#solarhomeloan

The Government of India has set an ambitious target of installation of Grid Connected Rooftop Solar Photovoltaic (GC-RSVP) projects with capacity aggregating 40 GW out of a total incremental target of 175 GW of Renewable Energy capacity by 2022. With a view to giving a fillip to this segment, SBI has availed a line of credit from the World Bank. Specifically for financing Grid Connected Rooftop Solar Photovoltaic projects across the country through its identified branches (refer to Annexure I). A Customized financial product has been developed by SBI and benchmark parameters for the purpose drawn up. The benchmark parameters and terms & conditions under the program are as under: Sr. No. Parameter Details 1. Eligibility Criteria Sole Proprietorship, Partnership Firm/ including LLP and Company/ Special Purpose Vehicle (SPV)/ NBFCBorrower or their parent company/ sponsor should have:(i) at least 1-year experience/ past track record in the power sector, and(ii) CRA rating of SB-10 & better and/or ECR of Investment grade. 2. Branches identified for handling this business All Corporate Account Group Branches (Project debt component above Rs 500 cr.), Commercial Clients Group Branches (Project debt component above Rs 50 cr. and up to Rs 500 cr.), andSME Branches (loan up to Rs 50 cr.) 3. Loan amount Up to 75% of the project cost. 4. Type of Facility i) Term Loanii) Need-based Working Capital against receivablesiii) Need-based NFB (LC/BG) facility 5. Pricing ➢Six months Marginal Cost of Funds Based Lending Rate (MCLR) plus spread in the range of 120 bps to 190 bps based on the risk rating of the customer➢ Loans extended to MSMEs will be linked to external benchmark rates as per the Bank’s extant guidelines plus spread in the range of 120 bps to 190 bps based on the risk rating of the customer 6. Fixed Asset Coverage Ratio (FACR) 1.10 (minimum) throughout the tenure of the loan 7. DSCR (at Borrower and also at Individual projects level) Avg Gross DSCR at P90: 1.20 8. Interest Coverage Ratio(at the Borrower and also at the Individual project level) Minimum – 1.5 9. Net Long Term Debt/ EBITDA )(at the borrower and also at the Individual sub-project level) i) 6.2:1 for the initial 3 years.ii) Below 6 from 4th year onwards 10. Loan Repayment Period (Maximum) Door to Door tenor up to 15 years. 11. Moratorium ➢Six months Marginal Cost of Funds Based Lending Rate (MCLR) plus spread in the range of 120 bps to 190 bps based on the risk rating of the customer➢ Loans extended to MSMEs will be linked to external benchmark rates as per Bank’s extant guidelines plus spread in the range of 120 bps to 190 bps based on the risk rating of the customer 12. Primary Security ➢ The exclusive first charge on all fixed assets, movable assets, and current assets, leasehold rights, cash flows, and project-related accounts & rights therein, current as well as future relating to the project (T & C applicable).➢ Assignment of Project documents. 13. Collateral Security The Bank may seek additional security (Collateral) if FACR falls below 1.10 14. Guarantee i) In the case of Sole Proprietorship /Partnership Firm/ Company, personal guarantee of proprietor/ partners/ directors.ii) In the case of Special Purpose Vehicles (SPVs)/ Associates/ Subsidiaries, the Corporate Guarantee of the sponsor can be further explored. 15. Debt Service Reserve Account (DSRA) Minimum Level: Equivalent to 6 months principal and interest. 16. Statutory Clearances & PPA The required project agreements (including PPA)/ clearances/ approvals (as applicable) should be in place, before disbursement of 1st tranche for each individual loan under the overall sanctioned credit facility. 17. Others Up to 12 months post-date of Commencement of Commercial Operations (DCCO). An illustrative list of information required to be furnished by the applicant: ➢ ID and address proof of the applicant and guarantors, if any. voter ID, PAN no. voter ID, Aadhar No, MOA, AOA, etc.). ➢ Income tax return of the applicant, and guarantors for the past three financial years. ➢ Audited balance Sheets with Trading & Profit & Loss Account(for the last 3 years) ➢ Memorandum and Articles of Association, Certificate of Commencement of Business (in case the applicant is a Company) ➢ GST Returns for the last three years. ➢ Copy of DPR (Detailed Project Report) along with Projected Balance Sheet, Profit & Loss Account, and Cash Flow Statement with assumptions made /TEV (Technical Evaluation) # Types of loans offered by SBI SBI provides home loans at affordable interest rates to all its customers. Also, it has different schemes for home loans like the Shaurya scheme and government schemes. # Purpose of taking a loan from SBI: We all manage our daily and monthly expenses by planning our budget.  The loan is a financial help you can get from a bank against any security at a pre-decided interest rate for a specified period of time. Banks ask you a very important question when you ask them for a loan. This is the purpose of taking that loan. Through this article, we will throw light on the two most important purposes of taking loans. You will be able to note the important factors you need to take care of while taking a home loan or a consumer durable loan. 1- Buy a New house – If you are taking out a loan to buy a property, you have to give them a brief description of the kind of property it is. Banks keep your purchased property as a security against your home loan. Thus, they want to know if you are buying an independent house, an apartment, a plot, or a villa. 2 – Upgrade existing house – A consumer durable loan will help you to upgrade your existing house as it provides you funds to get new gadgets, and appliances, to add to your house or renovate your house. You can even modernize your kitchen or living room. # What makes you eligible for a home loan?  Following are the eligibility criteria that are required to be fulfilled to apply for a