Moving from any Housing Loan to Central Government HBA (House Loan) – Migration from Existing Housing Loan to revised House Building Advance scheme 2017
Procedure to be followed in calculation of Interest bearing advances on migration to HBA from existing Home Loans from Banks’ other Financial Institutions
Government of India
Ministry of Housing & Urban Affairs
Nirman Bhawan, New Delhi,
Subject: Interest bearing advances/ Seventh Central Pay commission on migration Of existing government employees who have already taken Home Loans from Banks’ other Financial Institutions — reg.
Kind attention is invited to para 2(viii) of this Ministry’s OM. No. l- 17011/11 (4)/2016-H.III dated 09.11-2017 on the above-mentioned subject regarding fulfilment of extant conditions, extant conditions are clarified as follows.
a) Before granting such House Building Advance. the Head of the Department
i) Should satisfy himself that the home loans were taken by the government employee entirely for purpose of construction / purchase of new house/ flat.
ii) Should ensure that the House Building Advance sanctioned is to tie amount of loan still due to be repaid by the government employee
b) House Building Advance can be availed towards repayment of bank loan taken for the purpose of construction/ purchase of new house/ flat.
C) Employee shall be eligible for grant Of House Building Advance on the date she obtained loans from banks and other financial institutions, irrespective of whether they applied for House Building Advance before raising he loan.
d) House Building Advance fry repayment of loans Shall be granted to the Eligible employees in one lump sum. However, the Government employee shall produce the HBA Utilisation Certificate within one month the date of release of HBA
e) Employee has to satisfy tie other provisions of the House Building Advance Rules -2017.
(Shailendra Vikram Singh)