GOVERNMENT OF KERALA
House Building Advance for State Government Employees – Availing bank financing with interest subvention-Addendum Orders issued.
FINANCE ( House Building Advance ) DEPARTMENT
G.0 (P) No.143/2018/Fin
Dated, Thiruvananthapuram 11/09/2018
Read: G.O. (P)No.105/2018/Fin dated 05/07/2018.
In continuation of the Government Order read above, the following addendum is incorporated.
1. The maximum amount of loan eligible for interest subvention shall be restricted at 50 times of basic pay of employees subject to maximum of Rs.20 lakhs. The loan should be taken from any Scheduled Commercial Banks/NBFCs.
2. Employees intending to avail house building loans from scheduled Commercial Banks/NBFCs with Government interest subvention shall take an NOC from Government (Finance Department) through concerned DDOs. Government (Finance Department) shall issue orders at the start of the fiscal year on the maximum amount for which interest subsidy can be provided in the concerned fiscal. The criteria shall be first come first served with a weightage for the service left. In case of remaining service, the same parameter as currently followed in HBA regime, shall be continued. This process shall be administered through a dedicated software and shall be issued with in two months from the date of application.
3. DDOs shall be allowed to take the certified print out of the NOC and they shall record it in the service details. On availing the loan, the DDOs concerned shall intimate the Government (Finance Department) and SPARK the details of loans including the EMI through the dedicated software. The Finance Department shall calculate the eligible interest subsidy and credit it in to the salary accounts of the loanee employee along with salary. The EMI shall be deducted from the salary account of the employee and credited to the concerned bank.
4. The bank would directly deduct EMIs from salary accounts of the employees. Government would pay the admissible interest subvention along with the salary payment on a quarterly basis into the specified salary account. For this purpose, the employees would intimate their salary account details to their respective DDO and the bank concerned would inform Government of sanctioned amount details along with start date and end date of EMI deduction. Irrespective of any future EMI amount variations, Government would continue to pay the same interest subvention as mentioned in the G.O.till such time at it is admissible as per rules.
(By order of the Governor)
SANJEEV KAUSHIK IAS
Principal Secretary (Finance Resources)