Notice to home buyers! The deadline to receive the grant for the MIG-I, MIG-II program of the PMAY CLSS is March 31
New Delhi: The deadline for homebuyers in categories MIG-I and MIG-II, wishing to claim the grant under the PMAY CLSS, is March 31, 2021. The other category of LIG / EWS, however, has its last date of March 31. 2022.
The Credit Linked Subsidy Scheme (CLSS) for the middle income group (MIG) which will be called CLSS for MIG I and MIG II, the implementation of which was initially approved for the year 2017, has been extended until March 2020. However, the government on the 14th of May 2020 announced the extension of the deadline for the affordable housing system CLSS for 1 year, ie until March 2021.
Finance Minister Nirmala Sitharaman, at her press conference in May 2020, announced the extension of the deadline for Pradhan Mantri Awas Yojana (PMAY) Credit Linked Subsidy Program (CLSS) for MIG-I categories and MIG-II until March 31. , 2021.
To qualify for this grant, borrowers must meet certain eligibility criteria. A borrower must meet three simple criteria to be eligible for a grant under the program. Firstly, the borrower’s income must be less than Rs 3 lakh in the economically weaker section (EWS) category. In the low income group, their income should be between Rs 3 and 6 lakh. For the above two sections, the maximum grant amount is set at Rs 2.67 lakh. To apply in the middle income group, the income of a borrower must be between Rs 6 lakh-12 lakh (for MIG-I) and Rs 12 lakh-18 lakh (for MIG-II). In this category, the maximum amount of the subsidy is respectively Rs 2.3 lakh and Rs 2.35 lakh. The credit related subsidy is only available for loans up to Rs 6 lakh for EWS and LIG categories, up to Rs 9 lakh in the case of MIG-I borrowers and up to Rs 12 lakh for MIG- category. II.
The second criterion says that the borrower should not already own a house and the third criterion says that a woman should be a co-owner and co-borrower of the property.
To obtain this grant, the borrower must apply for the loan from the lender under the PMAY scheme with CLSS grant. Once the loan is sanctioned, the lender checks the borrower’s eligibility criteria for the grant. If the borrower meets all the eligibility criteria, the lender initiates a grant application with the central nodal agencies (CNA). Currently, there are three CNAs: Housing and Urban Development Corp. (HUDCO), National Housing Bank (NHB) and State Bank of India. The NACs match the demand and pay the funds directly to the borrowers’ loan account so that the principal amount is reduced and the EMI decreases accordingly. It usually takes up to 6 months to receive NAC funds after submitting your NAC grant application.