House Building Loan Scheme for Employees of Government of Goa
Category: Banking,Financial Services and Insurance, Housing & Shelter
Level: State | State: Goa

Details:
The scheme "House Building Loan Scheme for Employees of Government of Goa" was launched by the Debt Management Division, Department of Finance, Government of Goa. The scheme aims to assist government employees in achieving their dream of owning a house by providing financial support to erstwhile House Building Advance scheme beneficiaries whose loans were operative as on 15th May 2020. The scheme provides loan takeover facility through empanelled banks with shared interest payment mechanism where the employee bears 2% of the interest plus the principal component while the Government bears the remainder of the interest subject to a maximum of 5%. The scheme is implemented by the Directorate of Accounts in coordination with empanelled banks notified separately by the Government. The applications for this scheme are accepted offline.

Benefits:
Financial Assistance
The Government bears the remainder of the interest charged by the empanelled bank, subject to a maximum of 5%, while the employee bears 2% of the interest plus the principal component.
The loan takeover facility is provided for the amount outstanding as on the date of application after repayment of instalments from May 2020.
For employees who had availed additional loan over and above the House Building Advance amount, the Government's share of interest is restricted only to the extent of such House Building Advance loan outstanding as on the date of application.
Disbursement
The Government's share of interest is credited to the empanelled bank in a pool account on a monthly basis.
The Government's cumulative share of all instalments due for the succeeding month is credited to the bank within a specified date, provided that the bank raises the demand at least 20 days in advance.
The Government's share commences from the succeeding month of sanction wherein the employee is due for repayment of the loan, provided the demand has been raised by the bank.
Duration and Validity
The Government's share is continued till the employee attains superannuation or for a maximum duration of 20 years of the total repayment period, whichever is earlier, by considering the already paid instalments by the Government.
If the duration of the loan ends before superannuation of the employee, the bank submits the closure letter to the concerned Government employee, Head of Department and Directorate of Accounts.
Conditions
The employee must ensure that his share of Equated Monthly Instalment reaches the bank within the stipulated time.
Any delay on part of the employee for contributing his share, subject to a maximum default duration of two months, will make the concerned employee ineligible to avail any further benefits under this scheme.
The employee must carry out all the required documentation and valuation required for compliance from the bank side, and the Government will not bear any costs for the same.
The deed of mortgage or any other collateral security executed in favour of Government earlier must be transferred in favour of the empanelled bank with an undertaking from the employee that he willingly desires to transfer the same in favour of the bank.
For employees who have availed benefits under the "One Time House Building Advance Settlement Scheme", the amount to the extent of benefits availed under that scheme would be adjusted in the initial instalments itself, till which the Government will not start contributing its share of interest and the employee has to bear the full burden of instalments.
If the employee ceases to be in service for any reason other than normal retirement or superannuation or if he dies before repayment of the loan in full, the entire outstanding amount will become payable forthwith by the Government employee or his successor, as the case may be.
Failure to repay the housing loan for any reason whatsoever, either by the Government employee or the successor, as the case may be, will entitle the bank to enforce the mortgage and take action to recover the outstanding housing loan.


Eligibility Criteria:
- The applicant must be an erstwhile beneficiary of the House Building Advance who had their loans operative as on 15th May, 2020.
- The applicant must fulfill the eligibility criteria put forth by the empanelled bank for being eligible for housing loan under this scheme.
- The applicant who had shifted his housing loan to other bank upon closure of earlier scheme must ensure that the loan account shall now be operated in any of the banks empanelled for the purpose of this scheme.
- The applicant must approach any of the empanelled banks for takeover of the existing loan for a maximum loan amount restricted to the tune of amount outstanding as on date after repayment of instalments from May 2020.

##### ***Special Categories***

- The applicant who had availed top-up additional loan over and above the House Building Advance amount sanctioned by Government is eligible only to the extent of such amount of House Building Advance loan which is outstanding as on the date of application.
- The applicant who is among the 45 employees whose cases were sanctioned but were awaiting drawal of advance as on 15th May, 2020 is eligible to apply under this scheme.