flat proposed to be purchased /constructed with the bank
finance and its boundaries vis-a-vis given in Sale/Lease Deed.
to do careful analysis of information collected during pre sanction inspection to
arrive at a credit decision.
In short the above activities form the due diligence process in appraising the
applications for loans.
Detailed Pre-sanction inspection including visit to the place of residence, work /
business place as well as property to be purchased, must be carried out
preferably without giving prior information to the applicant. Pre-sanction
inspection report should be prepared in the format prescribed (Annexure- 19)
and kept on record.
During Pre-sanction inspection, the branch official must cross verify the
information submitted by the applicant with respect to his identity, residence,
employment / business and property to be purchased.
Detailed guidelines on preventive vigilance and due diligence is as per
Annexure–4.
No separate charge to be levied as pre sanction is part of processing.
ii) Post –Sanction Activities:
To verify the end use of funds after each disbursement of the loan by physically
verifying the assets created out of bank finance,
After completion of the house/dwelling unit, inspection be carried out at least
once in 3 years if the account is regular. If this condition is not fulfilled, regular
inspections are to be carried out as per administrative guidelines for inspection
of other advances accounts.
For quick and immediate detection of misutilisation of bank's loan, if any and to
immediately take corrective steps.
Inspection reports for each inspection are to be kept on record.

Rs. 100/- plus service tax per inspection may be recovered for carrying out
periodical post sanction inspection (asset verification).
(Formats for post sanction (asset verification) report enclosed as Annexure – 20).
26. Home Loan to Staff Members under ‘Home Loan to Individuals’ under Public
Scheme:
Confirmed members of staff including part time employees can avail Home loan
under ‘Home Loan to Individuals’ under Public Scheme.
Details of the Scheme are given separately as Point No. V.
27. Discretionary Lending Powers:
i. For Public: Within general discretionary lending powers of the Branch Heads /
Regional Authority as per their grade / scale.
ii. For Staff Related:
Relatives of other Senior Officer i.e, up to Scale III:

Within general discretionary lending powers of the Branch Heads / Regional
Authority as per their grade / scale.
Relatives of Senior Officers i.e, Scale IV and above:

• General Manager (Zonal Head/ Functional Heads at BCC )
- Full powers.
Accordingly, all Home Loan proposals of staff and relatives of staff in Senior
Management Cadre i.e., Scale IV and above shall be considered by Zonal
Heads in the rank of General Manager of the respective Branches/offices for
any limit.
Any credit decision in respect of officers of senior management grade and

their relatives is to be immediately advised to Retail Banking Department,
Baroda Corporate Center for reporting to MCB.
Since, Housing Loans to staff under Public scheme are not classified under
staff loans, please take care of guidelines conveyed vide Circular
No.BCC:BR:104/178 dated 22nd May 2012 on setting up of Credit Committees
at various levels and Circular No.BCC:BR:104/271 dated 30th July,2012 on
modifications. Henceforth please take care of the same.
28. Free Credit Card :
Free Credit Card (BOBCARD - complementary for first year) will be issued to Home
Loan borrowers with loan limit above Rs.2/- lacs. Type of card will depend on loan
limit as under:

Loan limit Type of BOBCARD
Up to Rs. 2/- lacs No card
Above Rs.2/- lacs - Up to Rs.5/- lacs Silver
Above Rs.5/- lacs Up to Rs.10/- lacs Exclusive
Above Rs.10/-lacs Gold
(Detailed guidelines for issuing Credit Card given in Annexure - 8
29. Baroda Additional Assured Advance (AAA):
i. Baroda Additional Assured Advance (AAA) is for our existing Home Loan
Borrowers to provide hassle free finance to them for their various emergent
needs (other than speculative purpose). The facility is granted against the
security of extension of Equitable Mortgage of House Property already
mortgaged to secure Home Loan.
Detailed product features are given separately.
30. Withdrawal of concession to Group Home Loan Proposals and employees of

Preferred organizations.
The concession of 25 bps in interest rate on Home Loan offered to employee

borrowers of preferred organizations and to group of borrowers has been
withdrawn w.e.f. 11.08.2010.
31. Taking over of Home Loan Accounts from other Bank’s / HFC’s:
As per our extant guidelines, branches can take over good accounts from other
institutions / Banks.
In case of take over of Home Loan accounts from other Banks no prior clearance is
required from Regional / Zonal Head.
However, branches need to observe the following safeguards in respect of such

take over of accounts:
i. Accounts should be taken over in consideration / possibility of larger business

interests / valuable connections.
ii. There should not have been any reschedulement / restructuring in the account
during last two years.
iii. Accounts with the existing lenders should be under the category of Standard
Assets.
iv. While taking over Home Loans from other Banks/HFCs, branches should ensure
that a minimum stipulated margin and LTV Ratio as the scheme on the value of
house property is available.
v. The amount of Loan may include the outstanding balance, foreclosure fee
payable to existing Bank, if any and stamp duty for creation of equitable
mortgage in our Bank’s favour subject to margin, income and repaying capacity
criteria, Loan to Value (LTV) ratio etc.
vi. Repayment period and EMI may be fixed, keeping in view our Bank’s guidelines
in respect of income and repaying capacity of the applicant, LTV/margin norms
and considering the age of borrower/co-borrower.
vii. Additional Assured Advance (AAA) may also be considered/taken over along
with take over of Home Loans as per norms.
viii. Fresh valuation to be obtained from our approved valuer and lower of market
value or distressed value with margin and LTV Ratio as stipulated and the same
be considered on a practical/factual approach.
ix. Please note that the valuation norms that in case of Property purchased within
last 3 years, the amount of Registered Sale Deed is to be taken as value of the
Property is not applicable for takeover Home Loans. (Clarified vide Circular
No.BCC:BR:105/534 dated 02.12.2013)
x. All other collaterals charged to the previous institution from whom the loan is
being taken over should also be made available as security to our Bank.
However, the condition of handing over the collateral securities may be waived
provided the borrower has made payment of above 50% of the loan sanctioned
by such other Bank / HFC.
xi. The institution (Bank/HFC) should confirm the above to our branch and further
that they are holding an equitable mortgage over the property.
xii. The disbursement of the loan should be made directly to the institution and their
receipt kept along with the loan documents i.e under no circumstances Banker
Cheque be delivered to the Borrower.
xiii. Takeover accounts are to be rated as per the applicable scoring model subject
to minimum grade as per the scoring model.
xiv. The prospective borrower should handover a Power of Attorney (Annexure-24 )

in favour of Bank of Baroda alongwith a letter addressed to the Bank / HFCs from
where finance has been availed authorizing them to deliver the title deeds and
all the collateral securities charged to them, directly to our bank branch upon
receipt of the loan amount.

32. Powers of Deviation & Deviation Charges
Financial/non-Financial Deviations/Concessions in respect of scheme parameters/

guidelines may be considered as per Annexure- 9. (in terms of Circular No.
BCC:BR:106/22 dated 21.01.2014)
33. Approval of Builder/Developer/Promoter:
Branches in cities and large towns will recommend the names of reputed/ credible
builders/developers/ promoters as also their projects to their respective Regional
Authorities, who would be according approval to those conforming to the criteria.
However, in metro cities, since some of the builders/ developers may be common
for the entire city across all regions/branches, the approval may be accorded by
the respective zonal authorities.
For developing a healthy portfolio of housing finance it is necessary that the

builders/developers/promoters of properties have good track record & enjoy good
market reputation as genuine & credible builders. In order to ensure this, regions
have been advised to prepare a negative list of builders and advise the branches
to exercise due care and caution while entertaining the proposals relating to house
property developed by such individuals and firms.
It will be appreciated that along with the approval of builder/ developer/

promoters, if the projects/properties developed by them are also approved after
due diligence, it will help branches in faster decision making and at the same time
avoid the chances of perpetration of frauds and irregularities. Zonal Heads have
been authorized for approval of projects in home loans after due diligence.
In the event the builder is a private limited or a public limited company, report from
the office of Registrar of Companies should also be obtained to ascertain whether
the entire property is also subject to mortgage or any charge in favour of any
financial institution or bank or any other creditor.
Detailed guidelines are given in Annexure-7
34. Implementation of the orders of Delhi High Court.
Branches are advised to ensure compliance of the orders of Hon’ble High Court of
Delhi, during the hearing of writ petition in connection with the order of Supreme
Court of India to seal all unauthorized business units set up in residential area in
Municipal Corporation of Delhi are given in Annexure -16

35. Payment of incentives to staff members against the Home Loan leads directed by
them and converted into real business w.e.f.17.06.2013
Amount of incentives
(as per earlier Revised guidelines applicable w.e.f. 01.04.2014 upto
guidelines applicable 31.03.2015
up to 31.03.2014)
Loan Loan application above Rs.2500/- per
application Rural Rs.8 Lacs upto Rs.25 Lacs application
Rs.2500/-
above Branches Loan application above Rs.5000/- per
per
Rs.10 Lacs Rs.25 Lacs application
application
upto Rs.50 Loan application above Rs.2500/- per
Semi
Lacs Rs.8 Lacs upto Rs.35 Lacs application
Urban
Loan application above Rs.5000/- per
Branches
Loan Rs.35 Lacs application
Rs.5000/-
application Loan application above Rs.2500/- per
per Urban &
above Rs.10 Lacs upto Rs.50 Lacs application
application Metro
Rs.50 Lacs Loan application above Rs.5000/- per
Branches
Rs.50 Lacs application
Detailed guidelines are given in Annexure-14
36. Payment of service charges to Approved Builders against the Home Loan leads
directed by them and converted into real business.
Builders will be paid service charges, which should not exceed 0.25% of the Home
loan amount for every case directed to the Bank or Rs.25,000/- which ever is lower
subject to sanction and disbursement of Home Loan by the Bank.
Scheme is effective from 17.06.2013 and will continue on ongoing basis till further
instructions. Detailed guidelines are given in Annexure-15
37. Priority Sector Classification:
Following accounts should be classified and reported under Priority Sector

Advance:
i. Loans to individuals upto Rs.25 lakh in metropolitan centres with population

above ten lakh and Loans to individuals upto Rs.15 lakh in other centres for
purchase/construction of a dwelling unit per family excluding loans sanctioned
to bank’s own employees.
ii. Loans for repairs to the damaged dwelling units of families up to Rs.2 lakh in
rural and semi- urban areas and up to Rs.5 lakh in urban and metropolitan
areas.
Loans sanctioned in excess of limits stated above shall not be considered as part of
Priority Sector advance for classification purposes.

BARODA HOME LOAN TO NRIs/PIOs/OCIs
1. Purpose:
Purchase of new residential house / flat.

Construction of new house /dwelling unit .
Purchase of old house/dwelling unit (not more than -15- years old).
Purchase of plot of land, subject to the condition that a house will be
constructed thereon within -3- years from the date of purchase of plot.
Repayment of the loan already availed from any other Bank / Housing Finance
Company under their scheme to finance NRIs /PIOs/OCIs for housing.
For repair / renovation / extension of the existing house to:
Our existing Home Loan borrowers (under the scheme)
New borrowers
Borrowers who have availed Home Loans as NRI /PIO/OCI from other
bank / HFC.
A person who is already owning a house can also be considered for financing for
purchasing / construction of a second house / flat for the purpose of self-
occupation.
The loan shall be considered for residential properties situated in India.
2. Area of operation:
The branches may consider Home loan proposals provided it is in the city/ town
of:
Location of new flat/house to be purchased/constructed or

Place of residence of the applicant in India.
3. Eligibility & Age:
Non-Resident Indians (NRIs) holding Indian passport or Persons of Indian origin

(PIOs) holding foreign passport, singly or jointly OR Overseas Citizens of India
(OCI).
• For this purpose Person of Indian Origin (PIO) means:
a citizen of any country other than Bangladesh / Pakistan / Sri Lanka /

Afganistan / China / Iran / Nepal & Bhutan if –
a. he at any time held Indian passport or
b. he or either of his parents or any of his grand parents was a citizen of India
by virtue of the constitution of India of the Citizenship Act 1955, or
c. the person is a spouse of an Indian citizen or a person referred to in sub-
clause (a) or (b) above.

• Overseas Citizens of India (OCI) are specified as under:
a. A person registered as Overseas Citizen of India (OCI) under section 7 A of

the Citizenship Act, 1955.
b. As per the guidelines, an Overseas Citizens of India (OCI) has to be
necessarily a Person of India Origin (PIO).
c. A foreign national, who was eligible to become citizen of India on
26.01.1950 or was a citizen of India on or at anytime after 26.01.1950 or
belonged to a territory that became part of India after 15.08.1947 and his
/ her children and grand children, provided his/ her country of citizenship
allows dual citizenship in some form or other under the local laws, is
eligible for registration as Overseas Citizen of India (OCI). Minor children of
such person are also eligible for OCI. However, if the applicant had ever
been a citizen of Pakistan or Bangladesh, he / she will not be eligible for
OCI.
Principal applicant should be having a regular job abroad in a reputed Indian /

foreign company, organization or government department holding a valid job
contract / work permit for the minimum past 2 years,
or
Must be employed/self-employed or having a business unit and staying abroad
at least for 2 years.
Must have minimum gross annual income equivalent to Rs.5.00 Lacs per
annum.
Wherever income of the family members is clubbed for higher eligibility they
should be made co- borrowers.
Age: -
Minimum age must be 21 years. However, the minimum age of co-borrower
can be 18 years.
Age of the borrower plus repayment period should not be beyond retirement
age or 65 years whichever is earlier.
4. Minimum Amount:
For purchase of new / old house / flat

or construction of house / flat : Rs. 5/- Lacs.
For repairs / renovations / extensions : Rs. 1/- Lacs.
5. Maximum Amount:
For purchase of new / old house / flat or construction of house / flat
: Rs. 300/- Lacs for Metro Urban Branches

: Rs. 100/- Lacs for Semi-Urban/Rural Branches

For repairs / renovations / extensions : Rs. 25/- Lacs.
For purchase of plot of land : Rs. 50/- Lacs.
The above is the maximum amount of loan. However, the actual quantum of loan
should be arrived at after considering the income criteria, repaying capacity, LTV
& margin as laid down under point no. 6,7, 8 & 9 below.
For determining total cost of the house, the cost of car parking place / area
located in same building / compound / society can be considered. However, it
should be noted that such car parking area should be specific, identifiable and
incorporated in the sale agreement / allotment letter.
All the sanctioning authorities at branch level as well as Regional and Zonal Offices
shall consider the Home Loan proposals upto their DLPs and if the proposal falls
beyond their DLP, same shall be submitted to next higher authority for their
consideration as hitherto.
6. Income Criteria:
• The maximum amount of loan should not exceed the following:
In case of salaried persons
Monthly Income Eligible amount of loan

Up to Rs.20,000/- -36- times of monthly gross income
More than Rs. 20,000/- & up to Rs.1 Lac -48- times of monthly gross income
More than Rs. 1 lac -54- times of monthly gross income
In case of others viz. professionals / self-employed / business persons etc.,
-4- times of average (last two years) annual income.
• Wherever income of the family members is clubbed, they should be made co-
borrowers.
• Employment status of the applicant, his/ her/ their source of income should be
regular, stable, sustainable and of verifiable nature.
• Income from salary/ business/ profession should be in accordance with nature /

area of business, qualification, age, cadre in the organization etc.
• Branch should obtain overseas bank account statement maintained by the

applicant and analyze the same properly to ascertain the conduct of account
and also to judge applicant’s other liabilities, repaying capacity etc.
• In case the applicant is not maintaining his NRE account with us, branch should
obtain statement of such account maintained by the applicant with other bank
in India.

7. Repaying Capacity:
The loan amount will be determined by assessing the repaying capacity of the
applicant with reference to his/her income and other factors such as the profile
of the employer, stability of his/her business, number of dependents, credit history
and the position of his assets and liabilities.
Monthly Income
Up to Rs. 20,000/- 40%
Above Rs.50000/- 60%
ii. In case of others (Professionals/self-employed/business persons etc.):

Annual Income
Up to Rs. 2,40,000/- 50%
An undertaking shall be obtained from the applicant declaring his/ her

existing liabilities to assess the repaying capacity / disposable income.
For enhancing the repaying capacity, earning of spouse can be

combined if the spouse joins as co- borrower even if the spouse is not a co-
owner of the property.
8. Loan to Value (LTV) Ratio:
In view of the revised RBI guidelines, Bank has modified the Loan to Value (LTV)
Ratio w.e.f. 15.09.2013 as under:
Category LTV Ratio (%)

Home Loans upto Rs. 20 Lacs : 90 %
Above Rs. 20 Lacs upto Rs. 75 Lacs : 80%
Above Rs. 75 Lacs : 75%
property to calculate Loan to Value (LTV) Ratio w.e.f. 15.09.2013.
9. Margin:
In view of the revised RBI guidelines, Bank has modified the margin norms w.e.f.
15.09.2013 as under:

Loan Amount Purpose Revised Margin
Purchase of plot 10%
Loans upto Rs.20/- House/flat already constructed from
10%
Lacs own resources
All other cases 10%

Loans above
House/flat already constructed from 20%
Rs.20/- Lacs upto
own resources
Rs.75/- Lacs
All other cases 20%

Loans above House/flat already constructed from 25%
Rs.75/- Lacs own resources
All other cases 25%
property to calculate margin.
You may observe that the margin norms for Loan upto Rs.20/- Lacs has been reduced
to 10%. However, for Loans above Rs.75/- Lacs margin of 25% is to be stipulated in fresh
sanctions. For existing Home Loans above Rs.75/- Lacs in case the margin is currently
less than the ceiling prescribed for any reasons, efforts should be made to bring to it
within limits.
The one time premium amount for Life Insurance Cover to Home Loan Borrowers
under Group Credit Life Insurance Scheme can be financed as part of Loan at
the request of the borrower, at the time of sanction. Premium amount can be part
of the loan as per total eligibility of the borrower keeping the margin and LTV
Ratio as mentioned above on cost of project excluding other charges like stamp
duty, registration charges and other expenses like life insurance premium etc.
Please note that Insurance premium should not be included on cost of project for
calculating margin & LTV Ratio.
Advance deposited with the builder is to be treated as margin only after its
genuineness is checked & verified to the satisfaction of the sanctioning authority.
While taking over Home Loans from other Banks/HFCs, branches should ensure
that a minimum margin and LTV Ratio as stipulated above on the value of house
property is available.
For the purpose of finance, least of the value assessed by Bank’s approved
valuer on a realistic basis at the current market value / cost of construction
/agreement value should be considered.

The margin money should be paid by a NRI borrower by way of foreign inward
remittance through normal banking channels or out of NRE/FCNR/NRO
accounts. Margin amount should be received in advance and shall be invested
before disbursal of loan.
10. Security:
• Equitable / legal mortgage of the property constructed / purchased or

property to be renovated / repaired etc.
• Personal guarantee of spouse / family member, residing in India shall be
obtained. If spouse is also residing abroad, personal guarantee of one / two
persons resident in India having adequate worth shall be obtained.
Procedure for charging of securities, operational guidelines and safeguards to be

observed for accepting the property as security etc. are applicable as per the
Scheme guidelines of Baroda Home Loan to Individuals (Resident Indians).
The properties under litigation and in poor condition should not be considered for
financing.
11. Rate of Interest:
The applicable rate of interest and other guidelines in respect of application of

rate of interest shall be at par with that of Baroda Home Loan to Individuals
(Resident Indian).
12. Documentation:
Following documents are to be obtained.

• Term loan agreement.
• Declaration cum Undertaking cum Authority.
• General form of Guarantee (LDOC 33).
• Usual procedure for creation of equitable mortgage of the immovable
property being financed to be adopted.
• When the loan is considered for purchase of a plot, the branch should obtain a
suitable stamped undertaking from the borrower specifying that house shall be
constructed thereon within the period stipulated in the scheme.
The branches are required to incorporate suitable covenants in the loan

documents at the time of sanction, to enable them to recall the loan and / or
charge higher rate of interest, ab initio, in the event of non-compliance of the
above condition by the borrower.
• Maximum 15 years including moratorium.

• Moratorium Period:
For construction of new house - one month after completion of the house
subject to maximum period of 12 months from the date of first disbursement.
For purchase of new/ old house/ flat - one month after taking possession
subject to maximum of 3 months from the date of first disbursement.
In case of repairs/ renovation/ extension, repayment to commence one

month after completion of renovation/ extension / repair work subject to
maximum moratorium period up to 6 months.
• Payment should be remitted from abroad through normal banking channels

or out of funds in NRE/ NRO accounts.
• Post-dated cheques drawn on NRE/ NRO account of the borrower are to be

discontinued. ECS Mandate as per extant guidelines to be obtained.
• As liberalised by RBI, now close relatives (as defined under section 6 of

Companies Act, 1956) of the borrower in India may also repay the
installments of such loans, interest and other charges, if any, through their
bank account directly to the borrower’s loan account. List of close relatives
is as per Annexure – 11
• If the house/flat is rented out, the 50% of rental income or stipulated EMI,
whichever is higher should be repaid every month.
• In exceptional cases, the term may be extended beyond age limit / term
prescribed under the scheme if borrower provides adequate security
coverage in the form of Bank’s FDRs, NSCs, Govt. Security etc. to ensure
timely repayment.
14. Recovery of interest for the pre-EMI period.
Interest charged during the pre-EMI period is to be recovered as and when

debited in the account.
15. Change in status of the Borrower.
In case of change in status of the borrower during the tenure of the loan, the
repayment schedule may be reworked-out keeping in view his revised status /
income / repaying capacity, age etc.
The rate of interest shall also be re-fixed depending upon total tenure of the
loan, as applicable to Home Loans of Indian residents and effective on date of
conversion. For this purpose tenure shall be computed from the date of first
disbursement to the date of last installment.

Such revised rate of interest shall be applicable prospectively on the outstanding
balance in the account.
The branch should obtain the request in writing from the borrower to this effect.
The revised repayment schedule / rate of interest / other terms and conditions
should be advised to the borrower in writing and acceptance thereof should be
obtained from him /her and guarantor/s.
16. Application form:
A specimen copy of application form is as per Annexure – 18.

Suggestive list of documents to be obtained from the applicant alongwith
application is as per Annexure - 10 (B).
17. Reporting/Classification:
Loan sanctioned under Baroda Home Loan to NRIs/PIOs/OCIs shall not be

considered as part of Priority Sector advance for classification purposes.
18. Execution of Documents & Operation through Power of Attorney.
A person intending to buy a dwelling unit through finance from a bank has to
undertake a series of activities viz. identification of a dwelling unit, finalization of
deal with the builder/ developer of the property, submission of loan application to
financing bank, execution of loan documents, obtaining disbursements, taken
possession of the property and complying with various related formalities. The
series of these activities are time involving and may require presence of the
buyer/s. It may not possible for Non Resident Indians to visit India frequently for
completing / undertaking various tasks related to finalization of the property and
obtaining the loan from a Bank.
If it is decided for valid and justifiable reasons to permit the Power of Attorney
holder to execute the documents, the relative powers of attorney should be
registered in the books of the Bank and a true copy of the Power of Attorney
should be kept with the documents.
Copy of standard format of Power of Attorney is enclosed in Annexure- 22
1. An NRI (not under any legal incapacity to contract) desirous of granting

Power of Attorney in favour of his relative or any one else, may do so in the
draft format as per Annexure-22.
2. The Power of attorney to be executed abroad shall be got attested by the

office of Indian Embassy of that country. Such a Power of attorney needs to be
executed at the office of Indian Embassy only and not at the office of
Embassy of that foreign country.

3. Branches should ensure that POA granted by the principal in favour of the
agents/attorney is unconditional, duly stamped and is in force as on date. It is
mandatory that the POA executed overseas should be done only in the office
of the Indian Embassies abroad and should be got attested by the Office of
the Indian Embassy and those executed in India should be done only in the
office of the Registrar of Assurances. The POA executed in the presence of
Notary Public/magistrate, either in India or abroad should not be entertained.
4. The attorney / agent should also be a major and of sound mind. Further, the
person appointed as “Agent” in the POA should not be a third party but they
should be closely related to the Principal. Closely related category include
only husband, wife, son, daughter, father, mother, father-in-law, mother-in-
law, brother, sister, daughter-in-law, son-in-law, brother-in-law and sister-in-law
of the Principal. Efforts should also be taken to include the “Agents/POA
holders”as guarantors, in their personal capacity, thereby involving them at a
future date for recovery and also for their commitment due to any
cancellation of the Power of Attorney in the intervening period.
5. On receipt of duly executed Power of Attorney in India the same is required to

be adequately stamped within 90 days from the date of receipt in India and
same should be got registered with the Registrar of Assurances to make it
enforceable till such time its revocation.
6. Power of Attorney attracts stamp duty under the provisions of the Stamp Act
applicable to the state, where it is to be acted upon.
7. Power of attorney granted by one person, who has a joint account with
another authorizing a third party to operate upon the joint account, should
not be acted upon. All the parties to a joint account must join in executing
such a power of attorney.
8. An attorney cannot employ his principal’s property for his own use, Branches
should not, therefore, accept without enquiry, cheques signed by a person as
attorney for another party for credit of his personal account.
9. The details of power of attorney so received should be noted in a register e.g.

date of receipt, date of power of attorney, name of the client, nature of
account and name of the attorney. Each entry in the register should be
authenticated by the officer, who has verified the copies. Such registration of
Power of Attorney in the books of the branch must be initialed by the Branch
Manager / Joint Manager, who will be responsible for its correctness.
10. The documents should state full names of the parties. Initials/ short names or
abbreviated names of the parties should not be written.
11. The Power of Attorney holder after fulfilling following conditions may be
allowed to execute the documents.

i. The Regional Head not below the rank of Deputy General Managers may
authorize the branches for execution of the documents through POA, only in
case of NRE customers. The same is subject to verification of the Power of
Attorney by Our Bank’s Legal Officer and with their clear opinion on
acceptability of the executed Power of Attorney.
ii. If the Regional authority is below the rank of Deputy General Manager, Zonal
Authority may exam the same and convey the authority to get the documents
executed by the Attorney.
iii. The concerned branch / office of the Bank to obtain letter of confirmation from
the Donor of Power of Attorney that the power given by him / her is valid and
subsisting as on date and not revoked.
iv. Only on receipt of such authority, the branch can allow to get the documents
executed by the Power of Attorney holder.
v. The concerned branch to inform by a confirmatory letter to the Donor about

the documents having been executed by the Attorney immediately on
execution.
vi. A single letter of confirmation to be obtained from the Principal instead of the
Principal signing all the documents executed by the POA holder. The draft copy
of the letter of confirmation is given in Annexure-23, which is to be obtained
from the Principal confirming that the documents executed by his Attorney are
binding upon him and thus valid, subsisting and enforceable. This should be got
executed with due stamping as an agreement and which will suffice the legal
requirements of ratification of the action of POA holder by the donor. However,
the same has to be got executed during the immediate future available
opportunity and for all practical purposes where LAD is to be obtained, the due
date of LAD will be based only on the date of original execution of the
documents by the POA holder.
In the interest of the Bank, branches to verify the identity and credentials of Power of
Attorney holder before proceeding to consider the loan on the basis of POA. The
branches may also explore the possibility of obtaining personal guarantee of POA
holder.
19. Other Parameters/ product features:
All other terms in respect of Risk Rating, interest application, Disbursement, Unified
Processing charges, Procedure of Property Insurance & Personal Accident Insurance,
Availability of Life insurance cover, Premature Closure, Pre-sanction, Post-sanction,
Discretionary Lending Powers, Take over of Home Loans from other Bank/HFCs,
Deviations etc. are applicable at par with Baroda Home Loan to Individuals.

BARODA HOME IMPROVEMENT LOAN
1. Purpose:
• For repair / renovation / improvement of existing house.
• Purchase of furniture / fixture / furnishing / other gadgets such as fans, geysers, air
conditioners, water filters, air purifiers, heaters, desert coolers, etc. required to :
o Our existing Home Loan borrowers
o New borrowers
o Borrowers who have availed Home Loans from other Bank/HFC.
Property under litigation or in poor condition should not be considered for

financing.
The House should not be older than 35 yeas. Residual life of the house
may be minimum repayment period plus 5 years to be certified by
approved architect/valuer vis-à-vis total repayment period of the loan.
2. Eligibility:
• All individuals (Resident Indians) singly or jointly owning a dwelling unit in their
name/s.
• Age: Minimum age - 21 years.

Maximum age of the borrower + repayment period should not be beyond
retirement for salaried person and 65 years in case of others.
• HUF, NRIs, Staff members are not eligible.
• Principal applicant must have consistent and stable source of income minimum
for last -3- years.
3. Maximum Amount of Loan
Maximum Amount of Loan: Rs. 10.00 Lacs

with the provision that the loan component for furniture / fixture / fittings / other
gadgets should not exceed Rs. 5.00 Lacs
However, actual quantum of loan be arrived at after considering the income criteria
& repayment capacity as per point No.4 herein below.
• Salaried persons: -2- times of gross annual income
• Other than salaried persons i.e, professionals/self employed/business persons etc:

-3- times of net annual income (average of last three years) plus depreciation
claimed in individual capacity and not by the business unit. This may be verified
from income tax return and statement of income and expenditure.
• Wherever income of other family members is clubbed, they should be made co-
borrowers.
• Normally Pension income is not to be considered for calculating the eligible loan
amount. However, if it is large enough, the same may be considered.
4. Repayment Capacity

Monthly Income
Up to Rs. 20,000/- 40%
Above Rs.50000/- 60%
ii. In case of others (Professionals/Self-employed/Business persons etc.):

Annual Income
Up to Rs. 2,40,000/- 50%
5. Margin:
25 % of Project Cost which includes :-

o estimated cost of repairing / renovation
o cost of furniture / fixture / furnishing / other gadgets
6. Securities:
• Mortgage of the property to be repaired/renovated.
• Wherever it is possible to create equitable mortgage or wherever the customer

desires that the equitable mortgage need not be insisted upon, branch may as
a special case accept, at its discretion, security of adequate value in the form of
life insurance policies, Government Promissory Notes, NSCs, KVPs, RBI Bonds or
such other security as may be deemed adequate. Margin on above securities is
to be maintained as per extant guidelines applicable for financing against those
securities.

• Loans upto Rs.50,000/- in rural areas and upto Rs.2/- Lacs in other areas can be
given on clean basis provided employers undertaking to recover instalment from
salary is made available or third party guarantee of a person whose worth should
be atleast double the amount of loan and subject to obtain ECS mandate for
recovery of EMIs as per extant guidelines. However, a stamped undertaking that
the borrower shall not create any charge on the said property to any third party
and that he will create mortgage of the dwelling units/ housing property at a
later date if desired by the bank, be obtained from the borrower.
• Total clean/unsecured exposure (i.e, without collateral security) to the customer

including this loan should not exceed Rs.2/- Lacs.
7. Rate of interest.
Base Rate + 2.50 %
8. Documentation:
Following documents are to be obtained.

• Term loan agreement.
• Declaration cum Undertaking cum Authority.
• General form of Guarantee (LDOC 33), wherever third party guarantee is
stipulated.
• Usual procedure for creation of equitable mortgage of the immovable
property being financed to be adopted.
• Maximum -10- years by Equated Monthly Installments.
• Moratorium period of -6- months or one month after completion of

repair/renovation work whichever is earlier.
• In case of salaried persons drawing pension, the repayment period can be

extended upto 65 years of the age subject to the condition that total
deduction including EMI of this loan should not be more than 60% of the
pension. In case total deduction exceeds 60% of the pension, the borrower
to deposit adequate amount in the loan account so as to reduce the
outstanding amount of loan to the extent which can be served within 60% of
the pension.
• In exceptional cases, this term may be extended beyond above age limit if
borrower pledges FDRs / NSCs / Govt. Security etc. of adequate value to
ensure continuity of income for repayment of loan installment with interest if
sanctioning authority is satisfied about the same.

10. Disbursement of Loan
• In case of repair/extension : Directly to the borrower subject to verification of

bills/money receipts etc. or certificate issued by approved valuer/architect
certifying the progress of the work and the estimated expenditure having
incurred therefore, as the case may be.
• For furniture/fixtures/furnishing and other gadgets: Directly to the Supplier.
11. Unified Processing Charges.
• 0.50% of the Loan amount + service tax, only once at the time of sanction.
12. Advocate’s fee:

• The actual fee charged by Advocates for giving their opinion reports for
verification of title deeds and documents for creation of Equitable Mortgage
is to be paid by the borrowers.
13. Insurance of the House:

• House mortgaged with the Bank is to be insured.
• Insurance modalities are similar to the Home Loan product.
14. Prepayment Charges:
• No prepayment charges shall be levied on foreclosure of Home Loans

irrespective of the nature of source of funds i.e., whether the loan is repaid
from the own sources of borrower or by way of take over by other
banks/HFCs or otherwise w.e.f. 15.12.2011.
15. Priority Sector Classification
• Loans for repairs to damaged houses: Upto Rs. 2/- Lacs in rural and semi
urban areas, and upto Rs.5/- Lacs in urban and metropolitan areas will be
treated as priority sector advance. Loan sanctioned in excess of limits as
stated above shall not be considered as part of Priority Sector Advances for
classification purpose.
16. Other parameters/guidelines.
All other features like pre-sanction inspection, post-sanction inspection,

Discretionary Lending Powers, take over guidelines, Free Credit Card, Powers
of Deviations, Preventive Vigilance guidelines are similar to Baroda Home
Loan to Individuals.

BARODA ADDITIONAL ASSURED ADVANCE (AAA)
Baroda Additional Assured Advance (AAA) is a Top-up Loan facility extended to Home
Loan Borrowers for any purpose except speculative/illegal purpose. The facility is
granted against the security of extension of Equitable Mortgage of House Property
already mortgaged to secure Home Loans and can be availed to a maximum of 5
times during the entire tenure of Home Loan.
Detailed product features of the Scheme is as under:
1 Type of facility • Term Loan / Demand Loan (as per total period of loan)
• Separate Loan a/c is to be opened
2 Purpose of loan • Any purpose excluding speculative or illegal purpose
3 Eligibility • All Existing Home Loan (including Home Improvement Loan)

Borrowers including NRIs /PIOs, Staff and Ex-staff Members
(availed home loan under public scheme as well as Staff
Housing Loans) whose conduct of the account is good and
the account is classified Standard.
• There is no adverse feature / Auditor's/Inspecting Officer's

remarks in existing Home Loan a/c.
• The facility can also be considered when a Home Loan

account is taken over from other banks/HFCs. (Detailed
guidelines given hereunder under Point No. 17).
• Co-borrower/s can be added to arrive higher eligibility

amount subject to:
Addition of co-borrowers should be limited only to very
close relatives i.e. first level which comprises spouse,
father, mother, son, daughter, daughter-in-law and son-
in-law.
If income of the co-borrower/s is accepted for the
purpose of adding the income to the income of principal
borrower for arriving higher eligible limit, sustainability of
income of co-borrower/s has also to be ensured and
assessed on the same lines of salaried/ professional/ self-
employed / Businessman etc. as the case may be.
Minimum age of the co-borrower should be 18 years and
maximum age should be as stipulated for principal
borrower as per the age criteria of the scheme.
KYC Norms to be strictly complied with.
Appropriate verification of funds utilized by the borrowers
to be undertaken by carrying out pre and post
disbursement inspection at every stage.

No deviation should be allowed in income criteria and/or
repayment schedule.
Full fledged due diligence to be carried out.
4 Age
Minimum Age: 21 years (applicant)
28 years (co-applicant)
Maximum age:
• Age of the borrower + tenure of AAA loan should not

exceed 70 years as per laid down norms mentioned under
Home Loan Product (For Resident Indian)
• Age of the borrower + tenure of AAA loan should not
exceed 65 years (For NRIs/PIOs/OCIs)
5 Limit • Minimum Rs.1/- Lac
• Maximum Rs.200/- Lacs

Or
75% of Residual Value of House Property after deducting
150% of outstanding loan amount of Existing Home Loan
whichever is lower.
6 Margin • 25% of Residual Value of House Property after deducting

150% of outstanding loan amount of Existing Home Loan.
7 Review of the • Account to be reviewed annually

account • Due date to be synchronized with the due date of Home
Loan account
8 Rate of Interest • 1.50% over Base Rate

9 Repayment • By Equated Monthly Installments (EMI). First installment to fall
due one month after first disbursement.
• Repayment period: As per request of the borrower subject

to repaying capacity. However the maximum period should
not be more than the remaining period of Home Loan.
• In case the Home Loan a/c is foreclosed, then the
repayment of AAA loan account is to be rescheduled in
such a way that the loan (AAA) is liquidated maximum
within a period not exceeding four years.
10 Unified • Upto Rs.30/- Lacs: 0.50% (Minimum Rs.5000/-) + Service Tax

Processing • Above Rs.30/- Lacs: 0.40% ( Minimum: Rs.15,000/-,
Charges Maximum: Rs.50,000/- ) + Service Tax

11 Repaying • There should be commensurate increase in take home
capacity salary / income of the borrower when AAA facility is
considered.
• The total deductions (including Home Loan and AAA loan)
should not exceed 60% of gross income.
• Borrower to submit necessary papers in support of income
12 Security • Extension of the existing equitable mortgage of the house

created to secure the Home Loan.
• Personal guarantee of third party if the same is stipulated in
Home Loan.
13 Documents • In case of Term Loan

Term Loan Agreement
General Form of Guarantee if guarantee is
stipulated.
• In case of Demand Loan
DP Note
Letter of installment with acceleration clause
General form of Guarantee, if guarantee is stipulated
14 Valuation of the In case of properties acquired within last -3- years, amount
property of registered sale deed should be taken as value of
property. (In such cases fresh valuation may be dispensed
with if the sanctioning authority is satisfied with registered
value).
• But for any reason, if the present Market Value is higher

than the registered value (registered within last 3 years) it
requires prior permission from Regional Authority to
accept the present Realisable Market Value as value of
property. Regional authority need not refer this to BCC for
approval.
• Similarly, if the present Market Value is lower than the

registered value (registered within 3 years), the present
Realisable Market Value of the property is to be
accepted as the value of the property.
In other cases, i.e, execution of deed is prior to 3 years,

Realisable Market Value as per the fresh valuation from
approved valuer to be accepted to the satisfaction of the
sanctioning authority.
In case of existing Home Loan accounts, present Realisable

Market value to be accepted as value of security subject to
the condition that present valuation to carried out only after
three years of previous valuation.
In case of Take over:
• Fresh valuation to be obtained from our approved valuer

and lower of market value or distressed value with margin
and LTV Ratio as stipulated and the same be considered on
a practical/factual approach.
• Please note that the valuation norms that in case of Property

purchased within last 3 years, the amount of Registered Sale
Deed is to be taken as value of the Property is not
applicable for takeover Home Loans including AAA.
(Clarified vide Circular No.BCC:BR:105/534 dated 02.12.2013)
15 Maximum times • This facility can be availed maximum 5 times during entire
the loan can be tenure of Home Loan provided previous AAA account has
availed been adjusted.
16 Insurance of • Property Insurance Cover to be obtained at the cost of

house/flat borrower as per Bank’s norms.
• Free Personal Accidental Death Insurance Cover is
available under Master Policy.
• Group Credit Life Insurance Cover (Optional and at the cost
of Borrower)
17 In case take • The AAA facility can also be considered when a Home Loan
over from other account is taken over from other banks/HFCs.
banks/HFCs • Asset Classification of the account taken over must be
"Standard"
• There must not be any over dues at the time of take over.
• Statement of account to be obtained from the earlier
bank/HFC.
• Valuation of the property should be done afresh.
• Other guidelines regarding sanction of Home
Loans/Insurance/Recovery of charges etc. to be followed.
18. Powers of Financial/non-Financial Deviations/Concessions in respect of

Deviations and scheme parameters/ guidelines may be considered as per
Deviation Annexure- 9. (Ref Circular No.BCC:BR:106/22 dated 21.01.2014)
charges
19. Priority/ non- For reporting purpose AAA loans are segmented under Home
priority sector Loan portfolio.
Classification
However, AAA loans are to be classified under priority/non-
priority classification based on the purpose (activity) for which
the loan is utilized. While incorporating data in ascrom,

Branches should ensure to feed proper activity codes for AAA
loans in order to classify the accounts in priority/non-priority
based on the purpose.
20. Issuance of For the purpose of income tax, branches may issue certificate
interest pertaining interest and principal repaid during the year to
certificate to Home Loan borrowers.
borrowers for
income tax In case of AAA Loan, Branches should issue such certificate for
purpose. income tax purpose only if the disbursed amount is utilized for
housing purpose duly supported by original bills, receipts etc.
and pre/post sanction inspections.

HOME LOAN TO STAFF MEMBERS UNDER PUBLIC SCHEME
1) Eligibility Criteria:
Confirmed employee of the bank (including part time employee).
2) Purpose:
i) Constructing a new dwelling unit or for purchasing a plot subject to a condition

that a house will be constructed thereon within three years of such purchase.
ii) Purchasing new dwelling unit or old dwelling unit not more than 15 years old.
iii) Bridging the gap after availing Staff Housing Loan / Supplemental Housing Loan.
iv) Purchasing / constructing a second dwelling unit.
v) Meeting escalation of cost on the basis of revised estimates up to a maximum of
25% of original cost supported by satisfactory documentary evidence / valuation
report of approved Architect.
vi) Repairs / Renovation / Extension of existing house / flat.
vii) Repayment of loan already availed from a Housing Finance Company and / or
other institutional sources/ other sources, subject to production of documentary
evidence.
3) Maximum Amount:
i) For purchase of plot : Rs.10/- lacs.

ii) For purchase new / old dwelling unit /construction of house : Rs. 25/- lacs.
iii) Repairs / Renovation / Extension : Rs. 5/- lacs.
Subject to:
Total deductions from the salary of the employee including instalment of
proposed Home Loan should not exceed the norms as detailed in this circular for
public under Salaried class.
If spouse / any family member is made co-borrower, his/ her income can also be
considered for computing loan eligibility and repaying capacity.
4) Margin & LTV Ratio:
i) For repairs / renovation / extension of existing dwelling unit :25%.

ii) For purchase of new / old dwelling unit/ construction of house/ Purchase of Plot
: (As applicable to Home Loan to Individuals-Public Scheme)
If loan is to be availed along with loan under staff scheme, margin is to be reckoned
on the basis of cost of project less amount of loan sanctioned under Staff Housing
Loan Scheme and / or surplus out of old dwelling unit sold as the case may be.

5) Repaying Capacity:

Monthly Income
Up to Rs. 20,000/- 40%
Above Rs.50000/- 60%
Repayment capacity to be calculated taking into consideration the deduction of

income tax, other statutory deductions etc. besides all reimbursements and other
Loans EMI payments, excluding Life Insurance Premiums. Payment of all type of Life
Insurance Premiums (except premiums of Unit Linked Insurance Plan - ULIP)
irrespective of Insurance Company issuing the policy, need not be considered for
deduction.
6) Rate of Interest
Rate of interest will be same as applicable under public scheme.
The staff is eligible for concession of 0.25% in rate of interest subjected to the
condition that effective rate of interest should not go below Base Rate. However
since, at present the applicable rate of interest on Baroda Home Loan is Base Rate,
this concession is restricted.
7) Repayment Period and Maximum Age:
i. Maximum repayment period is -30- years, including moratorium period.
ii. Maximum moratorium shall be -36- months as under:
-18- months moratorium period for under construction Houses and Building upto
7th floor, thereafter -6- months additional moratorium per floor subject to
maximum of -36- months.
(OR)
One month after completion of house/ taking possession of flat/house,
iii. The repayment schedule should be fixed on a realistic manner taking into
account the repayment capacity of the staff member, which should normally be
around 30% of his income. Branches, however, are free to fix higher repayment
amount at the request of the staff member and / or after taking into
consideration the verifiable family income consisting of spouse, children and
parents residing in the household.
iv. Maximum Age of borrower during which loan to be repaid:

(a) Maximum age is 70 years. i.e., the age by which the Loan should be fully
repaid, subject to availability of sufficient regular and continuous source of
income for servicing the loan repayment, provided:
(OR)
(ii) If borrower pledges FDRs / NSCs / Govt. Security etc. of adequate
installment with interest if sanctioning authority is satisfied about the
same.
(b) Other wise i.e, if not fulfilling the above criteria (i) or (ii), age of the borrower
plus repayment period should not be beyond retirement age.
(c) Maximum age can be considered upto 70 years, also in case of persons
drawing pension, subject to the condition that 40% of the pension is
sufficient to pay EMI. In case EMI exceeds 40% of the pension, the borrower
to deposit adequate amount in the loan account so as to reduce the
outstanding amount of loan to the extent it can be serviced by 40% of the
pension.
v. If any employee want to continue loan after retirement age to avail tax benefits
etc., bullet repayment may also be permitted, if probable outstanding amount
(i.e. including interest) on the proposed date of repayment is secured by
matching amount of Bank’s FDR, NSCs /Govt Securities etc. and borrower gives
an undertaking to liquidate loan with maturity proceeds of the securities
charged to the Bank.
vi. The branch may fix monthly / quarterly installments on graduated basis or EMI as
requested by staff member
8) Security
i. Mortgage of the property to be constructed / purchased.
ii. If mortgage of the property is not feasible or even if it is possible to create

equitable mortgage but staff desires that the equitable mortgage need not be
insisted upon, in such case branch may as a special case accept at its
discretion, security of adequate value in the form of Bank’s FDRs, NScs, Govt.
Bonds, life insurance policies or such other security as may be deemed
adequate, along with stamped undertaking that he/she will not create any
charge on the said property to any third party and that he / she will create
mortgage of the dwelling unit / housing property at a later date if desired by the
bank.

Margin on above securities is to be maintained as per extant guidelines
applicable for financing against those securities.
Exception to the above will be considered in respect of staff members who wish
to avail loan for the first house / flat under the scheme for bridging the gap after
availing staff Housing Loan and / or non refundable withdrawal from Provident
Fund. A simple deposit of title deeds of the land / house / property alongwith an
undertaking that the house / flat will not be disposed off during the pendency of
the advance.
The above provision will also be applicable to staff members who wish to avail
loan under the scheme for repairs / renovation / extension of their first house /
flat purchased by availing Staff Housing Loan at concessional rate of interest.
8. Service Charges:
i. Processing Charges (only once at the time of sanction):
A Upto Rs. 2/- Lacs Rs.200/-

B Above Rs.2/- Lacs & upto Rs.5/- Rs.100/- per Rs.1/- Lac or part thereof
Lacs
C Above Rs.5/- Lacs Rs.750/-
+ Service Tax applicable
ii. Documentation Charges:
A Upto Rs. 25,000/- Nil

B Above Rs.25,000/- & upto Rs.2/- Lacs Rs. 350/-
C Above Rs.2/- Lacs Rs.1000/-
+ Service Tax applicable
(c) Advocates / Valuers fees :
Actual charges to be recovered.
9. Disbursement :
Disbursement of loans sanctioned be made at branch level in stages in

accordance with terms of sanction.
10. Submission of Valuation Reports:
Estimate/ valuation report will be obtained at following stages:

1. Initial estimates at the time of sanction.
2. Once while construction in progress.
3. Final Valuation.

Estimates and valuation report of any Govt. registered Valuer / Architect / Civil
Engineer can be accepted.
11. Other Conditions:
a. House / Flat to be insured adequately covering all perils viz. Flood, Fire, Riot,
Civil-Commotion, Earthquake etc.
b. Vigilance clearance to be obtained for the concerned staff borrower before

disbursement of the loan.
c. A/c is not to be taken over from other Bank / financial institution if there are
overdues in the account.
d. A separate account for loan sanctioned under the scheme will have to be
maintained, if the staff member is already having housing loan in his name.
12. Sanctioning Authority
For advances to staff other than to Senior Officers (i.e. officers in SM / GS- IV
and above), as per general discretionary lending powers meant for public
housing finance scheme (Subject to obtaining vigilance clearance from
Regional/ Zonal / Corporate Office, as the case may be, before disbursement).
For advances to staff in Senior Management Cadre i.e, Scale IV and above
shall be considered by the Zonal Heads of the respective branches/offices
irrespective of Loan amount.
Please also note that competent authority for sanctioning Home Loans under
above scheme to staff member against whom disciplinary action is either
pending or contemplated shall be the General Manager (HRM), Corporate
office.
Advances to Senior Officers shall be reported to MCB through Retail Banking

Deptt, BCC, Mumbai.
Since, Housing Loans to staff under Public scheme are not classified under
staff loans, please take care of guidelines conveyed vide Circular
No.BCC:BR:104/178 dated 22nd May 2012 on setting up of Credit Committees
at various levels and Circular No.BCC:BR:104/271 dated 30th July,2012 on
modifications. Henceforth please take care of the same.
13. Other terms and conditions:
Other terms and conditions, which have not been specifically mentioned in
the scheme for staff member, shall be the same as applicable to General
Public for Home Loan.

GOLDEN JUBILEE RURAL HOUSING FINANCE SCHEME (GJRHF)
Objective: To extend financial assistance for construction /purchase /repairs/extension
of dwelling units in Rural Areas the population of which does not exceed 50000 as per
1991 census.
Purpose: For construction of new dwelling units, acquisition of new dwelling units not
older than 20 years, repair/renovation/extension of existing house, takeover of loan
already availed from any Bank/HFC and for construction of dwelling units cum farm
house on agriculture land for the purpose of residence and storage of farm
equipments/implements and farm produces.
Eligibility: Any individual residing in Rural area with population not exceeding 50000 and
having sufficient repayment capacity.
Maximum Limit: Rs.100.00 Lacs and Rs.1.00 Lac for repair/renovation of existing dwelling
unit.
Margin: 10% on project cost
Security: Equitable Mortgage of house property or any other security like LIC
policies/NSCs/KVPs/FDR or Government Guarantee
Rate of Interest: As per interest rates applicable for normal Housing Loan scheme of
Bank.
Repayment: In EMIs or should be fixed in such a way that it synchronises with income
patters of the borrower i.e., crop cycle.
All other features and guidelines are similar to Baroda Home Loan to Individuals.

Credit Risk Guarantee Fund Scheme for Low Income Housing (CRGFS).
The Ministry of Housing and Urban Poverty Alleviation, Government of India, has
established a Credit Risk Guarantee Fund Trust for providing guarantees in respect of
low-income housing loans. A Credit Risk Guarantee Fund Scheme for Low Income
Housing (CRGFS) has been launched by the Government of India on 31st October 2012,
which will be managed by the National Housing Bank.
Under the Scheme, the Trust will provide credit risk guarantee to the lending institutions
against their housing loans up to Rs.5.00 lakh granted to the borrowers in the
Economically Weaker Section (EWS)/ Lower Income Group(LIG) categories in urban
area without requiring any collateral security and/or third party guarantee. The extent
of Guarantee Cover to be provided under the Scheme is 90% of the amount in default
in respect of loan amount up to Rs 2.00 lakh and 85% of the amount in default for
housing loan above Rs 2.00 lakh and up to Rs 5.00 lakh. Our bank has executed a MOU
with the National Housing Bank on 4th March 2013 for participating in CRGFS. Hence the
scheme is available to eligible Home Loans sanctioned from 04.03.2013 only.
Salient Features of the scheme are as under:
1. Eligible Borrower:
The trust shall cover Housing Loans sanctioned to new eligible borrower in the low
income housing sector in urban areas for Housing Loans not exceeding Rs.5.00
Lacs after entering into an agreement with the Trust, with out any collateral
security and/or third party guarantees. (Our Bank has executed MOU with the
National Housing Bank on 04.03.2013 for participating in CRGFS) and a housing
unit size upto 430 sqft (40 sqm) carpet area and to which housing loan has been
provided without any collateral security and/or third party guarantee. Eligible
borrowers, as defined above, forming a group or housing society of at least 20
members, shall also be eligible under the scheme.
Trust will provide guarantee cover in respect of loan proposals sanctioned in the
quarter April-June, July-September, October-December and January-March
prior to expiry of the following quarter viz, July-September, October-December,
January-March and April-June respectively. Provided further that as on the
material date:
i. The dues to the lending institution have not become bad or doubtful of
recovery and/or
ii. The property/asset of the borrower for which the housing loan was
granted has not ceased and/or
iii. The housing loan has not wholly or partly been utilised for adjustment of
any debts deemed bad or doubtful of recovery, without obtaining a prior
consent in this regard from the Trust.

iv. The borrower has paid the necessary fees and charges for the said
property.
The eligible borrower shall be required to submit an undertaking to the lending

institution to the effect that she/he has not availed any other housing loan
covered under this scheme nor any additional risk cover has been granted to
the housing loan availed by her/him by Government or by any general insurer or
any institution or any other person or association of persons carrying on the
business of insurance, guarantee or indemnity.
2. Eligible Activity: Activities eligible for Guarantee Cover: Activities that are eligible
for Guarantee Cover are home improvement, construction, acquisition and
purchase of new or second hand dwelling units involving a Housing Loan
amount not exceeding `5 lakh per person. Loans given fully/partly for
renovation/repairs are not eligible for the Guarantee Cover under the Scheme.
3. Housing Loans not eligible under the scheme: The following housing loans shall
not be eligible for being guaranteed under the scheme:
I. Any housing loan in respect of which risks are additionally covered by

Government or by any general insurer or any institution or any other
person or association of persons carrying on the business of insurance,
guarantee or indemnity to the extent they are so covered.
II. Any housing loan granted to any borrower, who has availed himself of
any other housing loan covered under the scheme or under the schemes
mentioned in clause (I) above and where the lending institutions has
invoked the guarantee provided by the Trust or under the schemes
mentioned in clause (I) but has not repaid any portion of the amount due
to the Trust or under the schemes mentioned in clause (I) as the case may
be, by reason of any default on the part of the borrower in respect of that
housing loan.
III. Any housing loan which has been sanctioned by the lending institution
against collateral security and/or third party guarantee.
IV. Any housing loan which has been sanctioned by the lending institution
with interest rate more than the prevailing rate applicable for that eligible
loan category or 2% over the base-Rate of the lending institution
whichever is easier.
4. Economically Weaker Section (EWS): Economically Weaker Section (EWS) means

households with household income upto Rs.1,00,000/- per annum or as revised by
the Ministry of Housing & Urban Poverty Allevation, Government of India, from
time to time.

5. Low Income Group (LIG) category: Lower Income Group (LIG) means households
with household income between Rs.1,00,001/- to Rs.2,00,000/- per annum or as
fixed by the Ministry of Housing & Urban Poverty Allevation, Government of India,
from time to time.
6. Low Income Housing: A Housing unit, for economically weaker and low income
individuals of size upto 430 Sqft (40 Sqm) carpet area.
7. Tenure of guarantee cover: Guarantee cover shall commence from guarantee

start date and shall run through the agreed tenure of the housing loan and for a
maximum period of 25 years or loan termination date, whichever is earlier.
8. Amount in Default: Principal and interest amount outstanding in the account(s)

of the borrower in respect of housing loan, as on the date of account becoming
Non Performing Asset (NPA) or the date of lodgement of claim application
whichever is lower or such of the date as may be specified by the “Credit Risk
Guarantee Fund Scheme (CRGFS) for preferring any claim against the
guarantee cover subject to a maximum of amount guaranteed.
9. Extent of Guarantee:
Category Maximum Extent of Guarantee for Housing Loan

Housing Loans Up to Rs 2.00 lakh or such Above Rs 2.00 lakh and up to
by Individual amount as decided by the Rs 5.00 lakh or such amount as
Borrowers Trust from time to time decided by the Trust from time
to time
90% of the amount in default 85% of the amount in default
subject to the ceiling of 90% of subject to ceiling of 85% of the
the sanctioned housing loan sanctioned housing loan
amount. amount.
10. Guarantee Fee:
(A) One time guarantee fee at the rate of 1.00% (or as specified by the Trust from
time to time) of the total loan amount shall be paid upfront to the Trust within
30 days from the date of first disbursement of housing loan or 30 days from
the date of Demand Advice of guarantee fee whichever is later or such
date as specified by the Trust.
(B) The guarantee fee shall not be charged from the beneficiary as an upfront
processing fee.
11. Lock-in period: No claim can be made to the Trust for settlement within the
period of 24 months after last disbursement was made to the borrower or within
the period of 24 months from the date of the guarantee cover coming into force
in respect of particular housing loan or two months after the completion of the
house, whichever is later.

12. Invocation of Guarantee: The lending institution shall invoke the guarantee in
respect of housing loan:
(A) In case the loan is classified as NPA before the lock-in period expires, the
guarantee can be invoked in respect of housing loan within one year of the
expiry of the lock-in period or.
(B) In case the loan is classified as NPA after the lock-in period expires, within one
year of the loan being classified as NPA subject to the following conditions
being satisfied:
• The guarantee in respect of that housing loan is in force at the time of

account turning to NPA.
• The lock-in period has elapsed.
• Amount due and payable by the borrower to the Bank has not been
paid and account is classified as NPA. Provided that the lending
institution shall not make or be entitled to make any claim on the Trust
in respect of the said housing loan if the loss has occurred owing to
action/decision taken contrary to or in contravention of the guidelines
issued by the Trust.
• Housing loan has been recalled and recovery proceedings have been
initiated under due process of law. Mere issuance of recall notice
under SARFAESI Act 2002 shall not be construed as initiation of legal
proceedings for the purpose of preferment of claim under CGS. Bank is
required to take further action as contained in Section 13 (4) of the
above Act as a secured creditor and take recourse to any one or
more of the recovery measures out of the four measures indicated
therein before submitting claim for first instalment of guarantee
amount. In case branch is not in a position to take any of the action
indicated in Section 13 (4) of the aforesaid Act, they may initiate fresh
recovery proceeding under any other applicable law and seek the
claim for first instalment from the Trust.
(C)Settlement of Claim: The Trust shall pay 75% of the guarantee amount on
invocation of guarantee, within 60 days of applying for settlement of claim,
subject to claim being in order and complete in all respects. The balance
25% of guarantee amount will be paid on conclusion of recovery
proceedings by Bank.
(D) In the event of default, the lending institution shall exercise its rights, if any to
take over the assets of the borrowers by taking permission of the Trust and the
amount realised, if any, from the sale of such assets or otherwise shall first be
credited in full by the lending institution to the Trust before it claims the
remaining 25 percent of the guaranteed amount. If the Trust so desires, it can

retain the asset by paying remaining 25 percent of the guaranteed amount
and may give it to the next eligible borrower or as the case may be.
(E) The guarantee claim received directly from the branches or offices other
than respective designated Corporate office/Head office of lending
institution will not be entertained.
Reserve Bank of India, vide circular No: DBOD.No.BP.BP.BC-90/21.04.048/2012-13 dated

16th April 2013 has advised Risk Weights and Provisioning norms for the advances
guaranteed by Credit Risk Guarantee Fund Trust for Low Income Housing (CRGFTLIH) as
under:
i. Risk Weight:
Banks may assign zero risk weight for the guaranteed portion. The balance
outstanding in excess of the guaranteed portion would attract a risk-weight as
appropriate to the counter-party.
ii. Provisioning:
In case the advance covered by CRGFTLIH guarantee becomes non-performing, no

provision need be made towards the guarantee portion. The amount outstanding in
excess of the guaranteed portion should be provided for as per the extant
guidelines on provisioning for non-performing advances.
13. Responsibilities of Lending Institutions: Scheme stipulates for responsibilities for

lending institutions which inter-alia specifies use of prudent banking judgement,
conduct of account, safeguarding by obtaining primary security, close
monitoring of the account, due diligence and necessary action for recovery of
the account.
14. Other Operational Clarifications:
• CRGF Scheme is applicable for the eligible housing loan extended by the
lending institution in Urban Area. The coverage under urban area may
extend to statutory towns, urban agglomerations and planning area.
Statutory towns, urban agglomerations & Planning areas, description is
given in Annexure.
• The requirement of approval of lay-out plan or building plan is a

procedural requirement of lending institution. CRGF scheme deals only
with loan after its sanction. The lending institutions will follow their extent
provisions regarding sanction of loan.
15. Other Guidelines:

• Vide Gazette notification dated 7th July -13th July 2013, the Government of
India has issued detailed guidelines on “Credit Risk Guarantee Fund
Scheme for Low Income Housing”
16. Operational Guidelines:
A. NHB is in the process of issuing User ID and password to the lending

institutions thereafter, we will be submitting the application online.
B. Meanwhile, we have to forward the applications under CRGFS manually

for the housing loans eligible under the scheme, which are sanctioned by
our Bank w.e.f. 04.03.2013 along with the specified guarantee fee.
C. All branches will submit the required information to their respective

Regional office on Quarterly basis. Branches will submit first report
covering information w.e.f. 04.03.2013 to 31st March 2013. Thereafter
quarterly information will be submitted to the Regional office latest by 10th
day of following quarter. In case there is no eligible account in a
particular quarter to be reported under the scheme, then Branch will
submit “NIL” report to the Regional office. Report will be submitted in the
format as per Annexure-
D. Regional office will compile the quarterly report submitted by the

branches under their jurisdiction and submit the Regional-report to the
respective Zonal office latest by 20th day of following quarter in the format
as per Annexure-.
E. Zonal office will compile the report submitted by the Regional offices
under their jurisdiction and submit the Zonal-report to the Retail Banking
Department latest by 25th day of following quarter in the format as per
Annexure-.
Retail Banking Department will compile the report submitted by the Zonal offices and
send the requisite 1% of Sanctioned amount as a guarantee fee in the account of the
CRGFTLIH and submit the report to the National Housing Bank in the format as per
Annexure-

Annexure- 1
GROUP CREDIT LIFE INSURANCE FOR HOME LOAN BORROWERS

Bank of Baroda is having tie-up arrangements with M/s. IndiaFirst Life Insurance Co. &
M/s. Kotak Life Insurance for providing Life Insurance Cover to our Home Loan
borrowers.
This is an optional Scheme of Life Insurance and is at the cost of borrower which may be
funded by the Bank at the time of sanction and is recoverable with the EMIs of the
Loan.
The Scheme is available for existing Home Loan accounts also, where flat
cover/reducing cover is provided for outstanding balance in the account as on the
date of obtaining cover and for remaining tenure of the loan. In such cases borrowers
are required to pay the amount of premium from their own sources upfront and no
finance is available from the Bank.
The Insurance Companies have separate policy to cover new Home Loans (Reducing
Cover) and to cover existing Home Loans (Flat cover), if the existing borrower is
interested to cover his loan under reducing cover, he can avail the same under
reducing cover.
The salient Features of the Group Credit Life Policy offered by M/s.IndiaFirst Life
Insurance Co. & M/s. Kotak Life insurance as under:
• It is an optional scheme for the benefit of Home Loan borrowers and the borrower
will be given an option by the branches to choose the insurance provider
between IndiaFirst Life Insurance and Kotak Life Insurance as per his choice.
• It is a group insurance scheme, which protects against unforeseen consequences

of death of borrower.
• Family of the borrower is not required to repay the loan to the extent of claim
settled amount, in case of death of the borrower.
• Outstanding cover amount due, will be paid by insurance provider as per cover
schedule.
• Slippage of the account into NPA category due to death of the borrower can be
avoided.
• Life cover is available against payment of one time premium and amount of
premium is based on the age of the borrower, amount of loan, Interest rate and
tenure of the loan.

• Premium amount for obtaining the cover can be financed as part of loan at the
request of borrower and accordingly EMI will be calculated. But in case of Home
Loans guidelines regarding compliance of LTV Ratio must be strictly ensured.
• Premium amount may be part of the Loan as per total eligibility of the borrower
may be funded by the Bank at the time of sanction and is recoverable with the
EMIs of the Loan.
• In case of foreclosure of loan, certain portion of premium paid shall be refunded

by the insurance provider (As per the surrender value formulae, which is given
below:
(a) By Kotak Mahindra:
Surrender Value = 75% × Single premium × (Outstanding Cover Term/Cover Term) ×

(Outstanding Amount/Total Amount) - processing charges
(b) By India First
The borrower can continue the cover till the end of the term as mentioned in the
Certificate of Insurance (COI)
(OR) refund as under

Decreasing Sum Assured Level Sum Assured
Single premium 40% x Premiums Paid X

Unexpired Term* X
Total Term
Reduced Sum Assured *
Initial Sum Assured
• Claim in the event of death, will be settled as per cover schedule and excess
amount deposited over the stipulated schedule, if any, shall be refunded to the
nominee of the borrower.
• Hassle free claim settlement process.
• Co-borrower can be covered on payment of premium by policy of M/s.IndiaFirst

Only. Only principal borrower is to be covered under the scheme in case of joint
accounts by policy of M/s. Kotal Life Insurance.

DETAILED FEATURES OF THE SCHEME:
This is a Single Premium reducing cover product with following features-
Age at Entry: Minimum - 18 Years

Maximum - 65 Years (Kotak Life Insurance)
- 69 Years (IndiaFirst Life Insurance)
Maximum Ceasing Age: 75 years (Cover will cease once member attains this age)
Age: Age is defined as the age of the member on his/her last birthday (as per English
Calendar) immediately before the date of commencement of cover for that member.
Term: Equal to loan term subject to Minimum 3 years (Kotak Life Insurance)
Minimum 2 years (IndiaFirst Life Insurance)
Life Cover: Outstanding (O/s) principal loan amount at the time of death as per the
Cover Schedule provided by Insurer Any shortfall in coverage of amount due to
increase in interest rate , restructuring of account or overdues in the account have to be
borne by the claimants / legal heirs of the borrower only and such shortfall will not be
the liability of Insurance provider.
Life assured: Life assured is the loan borrower/s of who has / have been given the cover
under the plan.
Policy Contract: Will be in the name of BOB
Documents to be obtained from the borrower:
The following documents are necessarily to be obtained from the borrower and be
kept safely with the Loan documents which may be required to be submitted with the
death claim form in case of death of the insured borrower:
1. Consent cum Authorisation Form

2. Declaration of Good Health form duly filled and signed by the insured borrower
3. Documentary proof of Date of Birth
4. NOC from the joint borrower/s in case of joint accounts
Role of BOB as Group Manager:
The Bank will act as Group / Manager or Nodal Agency for and on behalf of members
in all the matters relating to the scheme and every act done by, agreement made with
and notice given to the insurance provider by the Bank / Group Manager shall be
binding on the member borrowers. The group Manager / Bank shall furnish to Insurance
Provider the relevant data /particulars of the members as and when required in
connection with the administration of the scheme through MIS format as enclosed. This
may include Health Status (DOGH), Evidence of Age and Risk Coverage, Exclusions if
any and termination of assurance Cover

Benefit to the Borrower / Family:
• Shield against future liabilities on account of accidental / natural death of the

borrower.
• The family members of borrower are relieved from financial hardship due to
immediate payment of dues under the loans.
• Hassle free process to join the scheme.
• There is no immediate extra financial burden on the borrower to pay the
premium as the same can be financed by the bank and EMI may be increased
accordingly.
Cover Commencement:
The cover shall commence from the date of premium payment with Bank of Baroda.
The cover commencement date for borrowers under the medical category will
commence once the underwriting decision is communicated by Insurance provider to
BOB. This Date shall not be earlier than the Policy Effective Date or the actual
commencement date of the loan with the Policyholder, after its approval, whichever is
later.
All the medical costs will be borne by Insurer.
In case medical facilities are not available, Insurer shall arrange for a home visit for the
client and the cost for the same will be borne by Insurance Provider.
Scope of the Policy and Persons Covered:
This Group Credit Life Insurance Scheme covers the loan borrowers who have attained
the age of 18 years and who have been granted Home Loan by Bank of Baroda
against the payment of premium.
Cover will be available against the submission of Simple Declaration /Declaration of

Good health (DOGH) as being done hitherto and all existing formats to be used for the
purpose or to undergo medical tests and to submit a Medical Questionnaire provided
by Insurance Provider depending upon amount of cover and age of the borrower.
Premium – Calculation and Payment thereof:
• Premium is one time premium.
• Premium will be payable in advance for the loan amount and tenure of loan
Premium shall be calculated as per premium calculator table provided by respective
Insurance Provider.
Issue of Certificate of Insurance:
Certificate of Insurance (COI) along with the Cover Schedule (CS) shall be provided by
the Insurance Provider for all members accepted in the cycle on receipt of premium.

Certificate of Insurance (COI) is available from IndiaFirst Life Insurance also through a
web link http://www.indiafirstlife.com/DAP/iflUser.htm?role=4
Claim settlement in the Event of Death:
In the event of death of a customer, the claim amount shall be the outstanding cover
as per cover schedule on the date of death. The concerned branch must intimate the
insurer over email id about any death under the scheme within 3 months from the date
of death having occurred with all supporting documents required for processing the
claim. Claim Form provided with our earlier circulars referred above by the respective
insurance providers shall be utilized for Car Loans and Personal Loans also.. MIS in
respect of Claims shall be submitted as being done hitherto.
The following documents shall be submitted along with Claim Form:
a) Copy of COI with CS

b) Original DOGH.
c) Photocopy of the self attested age proof
d) Original death certificate issued by Municipal or other Competent Authority
Last attending doctor’s certificate stating the exact cause of death
(In case original death certificates cannot be provided for any reason, copy of
death certificate duly attested by the branch manager shall be furnished)
e) Letter from the policy holder i.e. Bank of Baroda and Declaration from nominee
f) Nominee relating proof and photo id proof
g) If death has occurred in a hospital, all case history papers.
h) If the death is due to an accident or any other unnatural cause:
• A certified copy of the FIR filed with the Police authorities.
• A certified copy of the Post Mortem Report/Autopsy Report.
• A certified copy of the Driving License, if death occurred while driving.
The claim can be lodged at the concerned branch and the branch in turn will inform to
insurer and comply with further documentation requirements as mentioned in the policy
contract.
Alternatively, the claims can be lodged at IFLIC’s/KLIs office at the following address,
within the above mentioned time limits:
INDIAFIRST LIFE INSURANCE KOTAK LIFE INSURANCE
Group Operations Group Operations

IndiaFirst Life Insurance Company Ltd. Kotak Mahindra Old Mutual Life
301, B wing, The Qube, Insurance Ltd.
Infinity Park, 7th Floor , Zone 4
Dindoshi – Film City Road, Building No. 21, Infinity Park
Malad East, Mumbai 400097 Near Nagari Nivara Hsg. Society
Off, Western Express Highway
Goregaon Mulund link Road,

Malad (E) Mumbai 400097
e-mail address
claims.support@indiafirstlife.com e-mail address
kli.claimsmitragroup@kotak.com
Exclusions in the coverage:
Any claim arising as a result of the said member under the policy committing suicide
(whether being a sane or insane at such time) within one year of commencement of
his/her cover will be disallowed.
Premature Payment of Loan:
In case of prepayment of loan, certain portion of the premium for the unexpired term
shall be refunded to the borrower. Information in this regard shall be submitted as being
done hitherto.
Procedure to be adopted at Branch Level:
This is an optional scheme for the Loan borrowers to have life insurance cover
where one time premium is paid by availing loan from the Bank repayable in
EMIs along with normal EMIs of the Loan.
Branch has to obtain Consent cum Authorization Form from the borrowers for
obtaining the Group Insurance Cover as per draft enclosed - Annexure – II.
Branches will be required to obtain Declaration of Good Health (DOGH) or

Medical Questionnaire and Medical Test as the case may be from the member
borrower for cover amount as per prescribed formats.
Copy of Declaration of Good Health (DOGH) or Medical Questionnaire and

Medical Test as the case may be from the borrower should be kept on record for
future reference.
Branch to maintain a record of members covered under the Insurance Plan

detailing Date of Start of Cover, Name of Borrower, Amount of Insurance, Date
of Birth, Period, Date of expiry of Cover, Premium amount Paid and date of
credit in Insurance Co.’s A/c, Transaction Reference No. All these information will
be required to be provided in MIS to be submitted to Insurer by the branches
through their Regional Offices in the format as per existing practices.
Branches shall deposit the Premium Recovered from the borrower to the
following accounts:
A/c No. 12470200000937 of IFLIC
A/c No. 29040200000131 of KLI for Home Loan (New & Existing) A/cs

As the case may be, on the very day of first disbursement of the loan.
Premium is to be calculated as per Premium Calculator of the respective

Insurance Provider.
On joining the Scheme, a Confirmation of application shall be issued by the

Collecting Branch to the borrower, duplicate of which should be preserved for
future reference as being done hitherto.
In the event of death of a member, the Branch will be required to obtain a letter
of information from the nominee, to fill a simple claim form being used presently
and forward the same along documents as detailed under the head “Claim
Settlement in case of death”.
After receipt of claim cheque by the branch, the amount of claim shall be
utilized for liquidating the Loan a/c of the deceased. If the sum exceeds the
outstanding loan, excess sum shall be paid by the branch to the nominee of
member concerned. In case, the claim amount falls short to liquidate the loan
amount, the balance amount shall be required to be liquidated by the
guarantor / legal heirs of the borrower.
Clarification/assistance by Insurance Co.
• For any clarification / assistance, you may contact
with IFLIC at : Mr. Naman Gupta - Mobile : 08080048036

Toll Free No. : 18002095700
For escalation:
Ms. Lidiya Homem : 09820640310
with KLI at : Ms.Sunanda Singh : 022 64510452/ 022-42852623

: Ms.Neelam Tiwari : 022-64510452/ 022-45852623
For escalation:
Mr. Sandeep Mirchandani: sandeep.mirchandani@kotak.com

Mobile : 09820154834

Annexure- 1 (A)
List of valid age proofs:
Birth Certificate
School / College Leaving Certificate, provided – it specifies Date of Birth, States

that Date of Birth is extracted from School / College Records, Stamped and
signed by College / School
Passport
Driving license
PAN Card
Ration Card, which specifies the Date of Issue of the Ration Card and the Date
of Birth or Age of the Life to be Insured
Election ID card (also called voters ID) issued by the Election Commission of
India can be accepted as valid age proof provided it was issued at least 2 years
before the date of the insurance proposal.
Extract from service register in case of:

Government and semi-government employees
In case of defense/central government/ state government personnel, identity

card issued respectively by the defense department /central government/ state
government to their personnel showing, inter alias, the date of birth or age
Marriage certificate in the case of Roman Catholics issued by Roman Catholic

Church
Domicile certificate in which the date of birth stated was proved on the strength
of the school certificate or birth certificate.

ANNEXURE – 1 (B)
Draft Consent - cum - Authorization Form for Group Insurance Scheme
The Chief / Sr./ Branch Manager

__________________________
Dear Sir,
Re: Application for membership of _________________________Scheme
1. I, Mr/Mrs. ______________________________________________________
have obtained a sanction for availing the Home Loan, hereby give my consent to become a
member of the IFLIC/KLI Group Insurance Scheme, which will be administered by Bank of Baroda as
Group Manager.
My details are as below:
Name (in capitals): Shri / Smt. / Kum ___________________________________

Date of Birth : __________________(DD/MM/YYYY)
Age (as on last Birthday) as on date ___________ years
Limit sanctioned Rs. ______________EMI Rs.____________
Insurance cover obtained for Rs. _____________________
(Cover to be obtained for limit sanctioned limit)
Premium Amount :Rs.______________________
Rate of Interest :_________________ Loan Term:_______________
2. I hereby authorize you to debit my Loan account No. _____________________ a sum of Rs.
_____________ (Rupees____________________________ only) with your branch towards the one time single
premium.
* The same can be recovered from my Savings Account No. ___________

* Please include the premium amount as part of the Loan amount and fix up the Equated
Monthly Installments (EMIs) accordingly and debit the premium from my loan account.
Strike out which ever is not applicable.
3. I agree that in the event of my unfortunate demise during the pendency of the loan, India First Life
Insurance (IFLIC) /Kotak Life Insurance (KLI) will be sole authority to consider the claim. IFLIC/KLI
may settle the claim amount as per their rules to the extent of the outstanding schedule of
indebtedness as on the anniversary preceding the death, in favour of the bank. These benefits will
be utilized towards the liquidation of the loan amount under the loan provided by the bank. In the
event of any surplus arising out of the benefits settled by Insurer after liquidating the outstanding
amount, I nominate
Sh./Smt./Kum___________________________________________________________
who is my____________________ (relationship) as the nominee to receive such surplus amount.
4. I agree to pay the full premium at inception even though the full loan amount will be disbursed by the
bank only in phases.
5. I agree to abide by the terms and condition of the above scheme.
6. I agree to your conveying the above particulars regarding my admission into the group insurance
scheme to IFLIC/KLI.
No Objection Certificate from co-borrowers (if any) :

I/We, 1.______________________________ 2.__________________________________ do not have any objection to
Sh./Smt.___________________________
a) Joining the Group Insurance Scheme mentioned above and

b) One time single premium being debited to the Home Loan Account.
( )
Signature of the borrower
Place:
Date:

Annexure – 2
PERSONAL ACCIDENT INSURANCE & PROPERTY INSURANCE REVISED

SCHEMES w.e.f. 10.09.2012.
The detailed guidelines of

(I) Baroda Home Loan Group Personal Accidental Insurance Policy (Free)
and
(II) Baroda Home Loan Property (Standard Fire & Special Perils) Insurance Policy
(at the cost of Borrower)
applicable to Home Loan Borrowers, who have been sanctioned Home Loans on or
after 10.09.2012, including Additional Assured Advance (AAA) are given under.
I. BARODA HOME LOAN GROUP PERSONAL ACCIDENT INSURANCE POLICY.
Bank has obtained a Group Personal Accident Insurance Policy with National Insurance
Company Limited to cover Bank’s Home Loan borrowers (including joint/co-Borrowers
also) to whom Loans have been sanctioned / disbursed on or after 10.09.2012. Thus,
Bank's Home Loan borrowers, who have been sanctioned Home Loans on or after
10.09.2012, including Additional Assured Advance (AAA) to existing borrowers, are
covered under the policy.
The salient features of the scheme are as under:
1. Eligibility: All Home Loan Borrowers (Residents/NRIs/PIOs) who have been sanctioned
Home Loans on or after 10.09.2012 are covered under a Master Group Personal
Accident Policy obtained by the Bank from National Insurance Company Ltd. The
policy also covers Joint / Co-Borrowers. The loans sanctioned under Additional Assured
Advance (AAA) scheme on or after 10.09.2012, including “AAA” loans sanctioned to
existing borrowers whose Home Loans were sanctioned before 10.09.2012 are also
covered under the policy.
2. Coverage: Accidental death & Permanent Total Disability of the Borrowers as under:
The Policy covers individuals for injuries arising solely and directly out of accidents
leading to loss of life or Permanent Total Disablement as mentioned below:-
(A) Death due to accident:
The amount payable will be 100% of capital sum insured, which is the amount
outstanding in the loan account of the Borrower.
(B) Permanent Total Disability:
For the purpose of permanent total disability, the definition set in the policy is as under:

(i) If such injury shall within 12 calendar months of its occurrence are the sole and
direct cause of the total and irrecoverable loss of:
a. Sight of both eyes or the actual loss by physical separation of two entire hands or two
entire feet or one entire hand and one entire foot or of such loss of sight of one eye and
such loss of one entire foot or one entire hand. The amount payable will be 100% of
capital sum insured, which is the amount outstanding in loan account of the Borrower.
b. Use of two hands or two feet, or loss of one hand and one foot or such loss of sight of
one eye and such loss of use of one hand or one foot. The amount payable will be
100% of capital sum insured which is the amount outstanding in loan account of the
borrower
(ii) Apart from what is stated above, if such injury shall as a direct consequence thereof
permanently, totally, and absolutely disable the borrower from engaging in any
employment or occupation of any description whatsoever, the amount payable will be
100% of capital sum insured, which is the amount outstanding in loan account of the
borrower.
3. Amount outstanding: The amount outstanding in the Borrower’s Home Loan account
will include the Principal, interest, additional penal interest, charges and any other
amount due and payable by the Borrowers as on the date of the accident leading to
loss of life or permanent total disablement of the insured borrower.
4. Policy Period: 31.12.2012 to 30.12.2013 for first policy, after which the policy will be
renewed by mutual agreement between both the parties year after year. Retail
Banking Department has renewed the policy up to 31.12.2014. The policy shall be
renewed at Corporate Centre on annual basis.
It will cover all Home Loans sanctioned on or after 10.09.2012 including “AAA” loans
sanctioned to existing borrowers.
5. Commencement of Risk Cover: The risk cover will incept from 31.12.2012.
6. Sum Insured: The amount insured under the Master Policy being the total amount
outstanding under the loans sanctioned on or after 10.09.2012 by Bank as on the date
of inception of the policy (and the time to time outstanding under the same
irrespective of the amount of loan advanced) plus the projected Home Loans to be
disbursed by Bank during the period of one year from the inception of the policy and
the time to time outstanding under the same ( irrespective of the amount of loan
advanced). In respect of renewals also sum insured shall be calculated accordingly.
The sum insured in respect of an individual borrower/s shall be the total amount
outstanding as on the date of accident leading to loss of life or permanent total
disablement of the insured Borrowers in the loan account of each borrower irrespective
of Home Loans advanced by Bank as explained above.

In case of joint borrowers, the sum insured will be divided equally amongst the
borrowers and on the death/permanent disablement of one of the joint borrowers, the
claim shall be submitted for the share of the deceased borrower/permanently disabled
borrower, which shall be adjusted to the respective Home loan account.
7. NICL Underwriting Office: NICL will provide the insurance cover through its office at
Mumbai Divisional Office: VII, Bharat House, 104 Mumbai Samachar Marg, Fort, Mumbai
400023.
8. Claims: The claims shall be lodged by the concerned branch directly with NICL in the
form and manner as mentioned below under advice to Retail Banking Department,
Baroda Corporate Centre , Mumbai.
In the unfortunate event of the accidental death or permanent total disability of the
Borrower/s, the following documents/details (as applicable) are to be forwarded to
NICL by concerned Branch:
Immediate intimation is to be given to the underwriting office viz. NATIONAL INSURANCE

COMPANY LIMITED, MUMBAI Divisional Office VII, BHARAT HOUSE, 104 MUMBAI
SAMACHAR MARG, FORT, MUMBAI 400023 normally within thirty (30) days by the
concerned Branch.
The following documents are to be submitted normally within next thirty - (30) days:
(In all cases where any documents are in vernacular language, a duly notarised English
translation of the same must be submitted.)
~ Duly filled in claim form ( Annexure I).
~ Loan Agreement Copy
~ Loan Sanction Letter
~ Post-mortem report from the Hospital in the case of accidental death.
~ Death certificate from the Government Authorities.

~ Legible and certified FIR / Panchnama with translation in English (Certification by
Police and translation in English to be attested by Notary)
~ Inquest report (In States wherever applicable)
~ In case of disability, attested full photograph of person showing the disability

(attestation can be by Bank’s Branch official)
~ Doctor’s certificate confirming irrecoverable loss of eye sight / loss of limbs.
~ Permanent total & absolute disability certificate from the Hospital/Doctor/Medical

Board (in respect of cases falling under Para (ii) of annexure)

~ Certificate from concerned Branch indicating the following details:-
A) Name of Borrower/s
B) First date of disbursement of Loan
C) Computerised Loan Outstanding balances as on date of event.
D) In case of joint borrowers account, pro-rata outstanding balance is to be
shown/claimed.
If the documents (FIR, Panchnama, Post mortem and Inquest report) are not submitted
in the original, copies of the same duly verified by the Branch official to be sent. Other
documents are to be submitted in original only and are to be duly attested by the
Authorized Official of the Bank.
Upon submission of the said documents by the claimants/heirs/borrower to Branch, the

respective Branch where the borrower maintains the Home Loan Account, shall forward
the same to the NATIONAL INSURANCE COMPANY LIMITED, MUMBAI DO VII, BHARAT
HOUSE, 104 MUMBAI SAMACHAR MARG, FORT, MUMBAI 400023 for settlement of the
claim. Subject to the documents being found in order, NICL shall pay the amounts
claimed in accordance with the policy as under, directly to the said branch of Bank
after receipt of all documents.
NICL agrees that the Certificate issued by the concerned Branch of the Bank is based
on banking system , as regards the claim amount/amount due under the loan shall be
final and binding on NICL and shall not be disputed. NICL shall pay all claims directly to
branch in respect of claims under the Master Policy document irrespective of any
dispute/claim raised by the borrower/any other person.
9. Procedure to be adopted at Branch Level:
The Bank has obtained Master Group Personal Accidental Policy for Home Loan
Borrowers including joint/ co borrowers to cover Personal Accidental Death and
Permanent Total Disability and its premium shall be paid by the Retail Banking
Department, BCC, Mumbai on an annual basis. Branches are advised not to pay any
insurance premium towards Group Personal Accident Insurance Policy at branch level.
II. BARODA HOME LOAN PROPERTY (STANDARD FIRE & SPECIAL PERILS INSURANCE
POLICY:
The freebie for providing free property insurance was withdrawn w.e.f. 10.09.2012.
However, getting insurance cover for the property against fire and other perils is
necessary to protect the interest of both Borrower as well as the Bank.
With a view to have a uniformity and also to have property insurance cover at uniform
and reasonable premium, it has been decided to go for a tie up arrangement with
National Insurance Company Ltd, Mumbai Divisional Office, who will issue property
insurance policy (Standard Fire & Special Perils) at a concessional premium. Moreover
our Bank will be eligible to get usual commission on the amount of premia under
Bankassurance.

The salient features of the policy are as under:
1. Risk coverage:
i. Covers “Property” i.e. the flat/house purchased with the Bank’s financial
assistance and mortgaged to Bank.
ii. Policy covers losses due to Fire, Lightening, Explosion/Implosion, Aircraft

Damage, Riot, Strike & Malicious Damage, Impact Damage, Subsidence &
Landslide including Rockslide, Bursting & / or Overflowing of water Tanks,
Apparatus and Pipes, Missile testing Operations, Leakage from Automatic
Sprinklers Installations, Bush Fire, Earthquake, Storm, Tempest ,Flood and
Inundation.
iii. Lost on account of Terrorism is excluded.
2. Sum Insured:
i. The policy to be taken for the total cost of House excluding cost of land and in
case of flats, full cost of flat be considered.
ii. Amount insured shall be the amount of loan sanctioned & disbursed for
construction & finishing of house/ acquiring the flat or cost of the house
(excluding cost of land)/ flat which ever is more.
3. Period of Policy:
The period of policy will be of minimum 3 years and maximum 30 years.
4. Premium – Calculation and payment thereof:
i. Premium will be payable in advance as per terms of the loan (for a maximum
period of 30 years.)
ii. The premium rate shall be as per chart enclosed herewith (Annexure – II)
Premium is exclusive of service tax.
iii. Branches may counsel the Borrowers to prefer for payment of one time
premium to cover the property insurance. Also borrower has option to obtain
insurance cover from any other insurance company of his choice at his own
risk.
iv. The premium rate is subject to change as may be required / warranted by

statute or revision of tariff. In that case revised chart will be provided to
branches.
v. The Branch will pay the premium amount inclusive of service tax to the debit
of borrower account.

5. Refund of premium in case of foreclosure of Loan:
No refund is allowed for mid-term cancellation of the policy.
6. Insurance Company’s liability:
i. The liability of NICL will be as per the preamble of the policy in accordance
with the terms & conditions.
ii. Branches are advised to submit their proposal(s) to the Nodal office of NICL at
following address at Mumbai.
National Insurance Company Ltd.

Divisional Office VII,
Bharat House, 3rd Floor,
104, Mumbai Samachar Marg, Fort
Mumbai - 400023
7. Procedure to be adopted at Branch level:
The responsibility of taking the insurance under the scheme is that of the Branch
where the account is parked. The Branch has to adopt following procedure:
i. The Branch after executing the documents and on making first disbursement
on the day of first disbursement will send the proposal in prescribed profarma
(Annexure -II) to the Nodal Office of NICL at Mumbai as mentioned at point
no 6 (ii) and remit the premium through RTGS / NEFT in favour of National
Insurance Co. Ltd., in the following account :
Name of Bank : BANK OF AMERICA

Branch : KOLKATA
Account No. : NATIONAL9926150000
Type of Account : CURRENT
IFSC Code : BOFA0CT6206
Name of Account Holder : NATIONAL INSURANCE COMPANY LTD
Address of Bank : 46-D, JAWAHARLAL NEHRU ROAD,
KOLKATA- 700071
Service Tax No. : AAACN9967EST099
Pan No. : AAACN9967E
ii. Proposal (Annexure-II) and Premium payment will be sent to the Nodal office
of NICL by Regd. A.D. or if the office is locally situated, through messenger
against proper acknowledgement.
iii. The Nodal office of NICL will issue a policy and send it to concerned Branch.
iv. If policy is not received within 10 days, Branch has to follow up with the Nodal
office of NICL.

v. Upon receipt of policy, Branch should check the details of the policy viz.
Name of the insured, Bank clause, Amount and Period of the policy etc. and
record the details in insurance register as per extent guidelines.
vi. Insurance policy is to be kept properly along with loan documents and it
should be preserved till the account is liquidated.
vii. Responsibility to take insurance cover will be that of the Branch.
viii. In the event of any claim, the same should be submitted to the Nodal office of
NICL to whom the premium was sent with claim form and required certificates
within 15 days. On receipt of the claim amount, the same should be
appropriated towards the loan account.
For any clarification, Branches may contact following Relationship Managers of

National Insurance Co. Ltd:
Mr. Pradeep Chettiar, Administrative Officer Phone No.: 022 -22673692

22670419
22673772
Mr. M.S. Prasana, Senior Assistant Fax No: 022 - 22675149
E Mail : 261500@nic.co.in
Please note that Home Loans sanctioned prior to 10.09.2012, will continue to be covered
under “Baroda Home Loan Suraksha Beema” Scheme for coverage of risk viz Property
Insurance and Personal Accident. Branches should ensure compliance of Baroda Home
Loan Suraksha Beema guidelines as mentioned in Annexure - 3
However, please ensure that all Home Loans sanctioned on or after 10.09.2012 are
provided with property insurance cover for Standard Fire & Special Perils as mentioned
above. In case any of the Branches have not taken the property insurance cover in
respect of Home Loans sanctioned on or after 10.09.2012, they should get the property
insurance cover forthwith at the cost of the Borrower. The property insurance cover
from National Insurance co. Ltd as mentioned above is with a view to maintain
uniformity and also to give the benefit of concessional premium to our customers.
However, Borrowers may opt to obtain property insurance cover from other insurance
company in conformity with our Bank’s requirement.

Annexure2(A)

Annexure- 2(B)
NATIONAL INSURANCE COMPANY LIMITED

(A GOVT. OF INDIA UNDERTAKING)
PROPOSAL FORM FOR STANDARD FIRE & SPECIAL PERILS POLICY

BANK OF BARODA ( HOME LOAN BORROWERS )
NAME OF INSURED &

CORRESPONDENCE
ADDRESS
HYPOTHECATION DETAILS
/ BANK OF BARODA
BRANCH ADDRESS
LOCATION OF RISK &

ADDRESS
OCCUPATION
PERIOD OF INSURANCE FROM :________________ TO:_______________

ADD – ON COVER
EARTHQUAKE YES
STROM/TEMPEST/FLOOD/INNUNDATION YES
(STFI)
TOTAL SUM INSURED :
PREMIUM PAYMENT DETAILS
1. PREMIUM AMOUNT RS:
2. RTGS / NEFT URT NO : _________________
3. DATE OF REMITTANCE :
4. BOB BRANCH ADDRESS :

Declaration by Insured
I / We hereby declare that the statements made by me / us in this proposal are true to the best
of my / our knowledge and belief and I / We hereby agree that this declaration shall form the
basis of the contract between me / us and the ‘NATIONAL INSUANCE COMPANY LTD.’
If any additions or alterations are carried out in the risk proposed after the submission of this
proposal form.
Date :
Place :
Signature of Proposer
PREMIUM CHART (RATE PER LAC)
Sr. Loan Premium

No. Tenure (with
commission)
01 1 YEAR 50.00
02 3 YEAR 91.00
03 4 YEAR 117.00
04 5 YEAR 140.00
05 6 YEAR 161.00
06 7 YEAR 179.00
07 8 YEAR 195.00
08 9 YEAR 209.00
09 10 YEAR 220.00
10 15 YEAR 286.00
11 20 YEAR 380.00
12 25 YEAR 476.00
13 30 YEAR 570.00
NB: Service Tax is chargeable on the above premium as per the rate applicable.
Scope of Cover As per Standard Fire & Special Perils Policy
Extensions STFI & EQ only
Conditions:-
Policies to be issued to House/ Flat Owners only
Policy to be issued for Minimum Period of 3 years
No Refund to be allowed for Mid-term cancellations
Mid term inclusion of Add On covers not to be allowed
Premium to be collected in advance for the entire policy period
Basis of Indemnity: Market Value i.e. Depreciated value

ANNEXURE - 3
BARODA HOME LOAN SURAKSHA BIMA

(applicable for Loans sanctioned up to 09.09.2012)
(Offering FREE Property and Personal Accident insurance cover)
Baroda Home Loan Suraksha Bima is operationalized w.e.f. 1st April 2005. All the Home
loans sanctioned/ disbursed on or after 01.04.2005 are to be insured under the policy
with National Insurance Co .Ltd.
The salient features of the scheme are as under:
1. Scope of the Policy:

Free insurance will be offered to all Home Loans to individuals sanctioned under
Direct Housing Finance Scheme and BOB Rural Housing Finance Scheme.
2. Effective Date:
All fresh Home Loans sanctioned and/or first disbursed on or after 01-04-2005.
Additional loans i.e. Loan for Repairs, Renovation and extension of house, AAA etc.
are not covered under the scheme.
3. Risk coverage:
a. Section I
i. Covers “Property” i.e. the flat/house purchased with the Bank’s financial
assistance and mortgaged to Bank.
ii. Policy covers losses due to Fire, Lightning, Explosion/ Implosion of gas in
domestic appliances, Aircraft damage, Riot, Strike, Malicious damage,
Storm, Tempest, Hurricane, Tornado, Flood, Cyclone, Typhoon, Inundation,
Earthquake fire & shock, Impact damage, Subsidence and Landslide
including rockslide,
Bursting and/ or overflowing of water Tanks, Apparatus and pipes, Missile
testing operations.
b. Section II
(a) Personal Accident Death cover for the borrower(s)
(b) The term “Accident” also covers that if borrower shall sustain bodily injury
resulting solely and directly from accident caused by external and violent
means such injury should within 12 months of its occurrence be the sole
and direct cause of death of the borrower.
(c) Permanent total disablement is covered.
(d) The claim will not be payable in case of suicide, injury sustained under the
influence of liquor/ drugs and breach of law with criminal intent.
(e) First named borrower is covered at the cost of the Bank however, co-
applicant/s can also be covered by making additional payment of 25%
(in respect of each co-borrower) of the premium by the borrower.
4. Sum Insured:
a. The policy has to be taken for the Home Loan sanctioned.

b. Amount insured shall be the amount of loan sanctioned & disbursed for
section 1 i.e. property and identical amount for section II. In case of Joint
borrowers, the sum insured for the risk as mentioned under section II i.e.
Personal accident will be divided equally amongst the borrowers.
5. Period of Policy:
The period of policy will be the repayment period of the loan including
moratorium period as per sanction but in any case shall not exceed 25 years.
6. Premium – Calculation and payment thereof:

a. Premium will be payable in advance for the amount and tenure of the loan.
b. The premium rate shall be as per chart enclosed herewith (Annexure – 4 B)
Premium is inclusive of service tax.
c. For intermediate values the premium should be worked out on the basis of
premium rate as per Annexure – 4 C.
d. Premium is one time and covers both the risks i.e. section I and II ( Property &
Personal Accident insurance )
e. The premium rate is subject to change as may be required / warranted by
statute or revision of tariff. In that case revised chart will be provided to
branches.
f. The branch will pay the premium amount to the debit of its P/L Insurance A/c.
7. Refund of premium in case of foreclosure of Loan:

1. If borrower repays / liquidates the loan account before the due date, NICL
will refund the premium for un expired period on pro rata basis, subject to no
claim being made by the Bank in respect of the particular insured property or
insured person.
2. NICL shall pay the refund of the premium amount within 15 days from the
date of claim lodged by the Bank.
3. For this purpose, the branch has to make a simple request to the Insurance
Company’s policy issuing office and also send original policy.
8. Insurance Company’s liability:

a. The liability of NICL will be restricted to the least of the following (for property)
• amount outstanding as on the date of loss or
• actual loss assessed or
• sum insured whichever is the least.
b. For the purpose of ‘ amount outstanding’ the amount that ought to have
been outstanding on the date of loss/accident, if the repayment schedule is
adhered to, has to be reckoned (excluding default amount )
c. Branches are advised to submit their proposal(s) to the Nodal office of NICL
at following address at Mumbai.
National Insurance Co. Ltd.

DAB – IX, 6th floor,
Sterling Cinema Bldg.
65, Murzaban Street, Fort,
Mumbai - 400001

9. Procedure to be adopted at branch level:
The responsibility of taking the insurance under the scheme is that of the branch
where the account is parked. The branch has to adopt following procedure:
a. The branch after executing the documents and on making first disbursement
on the day of first disbursement will send the proposal in prescribed profarma
(Annexure 4-A) along with Demand Draft/ Banker’s cheque for the amount of
premium in favour of National Insurance Co. Ltd., payable at Mumbai to their
Nodal office at the above address. Premium is to be calculated as per
Annexure 4 - B.
b. Proposal and Demand Draft/ Banker’s cheque for the premium amount will
be sent to the Nodal office of NICL by Regd. A.D. or if the office is locally
situated, through messenger against proper acknowledgement.
c. The Nodal office of NICL will issue a policy and send it to concerned branch.
d. If policy is not received within 10 days, branch has to follow up with the Nodal
office of NICL
e. Upon receipt of policy branch should check the details of the policy viz.
Name of the insured, Bank clause, Amount and Period of the policy etc. and
record the details in insurance register as per extent guidelines.
f. Insurance policy is to be kept properly along with loan documents and it
should be preserved till the account is liquidated.
g. Responsibility to take insurance will be that of the Branch Head.
h. In the event of any claim, the same should be submitted to the Nodal office
of NICL to whom the premium was sent with claim form and required
certificates within 15 days. On receipt of the claim amount, the same should
be appropriated towards the loan account.
i. After settlement of claim in respect of only one type of risk i.e. property or
personal, if some balance remain outstanding in loan account the policy will
continue in respect of the other risk.

Annexure – 4
ADHERENCE OF KNOW YOUR CUSTOMER (KYC) NORMS AND PREVENTIVE VIGILANCE FOR
HOME LOAN PROPOSALS:
Bank is advising through comprehensive guidelines time to time in respect of KYC norms
and preventive vigilance guidelines to make the operating units aware as to how
frauds have taken place in various banks / branches and how to be vigilant in
preventing such type of activities at branches.
All set norms should be strictly complied with, without negligence while processing
Home Loan proposals. The guidelines to be followed while appraising/ processing
Baroda Home Loan applications are given under viz.
(a) Adherence of KYC guidelines

(b) Fraud preventive measures
(c) Safeguards in respect of take over of Home Loan Accounts
(a) Adherence of KYC guidelines:
1. KYC guidelines should be very meticulously and strictly complied with, which
include proper verification / cross checking of information submitted by the
applicants for their identity. Documents submitted for identity and proof of
residence i.e. copy of ration card/ photo-identity card/ PAN card/ driving license
should be properly scrutinized and also verified with the originals. Noting for having
verified with the originals should be made on relative documents and kept on
record.
2. Pre-sanction inspection including visit to the place of residence and work as well
as property to be purchased, must be carried out independently, preferably
without giving prior information to the applicant.
3. Independent enquiries from the employer in respect of salaried person about

employment status and salary should be made. It will help in detection of cases of
fabricated salary / employment certificates as well as in ascertaining the actual
income of the applicant. A copy of latest salary slip should be obtained.
4. In case of applicants other than salaried persons, the original taxpayer’s copy of
challans of tax deposited is verified to ascertain genuineness of Income Tax
Returns and also the assessment orders for earlier years. Home Loan proposals of
the persons, who have filed their income tax returns of last three years in one lot or
if there is major fluctuation in the amount of the tax deposited in the current year
vis-a-vis previous year should be accorded special attention.
5. Disbursement of Home Loan to be made by Demand draft /Bankers Cheque

specially crossed to the bank and in favour of Bank / Branch, A/c-No., Name of
Builders / Vendors / Suppliers along with a letter addressed to the vendor. Not to

hand over the Demand Draft / Bankers Cheque towards disbursement to the
borrower.
6. Bank has introduced a system for outsourcing Chartered Accountants for

verification of income related papers viz. IT Returns, Income Tax Challans etc. You
may therefore assign the work of verification of income related papers to the
authorized agency / persons in consultation with Regional Offices.
7. Critical examination and satisfaction about the “Employment Status” of the

applicant, his/her/their source, continuity, consistency and sustainability of the
income is very essential. In cases, where the status of the employment as well as
the employer is doubtful, the branches should discourage considering loans to
such persons. Income of the applicants should be of regular, stable and verifiable
nature.
8. No middlemen should be entertained for any credit proposal.
9. Our ASCROM Cell has devised Borrower-wise Search utility programme, which
enable branches in searching the name of the borrowers, who have availed
credit facilities from other branches. Therefore, if there is more than one branch at
the center, the branch should ensure before considering the loan application,
that applicant is not enjoying any retail loan from any other branch at the center.
10. CIBIL /EQUIFAX Credit Report/CERSAI search report in respect of applicant should
be meticulously verified. We have authorized branches, all Regional Offices, Zonal
Offices and allotted them user IDs to access CIBIL /EQUIFAX information on
borrowers. Therefore this facility should be used by the branches to cross check
borrowings from other banks. Branches not having user IDs may use this facility
from nearby branch /RLF/ Regional Office.
11. Wherever applicants are not maintaining their savings account with us, the
branch should obtain statement of principal account of the applicant, wherein
salary is being credited. The account should be critically/ properly analyzed to
ascertain conduct of the account and other existing liabilities of the applicant.
12. Credit rating in prescribed module relevant to the retail loan proposal should be
carried out in each case before taking credit decision.
13. The branches should in writing ascertain from the builder / vendor/ supplier the
details of his Bank, Branch and account number for the purpose of making
payment on disbursement of the loan amount directly to him. It has been
observed that miscreants generally opened accounts with small co-operative
banks for fraudulent encashment of the banker’s cheques. Therefore, the branch
managers may, over telephone, confirm the antecedents of the builders and
gather information about status and period of account relationship etc.
14. The Bankers Cheque / Demand Drafts should be issued in favour of Bank Branch
A/c No. – Name of the builder/ vendor / supplier and should be directly handed

over to him. However, a request in writing should be obtained from the borrower
before making payment to the builder / vendor / supplier.
15. Search Report / legal opinion obtained about immovable property from Bank’s
approved advocate should be exhaustive and complete, containing all vital
points. The Branch officials should carefully study the report received from the
advocate and any point affecting bank’s interest may be probed in to. Equitable
mortgage of immovable property should be based on original title deeds only. All
previous chain of title documents and other papers suggested by bank’s
advocate should be obtained while creating equitable mortgage on the property
proposed as security.
16. Besides, valuation report submitted by Govt. / Bank’s Approved Valuer in respect
of immovable property, the Processing Officer or Asset Inspecting Officer or
Sanctioning Authority should verify the boundaries of flat/plot/house as per the
previous title deeds and assess the value of the property independently on the
basis of prevailing market rates and record the same in the file.
17. Proposals for financing a house / flat developed by the builders not having good
reputation in the local market / whose names are appearing in the negative list
should not be considered. If the builder is a private limited or a public limited
company, report from the office of Registrar of Companies should be obtained for
ensuring that the entire property, including the flat proposed to be financed, is not
charged in favour of any bank / financial institution / other creditor for finance
availed by the company.
18. Each disbursement, wherever need to be made in stages, should be backed by

site / spot inspection and relative inspection report should be kept on record.
19. Post-sanction inspection after final disbursement should be carried out to ensure
that borrower has taken possession of the house / flat besides verification of end
use of funds. It is also to be ensured that the construction has been carried out as
per approved plan and there is no misutilization of funds.
The above safeguard needs to be taken care by the branches while considering any
Home Loan proposal.
(b) Fraud Preventive Measures:
Bank has come across some instances, where borrowers have either defrauded the
Bank or some miscreants attempted to commit frauds. In order to save our
branches/Bank from such attempt of frauds, branches are requested to follow the
guidelines meticulously while considering Home Loan proposals:-
It is observed that frauds are committed at the following two stages.
(a) Pre-Sanction,
(b) Post-sanction.

The risk of being cheated or defrauded is remote if proper care is exercised in these two
stages of financing housing Loans in contrast to other advances, where frauds can be
committed even after disbursement of the loan due to poor monitoring of the
accounts.
(i) Pre Sanction Stage:
- Failure to follow KYC (Know your Customer) norms and the requirement of pre-
sanction inspection.
- Failure to identify fictitious accounts.
- Sanction of higher loan amount on the basis of fake/forged income proof.
- Inflated valuation of land and building.
i. Post Sanction Stage :
- Documentation Related: due to forged title deeds, photo copy of title deeds,
several original copies of same title deeds etc.
- Disbursement Related: done by builder by selling same flat to different people,

loans availed by builder in the name of other person/s and money used by him
for his project.
- Borrower en-cashing the loan disbursement cheque / Pay order / D.D by
opening account in the name of builder particularly with Cooperative banks.
Based on the experience of various Banks, cases of frauds, modus operandi and
suggested preventive measures are narrated below:
1. Fabrication of Income documents like IT return, Salary Slip, Balance sheet etc:
• Personal interview of borrower and visit to site.

• Personal verification of original salary slips and attendance register with the
employer.
• Comparing salary amount with the bank statement
• Cross verification of balance sheet with bank statement
• Verifying photo copies of IT returns with the original bearing
acknowledgement of IT department
2. Other income of the applicants like agriculture, tuition income, Income of non-
working spouse purportedly running Hobby, cooking classes, beauty parlors, and
Computer job work were clubbed to inflate income and secure higher loan
amount.
It is committed generally by well dressed/well educated, high-flying borrowers

who utilize the services of Chartered Accountants in fabricating income tax
returns and related documents.

• Agriculture income can only be considered if it is supported by land record
and income is reported in income tax return though not taxed.
• Status of business must be verified before accepting proof of income from
such business/profession.
3. Loan amount disbursed by way of Pay Order/Demand Draft encashed by third

party/agent.
Disbursed amount Pay Order/ Demand Draft are collected by 3rd party/Agent
from the borrower’s Bank and deposited in fictitious account opened for this
purpose and amounts are withdrawn from such bogus accounts.
• Account Payee crossed PO/DD should be issued in the name of the

builder/promoter as the case may be with the bank account number
mentioned on it.
• A rubber stamp should be affixed on the reverse of the PO/DD stating,
“collecting banker should exercise utmost caution while collecting this
instrument especially in the case of a newly opened account”.
• PO/DD should not be handed over to the borrower /agent/third party. Bank’s
official can be sent for delivery of the instrument to the builder/seller of the
property at the registered address mentioned in the title deeds.
4. Title deeds/ Stamped documents forged by borrower/ builder.
Coloured photo copies of various documents are produced including

encumbrance certificate, fake stamp paper etc. which are difficult to distinguish
from the original one.
• The title deeds should be handed over to advocate only by bank official and
all his queries should be routed through bank only. The fee will also be paid
through bank.
• Bank officers should verify genuineness of the documents independently
through their own advocates/ solicitors. Search report of the property should
be conducted by the advocate properly on the basis of original documents
including registry pending for entry in the records of sub registrar.
5. Multiple Financing:
The miscreants with intent to play fraud with Bank connive with the
Chairman/secretaries of housing co-operative societies and borrowers, prepare a
number of original sets of documents in respect of single flat, and avail loans from
several banks using those fake but apparently original sets of documents. In the
process, the miscreants get the owner’s clear and marketable title to the
property certified from lawyers and in turn create equitable mortgage by
depositing the fake title deeds.
• Tracking and sharing information among banks and housing finance

companies about black listed builders through market intelligence.

• Relevant testimonials like Bye-Laws, Firm registration Certificate, colonizer
license of builders should be verified with appropriate issuing authority.
• Banks should insist on original title deeds of the landed property on which
structure (Proposed project) is built for verification.
• In case of flats, Banks should insist on registration of undivided share of land
before releasing 1st installment of loan. In that case a ‘Provisional’ sanction
letter may be issued to the borrower in this regard provided all other terms
and conditions are complied with.
• In case of purchase of property from government agency/other agency on
their behalf co-operative society etc. allotment letter of such agency issued in
favour of buyer should be obtained.
• Registration receipt issued by Registrar of assurances should bear
hypothecation clause.
6. Cancellation of booking of flats/ property:
After availing the 1st installment of loan amount, the booking is cancelled by the
borrower in collusion with builder/promoter and the borrower directly takes the
refund from the builder/promoter.
• Credit rating of Builders by CRISIL should be mandatory.

• Bank should check past track record, financial viability project execution
capacity clear titles and customer satisfaction of previous projects and
technical competence of the builders.
• Bank should obtain tripartite agreement (Registered) with builders, bank and
borrower stating that if booking is cancelled, the money will be refunded to
the bank only.
7. Sale of property by borrower without clearing existing loan:
Property is sold through duplicate/fake title deeds even though the legal title is
with the bank.
• Internal due diligence plays vital role to prevent this type of frauds.
• Banks to represent to RBI/ Government of India to enact legislation for noting
bank’s lien (Mortgage) in the Books of Municipality, Tax Assessment registers
for the Houses, as is done in case of Motor Vehicles.
8. Misrepresentation of end use of loan.
Loan is taken for residential Housing purpose but commercial property is

constructed.
• In addition to verification by architect/engineer as per system, bank official to

verify end use of funds at each stage of disbursement of loan.

9. Sale of property by builder without clearing dues of financing bank/FIs.
Builders sold constructed / semi constructed houses but did not pay the dues of
banks/FI raised for construction of the building.
• Construction /funding of loan should be closely monitored.

• Original title documents should be called for appraisal at the time of sanction
of loan.
• Bank to keep an eye on builder and seek information regarding sale of
flats/houses on regular basis. Bank should obtain an affidavit from the builder
stating that no financial assistance has been received against the dwelling
units under construction and no plots/flats are mortgaged in any Bank/FIs.
(b) Safeguards in respect of take over of Home Loan Accounts.
1. Accounts should be taken over in consideration / possibility of larger business

interests / valuable connections.
2. The prospective borrower should handover a Power of Attorney in favour of Bank

of Baroda alongwith a letter addressed to the Bank / HFCs from where finance
has been availed authorizing them to deliver the title deeds and all the collateral
securities charged to them, directly to our bank branch upon receipt of the loan
amount.
3. The institution should confirm the above to our branch and further that they are
holding an equitable mortgage over the property.
4. Accounts with the existing lenders should be under the category of Standard
Assets.
5. Repayment may be fixed, keeping in view our Bank’s guidelines in respect of

income and repaying capacity of the applicant. However, Additional Assured
Advance (AAA) may be considered as per norms.
6. All other collaterals charged to the previous institution from whom the loan is
being taken over should also be made available as security to our Bank.
7. There should not have been any reschedulement / restructuring in the account
during last two years.
8. Takeover accounts are to be rated as per the applicable scoring model subject
to minimum grade as per the scoring model.
9. The disbursement of the loan should be made directly to the institution and their
receipt to be kept along with the loan documents. Under no circumstances
Banker Cheque/Demand Draft be delivered to the Borrower.

10. In some of the States the equitable mortgage, after the same is being created, is
also required to be registered before the Sub-registrar’s office as per the
amendments brought in to Registration Act by the respective states. In such
cases after obtaining the title documents back from the Bank/HFCs from where
the account is being taken over, Branches must ensure that the
borrower/mortgagor has discharged/released the charge created over the
properties by the previous Bank/HFCs by executing/registering necessary
documents with registering authorities before creation of fresh equitable
mortgage favoring our Bank and the equitable mortgage created in our Bank’s
favor is also registered.
The above is a suggestive but not exhaustive list of safeguard points to be taken by the
branches while considering any Retail Loan proposal.
Bank is also sharing the modus operandi of the new cases of frauds coming into light
vide circulars from time to time. Branches should take care of the suggestions/
guidelines mentioned in such circulars to thwart any attempt of defrauding the Bank.

Annexure- 5
RETAIL RATING MODEL
HOME LOAN MODEL (RATING PARAMETERS)
Explanation of
Sl.No Variable Scores MAX MIN
variable
1 Borrower Age (in years)
Range 5 0
a) 0-18 0
b) above 18- upto 25 1
c) above 25- upto 40 4
d) above 40- uto 55 5
e) >55 0
2 Educational Qualification 5 0
a) Doctorate / Post Graduate 5
b) Graduate 3
c) Diploma 2
d) Higher Secondary 1
e) < Higher Secondary 0
3 Marital Status
a) Married 12 12 3
b) Single 3
4 Mobility of Individual - Location
a) Has not changed location in past 3 years 10 10 0
b) Changed location once in past 3 years 5
Changed location more than once in past 3
c) years 0
5 Number of dependents
a) Zero 8 8 0
b) One 7
c) Two 6
d) More than two 0
6 Number of joint applicants
a) 0 3 9 0
b) 1 7
c) 2 or more 9
7 Relationship with Bank
a) All banking done through Bank 14 14 0
b) Good track record of Banking with Bank 12
c) Short term relationship 3
d) No existing relationship 0
8 Employer Type
a) Govt/Public sector 9 9 0
b) MNC 9
c) Listed private sector companies 9
d) Professional 4

e) Unlisted private companies 8
f) Own business 2
g) Self Employed 2
Pensioners drawing pension through Bank of
h) Baroda 0
i) Pensioner drawing pension from Others 0
j) Others 0
9 Designation
a) Senior Management 5 5 0
b) Middle Management or Self - Employed 3
c) Junior/ Clerical / Pensioners 0
10 Stability of Income
Income has been steadily increasing over
a) the last 3 years 12 12 -5
Income has been almost the same over the
b) last 3 years 7
Income has been unstable over the last 3
c) years 0
Income has been steadily decreasing over
d) the last 3 years -5
11 Proof of income of borrower
a) Income tax returns 3 3 0
b) Salary slip 3
c) Letterhead 1
d) No proof 0
Marketability of property (Marketability will

increase if significant developments are
happening in near by areas, also it will depend
12 on the condition of the property etc.)
a) Very Good 15 15 -8
b) Good 10
c) Fair 5
d) Poor -8
13 Housing loan purpose category
a) Construction (New) 4 8 0
b) Purchase (Old construction) 0
c) Improvement 8
Foreclosure (for borrowers who borrow in
d) order to repay a previous Home loan) 8
e) Loan given under the rural housing scheme 2
14 Loan to Value Ratio
Range
a) <0.5 18 18 0
b) 0.5-0.7 12
c) above 0.7- upto 0.9 7
d) >0.9 0

15 Net worth to Loan Ratio
Range
a) 0 - 0.5 0 5 0
b) above 0.5 - upto .75 1
c) above 0.75 - upto 1.0 2
d) above 1.0- upto 1.5 3
e) above 1.5- upto 2.5 4
f) >2.5 5
16 Net annual income of the borrower (in Rs)
Range
a) <100000 -5 10 -5
b) 100000 - 200000 2
c) above 200000 - upto 350000 4
d) above 350000 - upto 600000 6
> 600000 10
17 Fixed Obligations to Income Ratio
a) 0 - 0.3 12 12 0
b) above 0.3 - upto 0.5 8
c) above 0.5 - upto 0.7 4
d) > 0.7 0
18 Guarantor's Net worth to Loan Ratio
a) 0 to 0.5 0 8 0
b) above 0.5- upto 1.00 4
c) >1.00 8
Sum 168 -19
Grade and cut-off score for Model No.1:

Home Loan
Score Grade
0-85 HL-10
86-95 HL-9
96-105 HL-8
106-110 HL-7
111-115 HL-6
116-120 HL-5
121-125 HL-4
126-130 HL-3
131-135 HL-2
136-168 HL-1
Cut-off score is 96 and investment grade is HL-8

Annexure- 6
ONLINE HOME LOAN APPLICATIONS

In our endeavor to provide more and more value added propositions through Internet
to our customers / proposed Home Loan aspirants, Online Home Loan application
module was launched on 20.07.2008. This will enable us to speed-up the credit decisions
and facilitate timely financial assistance under Home loan Scheme.
Salient features of the system are as under:
A link has been provided at Home Page of our Bank’s website for submission of
online application for Home Loan by the applicants. An applicant shall provide
all basic information online, necessary for appraising / processing his / her home
loan, in soft form.
On submission of the application, the system shall generate a registration
number immediately, which shall be a reference number for any future
correspondence by the applicant.
The system will forward the application received from the applicant to
concerned Retail Loan Factory (RLF) for the branches falling within the
operational area of RLF or otherwise the branch opted by him with a link to
concerned Regional Office.
Applicant shall be able to know the status of his / her application and be able to
download the in-principle sanction from the system, access to which would be
available through the registration number generated by the system at the time
of submission of the application.
Tracker facility of online application has been introduced in our website for the
online applicants to know the status of his/her application.
Accessing the application module :
The online Home Loan application module can be access through the following
URLs
https://www.bankofbaroda.com/ohla2009/ (in Finacle PCs)
https://www.bankofbaroda.co.in/ohla2009/ (in other internet PCs)
The authorised users at Branch/RLF can process and monitor the application by
using this module.
Role of Branches/RLFs:
The Branch/RLF need to process and give in-principle sanction/rejection with in -

48- hours.
Online Home Loan application applied for those cities, where our Retail
Loan Factory is situated, will be looked after by concerned RLF.

Open the modules on daily basis and check whether any application is pending
for Branch.
User has to type the user id and pass word for accessing the application module.
User-ID and Password for branches have been advised to concerned Regional
Offices.
In case, error in pass-word or user-id is shown – send a mail to
webmaster@bankofbaroda.com mentioning your user-id and Branch Alpha for
resetting pass-word.
The applications will be processed as under:
• Open the modules on daily basis and check whether any application is pending
for Branch.
• Branch should attend and change the status of application with in 48 hours of
application.
• There is no need to call the applicant for any discussion for In-Principle sanction /
sanction / rejection
• After viewing the application, take a printout and if all information is provided by
applicant, change the status to “In-principal sanction” or “Rejected” as per
decision taken by the branch.
• If In-Principle Sanction is accorded, branches should mention the time schedule
(like 10-15 days) for submission of required papers / documents for further
processing, so that the application may be disposed off within a reasonable
timeframe.
• Change the status on every stage (In-Principle sanction / awaiting documents /
final sanction / disbursed)
• All sanctioned cases should be disbursed after obtaining all relevant documents
in original to cross verify the information submitted in online application,
completing proper inspection, documentation etc. as per extant guidelines.
At Regional Office Level:
Ensure that the branches/RLFs under their jurisdiction are attending the Online
Home Loan application module on daily basis and conveying the decision within
the stipulated time frame i.e. within 48 hours of from its submission.
Provide all assistance to branches, In case of any problem in logging in,
changing of status etc.
Monitor timely change of status at every stage (In-Principle sanction / awaiting
documents / final sanction / disbursed) by branches / RLFs.
No application should escalate to BCC.
• The Corporate office will be able to track any application at any point of time to
check unwarranted delays on the part of RLFs/Branches/Regional Offices.
• User manual is available in soft form in the system. The users can access the Manual
through ‘Help’ link available in the application module.

Annexure-7
APPROVAL OF BUILDERS AND THEIR HOUSING PROJECTS

Flat culture is developing very fast and there is huge scope of lending for Home Loans in
multi storied housing project. This culture is now also developing at small centres i.e. Tier
II cities in addition to Metro and big Urban centres. Ample opportunities for lending
under Home Loans are available which shall ultimately augment our Home Loan
Portfolio as well as Retail Loan Book of the Bank.
There may be two type of projects :
I. Where construction has been completed and the flat are ready for sale. In such
cases, the flat are outrightly purchased against full payment of cost of flat.
II. But in other case, where the construction is yet to start or construction is in process,
in such cases the possession is generally available after a period of one year to 3
years. Till that period, there is no security and the mortgage is created only after
getting possession by the borrower whereas the builders demand payment in
installments from the purchasers.
In case of IInd type of projects, more prudence is required while financing for flats
which are yet to come in existence. The promoters of such projects may be:-
(a) Big corporate houses/ established business groups having good track records in
the field of housing projects and enjoying good market reputation as genuine and
credible builders.
(b) In the other category, the promoters /builders may be new entrants to this field,
which can be further classified under two categories,
(i) the one who may be having good experience of housing projects
developments and
(ii) the other one who may be entirely new entrants having no experience in this
line.
Different approach is required to be adopted by our operating units with these type of
projects/builders.
Our Operating units must endeavour for approval of housing projects falling under the
categories a and b (i), however in case of housing projects being developed by new
entrant promoters i.e. b (ii) can also be taken into our fold by approval of such projects,
if the project is financed by our bank, as, the credential of promoters / project are duly
verified while sanctioning the project loan to them by the competent authority.

For generating good volume of quality business under home loans through financing of
flats in housing projects, approval of projects /builders is the most important initiative to
be adopted by the Bank.
Approval of Builder/Developer/Promoter:
For the purpose of approval of Housing projects / Builders, the RLFs / Branches, in the
city are required to visit the projects on regular basis, verify the credentials and to
recommend the names of reputed/credible builders/developers/ promoters and their
projects to their respective Regional Authorities, who would be according approval
to those conforming to the criteria. However, in Metro cities with more than one
Region, since some of the builders/developers may be common for the entire city
across all Regions / branches, the approval may be accorded by the respective Zonal
Authorities.
For developing a healthy portfolio of housing finance it is necessary that the

builders/developers/promoters of properties have good track record & enjoy good
market reputation as genuine & credible builders. In order to ensure this, Regions have
been advised to prepare a negative list of builders and advise the branches to
exercise due care and caution while entertaining the proposals relating to house
property developed by such individuals and firms.
It will be appreciated that along with the approval of builder/developer/promoters, if

the projects/properties developed by them are also approved after due diligence, it
will help branches in faster decision making and at the same time avoid the chances of
perpetration of frauds and irregularities. Zonal Heads have been authorized for
approval of projects in home loans after due diligence where more than one Region
exists in that city and at other places the Regional Head is authorized for approval of
project.
In the event the builder is a private limited or a public limited company, report from the
office of Registrar of Companies should also be obtained to ascertain whether the
entire property is also subject to mortgage or any charge in favour of any financial
institution or bank or any other creditor.
The parameters for approval of Builders / Developers/ Promoters and their projects for
the purpose of Home Loans are given in Annexure –7 (B) & 7 (C).
In case the housing project is financed by our bank, a different view needs to be taken.
Now Bank has decided to accord the status of approved Builder and their Housing
Project as approved for sanctioning of Home Loans for purchase of flats, while granting
credit facilities to such Builders for Housing Projects.
Revised guidelines in respect of approval of builders and their Housing Projects where
our Bank granting credit facilities to such builders for Housing Projects are given in
Annexure- 7 (A). In such cases, possibilities may be explored to impress upon the

builder to provide maximum number of leads to our branches for financing for
purchase of flats in their project.
Benefits to Builder by approval of their project:
By approval of projects, the builders gets a preferred financier like bank of Baroda for
financing their flats to the prospective purchasers. Some other offers like concession in
interest and processing charges etc. may be passed on in case, good volume of
business is anticipated.
Benefit to purchaser in purchasing flats in approved project
Purchase gets a financier like Bank of Baroda for financing him /them for purchasing
flats in the approved project and if any concessions are agreed upon with the builder,
the same may be passed on to the purchaser. He may be saved from getting
additional burden of getting Valuation Reports /Legal Opinion on merits of the case.
Benefit to Bank by approving housing projects
By approval of Housing projects /Builder, Bank get the ample opportunities for getting
good number of leads and high rate of penetration to convert into business. In case of
approved projects, chances of delinquencies and perpetration of frauds are also
eliminated to a large extent.

Annexure- 7 (a)
Approval of Builders and their Housing Projects, where our Bank granting Credit facilities
to such Builders for Housing Projects.
Hitherto, Bank is extending various credit facilities to reputed builders/developers/ promoters

and their projects, which were sanctioned by SME / Mid Corporate/ Wholesale Banking
Department at BCC or Zonal/ Regional authorities. While processing the credit proposal of
Builders for a Housing Project, necessary due diligence about the promoters, their market
reports, their past experience with their existing bankers and various permissions/approvals
from the Development authorities etc are collected and verified/satisfied by the concerned
authorities before sanctioning of the credit facilities.
Also for generating good volume of quality business under Home Loans through financing of
flats in housing projects, approval of projects/builders is required by Bank which is done
separately by the Zonal / Regional Heads. As per extant guidelines, Branches/RLFs in cities and
large towns will recommend the names of reputed/credible builders/developers/ promoters
and their projects to their respective Regional Authorities, who would be according approval
to those conforming to the criteria. However, in metro cities, since some of the
builders/developers may be common for the entire city across all regions/branches, the
approval may be accorded by the respective Zonal Authorities.
On the basis of suggestions received from our Zonal / Regional Offices, a note was approved
by Chairman & Managing Director & Executive Director for authorizing the discontinuation of
the existing guidelines for approval of Builders & their Housing Projects for sanctioning Home
Loans for purchase of flats, in cases of Builders & their Housing Projects are extended credit
facilities for the said Housing Projects by our Bank.
Keeping in view the above facts, accord the status of “Approved Builder and their Housing
Project as approved for sanctioning of Home Loans for purchase of flats, while granting credit
facilities to such Builders for Housing Projects.” Also a suitable clause of Approved Housing
Project in sanction letter of such Builders be incorporated, while conveying terms & conditions
of the sanction to such Builders.
The above guidelines which have been conveyed vide our letter No.BCC:RB:105/1437 dated
18.07.2013 to all Zones & Regions shall be applicable to fresh sanctions of credit facilities to
Builder. However, Zones and Regions should scan the existing cases where credit facilities
have already been extended to Builders and sanctioned for their Housing Projects by our Bank
prior to the above mentioned circular and may approve such projects for considering
financing the housing units/flats.

ANNEXURE- 7 (b)
Parameters for approval of Builders / Developers/ Promoters and their projects for the
purpose of Home Loans
S. No. Parameters
1 Any one of the promoters must be established for at least last -3- years in the
field of housing projects.
(Projects promoted by big corporates and established business groups be
excluded from this criteria, even if they are launching housing project for the
first time they may be considered)
2. Condition of three years average annual turnover of minimum Rs. 5 crores in
metros and Rs. 2.50 crores for other cities for builders not to be insisted upon.
However information revealed during discussions with the promoters and from
market reports, if documentary proof is not available, may be relied upon.
3 Must have completed minimum three projects & sold out majority of units in
that project. (The information revealed during discussions with the promoters
may be relied upon), However, this will not be applicable for Projects
promoted by big corporates and established business groups.
4 If banking with us, the conduct of the account should be satisfactory, with no
default if financed by us.
5 In case of banking with other banks, satisfactory credit report from bank may
not be insisted upon, however, Market reputation should not be adverse.
6. Net worth should not be in negative.
7 The names of the promoters, i.e. Directors / Partners / Proprietor are not
included in defaulters list of Reserve Bank of India / our Bank.
8 No cases relating to projects should be pending in any court, however,
information given by promoters, during discussions may be relied upon.
10 In respect of completed
projects:
a) Time over run is not Information given by promoters,
exceeded 50% during discussions and market
b) Cost escalation should report may be relied upon.
not be more than 15%.
11 Builders to Provide copies of land development and construction agreement.

ANNEXURE- 7(c)
For Approval of Projects
Information to be obtained from Builders / Developers/Promoters for approval of the

Projects:
1. Name of the Builder & Project:
2 Address: Tel No. Office

Residence
E-mail:
Mobile:
3 Constitution
4 Names of Directors / Partners /
Proprietor
5 Date of Incorporation
7 Banking Arrangements with
(Bank & Branch Name,A/c. No/. if
available)
8 Project on Hand
A Name of the Project
B Location
C Project Cost & construction time
D Name of Financer, if any,
E Number of floors and FSI
approved
F No. of Flats/ Houses under
construction
G Constructions started / to be
started on
H Stage of construction
I Expected date of completion of
project.
6 No. of flats / houses constructed
7 Flats / houses sold till date
8 Time over run and Escalation in cost
of construction, if any,
9 Details of Disputes, if any, pending in
any court

10 Name of Other Banks / HFCs who
approved the project for housing
finance
11 Whether plan approval obtained
from concerned authority, if so details
thereof
12 Whether Title of the property under
development plan is clear,
marketable and free from any
encumbrances.

Annexure 7 (d)
Power to approve deviation to accept ‘Unregistered Agreement to Sell’ in approved

and unapproved Housing Projects.
Previously the Zonal Heads were authorized to consider deviation to accept

‘Unregistered Agreement to Sell’ in case of housing projects being developed by
builders/developers having satisfactory dealings with our Bank with good
credentials/track record and who should have been approved by the Region/Zone. On
case to case basis, Zone were deciding individual case of projects/builders for
accepting ‘Unregistered Agreement to Sell’ by recording reasons to their satisfaction
and to also consider request for disbursement of Home Loan on the basis of terms of
agreement to sell.
Our Executive Director on 05.06.2013 has agreed to authorize all Regional Heads to
consider deviation to accept ‘Unregistered Agreement to sell in approved Housing
Projects.
Now, all Regional Heads are authorized to consider deviation to accept ‘Unregistered
Agreement’ to sell in APPROVED Housing Projects under construction linked plan on
case to case basis and merit of the case.
However, Zonal Heads are authorized to consider deviation to accept ‘Unregistered

Agreement’ to sell in UNAPPROVED Housing Projects on selective basis in case of
reputed builders and only after ascertaining credibility / viability of the project, as also
after taking abundant precaution in documentation aspects, including taking Tripartite
Agreement containing Indemnity Clause. (Clarified vide Circular No.BCC:BR:106/22
dated 21.01.2014 regarding revision in deviation powers of Retail Loans.)
While accepting unregistered agreement to sell, following additional safeguards,

documents/ precautions should be taken to mitigate the inherent risk and conveyance
deed should be obtained and mortgage must be created after completion of
construction.
• Original Agreement to sell on Rs.100/- stamp paper or as per stamp duty of the
state.
• Tripartite agreement between Bank, Borrower and the Builder on Rs.100/- stamp
paper or as per stamp duty of the state.
• Undertaking from the Builder / Developer to handover Conveyance Deed directly

to the Bank for Creation of Equitable Mortgage.
• Copy of the map/ plan of the building duly approved by the appropriate authority.
• NOC from builder for creating mortgage and noting of Bank’s lien if the building is
under construction. Banks name to be recorded as nominee in the books of the
builder.

• Share Certificate, if society is formed, duly supported with NOC from the society for
creation of mortgage and noting of our lien in society’s record.
• Undertaking by borrower to create Equitable Mortgage.
• Undertaking from the borrower not to borrow from any other source against the
concerned property.
• NOC from the financing Bank / NBFC, if the builder has obtained Project Finance.
• Draft of agreement to sell and tripartite agreement should be vetted by local

Advocate / Law Officer posted at Zonal Offices.
• Disbursements to be made only on the basis of stages of completion of the property

being financed. [Please ensure not to consider/sanction Home Loan proposals of
builders where disbursements are not linked to various stages of construction of
housing project as per RBI guidelines given as Annexure-7 (e)].

Annexure- 7 (e)
Upfront disbursal of Housing Loans- RBI guidelines
Reserve Bank of India vide their Circular No.RBI/2013-14/217 DBOD.BP.BC.No.

51/08.12.012/2013-14 dated 03.09.2013 has advised regarding Innovative Housing Loan
Products- Upfront disbursal of housing loans, as under:
1. It has been observed that some banks have introduced certain innovative
Housing Loan Schemes in association with developers/builders, e.g. upfront
disbursal of sanctioned individual housing loans to the builders without linking the
disbursals to various stages of construction of housing project, interest/EMI on the
housing loan availed of by the individual borrower being serviced by the builders
during the construction period/specified period, etc. This might include signing of
tripartite agreements between the bank, the builder and the buyer of the
housing unit. These loan products are popularly known by various names like
80:20, 75:25 Schemes. (Presently our Bank does not have such Schemes)
2. Such housing loan products are likely to expose the banks as well as their home
loan borrowers to additional risks e.g. in case of disputes between individual
borrowers and developers/builders, default/delayed payment of interest/EMI by
the developer/builder during the agreed period on behalf of the borrower, non
completion of the project on time, etc. Further, any delayed payments by
developers/builders on behalf of individual borrowers to banks may lead to lower
credit rating/scoring of such borrowers by credit information companies (CICs)
as information about servicing of loans gets passed on to the CICs on a regular
basis. In cases where bank loans are also disbursed upfront on behalf of their
individual borrowers in a lump-sum to builders/developers without any linkage to
stages of construction, banks run disproportionately higher exposures with
concomitant risks of diversion of funds.
3. In view of the higher risks associated with such lump-sum disbursal of sanctioned
housing loans and customer suitability issues, banks are advised that disbursal of
housing loans sanctioned to individuals should be closely linked to the stages of
construction of the housing project/houses and upfront disbursal should not be
made in cases of incomplete/ under-construction/ green field housing projects.
In view of above, we have advised all Branches /RLFs vide Circular No. BCC:BR:105/392
dated 05.09.2013, not to consider/sanction such Home Loan proposals of builders
where disbursements are not linked to various stages of construction of housing project.

Accordingly, Bank has decided to withdraw the authority given to Zonal Heads vide
letter No. BCC:RB:99/3566 dated 28.12.2007 to consider disbursement of Home Loans on
the basis of disbursement schedule mentioned in the Agreement to sell, as against
guidelines to make disbursement only on the basis of stages of completion of the
property being financed, with immediate effect from 10.09.2013. [Please refer Annexure
7(f) below]

Annexure- 7 (f)
Disbursement of Home Loan on the basis of Agreement to Sell.
As per the existing guidelines of Baroda Home Loan, disbursements/ payments to

Builders to be done only on the basis of stages of completion of the property being
financed. However, Zonal Heads were authorized to consider deviation to accept
disbursements on the basis of ‘Agreement to Sell’ on case to case basis or project
specific basis only where the projects / builders are approved as per extant guidelines
and the projects are developed by the reputed builders.
Now, Reserve Bank of India vide their Circular No.RBI/2013-14/217 DBOD.BP.

BC.No.51/08.12.012/2013-14 dated 03.09.2013 has advised that [Pl. refer Annexure 7(e)
above]:
In view of the higher risks associated with such lump-sum disbursal of sanctioned
housing loans and customer suitability issues, banks are advised that disbursal of
housing loans sanctioned to individuals should be closely linked to the stages of
construction of the housing project/houses and upfront disbursal should not be made in
cases of incomplete/ under-construction/ green field housing projects.
In view of above, Branches/RLFs should not consider/sanction such Home Loan

proposals to builders where disbursements are not linked to various stages of
construction of housing project which has been conveyed vide Circular
No.BCC:BR:105/392 dt 05.09.2013.
The administrative powers vested with Zonal Heads in terms of letter No.BCC:RB:99/3566
dated 28.12.2007 to consider requests for disbursement of Home Loans on the basis of
terms of Agreement to Sell as against extant guidelines to make disbursement only on
the basis stages of completion of the property being financed has been withdrawn from
10.09.2013.

Annexure – 8
ISSUANCE OF FREE CREDIT CARDS TO HOME LOAN BORROWERS
With a view to making home loan product more attractive, so also to meet the
requirement of high net worth customers of having a premium credit card, it has now
been decided to offer premium cards linked with the quantum of limit of home loan as
under:
Borrowers with limit of Type of card

Up to Rs.2/ lacs No card
Above Rs.2 lacs & up to Rs. 5/- lacs Silver
Above Rs. 5 lacs & up to Rs. 10/- lacs Exclusive
Above Rs.10 lacs Gold
GUIDELINES FOR CREDIT CARD ISSUANCE:
1) Free credit card is to be issued only to the first named borrower. However, an ADD
ON facility can be availed of by joint account holders, on payment of usual fee for
this.
2) The card issuance is free for the first year. Subsequent renewal fee is to be paid by
the card holder.
3) The equitable mortgage of the property is not to be released by the branch even
after settlement of loan account, unless a NOC is obtained from Bobcards Ltd.
Branches must, therefore, write to Bobcards Ltd. early and not wait till the last
instalment is paid, in order not to inconvenience customers.
4) With a view to ensuring that mortgage is not inadvertently released without
obtaining NOC, branches may make a mention of credit card issuance in the
Security Register, Attestation Memo and Register containing details of title deeds
deposited with the Bank.
5) The borrower/(s) has/have to give an authority letter as per draft enclosed, interalia
authorising branch not to release title deeds of the property mortgaged by
him/them with the Bank unless a No Objection Certificate is not obtained from
Bobcards Ltd.
6) The borrower has to fill in credit card application forms.
7) Branch has to give a certificate that the applicant is a home loan borrower and also
mention therein the amount of loan sanctioned and date of creation of equitable
mortgage.
8) The credit card application is to be forwarded to either the local / nearby branch of
Bobcards Ltd., or its Registered Office, at Colaba Mumbai.
9) The application is to be forwarded promptly only after creation of equitable
mortgage and on the day first disbursement is made.
10) In case housing loan customer is already having a credit card, no concession in the
annual fee/charges will be given to him.
11) The customers of Rural & Semi Urban branches are also eligible for credit card.

Annexure – 8 (A)
(UNSTAMPED UNDERTAKING)
Place :
Date :
The Branch Manager,

Bank of Baroda,
__________________Branch
__________________
Dear Sir,
Re: My Housing Loan /Overdraft against Property account with you.
Whereas I have, taken a housing loan / overdraft against property of Rs.___________

from your Bank and as a security deposited title deeds of my/our property with the
Bank, and created equitable mortgage on ____________in bank’s favour.
I have also applied and obtained a Credit Card from BOBCARDS Ltd. which is a wholly
owned subsidiary of Bank of Baroda. Being a card holder I abide by their rules and
have also undertaken to make payment of the bills raised on me towards credit card
usages.
However, I hereby irrevocably authorize the Bank not to release my title deeds of the
property mortgaged for availing the housing loan even after full settlement of my said
housing loan/overdraft against property account, unless a No Objection/No dues
certificate is produced by me from BOBCARDS Ltd.
Yours faithfully,
[Signature of the borrower(s) ]

Annexure- 9
Powers delegated to various authorities for considering deviations on

parameters under Baroda Home Loan.
(a) POWERS for FINANCIAL DEVIATIONS (CONCESSIONS) i.e. Deviations having direct impact on
Bank’s Profit & Loss Account:
Parameter for Regional Authority Zonal Authority Committee of General Managers

Deviation/ Concession on Retail Banking & SME Banking
To reduce the Rate of

No Powers No Powers No Powers
Interest:
To waive Processing
No Powers No Powers Upto 50%
Charges:
To waive Deviation
No Powers No Powers No Powers
Charges:
* Deviations for other financial parameters (for which deviation authority is not specified in
scheme profile) if any or deviations beyond the power of Committee of General Managers
are to be referred to Retail Banking Dept., BCC.
(b) POWERS For NON-FINANCIAL DEVIATIONS i.e. Deviations not having direct impact on Bank’s Profit
& Loss Account.
The powers for considering maximum limit under Baroda Home Loan (Baroda Home Loan
to Individuals & Baroda Home Loan to NRI/PIO) has been revised from 08.08.2014 as
under:
Committee of
Present
Parameter for General Managers on
Scheme Regional Head Zonal Head
Deviation Retail Banking & SME
Guidelines
Banking
Existing Revised Existing Revised Existing Revised
To exceed maximum
ceiling of loan limit:
Baroda Home Loan

(Baroda Home Loan Metro& Metro: Metro& Metro:
to Individuals, Baroda Urban: Rs.1000 Urban: Rs.1500
Home Loan to Upto Rs. Upto Rs. Lacs Upto Rs. 1000 Lacs
NRI/PIO) Metro& 450 Lacs 600 Lacs Lacs
Upto Rs. 450
Urban: (No
Lacs
Rs. 300 lacs change) Urban: Urban:
Rs.600 Rs.1000
Lacs (No Lacs (No
change) change)
Rural & SU: Upto Rs. 150 Upto Rs. Rural & SU: Upto Rs. Rural & SU: Upto Rs.
Rs.100 Lacs Lacs 150 Lacs Upto Rs. 200 Lacs Upto Rs. 300 300 Lacs
(No 200 Lacs) (No Lacs (No
change) change) change)

Deviations in other Parameters as conveyed vide Circular No.BCC:BR:106/22 dated 21.01.2014:
Parameter for Deviation Regional Head Zonal Head Committee of

General Managers on Retail
Banking & SME Banking
1. To exceed maximum Upto 50% Upto 100% Upto 200%
ceiling of loan limit:
(in case of Home
Improvement, AAA, Staff
Home Loan under Public
Scheme)
2.Margin Norms No Powers No Powers No Powers
3.To Exceed Repayment 1 to 6 years 7 to 12 years No Powers
Period: depending depending upon the
upon the maximum Repayment
maximum Period as per product
Repayment profile and age of
Period as per borrower/ co-
product profile borrower.
and age of
borrower/ co-
borrower.
1. Waiver of existing Full Powers Full Powers -----------
accounts relationship
2. Maximum Age Full Powers Full Powers -----------
Parameters
3. Eligibility on the Full Powers Full Powers -----------
basis of Income
4.To consider last / current Full Powers Full Powers -----------
year’s income, as against
last 3/2 years’ average
income (as per
parameters of the
scheme)
5. Repayment Capacity Full Powers Full Powers -----------
6.Extending Mortgage of Not more than Not more than three Not more than four Retail
property to secure more two Retail loans Retail loans /other loans /other loans
than one Retail Loan / /other loans loans
other loans
(Subject to obtaining two
Valuation and
considering the lowest of
the two for calculation
of eligibility)

7. Fresh Valuation of Full Powers Full Powers -----------
immovable property in
case of purchase within
last -3- years.
(Subject to the condition
that Region / Zone to
satisfy about the fair and
acceptable Valuation of
the property.)
(Not applicable to
takeover Home Loans
including Home
Improvement & AAA)
8. To reduce the periodicity Full Powers Full Powers -----------
of 3 years for Valuation
of immovable property,
in case of existing
accounts
(Subject to the condition
that Region/ Zone to
satisfy about the fair and
acceptable Valuation of
the property.)
9.Accepting Unregistered Regional Heads ---------- -----------
agreement to Sell in are authorized,
case of Home Loans in subject to
approved Housing compliance of
Projects, under guidelines given
construction linked plan in Annexure 7(D)
on case to case basis of this circular.
and merit of the case.
10.Accepting Unregistered No Powers Zonal Heads be -----------
agreement to Sell in authorized (subject to
case of Home Loans in compliance of existing
unapproved Housing guidelines given in
Projects, under Annexure 7(D) - only
construction linked plan on selective basis in
on case to case basis case of reputed
and merit of the case. builders and only after
ascertaining credibility
/ viability of the
project, as also after
taking abundant
precaution in
documentation
aspects, including
taking Tripartite
Agreement containing
Indemnity Clause.)

11. Age of Property Full Powers Full Powers -----------
(Subject to
compliance of extant
guidelines)
12. To consider more than - No Powers No Powers No Powers
2- Housing Loans to the
same borrower. [Please
also refer guidelines for
Home Loan for third
dwelling units onwards to
an individual under
eligibility Point No.3(vi) of
this circular.]
Deviations in Take Over No Powers No Powers No Powers

Norms- Home Loans
• Deviations for other non-financial parameters (for which deviation authority is not
specified in scheme profile), if any or deviations beyond the power of Committee of
General Managers are to be referred to Retail Banking Dept., BCC.
Deviation Charges for Home Loans:
- Rs. 1,500/- + Service Tax per deviation with maximum of Rs. 5,000/- + ST.
• Full charges for all the deviations are to be recovered upfront at the time of
request of the borrower and in case the deviations are not considered,
proportionate 50% amount of deviation charges to be refunded to the borrower.
e.g. if 3 deviations are requested in a Home Loan proposal, Rs. 4500/- to be

recovered at the time of request, out of which, if -2- of the deviations are not
considered, proportionate Rs. 1500/- i.e. 50% of Rs. 3000/- shall be refunded to
the borrower.
• Complete record of such charges recovered and charges refunded, if any, has
to be maintained and be made available to the authorities for inspection.
• Deviation charges recovered from the borrowers are to be credited in P/L

Commission account.
• Deviation charges will be levied on all type of deviation whether financial or non
financial and be it considered at any level.

Annexure – 10 (A)
DOCUMENTS TO BE OBTAINED ALONG WITH APPLICATION FROM THE CUSTOMER FOR
HOME LOANS TO INDIVIDUALS (RESIDENT INDIAN):
• Passport size photograph of all the applicants

• Residence and age verification, which may be established from the PAN
card, Election ID, Passport, Driving License, Ration card or Adhar Card
• Bank statements for the last six months
• Latest salary slip (for 3 months) / statement showing all deductions in case of
employed applicants
• Certified copies of Balance Sheets and Profit and Loss accounts, IT
acknowledgments, advance tax challans (for both company/firm and
personal account) for the last three years in case of self-employed
applicants
• Brief profile of the company / firm in case of self-employed applicants
• Guarantor Details
• Balance Sheet of Guarantor
• Statement of Guarantee on Stamp Paper
Annexure 10 (B)
DOCUMENTS TO BE OBTAINED ALONG WITH APPLICATION FROM THE CUSTOMER FOR

HOME LOANS TO NRIs/PIOs/OCIs
Personal Documents:
1. Copy of the employment Contract (If the contract is in any language other than
English, the same has to be translated into English and attested by Employer /
Indian Embassy).
2. Certified copy of the latest salary slips for the last 6 months.
3. Copy of the Identity card issued by the current Employer.
4. Continuous Discharge Certificate, if applicable.
5. Copy of latest work permit.
6. Copy of the Visa stamped on the passport.
7. NRE Bank account pass book or statement of account.
8. Overseas Bank Account Statement for the last 6 months.
9. Bio-data covering educational qualifications, age, job experience, nature of
profession/ business etc., with necessary proof.
10. Guarantor forms along with net worth proof / income proof.
11. Copies of IT returns of last 2 years. (Indian / Foreign)

12. Undertaking from the employer for remittance of monthly installment, wherever
feasible, if stipulated in the sanction.
13. A salary certificate / income statement duly attested by our foreign office including
susidiary office/ certified by the competent authority available in the country may
be produced. This may also include Chartered / Certified Accountants, officials of
Inland Revenue Dept. (similar to Income Tax Authorities in India) or any other
agency specified for the purpose. Wherever attestation is not possible, this may be
submitted duly notarized.
For Self Employed:
(a) Balance sheets and profit & loss accounts of the business/profession along with
copies of individual income-tax returns for the last three years, certified by a
chartered accountant
(b) A note giving information on the nature of business /profession, form of
organization, clients, suppliers etc
For PIOs:
A photocopy of the PIO Card or any of the under noted documents:-
• Current passport indicating birth place in India/abroad.

• Indian Passport, if held earlier
• Parents or grand parents passport with details there in substantiating his
claim of being a PIO

Annexure 10 (C)
LIST OF PROPERTY DOCUMENTS TO BE SUBMITTED BEFORE THE DISBURSEMENT OF LOAN
DOCUMENTS COMMON FOR ALL CASES

• Original stamped receipts for the payments already made to the builder / seller, till
date
• 37I Clearance form the appropriate Income Tax authorities, if applicable
• List of additional amenities from builder where applicable
DOCUMENTS FOR SPECIFIC CASES
Under construction/ Direct from Builder
Original Agreement with the builder, duly stamped and registered (if the same has
been received from the Sub-registrar’s office) and the original money receipt issued
by the sub-registrar, for the registration fee paid by the applicant
Pending Registration, following documents to be obtained:
• Certified true copy of the agreement with the builder
• Original money receipt issued by the Sub-Registrar
• Acknowledged copy of the authority letter, addressed by the applicant to the
Sub-Registrar
• Copy of the letter acknowledged by the builder / reseller in case he or his
representative did not accompany applicant to Sub-Registrar’s office to admit
registration (To be taken if applicable)
• No Objection Certificate from the builder on his letterhead
• Letter from the builder / architect indicating the latest progress of construction (for
under construction cases)
2) Directly in Registered Co-operative Housing Society
• Original Allotment from society specifying the flat number and cost of the flat
allotted
• No Objection Certificate from the society, on their letterhead
• Original share certificate issued by the society (if issued)
3) Purchased in resale
1. In a registered co-operative society:

• Previous chain of Sale Agreements, (original / copies)
• Present Agreement in original, between the vendor and purchaser duly stamped
and registered
OR

• Pending Registration
• Certified true copy of the agreement between the vendor and the purchaser
• Acknowledged copy of the authority letter, addressed to the Sub-Registrar
• Copy of the letter acknowledge by the builder/reseller in case he or his
representative did not accompany applicant to Sub-Registrar's office to admit
registration
• No Objection Certificate from builder / society
• Original share certificate issued by the society (copy if original not yet
transferred)
4) Directly from any Development Authority
• Original letter from the Development Authority
• No Objection Certificate from the Development Authority (as per their own
format)
• Original receipts, issued by the Development Authority, for the payments made
for the flat
5) Construction of house on a separate plot of land
• Original registered Sale deed / Lease deed / Partition deed / Gift deed under
which the plot of land has been acquired
• Pending Registration, following documents to be obtained:
• Certified true copy of the agreement with the builder / seller
• Acknowledged copy of the authority letter, addressed by the applicant to the
Sub-Registrar
• Copy of the letter acknowledged by the builder/ reseller in case he or his
representative did not accompany applicant to Sub-Registrar’s office to admit
registration (To be taken if applicable)
• Original receipts for the payment made for the plot, if separately available
• All previous documents of title in respect of the plot in possession
• 7/12 extract of property card as applicable for the property along with the
record of rights in Form No.6
• Non-agricultural permission & latest Non-agricultural tax receipt
• Title report for the property under consideration
• Detailed estimate of the cost of the project
• Approved building plans

Annexure- 11
Home Loan to NRIs/PIOs/OCIs - List of close relatives,

as defined u/s 6 of Companies Act, 1956.
1. Father 2. Mother (including step-mother)
3. Son (including step-son) 4. Son’s wife
5. Daughter (including step-daughter) 6. Father’s father
7. Father’s Mother 8. Mother’s Mother
9. Mother’s Father 10. Son’s son
11. Son’s son’s wife 12. Son’s daughter
13. Son’s daughter’s husband 14. Daughter’s husband
15. Daughter’s son 16. Daughter’s son’s wife
17. Daughter’s daughter 18. Daughter’s daughter’s husband
19. Brother (including step brother) 20. Brother’s wife
21. Sister (including step-sister) 22. Sister’s husband
Annexure- 12
FINACLE CODES & ASCROM CODES
Baroda Home Loan Finacle Codes Ascrom Codes

201, 220, 221,
LA111, LA112,LA120,
229
LA121 LA125, LA127**
Baroda Home Loan to Individuals
LA009 849
LA129 997
LA128 (ISHUP) 860
Baroda Home Loan to NRIs/PIOs/OCIs LA124 52
Baroda Home Improvement Loan LA116 230
Baroda Additional Assured Advance (AAA) LA114, LA115 233, 843
Golden Jubilee Rural Housing Finance LA120, LA121, LA122,
31
(GJRHF) LA123
**LA127 is applicable for Special Home Loan Scheme effective from 16.12.2008 to
31.12.2009.

Annexure - 13
Selling Points of Baroda Home Loan
• Higher Loan limit - Rs. 3.00 Crores for Urban/Metro and Rs 1.00 Crores for Rural/ Semi-
Urban Branches
• Competitive rate of interest. i.e, @ Base Rate 10.25% at present, for all new and
existing borrowers irrespective of tenure and amount w.e.f. 01.06.2013.
• No preclosure charges
• 0.25% concession in rate of interest on Car Loans to Home Loan borrowers.
• 0.50% concession in rate of interest on Loan to Consumer Durables to Home Loan
borrowers
• Longest repayment period up to 30 years
• Loan on reimbursement basis for expenses incurred for construction/ purchase of
House/Flat is also available
• Online application facility
• Free Personal accidental Insurance for principal borrower and all co-borrowers
• Life Insurance Cover is available on optional basis on payment of one time premium
by the borrower. Premium can be a part of Loan amount subject to margin/LTV
norms.
• Home Improvement Loan upto Rs.10/- Lacs for repair/renovation of existing House or
purchase of furniture/fixtures/other gargets.
• Top up Loan (Additional Assured Advance) up to Rs. 2.00 Crores

Annexure- 14
Payment of incentives to staff members against the Home Loan leads directed by them
and converted into real business.
To compete in the market and not to lose business opportunities to our competitors, our
Bank has decided payment of incentives to staff members for the Loan amount
sanctioned and disbursed, against the leads directed by them and converted in to real
business. This will generate quality Home Loan leads which shall be examined by the
branches on merits and can be undertaken by the Branches/ RLFs. The scheme is
effective from 17.06.2013.
Salient features of the Scheme are as under:
• Payment of incentives to staff members against the Home Loan leads directed
by them and converted into real business is as under:
Amount of incentives
(as per earlier Revised guidelines applicable w.e.f. 01.04.2014 upto
guidelines applicable 31.03.2015
up to 31.03.2014)
Loan Loan application above Rs.2500/- per
application Rural Rs.8 Lacs upto Rs.25 Lacs application
Rs.2500/-
above Branches Loan application above Rs.5000/- per
per
Rs.10 Lacs Rs.25 Lacs application
application
upto Rs.50 Loan application above Rs.2500/- per
Semi
Lacs Rs.8 Lacs upto Rs.35 Lacs application
Urban
Loan application above Rs.5000/- per
Branches
Loan Rs.35 Lacs application
Rs.5000/-
application Loan application above Rs.2500/- per
per Urban &
above Rs.10 Lacs upto Rs.50 Lacs application
application Metro
Rs.50 Lacs Loan application above Rs.5000/- per
Branches
Rs.50 Lacs application
• Staff member will not claim any TE / DA for mobilization of Home Loan Leads.
• Staff member will obtain leads on Home Loan requirements of individuals from
various sources and explain Home Loan Product details Fill in Home Loan
application and obtain all the requisite documents and deliver to the Branch /
RLF. He will follow up the application till sanction / disbursement.
• The mobilization should happen outside the office hours and on holidays. Staff
Members must ensure that the daily routine of the Branch / RLF should not get
disturbed.
• The leads generated exclusively by the staff members and duly certified by the
Branch Heads will qualify for incentive scheme. Branch Heads to note carefully

that lead generated by the approved builders and subsequently claimed by the
staff members, shall not be eligible for staff incentive claim.
• Presently Bank is offering staff incentive scheme in various other areas of

operations viz NPA / PWO Recovery, Issuance of Debit Cards, other incentives
etc.Therefore, total of various incentives received by the staff member during the
Financial Year should not exceed the prescribed limit stipulated by the HRM
Department, BCC, Mumbai.
• The total amount of incentive (under all incentive scheme) received by any
employee should not exceed 20% of his gross annual salary as per Government
guidelines. Gross annual salary will be computed on the basis of gross salary on
regular monthly basis. Taxes, if any, shall be borne by the staff member.
• Staff members to note carefully that all incentives received by them, will be
added to their income for calculation of all types of taxes.
• Branch Heads should maintain proper records of lead generation and their
conversion into disbursement. (As per the format in Annexure-25)
• Branches shouldl submit a monthly statement to their controlling Office informing

the monthly payment of incentives to the staff members.
• The amount to be paid by way of incentive will have to be entered in Payroll ->
Periodic Entry ->Monthly Entry in ‘Incentive for Bus. Devp’ Field and the same will
be get paid with the salary. While entering the incentive, in payslip message field,
branches may be advised to enter the details in text format. The amount will also
get included in total income and prorate tax will be deducted by the system.
• Payment of incentive to staff members against the Home Loan leads directed by
them and converted into real business should be made only through salary
payment through HRness as mentioned above.
• At present the scheme will be applicable up to 31.03.2015 till further instructions.

(Refer Circular No.BCC:BR:106/291 dated 07.08.2014 regarding continuation of
the scheme upto 31.03.2015)

Annexure- 15
Payment of service charges to Approved Builders against the Home Loan leads
directed by them and converted into real business.
To compete in the market and not to lose business opportunities to our competitors, our
Bank has decided payment of service charges to Approved Builders, whose Housing
Project is approved by our Bank for the Loan amount sanctioned and disbursed, against
the leads directed by approved builder and converted in to real business. This will
generate quality Home Loan leads which shall be examined by the branches on merits
and can be undertaken by the Branches/ RLFs.
Salient features of the Scheme are as under:
• Payment of service charges for the Loan amount sanctioned and disbursed,
against the leads directed by the builder and converted in to real business is
applicable only to approved builders whose Housing project is approved by our
Bank .
• Zonal & Regional Heads are authorized to approve Builders and the project
developed by them on the recommendation of RLF / Branch as per eligibility
criteria advised vide circular no. BCC:BR:104:115 dtd 02.04.2012.
,
• RLF / Branch Head will give appropriate product information inputs to the
identified approved builder or his authorized nominee or Builder’s sales
executives, employee etc or marketing agent of the Builders so as to enable
them to give proper guidance to the prospective Home Loan Borrowers.
• Builder or his authorized representatives after briefing their customers about our
product would direct them to RLF / Branch.
• Builders will provide facilities for bank’s officials by providing table & Chair, local
telephone line and lighting etc in their premises for interaction with their
customers and taking forward the proposal.
• Builders will be paid service charges, which should not exceed 0.25% of the
Home loan amount for every case directed to the Bank or Rs 25000/ which ever
is lower subject to sanction and disbursement of Home Loan by the Bank
• The service charges of 0.25% will be paid to the –Approved Builder or his
authorized nominee or builder’s sales executives, employee etc or marketing
agent of the Builders. A list of authorized builder’s sales executives, employees
etc, their account details and Bank’s name should be obtained from the Builder,
project wise on Builder’s letter head, which will be retained at the Branch for
identification of the sales executives for payment of service charges.

• Branch should however ensure that there is no double payment of service
charges.
• All the payments of service charges to Approved Builders against the Home Loan
leads directed by them and converted into real business should be routed
through the following Finacle A/c No. opened for all Branches.
No. xxxx0054511066 (xxxx being SOL ID of the Branch)- P/L Payment of Service
Charges to Approved Builders.
• Branches should maintain proper record of the Home loan service charges
payment, which will be subjected to Audit & Inspection by ZIC & Regional Office.
(As per the format in Annexure - 26)
• Branches should submit a monthly statement to their controlling Office informing

the monthly payment of service charges to the Builders
• Service charges will be paid at the time of first disbursal inclusive of service tax.
Taxes, if any, shall be borne by the Builder.
• Service Charges should be paid through an account payee instrument only.

Under no circumstances, service charges are to be paid in cash.
• Builder will not use Bank’s name or logo to promote its business and there shall be
no representation from Builder’s that Bank will offer credit facility as a matter of
right to the Builder’s customers. Providing credit will be at the sole discretion of
Bank as per norms under the scheme.

Annexure-16
Implementation of orders of Delhi High Court
Supreme Court of India has directed Municipal Corporation of Delhi to seal all
unauthorized business units i.e. shops & offices set up in residential area in contravention
of the laws in this regard. Hence, many of such enterprises have either been sealed or
closed their business operations.
This has caused financial hardship to all such businessmen and they failed even in
meeting out their basic family needs. Besides the owners of the properties and
businessmen, the bankers providing finance to these business organizations and for
properties have also been hit by the orders of Supreme Court, as they are not in position
to recover money from such borrowers.
In this context, during the hearing in the writ petition filed by Kalyan Sanstha Welfare
Organization, the Hon'ble High Court of Delhi has directed as under:
'We hereby direct that henceforth Banks will check whether the loan sought for is for
authorized structure or an unauthorized structure and the Banks will obtain an
undertaking on an affidavit from the parties seeking such loans that the building is
constructed as per sanctioned building plans. Banks shall also ensure that the
sanctioned building plans are attached with the undertaking. Let necessary directions
be issued in this regard either by the concerned Ministry of Banking or the Reserve Bank
of India'.
The Monitoring Committee constituted by the Hon'ble High Court of Delhi regarding
Unauthorized Construction, Misuse of Properties and Encroachment on Public Land, has
issued certain directions through Reserve Bank of India for immediate compliance by
the banks / Financial Institutions. Therefore, branches are advised as under:
A. Loan for house construction
In cases where the applicant owns a plot / land and approaches the banks / FIs
for a credit facility to construct a house, a copy of the sanctioned plan by
competent authority in the name of a person applying for such credit facility
must be obtained by the Banks / FIs before sanctioning the home loan.
An affidavit-cum-undertaking must be obtained from the person applying for
such credit facility that he shall not violate the sanctioned plan, construction
shall be strictly as per the sanctioned plan and it shall be the sole responsibility
of the executant to obtain completion certificate within 3 months of
completion of construction, failing which the bank shall have the power and the
authority to recall the entire loan with interest, costs and other usual bank
charges.
An Architect appointed by the bank must also certify at various stages of
construction of building that the construction of the building is strictly as per
sanctioned plan and in case of completed project shall also certify that the

completion certificate of the building issued by the competent authority has
been obtained.
B. Loan for purchase of ready house / flat.
In cases where the applicant approaches the bank/FIs for a credit facility to
purchase the built up house/flat, it should be mandatory for him to declare by
way of an affidavit-cum-undertaking that the built up property has been
constructed as per the sanctioned plan and/or building bye-laws and as far as
possible has a completion certificate also.
An Architect appointed by the bank must also certify before disbursement of the
loan that the built up property is strictly as per sanctioned plan and/or building
bye-laws.
C. Unauthorised Colonies
No loan proposal in respect of those properties, which fall in the category of

unauthorized colonies unless and until they have been regularized and
development and other charges paid, should be considered.
D. Commercial Property
No loan should be granted in those proposals, which relate to the properties

meant for residential use but the applicant intends to use the same for
commercial purposes and declares so while applying for loan.
To safeguard bank’s interest, the branches are advised to strictly comply with the
above directions while considering any housing loan request.

Please affix
APPLICATION FOR HOME LOAN recent
(for Resident Indians) photograph
I/We request you to grant me/us a loan facility of Rs. ____________________ under Home Loan Scheme for
_______________________________________________________________________________________
To enable you to consider the proposal, I/We submit the following particulars.
Please complete all sections in BLOCK LETTERS and tick √ options wherever applicable
Name: _______________________ _______________________ __________________________

(First name) (Middle name) (Last name)
PAN/GIR No. : ____________________

Date of Birth : ______ ____ ______ Present address:
(DD) (MM) (YYYY) Address: __________________________________
Age: _______ (years) __________________________________
Sex : Male/Female _______________________________ __
Marital Status: City: ______________ State: ________________
Single/Married/Divorced/Widowed Pin code: ___________ ___
E-mail: Phone number: (O)_____________(R) __________
___________________________________ Years in current address: _________________
Employment status (tick mark): Mobile phone no: _______________
• Salaried Fax no: ___________________
• Self-employed Changed Residence in past 3 years :
• Professional Not Changed Once More than Once
• House wife Permanent address:
• Others Address: __________________________________
Previous address: __________________________________
Address: _____________________________ _______________________________ __
__________________________________ City: ______________ State: ________________
_________________________________ Pin code: ___________ ___
City: ___________ State: _______________ Phone number: ________________
Pin code: ___________ ___
Father's/Husband's Education (tick mark): Banking with us (Y/N): ______

name: • Matric or below matric If yes, then fill the following:
____________________ • Under Graduate/Higher secondary Banking with us since: _______
____________________ • Graduate (YYYY)
• Post-graduate Account type: ______________
• Doctorate Account number: ___________
Branch name: ______________
Are you a BOB staff Category: No. of dependents (excluding
(Y/N): _____ SC/ST/OBC/OTHERS/MINORITY spouse): ________
COMMUNITY No. of children: ________
Passport No: ______________ Earning member in family,
if any (Y/N): __________
Mention branch where loan account should be opened:
Reason for choosing the branch (tick mark) • Near location of target property
• Near place of work/business
• Near place of present residence
• Branch maintains salary account
• Other: __________________
Income and expenses
Primary monthly income Other income details Monthly expenditure
Gross income: ______________ Rent received: ______________ Loan repayment: ____________
Deduction: ______________ Agriculture: ______________ Rent paid: _____________
Others: _______________ Others: _____________
Description: _______________
_______________
Page | 132
Salaried: Please tell about your work: Self-employed/Professionals: Please tell about
Employer name: ___________________________ your work:
Department: ___________________________ Name of company/firm:
Address: _________________________________ _____________________________________
_________________________________ Activity: _______________________________
City: ____________ State: _____________ Address: _________________________________
Pin code: _________ _________________________________
Phone no: ______________ Extn No: ________ City: ____________ State: _____________
Fax no: ____________________ Pin code: _________ Phone no: ____________
Company email: ___________________________ Fax no: ____________________
Designation: Executive/Managerial/Clerk Company email: ___________________________
Years with employer: _________ Designation: Executive/Managerial/Professional
Contact person: __________________ If professional, then choose one of the following:
Name of previous employer: _________________ Doctor Architect CA
Retirement age: ____ MBA Engineer Lawyer
Working with: Others: ________
• Govt./Public sector Years in business/profession: _________
• Public Ltd Contact person: __________________
• Private Ltd Retirement age: ____
• Partnership Business details:
• Proprietorship • Private Ltd Partnership
• MNC • Proprietorship Others: _______________
Established since: ________________
Credit card details Other assets
Credit Cards Owned : ______ • Colour TV • Telephone
Card Issuer: ________ • Refrigerator • Cellular Phone
Card No. : _____________________________ • Car • Personal Computer
• Two Wheeler • Washing Machine
About bank accounts (including credit facilities, if any):

Name of Branch Branch Number of Account Account Account As on
Bank telephone years type Number balance date
number account held (Rs.)
Outstanding Loan details in individual name :

Source Purpose Date of Loan Outstanding EMI Overdue Overdue
sanction Amount amount, if any since
Income Details: Details of other present immovable Properties

(Other than proposed as security for housing loan)
1. Gross Monthly Income (Rs.) : _________
Nature of properties:
2. Salaried Person
Plot of Land Agricultural Land
(I) Monthly Basic (Rs.) : _________
House/ Godowns Others
(ii) % of PF deduction : _________
Location: Survey / House No.__________
3. Annual Professional Tax : ________
Street / locality_______________ _________
4. For Tax Purpose
Village/ Town__________Distt:____________
(i) Total Annual Savings under s/88:__________
Property in whose name?____________
(ii) 100% Rebate Amount : __________
Area / Size of the property:
(iii) Deduction under chapter VI A : __________
Cost (at the time of purchase): Rs._______
(iv) Other Rebate /Deduction claimed: _________
Present estimated market value: Rs.
5. Net Annual Income of other Whether encumbered: If yes, give detail:
Family members: __________
(Excluding co applicant & Guarantor)
Page | 133
Information on Guarantor/Co-applicant (if present)
About your Co-applicant: About your Guarantor:
Name : _______________________ Name : _______________________
Date of birth: _________________ (DD/MM/YYYY) Date of birth: _________________ (DD/MM/YYYY)
Father’s/husband’s name: ___________________ Father’s/husband’s name: ___________________
Relation with Applicant: _____________________ Relation with Applicant: _____________________
Address: ____________________________ Address: ____________________________
____________________________ ____________________________
____________________________ ____________________________
City: __________ Pin code: _________ City: __________ Pin code: _________
State: _______________ State: _______________
Occupation: _______________________ Occupation: _______________________
Phone/Fax: _______________________ Phone/Fax: _______________________
Email: ________________________ Email: ________________________
PAN/GIR Number:________________________ PAN/GIR Number:________________________
Net Annual Income (Rs.): ____________________ Net Annual Income (Rs.): ____________________
Net worth
In Rs. Applicant Co-applicant, if present Guarantor, if present
1. Total movable
2. Total immovable
3. Total assets (1+2)
4. Total liabilities
5. Net assets (3-4)
6. Amount of collaterals
Proposed Loan Details:

Tenure in Months: ____________________ Outside Borrowings (Rs): ___________________
Purpose: ______________________________ Loan Amount requested (Rs):________________
(a) Purchase Price (Rs): ______________ Rate of Interest %:_________________________
(b) Stamp Duty (Rs): ____________________ Floating / Fixed: ________________
(c) Registration Fee (Rs): __________________ Margin %: _______________________________
(d) Other (Rs): __________________________
Total (a+b+c+d) (Rs): _____________________
Details of Movable Assets in my name:

(A) Life insurance Policies
Policy No. Date of Sum Co. & Branch Annual Premium paid or
issuance Assured name Premium surrender value
(B) Shares/ Debentures/ Term deposits / Govt Securities (NSC etc)

Co./ Bank/ Post Office Date of Face Value Present value Due date Whether
Instrument encumbered
(C) Other movable assets:

Descriptions Year of acquiring Purchase price Market Value Valuation date
Page | 134
(D) Details of Liabilities:
Details Of Loan In Firms Name/ Company’s Name where you are interested as Prop, Partner/ Director
a) Name of the Bank/ institution and its branch :______________________
b) Purpose and amount of loan/ credit facilities :______________________
c) Security / Repayment schedule :________________________________
d) Present outstanding :________________________________
e) Liabilities other than to Bank and Financial Institutions: ________________
Details of Personal Guarantee given for any person/firm. If yes, furnish details (i.e. Name of the
Bank/ Institutions, on whose behalf, amount of guarantee, present status of a/c etc.)
I enclose / Submit documentary proof in support of the above submissions.
The loan applied for as above for Rs………….(Rupees…………………………………………………………) under Direct Housing Finance
Scheme is repayable in …………..monthly instalments of Rs……………….each. I / We note that the rate of interest applicable on the loan will be
at ……..% p.a. which would be applied at quarterly / monthly interval or as applicable from time to time. I undertake to contribute
Rs……………..towards margin money being ………% of the project cost.
Further I give below particulars about myself, dependants & legal heirs
Name/Age of dependents/ Relationship with Address Occupation / Vocation
Legal heirs the borrower of Legal heirs
I/We hereby declare that all the particulars and information furnished in the application form are true, correct and complete and up-to-date in all
respects. I/We have not withheld any information. I/We confirm that I/We have had no insolvency proceedings initiated against me/us nor have
I/We ever been adjudicated insolvent. I/We also authorize Bank of Baroda or its agent to make references and enquiries relative to information in
this application which Bank of Baroda considers necessary. I/We also authorize Bank of Baroda to exchange, share, part with all information
relating to my/our loan details and repayment history information to other Banks/Financial institutions/ Credit Bureaus/Agencies as may be
required and shall not hold Bank of Baroda liable for use of this information. I/We undertake to inform Bank of Baroda regarding any change in
my/our residence/employment/Occupation/Transfer and to provide any other information that Bank of Baroda may require. I/We further agree that
my/our loan shall be governed by the rules of Bank of Baroda which may be in force from time to time. Bank of Baroda reserves the right to reject
any application without providing any reason.
I further declare that I am not a Director in any Bank. There is no litigation against the firm or me / co. in which I am the proprietor / a
partner/ a Director.
I am / was not interested as Proprietor / partner/ Director in any firm/ company whose name is listed in caution list of RBI/ ECGC.
I/we under take to bear processing, service, documentation charges etc. stipulated by the bank from time to time. I/we agree, note and
understand that Bank of Baroda shall be entitled at its sole discretion to call back, the entire loan/advance whether due and payable or not
at any time without assigning any reason and enforce its rights, remedies and securities.
Yours faithfully,
Place : __________________________________
Date __________________________________ Signature of the Applicant/s / Co - Applicant
I am willing to stand as guarantor for the above loan ( details as per enclosed sheet)
Place : ______________________________
Date : _____________________________ Signature of the Guarantor/s
-------------------------------------------------------------------------For office use only------------------------------------------------------------------------------
Warm lead No: ______________ Sales executive code:

Borrower number:_______________ Branch name and alpha code where parked :
Property Details Proposed for the Loan (For Office use ):
1. Stage of construction (For New Construction): Final / Intermediate / Foundation / Plot

2. Age of Building/Flat in years (For Existing Construction ) : __________________
Builder’s/Seller’s Name: _____________________________________________________________

Area details:
Total area- ____________ Sq. ft. Built up area - _____________ Sq. ft.
Location / Address:
______________________________________________________________________________
______________________________________________________________________________
Page | 135
Particulars about Co- Borrower / Guarantor (wherever applicable)
Name: Father’s / Husband’s Name:
Details of other present immovable properties (Other than proposed as security for housing loan in
case of co borrower)
Nature of properties: Plot of Land / Agricultural Land / House/ Godowns / Others
Location: Survey / House No.__________Street / locality_________________ _________

Village/ Town___________ Distt:____________
Area / Size of the property: Present market value: Rs.

Whether encumbered: If yes, give detail:
Details of Movable Assets in my name:

(A) Life insurance Policies
Policy No. Maturity Sum Co. & Last premium Total Premium paid
Date Assured Branch name paid up to or surrender value
(B) Investments(Shares/ Debentures/ Term deposits / Govt Securities like,NSC etc)

Description Face value No of units Present market value
(C) Other movable assets:

Descriptions Purchase price Market value Valuation date
(D) Details of liabilities:

Details Of Loans / advances availed from Bank’s / Institutions & other liabilities:
Name of Bank/ Institution: Purpose :
Amount of Loan P/O ___________ overdue if any.
Details of Personal Guarantee given, if any:
Name of the person on whose behalf ________________ Bank / Institution
Amount of commitment _____________ Overdue if any_____________-
Particulars of Legal Heirs:

Sr. No. Name Relationship Age Present Address
I enclose / submit documentary proof in support of the above submissions.

I further declare that the information submitted above is true and correct to best of my knowledge and
belief.
Place:
Date: Signature
Page | 136
FOR INFORMATION OF HOME LOAN APPLICANT :
A. UNIFIED PROCESSING CHARGES:
Unified processing charges includes processing charges, documentation charges,

document verification charges and pre & one time post sanction inspection charges will
be levied as detailed below:
Loans upto Rs. 30/- lacs : 0.50%. (Minimum Rs.5,000/-)

Loans above Rs. 30/- lacs : 0.40% (Minimum Rs.15,000/- ,
Maximum Rs.50,000/-)
(service tax will be applicable separately in addition to above)
Charges in respect of Advocate fee for legal opinion and valuation charges are
will be levied separately in addition to above Unified Processing charges.
In case of takeover of Home loan: 0.10% + Service Tax
B. PREPAYMENT/ PREMATURE CLOSURE CHARGES:
• No penalty is payable if loan is prepaid partly or fully.
C. LIST OF DOCUMENTS TO BE OBTAINED FROM THE CUSTOMER :

• Passport size photograph of all the applicants
• Residence and age verification, which may be established from the PAN card,
Election ID, Passport, Driving License or Ration card.
• Proof of Business / office address.
• Bank statements for the last six months
• Copy of IT Returns for last 3 years alongwith assessment order.
• Salary slips for last 3 months (Minimum) in case of salaried class applicants.
• Copy of LIC premium receipts, if any, and / or copies of other investments.
• Certified copies of Balance Sheets and Profit and Loss accounts, copy of IT Return
alongwith assessment orders, advance tax challans (for both company/firm and
personal account) for the last three years in case of self-employed / business
category applicants
• Brief profile of the company / firm in case of self-employed applicants
• Guarantor Details
• Copy of property documents
• Cheque for unified processing charges
______________________________________________________________________
ACKNOWLEDGEMENT TO THE APPLICANT FOR APPLICATION:
We have received home loan application from Mr. ____________________________

S/o _________________________________ of ______________________________
for Rs. ______________________ on ________________.
Seal of the Branch For Bank of Baroda

_______________Branch
Date:_________________
Page | 137
RETAIL LENDING
Application Form – Please Affix
HOUSING LOAN
(NRIs / PIO)
btìGò Atéßò btQ‡tèVt Bank of Baroda Recent
Photograph
ALPHA CODE: Borrower No. _______________________

I/We request you to grant me/us a loan facility under Housing Loan Scheme for __________
To enable you to consider the proposal, I/We submit the following particulars.
Please complete all sections in BLOCK LETTERS and tick √ boxes wherever applicable
Name : _______________________ _______________________ __________________________
Category : SC/ST/OBC/OTHERS/MINORITY COMMUNITY PAN/GIR No. : ____________________

Present Overseas Address :
__________________________________________________________________________ PIN : ________________
______________________________________________________________________
Telephone : ________________ Fax : ______________________ Mobile No. : ______________________
No. of Years in present business/ employment:

Changed Employment in past 3 years : Not Changed Once More than Once
Date of Birth : _______ (DD) _______ (MM) ______________ (YYYY) Age :
Permanent Address : ____________________________________________________________________________

_________________________________________________________PIN : ______________
Tel. : ____________ Fax : _____________ E-mail : _____________________________________
i) About Yourself Net worth

Applicant Co applicant Guarantor
Sex : Male Education : Matric 1. Total
Under Graduate Moveable
Female Graduate 2. Total
Post-Graduate Immovable
Marital Status: Single Doctorate 3. Total
Assets 1+2
Married If Professional : Doctor 4. Total
Architect Liabilities
Divorced CA 5. Net
MBA Assets 3-4
Widowed Engineer 6. Amount of Collaterals
Lawyer
No. of Dependents : ______ 7. Presence of Guarantor : Yes / No
(Excluding spouse) Others _______________ (If yes, give details in above column)
No. of Children : _________
Credit Card Details : PASSPORT No.:
Credit Cards Owned : ______ Card Issuer: ________ Place of Issue :
Card No. : _______________________________________ Date of Issue :
Bank of Baroda Account No. __________________ CA / SB Valid upto :
Branch Name: ______________________________________ Date of Visa granted / work permit :
Valid upto :
Salaried: Please tell us about your work: Self Employed / Professional/Business

Name of Organisation : ____________________________ Please tell us about your work:
Designation : Executive Managerial Clerk
Department : ___________________________________ Name of Company : _____________________________
Office Address : __________________________________ Office Address :
________________________________________________ ______________________________________________
_____________________________PIN : ______________
Tel.: _________Extn. No. :___________ Fax : __________
E-mail : ________________________________________ PIN : _________________
Working with : Govt./Public Sector Public Ltd. Tel. : __________________ Fax : _________________
Pvt. Ltd. Partnership
Proprietorship MNC E-mail : _______________________________________
Working Since: ______________. Retirement Age: ______

Years at Current Job : Business Details : Pvt. Ltd. Partnership
Greater than 5 Years
Between 3 to 5 Years Proprietorship Others ____________________
Between 1 to 3 Years Established Since:
Less Than 1 Year _______________________________
Gross Monthly Income: Rs.____________________ Designation: Executive Managerial
Years in Current Business : >5 3 – 5 1 – 3 <1

Greater Less
Gross Monthly Income: ______________________
Proposed Loan Details:(To be filled by Income Details:
Branches/Offices)
Tenure Months:_______________________ 1. Gross Monthly Income (Rs.) : _______________________
2. Salaried Person
Purpose:_____________________________ (I) Monthly Basic (Rs.) : _______________________
(ii) % of PF deduction : _______________________
Purchase Price(Rs):____________________
(a) Stamp Duty : _________________ 3. Annual Professional Tax : ______________________
(b) Registration Fee : _____________
(c) Others : _____________________ 4. For Tax Purpose
(i) Total Annual Savings under s/88: ______________________
Outside Borrowings (Rs):________________ (ii) 100% Rebate Amount : ______________________
(iii) Deduction under chapter VI A : _____________________
Loan Amount(Rs):_____________________ (iv) Other Rebate /Deduction claimed: ______________________
Rate of Interest %:_____________________ 5. Total Monthly house hold expenses : ______________________

(Floating / Fixed option) 6. Monthly other loan amount : ______________________
7. Net Annual Income of other Family members: ________________
Margin %:____________________________ (Excluding co applicant & Guarantor)
8. Gross Income during last two years: I II
Salary Income
Bonus, if any
Incentive, if any ___________________
Total
___________________
Average Income of last two years : (Rs)
Property Details (For Office use ) :

1. Stage of Construction (For New Construction) : Final Intermediate Foundation Planning
2. Age of Construction (For Existing Construction ) : < 5 years 5- 10 years

10 years – Maximum Limit >= Maximum Age Limit
Builder’s / Seller’s Name :
_________________________________________________________________________
Area : Total - __________ Sq. ft. Built up - _____________ Sq. ft.
Location / Address :
____________________________________________________________________________________________
_____________________________________________________________________________
Outstanding Loan Amount of Loan Outstanding EMI Default /Overdue

Details Source/Type Since
1)
2)
3)
About Your Bank Account (including credit facilities if any)
Name of the Bank Branch & A/c. Type A/c No. No. of years account
Telephone No. held
Main Bank:_________ _______________ _________________ ________________ _________________
Others:
1)
2)
About your Co-applicant : About Guarantor :
Name : _______________________
Name : _____________________
Relation with Applicant : _______________________
Address : _______________________
Address : _____________________
_______________________
_____________________
Occupation : _______________________
Occupation : _____________________
Phone/Fax : _______________________
Phone/Fax : _____________________
Email ________________________
Email : ______________________
PAN/GIR Number :________________________
PAN/GIR Number : _____________________
Net Annual Income (Rs.) : ______________________
Net Annual Income (Rs.) : _____________________
The loan applied for as above for Rs………….(Rupees…………………………………………………………) under Direct Housing
Finance Scheme is repayable in …………..monthly instalments of Rs……………….each. I / We note that the rate of interest
applicable on the loan will be at ……..% p.a. which would be applied at quarterly / monthly interval or as applicable from time to time. I
undertake to contribute Rs……………..towards margin money being ………% of the project cost.
Further I give below particulars about myself, dependants & legal heirs:
Name/Age of dependents/ Relationship with Address Occupation / Vocation
Legal heirs the borrower of Legal heirs
I/We hereby declare that all the particulars and information furnished in the application form are true, correct and complete and up-to-
date in all respects. I/We have not withheld any information. I/We confirm that I/We have had no insolvency proceedings initiated
against me/us nor have I/We ever been adjudicated insolvent. I/We also authorize Bank of Baroda or its agent to make references
and enquiries relative to information in this application which Bank of Baroda considers necessary. I/We also authorize Bank of
Baroda to exchange, share, part with all information relating to my/our loan details and repayment history information to other
Banks/Financial institutions/ Credit Bureaus/Agencies as may be required and shall not hold Bank of Baroda liable for use of this
information. I/We undertake to inform Bank of Baroda regarding any change in my/our residence/employment/Occupation/Transfer
and to provide any other information that Bank of Baroda may require. I/We further agree that my/our loan shall be governed by the
rules of Bank of Baroda which may be in force from time to time. Bank of Baroda reserves the right to reject any application without
providing any reason.
I/we under take to bear processing, service, documentation charges etc. stipulated by the bank from time to time. I/we agree,
note and understand that Bank of Baroda shall be entitled at its sole discretion to call back, the entire loan/advance whether
due and payable or not at any time without assigning any reason and enforce its rights, remedies and securities.
Yours faithfully,
Place : __________________________________
Date __________________________________
Signature of the Applicant/s / Co - Applicant
I am willing to stand as guarantor.
Place : ______________________________
Date : _____________________________
Signature of the Guarantor/s

LIST OF DOCUMENTS TO BE OBTAINED WITH APPLICATION FORM:
Personal Documents :
1. Copy of the employment Contract (If the contract is in any language other than English, the same has
to be translated into English and attested by Employer / Indian Embassy).
2. Certified copy of the latest salary slips for the past 6 months.
3. Copy of the Identity card issued by the current Employer.
4. Continuous Discharge Certificate, if applicable.
5. Copy of latest work permit.
6. Copy of the Visa stamped on the passport.
7. NRE Bank account pass book or statement of account.
8. Overseas Bank Account Statement for the last 6 months.
9. Bio-data covering educational qualifications, age, job experience, nature of profession/ business etc.,
with necessary proof.
10. Guarantor forms along with net worth proof / income proof.
11. A copy of IT returns of last 2 years. (Indian / Foreign)
12. 12. Undertaking from the employer for remittance of monthly installment, wherever feasible, if
stipulated in the sanction.
13. A salary certificate / income statement duly attested by our foreign office including susidiary office/
certified by the competant authority available in the country may be produced. This may also include
Chartered / Certified Accountants, officials of Inland Revenue Dept. (similar to Income Tax Authorities
in India) or any other agency specified for the purpose. Wherever attestation is not possible, this may
be submitted duly notarized.
For Self Employed:
(a) Balance sheets and profit & loss accounts of the business/profession along with copies of
individual income-tax returns for the last three years, certified by a chartered accountant
(b) A note giving information on the nature of business /profession, form of organization, clients,
suppliers etc
For PIOs:
A photocopy of the PIO Card or any of the under noted documents:-
• Current passport indicating birth place in India/abroad.

• Indian Passport, if held earlier
• Parents or grand parents passport with details there in substantiating his claim of being a
PIO
Property documents:
i. Receipt for payments made for purchase of the residential unit.

ii. Copy of approved drawings of proposed construction / purchase.
iii. Permission from competent authority for construction of flat/house
iv. Permission from competent authority under Urban Land Ceiling & Regulation Act,1976
v. Agreement for sale / sale deed / detailed cost estimate from Architect / Engineer for the property
to be constructed.
vi. Allotment letter from the co-operative society/ association of apartment owners.
vii. Other documents depending upon -
1. Property to be purchased directly from builder (ready / under construction).
2. Property belonging to a Registered Co-operative Housing Society.
3. Purchase in resale.
4. Direct sale by any Development Authority.
5. Construction of house on a separate plot of land.
PRE-SANCTION VISIT REPORT FOR RETAIL LENDING
1. NAME OF THE APPLICANT : Mr./Ms/Smt.
2. FATHER’S/HUSBAND’S : Mr.
3 RESIDENTIAL ADDRESS :
4. PURPOSE OF LOAN :
5a) NAME OF THE PRODUCT/

ARTICLE TO BE
PURCHASED
NAME OF THE SUPPLIER :
PRUCAHSE PRICE : Rs. (Inclusive of all taxes)
5b) GENUINESS OF : a) OVER PHONE NO.

QUOTATION VERFIED b) NAME OF THE PERSON CONTACTED
a) BY PERSONAL VISIT
b) NAME OF THE PERSON CONTACTED
6. DATE OF VISIT :
7. PROOF FOR VERIFICATION OF ( whichever is applicable)
RESIDENTIAL ADDRESS
Ration Card No. Voter ID Card Passport No./PAN No. Rental Agreement
No.
Electricity/Telephone bill (-1- bill older Whether residing with parents/relatives
than 6 months and –1- latest bill)
Residence is Owned Rented Leased Provided by Employer ( whichever is applicable)
Place visited with Identification Landmark
8. OCCUPATION OF APPLICANT (GIVE DETAILS)

A) (a) SERVICE (b) BUSINESS
i) Name of Employer Name of the firm
ii) Address Address
iii) Designation Applicants position in the firm

iv) Working Since Established since
v) Employee No. Nature of Business
vi) Whether confirmed/
probation / or on
contract basis
vii) Phone No. Office Residence Mobile
C) SELF-EMPLOYED & PROFESSIONAL

i) Occupation
ii) Address
iii) Phone No. Office Residence Mobile
9. EMPLOYMENT DETAILS
Details verified by/through
Personal visit to Office on Over Tel.No
Name of person contacted
10. GROSS ANNUAL / MONTHLY INCOME Rs.

Details verified from:
a. Form No.16 (for the financial year ended ……………)
b. Salary Slip (for the month of …………………...)
c. Income tax Return for ………. years (along with original copy of Tax Challan Period ………..)
d. Number of dependants
e. Total annual/monthly deduction Rs:
f. Net annual /monthly income Rs.
Page | 142
11. PRESENT BANKERS
Name of the Bank Branch
Type of A/c A/c No.
Details of A/c verified from Bank Statement/Pass Book (Copy obtained on record)
Cheque returned – number of times:
12. LOAN OUTSTANDING WITH OUR BANK WITH OTHER BANK

Name of the Branch :
Type of Loan :
Amount Sanctioned : Rs. Rs.
Balance Outstanding : Rs. Rs.
Amount of Overdues ,if any : Rs. Rs.
Asset Classification :
13. DETAILS OF THE PROPERTY TO BE PURCHASED (to be filled in case of Housing Loans)
(Loan requested for ()
Purchase of Ready Flat Purchase of Repairs & Take over Construction of
land Old House Renovation from Other house
Bank
Sale Amount : Rs.

Value as per Valuation Report, value :
indicated in the sale deed may also
Abe taken into account. In case of
wide variation, comments required.
Name of the person representing :
seller contacted & details verified
Area in Sq.ft. as per sale agreement :
Whether owner occupied or rented or :
leased out
a. Present stage of constructions

b. Report / Valuation from Architect / Engineer Obtained Yes No
c. Nearby landmark for identification:
EAST WEST
NORTH SOUTH
13. COMMENTS OF VISITING OFFICER
Place:_________________
_____________________________
Date: _________________ SIGNATURE OF BANK’S OFFICIAL
NAME :
DESIGNATION :
Page | 143
BRANCH:__________________________________
PERIODIC ASSET VERIFICATION REPORT (POST DISBURSEMENT )-IN CASE OF RETAIL LOANS
1. Name of the Applicant :

2. Address of the place :
visited :Residence
/shop/office
Phone No.
3. Date of visit :
4 Sanction Details : Purpose of Loan Amount of Loan Date of Sanction
Rs.
5. Details of last : Date: :
Disbursement made Amount :
Mode :
By Bankers Cheque / DD No. Favouring
…………………………………. ………………………………
Present outstanding balance Rs……………..(with overdues if any
Rs……………………)
6. Whether Invoice & Stamp Receipt Obtained? YES / NO
IF YES:
Invoice No……………… Dated…………………. Issued by………………….
Receipt No……………… Dated…………………..
7. (a) Details of Goods / Articles / Furniture Purchased & Physically verified
Description
Make / Model No.
Colour
Manufactured by
(b) In case of Vehicle
Type of Vehicle -Scooter /
Moped / M-Cycle /Car
Make / Model No.
Engine No. to be verified
Chasis No. from the vehicle
Colour of the vehicle
Registration No.
Condition of Vehicle
Blank TTO forms obtained YES /NO
Whether Bank's Lien Noted in YES/NO
RC Book with RTO
Was the Vehicle brought to Branch for Inspection - Yes / No. If Yes, give date………….
Insurance Name of Insurance Co.
Valid upto
Whether Bank's clause is appearing in Insurance Policy:Yes/No
Under comprehensive : Yes/No.
8 In case of Housing Loan :
Loan availed for ( √ ) Purchase of
Land
Ready
Flat
Purchase
of Old
Repairs
Renovation
& Take over
from other
Construction of
house
House bank
Location /address of the Property
Present Status/ Stage of Construction

Status of Occupation ( √ ) Self Occupied Rented Out Vacant
Value as per valuation report/approx.
exp incurrent on repairs/ renovation
Date of last valuation
Whether Insurance taken under Uni- Yes / No If Yes, date……………………..
Home Care Policy/NIC-Baroda Home
Loan Suraksha Bima Policy
9 Date of Documents
Last LAD obtained on
10 Comments of visiting officer:
Place: ……………………………………
Date: (Signature of Bank's Official)
NAME:
DESIGNATION:
Page | 144
Annexure-21
BANK OF BARODA
………………………………. (Branch Name)
(on letter head of branch)
…………………………………
(Name of the Panel Advocate)
…………………………….
……………………………
……………………………
(Address)
Dear Sir,
Re: Your opinion report on the property situated at …………………. belonging to

…………………… for creation of equitable mortgage to secure credit facilities
to be sanctioned to ……………………………
We are considering following credit facilities to Mr…………………………..
Nature of facility Amount Purpose

(Rs.)
To secure the above credit facilities, equitable mortgage of the property situated at
………………………………. belonging to …………………………… has been offered.
We are sending the documents of the property with this letter and shall thank you to
please submit your complete Opinion Report in respect of the clear and marketable
title to the property, certifying non-encumbrances of the property.
Your report should be comprehensive and must cover the following points:
1 Name of Account & Proposed facility
2 Description & Area of property proposed to be mortgaged with boundaries

(a.Give the specific number & address of plot, house, bldg., flat, shop, etc.
b.State specifically whether property is in agricultural, non-agricultural,
commercial, residential or industrial, area.)
3 Name of mortgagor & his Status in the A/c (Whether Sole proprietor, Partner,
Director, Karta, Trustee, Agent or Guarantor or Co-borrower)
4 Whether the mortgagor has sufficient title and capacity to contract for creation
of mortgage (Not a minor, Lunatic or undischarged insolvent, etc.)
5 Nature of mortgagor's right or title in the Property(Whether lease hold, free hold,
co-owner, or joint owner or any other type-state specifically) and how it is derived
Page | 145
(whether self acquired, ancestral/ inheritance or by succession or otherwise).
6 Whether Mortgagor is in exclusive possession of property proposed to be

mortgaged
7 Documents studied/scrutinized (In chronological order)
Sr. Type/Nature of Date of No. & Date of Parties

No Document Execution Registration/Lien in
revenue records/
builder's records/
society's records
8 Tracing of title & Chain of title in favour of Mr./Ms.____________ proposed

mortgagor(here set out chain of title in detail & in chronology starting from
earliest document available. The Nature of document/Deed conveying the title
should be mentioned along with the type of right it creates) together with names
and descriptions of Parties to the documents
9 Whether title is clear and property is free from any encumbrance (enclose relevant
receipts of search)
(a) No of Years (30 years normally) for which search made in
Subregistrar's/Registrar's Office
(b) If Name is mutated in municipal records and
(c) If Name is shown in Revenue/ Land records
10 Whether title to properties is clear, unambiguous, marketable & property is

saleable
11 Whether there is any Bar/ restriction for creation of equitable mortgage under
any Act, state law or rule/notification(like Ceiling Act, Land Acquisition Act, State
Coop. Societies Act, Societies Registration Act or Apartments/Flat Ownership Act
or Income Tax Act)
12 Whether any permission /consent/ no objection is required & if so, it is obtained

(State the letter no. and the Authority / Statutory Body/Court concerned)
13 Additional documents required/ formalities to be completed by the proposed

mortgagor(State specifically in case of flats / properties in coop. societies
whether allotment letter, possession letter, share certificate, affidavit, power of
attorney, etc is required)
14 List out the Title Deeds to be deposited to create mortgage by Deposit of Title
Deeds in favour of Bank by abovesaid mortgager Mr./Ms.______________
Page | 146
15 Whether all original deeds are available and scrutinised Deeds are duly
executed/stamped and registered. There is no doubt/ suspicion as to their
genuineness or existence
16 Final certificate/opinion
Please also note the following:
(1) The above are the minimum points/ broad heads to be covered / elaborated/
discussed in your report.
(2) These points/headings are indicative and not exhaustive, depending upon the
situation and circumstances.
(3) The opinion-cum-report has to be given by you personally on your letter head
under your signature.
(4) You are required to submit the opinion/ report only after getting all clarifications
and required documents, after thorough perusal and when fully satisfied.
Yours faithfully,
……………….
(Branch Manager)
Page | 147
Annexure 22-
22- Format of Power of Attorney
Page | 148
Page | 149
Page | 150
Annexure –23
Execution of Documents by Power of Attorney: Format of letter to be obtained from

the Principal confirming that the documents executed by his Attorney.
(To be stamped as Agreement)

Date:
Place:
To
The Branch Manager
Bank of Baroda
_________________ Branch
Dear Sir,
Sub: Confirmation of Loan Documents executed by Mr/Mrs …………………………….

…………………… my/our constituted attorney for the …………………………………….
facility of Rs…………………………………………..availed by me / us from your Bank.
1. At my / our request Bank of Baroda ……………………. Branch vide their letter

No……….. dated ………………………sanctioned me / us following credit facilities on the
terms and conditions mentioned therein. I / We have accepted the same on
………………. by putting my / our signature on the said sanction letter:
(a)
(b)
(c)
(d)
2. At my/ our request bank has allowed me / us to execute the security documents and
creation of security through my constituted attorney, in respect of aforesaid credit
facilities sanctioned by the Bank. Accordingly Mr / Mrs ………………………….…. my / our
constituted attorney pursuant to Power Of Attorney granted by me on ……………………,
executed security documents and created mortgage by deposit of title deeds on
…………………., on my / our behalf.
3. Today, I / we have visited your branch and perused following documents executed
and mortgage by deposit of title deeds created by Mr / Mrs ……………………………… my
/ our constituted attorney:
(a)
(b)
(c)
(d)
4. I / We hereby confirm and ratify act done / documents executed, mortgage by
deposit of title deeds create by Mr / Mrs ………………………………. my constituted
attorney in favour of the Bank to secure aforesaid credit facilities granted by the Bank to
me / us. The said documents executed and mortgage by deposit of title deeds created
/ any other documents executed by my / our constituted attorney are valid subsisting
and binding on me / us. I / we waive all my /our rights to challenge these documents
before any forum and undertake to protect and save bank against all claims, losses,
damages, costs, expenses, actions, suits and other proceedings resulting from
documents executed by me / us on my / our behalf by my / our power of attorney
holder mentioned hereinabove.
Signature
1. Mr./Mrs…………………………………….
2. Mr./Mrs..……………………………………
Page | 151
Annexure-24
To be stamped
as per the Stamp
Act and
notarized
SPECIAL POWER OF ATTORNEY TO RECEIVE MORTGAGE

DOCUMENTS
TO ALL TO WHOM THESE PRESENTS SHALL COME, I / we (all names)

Mr.…………………………………………………………………………..…………….... aged about
…………years, Occupation, Service / business / agriculture, residing at
……………………………………………………..SEND GREETING.
WHEREAS:
(a) ………………………Branch of ……………………………………………Bank / Financial

Institution i.e., the Current Lending Institution
(hereinafter referred to as the CLI) had sanctioned housing loan facilities
amounting to Rs………………………. to me / us on ………………………and amongst
other terms and conditions of the sanction, one of the conditions was to create
equitable mortgage of the land and building belonging to
…………………………………………………. situated at………………….. more
particularly described in the schedule-I as mentioned hereunder and the same was
validly created on …………………………. by depositing the original title documents
and other link documents with the CLI and the details of the said documents are
shown as Schedule-II as mentioned hereunder.
(b) As per my / our request, Bank of Baroda, ……………………… Branch (herein after
referred to as the Bank) has agreed to take over the above Housing Loan account
along with the outstanding amount by sanctioning a fresh Housing Loan subject to
delivery and deposit of all mortgage documents which are now in the custody of
the CLI, and also necessary documents to be executed for the said purpose.
NOW KNOW YOU ALL AND THESE PRESENTS WITNESS THAT I / we (all names)
Mr…………………………………………………………………………… do hereby irrevocably
nominate, appoint and constitute the Bank to be my / our true and lawful attorney with all
authority to do and execute the following acts, deeds and things in my / our name / s and
on my / our behalf viz.
A. To demand and receive all original title documents and link documents deposited
by me / us ………………………………………………………………. with CLI, along with a
covering checklist through an Authorized Officer of the Bank holding an
authorization letter from the Bank in this behalf and to give a valid discharge
thereof to CLI.
B. To pay the balance outstanding amount standing in my / our name/s with the CLI
by way of a Banker’s cheque / Demand Draft equivalent of the outstanding
Page | 152
amount together with interest and pre-closure charges, if any, on my / our behalf
and to receive No Due Certificate from the CLI as regards the repayment of their
dues.
C. To receive latest Statement of Account with respect to my / our housing loan

account from the CLI.
D. To sign, seal, execute, deliver, complete, perfect and record an Indenture of

Mortgage expressed to be made between myself / ourselves of the One Part and
the Bank of the Other Part in respect of the Schedule-I property, in case found
desirable, in such form and containing such covenants and conditions as the Bank
may deem fit, including the power to sell and to present the same for registration
with the Sub-Registrar of Assurances.
E. To do all other acts and things as may be required to be done to take over the
above secured housing loan from the CLI on my / our behalf.
AND I / we hereby ratify and confirm all and whatever my / our said attorney shall or
purport to do or cause to be done by virtue of these presents.
IN WITNESS WHEREOF I, Mr. ………………………... have put my / our hand this day of
………………….. 20
Signed and delivered by

the within named
In the presence of ________________________
Schedule I
Schedule II
Identified by me Before me.

NOTARY
Page | 153
Annexure- 25
Details of payment of Staff Incentive for generating Leads of Home Loans
Details of
Date of lead Amount of
Sr. Branch Name of information Date of Amount of Date of
generated Details of lead generator (Staff) Disbursem Payment Details
No Name Borrower /document sanction Sanction disbursement
by Staff ent
s received
Date of DD/
Name EC No. Parent Branch Signature payment Ch.No Amt Name Signature
Annexure- 26
Details of payment to Builders for generating Leads of Home Loans
Details of
Date of lead Amount of
Sr. Branch Name of information Date of Amount of Date of
generated Details of lead generator (Builder) Disbursem
No Name Borrower /document sanction Sanction disbursement Payment Details
by builder ent
s received
Name of
Authorised
Name Project person Signature Date of DD/
payment Ch.No Amt Name Signature
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BCC BR 106 380 PDF

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BCC:BR:106/380 01.09.

CIRCULAR TO ALL BRANCHES AND OFFICES IN INDIA

Sub File - Adv 2

ISSUED BY RETAIL BANKING DEPARTMENT

Re: Master Circular on ‘Baroda Home Loan’.

Please refer to the last master Circular on ‘Baroda Home Loan’

Now, we are attaching the Master Circular on ‘Baroda Home Loan’

• Baroda Home Loan to Individuals (Resident Indian).

This Master Circular consolidates all the instructions in respect of

Retail Banking Department

Sr.No. TOPIC Page No.

PRODUCTS UNDER BARODA HOME LOAN

I Baroda Home Loan to Individuals (Resident Indian) 6

I Baroda Home Loan to Individuals (Resident Indian) 6

Master Circular on Baroda Home Loan Page 3

II Baroda Home Loan to NRIs/PIOs/OCIs 33

III Baroda Home Improvement Loan – Product Profile 43

IV Baroda Additional Assured Advance (AAA) – Product Profile 47

V Home Loan to Staff under Public Scheme –Product Profile 52

VI Golden Jubilee Rural Housing Finance (GJRHF) – Product Profile 57

Credit Risk Guarantee Fund Scheme for Low Income Housing

Master Circular on Baroda Home Loan Page 4

1. Group Credit Life Insurance for Home Loan Borrowers 64

Master Circular on Baroda Home Loan Page 5

Master Circular on Baroda Home Loan Page 6

v. For extension of the existing house to:

viii. Branches/RLFs should not consider/sanction Home Loan proposals to builders

Master Circular on Baroda Home Loan Page 7

Location of new flat/house to be purchased/constructed or

Semi-urban and rural branches may finance in their area of operation.

i. All individuals singly or jointly.

Master Circular on Baroda Home Loan Page 8

c) Maximum age can be considered upto 70 years, also in case of

Others (Non-salaried/self-employed/professionals/agriculturists etc.):

v. Normally Home Loan is to be considered only for purchase / construction of

Master Circular on Baroda Home Loan Page 9

4. Maximum Amount of Loan

i. Rs. 300/- Lacs for Urban & Metro branches

ii. Rs. 100/- Lacs for Rural & Semi-Urban branches

iii. For extension: Rs. 10/- Lacs.

The maximum amount of loan should not exceed the following:

(i) In case of salaried persons:

Monthly Income Eligibile amount of loan

Master Circular on Baroda Home Loan Page 10

-5- times of average annual income (last three years).

Depreciation to be considered for computing eligibility subject to the

• The facility will be confined to Businessmen, Professionals, Self-Employed,

Master Circular on Baroda Home Loan Page 11

i. In case of salaried persons:

ii. In case of others:

However, higher repayment capacity may be considered by the Regional Authority

Repayment capacity to be calculated taking into consideration the deduction of

Master Circular on Baroda Home Loan Page 12

7. Loan to Value (LTV) Ratio:

Category LTV Ratio (%)

Home Loans upto Rs. 20 Lacs : 90 %

Loan Amount Margin

Master Circular on Baroda Home Loan Page 13

i. Maximum repayment period is -30- years, including moratorium period.

ii. Maximum moratorium shall be -36- months as under:

One month after completion of house/ taking possession of flat/house,

iii. Loan to be repaid in Equated Monthly Installments (EMI) except in case of

10. Rate of Interest: