What Is Credit Link Subsidy Scheme?


Who is eligible for credit linked subsidy scheme?

Beneficiaries of Economically Weaker section (EWS) and Low Income Group (LIG) seeking housing loans from Banks, Housing Finance Companies and other such institutions would be eligible for an interest subsidy at the rate of 6.5% for a tenure of 20* years or during tenure of loan whichever is lower.

How credit linked subsidy scheme works?

Under this scheme, individuals purchasing a new affordable home can get interest concessions of 3-4 per cent on the amount borrowed, subject to some conditions. The subsidy is calculated as the present value of interest savings on home loans over the entire tenure of the loan, capped at a maximum of ₹2.35 lakh.

What is credit subsidy?

Credit Linked Subsidy Scheme (CLSS) is a component of PMAY under which, not only economically weaker sections, but also middle-income groups can avail of home loans at reduced EMIs.

Who is eligible for CLSS scheme?

Pradhan Mantri Awas Yojana Eligibility Criteria

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Particular CLSS – MIG I CLSS – MIG II
Household Income (P.A) 6-12 Lakhs 12-18 Lakhs
Dwelling Unit Carpet Area Upto 160 Sq mt Upto 200 Sq mt
Requirement of NOC from State govt Not required Not required
Tenor for calculating subsidy amount 20 Years 20 Years

How are subsidies calculated?

Government subsidy amount It is to be calculated at a discount rate of 9 per cent. For calculating NPV of the subsidy, one will need the loan’s amortisation schedule as the interest portion of each equated monthly instalment (EMI) has to be considered.

How can I check my home loan subsidy?

PMAY Status Check

  1. To track PMAY Status, check out the official website of Pradhan Mantri Awas Yojana.
  2. On the official website, check the status ‘By Mobile Number and Father’s Name’ or ‘By Assessment ID’.
  3. Check PMAY Status by dialing the toll-free numbers 1800 11 3377, 1800 11 3388 and 1800 11 6163.

How do I apply for a subsidy loan?

The process to claim PMAY interest subsidy benefit is given as follows:

  1. After your home loan is disbursed, the lender will send the required details to the National Housing Bank (NHB) for data validation and other checks.
  2. NHB after due diligence approves the subsidy to eligible borrowers.

How much time does it take for PMAY subsidy?

How much time it takes to get PMAY subsidy? It takes 2-6 months to get interest subsidy in your loan account.

Is PMAY subsidy deducted from principal?

Wondering how to apply for a home loan under the PMAY scheme? This essentially means that your loan amount reduces by INR 2.30 lakh as the subsidy amount is deducted from the principal loan amount. You have to pay EMI on the balance amount of INR 9.70 lakh at the agreed upon interest rate.

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How does a subsidy work?

Government subsidies help an industry by paying for part of the cost of the production of a good or service by offering tax credits or reimbursements or by paying for part of the cost a consumer would pay to purchase a good or service.

How do I know if my PMAY is approved?

Tracking your Pradhan Mantri Awas Yojana application status

  1. Visit http://pmaymis.gov.in/, the official website of PMAY scheme.
  2. Go the option titled ‘Citizen Assessment’ on the task bar.
  3. Select the option ‘Track your Assessment status’ form the drop down menu under Citizen Assessment.

How much PMAY loan can I get?


Criteria Existing Instructions(CLSS – EWS +LIG) Revised Instructions (CLSS – EWS +LIG)
Max Loan Amt for Subsidy Upto 6 lakhs Upto 6 lakhs
Subsidy % 6.50% 6.50%
Subsidy Amount Rs. 2.20 lakhs Rs. 2.67 lakhs
NPV 9% 9%

Which bank is best for PMAY loan?

Bank of Baroda extends the affordable housing benefits of Pradhan Mantri Awas Yojana scheme through a Credit-Linked Subsidy Scheme, also known as CLSS. Under CLSS, interest subsidies are available on housing loans for beneficiaries of specific categories defined by the scheme.

How can I check my eligibility for Pmjay?

Steps to Check Ayushman Bharat Yojana eligibility online

  1. Go to the PMJAY official website.
  2. Click on the ‘Am I Eligible ‘ option on the website.
  3. Enter your name, phone number, ration card number or the Rashtriya Swasthya Bima Yojana URN number.
  4. Submit the generated OTP.
  5. Select the state you reside in.

What is the eligibility criteria for PMAY?

✅Who is eligible for PMAY? Individuals who are eligible for PMAY scheme are: Any household with an annual income between ₹ 3 lakh to 18 lakh can apply for this scheme. The applicant or any other family member must not now own a pucca house in any part of the country.

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