7th Pay Commission: Government employees will now get this benefit; Know more
If you are a government employee and you are getting the benefit of the recommendations of the 7th Pay Commission, then you are entitled to take home loan from the government at concessional rates. The permanent employees of the government get benefits under the House Building Advance Home Loan Scheme.
The biggest thing is that due to the recommendations of the 7th Pay Commission, the amount of home loan has also been increased. Let’s know how can government employees availing the recommendations of the 7th Pay Commission get a home loan to build a house?
How much loan is available at what rate
Under the House Building Advance Home Loan Scheme, home loans are provided by the government at an interest of 7.9 per cent to the government employees availing the recommendations of the 7th Pay Commission.
From last October 1, 2019, the government is charging interest at the rate of 7.9 percent on home loans. Under this scheme, an employee can get a maximum amount of Rs 25 lakh or the same amount as the basic salary of 34 months or basic salary for building a house. If a central employee is building a new house, then the government will be given an advance amount of Rs 25 lakh or equivalent amount of 34 months basic salary.
How much money do you get for home repair
Not only this, if an employee is getting the house repaired, house enlarged or renovated, then the government can be given a maximum assistance of up to 10 lakh rupees. This is very useful news for central employees. Apart from salary and allowances, the government also provides other facilities. The most important thing is that even for the construction of the house, the employees get loans from the government at cheap and subsidized rates.
Who can avail the benefits of the scheme
All permanent employees get the benefit of the government’s house building advance home loan scheme. Employees who have been in continuous service for 5 years will also be eligible.
Apart from this, all those employees who are appointed by the Central Government with the membership of All India Service, can also become the beneficiaries of this scheme. Employees of Union Territory and North East Frontier Agency can also take advantage of this scheme.
The central government has also given AIR staff the entitlement to get the benefit of this scheme.
All central employees who come under the ambit of Payment of Wages Act 1936 and those who have been appointed in any other department or foreign service will also be eligible.
The special thing is that suspended employees and ex-servicemen can also avail the scheme, provided they meet the current rules and eligibility conditions.
Under what circumstances will you get advance home loan
- To buy land
- To build a new house on a plot of its own
- To purchase land from a cooperative, co-operative or group housing society
- To buy a flat or a newly built house
- For repayment of loan taken from Sarkar Hudco (Housing and Urban Development Corporation Limited) or private source
- For construction of residential portion on shop cum residential plot
- To buy a house with a self-financing scheme
- For the extension work of a building bought by self, ESIC gave festival gift to those who lost jobs in lockdown, can apply for 50% salary till this date.
(With inputs from naidunia.com)