SBI Pension Loan: Know Interest Rate, Eligibility & Other Details

Now, pensioners can avail a pension loan at 9.75% to meet their financial needs. Check how to apply here.

By : ABP News Bureau | Updated at : 23 Feb 2021 03:22 PM (IST)

With several employees losing their jobs in the pandemic and inflation at its peak, people are turning to loans to suvive the tough times. Now, senior citizens and family pensioners receiving a regular pension from the central or state government can avail a loan through the country's largest bank State Bank of India at 9.75 per cent. ALSO READ | 7th Pay Commission: Govt Raises Upper Ceiling Of Family Pensions To Rs 1.25 lakh

What is the SBI pension loan?

Senior citizens and family pensioners can apply for personal loan to meet financial needs that may vary depeding upon their situation. They may need money to fund child’s marriage, buy a retirement home, plan a trip or also meet medical emergency. The country’s largest lender informed the customers about the loan through a tweet on Tuesday. The tweet reads, "Get Pension loans at 9.75% and have a happy retirement. All you need to do is SMS <PERSONAL> on 7208933145."

What are SBI Pension Loan features?

The pension loans from SBI claims to offer low processing fees, no hidden costs, quick loan processing, easy EMIs and requires minimal documentation among other benefits.

Where can you apply?

You can apply for the loan at all SBI branches

What is eligibility criteria?

In case of Central & State Government Pensioners, the person applying for the loan should be below 76 years of age and has to maintain the pension payment order with the bank. The pensioner has t to furnish an irrevocable undertaking not to amend his mandate to the Treasury during the tenure of the loan. The Treasury to give consent in writing that it will not accept any request from the pensioner to transfer his pension payment to any other bank till a NOC is issued. All other terms and conditions of the Scheme will be applicable, including a guarantee by the spouse (eligible for a family pension) or by a suitable third party.

You can also check information about pensioners of Armed Forces and family pensioners in the wesbite. Click on the direct link here

What is the interest rate?

SBI Pension Loan interest rate starts at 9.75% p.a