Hello Dear Readers, Welcome to our new post which is including very good information about Rural Housing Interest Subsidy Scheme. As we all know the government has run the very beneficial Schemes for the Public. Now again the Government of India has started the scheme to provide easy access to institutional Loans. With the help of this post, you will get the details like the objective and benefits of the scheme, Eligibility Criteria, required documents, and some application process. Kindly read this post to the end and grab the information about this.
Rural Housing Interest Subsidy Scheme 2023
In this section, we will share the basic information about the Rural Housing Interest Subsidy Scheme 2023. So this scheme has been initiated by the Government of India. And this scheme has come up with the aim of providing houses to those citizens who are not covered under the Pradhan Mantri Awas Yojana. In this project, the government provides an easy way to get institutional loans to needy households for the construction or modification of their houses.
So only those houses in rural areas will be a part of this scheme. Moreover, the pucca houses that are constructed or modified in this project must suit the norms and standards furnished in the full guideline. All the construction and structure will be done safely in the country. In addition, the govt has also provided an interest subsidy on the amount of loan taken under this scheme.
Highlights of Rural Housing Interest Subsidy [email protected]
| Scheme Name | Rural Housing Interest Subsidy Scheme |
| Beneficiaries | Citizens Of India |
| Targets of Scheme | To Provide Pucca House |
| Started by | Government Of India |
| Year | 2023 |
| Official Website | https://rural.nic.in/ |
Rural Housing Interest Subsidy Scheme – Targets
- The prime target of the Rural Housing Interest Subsidy Scheme 2023 is to provide the Subsidies on the number of loans taken for the construction or modification of the housing units.
- And this scheme will benefit those people who are living in rural areas and are not covered under the Pradhan Mantri Awas Yojana.
- By using this scheme, the standard of living of the citizens will be enhanced.
- Despite that, citizens will also become self-dependent.
- Under this scheme, Pucca houses will be provided to the beneficiaries with the implementation of this scheme.
- Ministry of Rural Development will be responsible for implementing a scheme.
Subsidy Under Rural Housing Interest Subsidy Scheme
| Particulars | RHISS |
| Interest Subsidy (% p.a.) | 3.00% |
| Maximum Housing Loan Tenure (in years) | 20 |
| Eligible Housing Loan Amount for Interest Subsidy (Rs) | 2,00,000 |
| Discount Rate for NPV calculation of interest subsidy (%) | 9.00% |
More Subsidy Details
- The govt has set the rate of 3% for providing the subsidy as per the principal amount of the loan for the beneficiary.
- And this Subsidy will be only admissible for a maximum loan amount of the first 2 lakh irrespective of the quantum of the house loan for 20 years or the full period of the loan whichever is less.
- In the case of the quantum of the housing, if the loan is less than Rs 200000 then the subsidy will be calculated based on the actual loan amount.
- As per the national discount rate of 9% the net present value of the subsidy may be calculated for the period of the loan.
- So the total present value of interest subsidy will be deducted from the principal loan amount of the beneficiary
Rural Housing Interest Subsidy Scheme –Implementation Methodology
- This scheme is only capable of the housing loan amount and Interest.
- Despite that, the amount of housing loans beyond the specified limit will be a nonsubsidized rate.
- CNA will be responsible for ensuring the proper implementation and monitoring of the scheme.
- So the National Housing Bank will be the Central Nodal Agency that channelizes the subsidy to the lending Institution and monitor the progress of this scheme.
- All the periodic monitoring inputs may be given by CNA to the Ministry of Rural Development through regular monthly and quarterly reports.
- When an applicant has taken a housing loan and get the interest subsidy under any government scheme of India and later switches to another PLI for balance transfer then such beneficiary will not be eligible to claim the benefit of interest subsidy again.
What is the Mechanism for Release of Central Subsidy?
- With the implementation of this scheme, the government is providing the subsidy payment to CNA.
- And the giving amount will be revealed to the CNA of the interest subsidy after 70% utilization of the earlier amount on a quarterly basis.
- Based on the disbursement of the loan to the beneficiaries the central nodal agency will release the Subsidy amount directly
- So the total present value of the interest subsidy will be credited through the PLI to the beneficiary’s account by deducting it from the principal loan amount of the beneficiary.
- All the candidates need to pay EMI according to lending rates on the remainder of the principal loan amount.
- 0.25% of the total fund disbursement by the central nodal agency to the PLI will be paid to the central nodal agency for their administrative expenses
- PLI cannot take any processing charge from the beneficiary under the scheme
- The PLI will be provided a lump sum amount of Rs 2000 per sanction application in lieu of the processing fees for the housing loan for the borrower
Benefits And Features Of Rural Housing Interest Subsidy Scheme
- Rural Housing Interest Subsidy Scheme 2023 has been launched by the Government of India.
- This scheme is launched for providing houses to those citizens who are not covered under Pradhan Mantri Awas Yojana.
- This project, govt has provided easy access to institutional loans to all such needy households for the construction or modification of their houses.
- Under this scheme, only houses in rural areas will be covered under this scheme.
- Now all the Citizens will also become self-dependent through this scheme.
- The pucca houses that are constructed or modified under this scheme should conform to the norms and standards provided in the extant guideline on the construction and structural safety in the country.
- And the Government is making the plan to provide an interest subsidy on the amount of loan taken under this scheme.
- The govt has hope that this scheme is going to improve the standard of living of the citizens.
Eligibility Criteria for Scheme
- All the candidates should be permanent residents of India.
- The candidates should be living in rural areas.
- So the Applicants must not own a pucca house.
- The applicants should not be covered under Pradhanmantri Awas Yojana.
Important Documents
- Aadhar Card
- Residence certificate
- Income certificate
- Passport size photograph
- Mobile number
- Email id etc
How to Apply under the Rural Housing Interest Subsidy Scheme 2023?
- All candidates have to navigate the official Website of the Ministry of Rural Development.
- The home page will open in front of you.
- On this page, you have to take the Application form there.
- Then you have to fill up all the needed details in this application form.
- And you have to attach all the required documents.
- Then you need to click on the “SUBMIT”.
- Finally, you have successfully login under this scheme.