If you’re an Indian citizen who dreams of owning your own home but lacks the means to do so, you probably have already looked into the Pradhan Mantri Awas Yojana (PMAY). Launched in 2015, PMAY was started as a means to provide Housing For All across the Indian subcontinent.
The scheme allows for individuals belonging to various subcategories to avail of subsidies on the interest rate on home loans to purchase already subsidised housing. This twin advantage makes it possible for individuals of various income groups to finance their homes and finally put a permanent roof over their family’s heads.
The categories that receive subsidies and benefits under the Pradhan Mantri Awas Yojana (PMAY) scheme are the following:
1. Economically Weaker Section (EWS)
The Economically Weaker Section or EWS category consists of families whose annual salary is less than Rs. 3 Lakhs.
Families that fall under the EWS category are eligible to receive an interest-free subsidy on a home loan up to Rs. 6 Lakh for a maximum loan tenure of 20 years.
2. Lower Income Group (LIG)
If the annual income of your family is from Rs. 3-6 Lakh p.a, you most likely qualify under the Lower Income Group (LIG) category.
Families that fall under the LIG category receive an interest rate subsidy of 6.50% for a tenure of 20 years. The subsidy is available only on a maximum of Rs. 6 Lakh of the loan amount.
3. Middle Income Group 1 (MIG 1)
The annual income of a household that falls under the MIG 1 category is Rs 6-12 Lakhs.
MIG 1 families receive an interest rate subsidy of 4% on the maximum loan amount of Rs 9 Lakh for a loan tenure of 20 Years.
4. Middle Income Group 2 (MIG 2)
Families that are categorised as MIG 2 have an annual income of Rs. 12-18 Lakhs.
MIG 2 families receive an interest rate subsidy of 3% on the maximum loan amount of Rs 12 Lakh for a loan tenure of 20 Years.
Eligibility For Pradhan Mantri Awas Yojana (PMAY) 2022 Interest Subsidy
If you belong to the income groups mentioned previously in this article, you’ll be considered eligible for the Pradhan Mantri Awas Yojana 2022 housing scheme. This also makes you eligible for the Interest Subsidy on your home loan taken out with one of the partner banks.
To find out who falls under which category and to verify the claims of all those who have applied for housing under PMAY 2022-23, the government will be referring mainly to The Socio Economic and Caste Census of 2011 (SECC 2011). For the applicants under the Pradhan Mantri Awas Yojana Gramin (PMAY - G), local tehsils and the village panchayats will be consulted. This is to create transparency while selecting, listing and verifying the beneficiaries of the Indian government’s Housing For All scheme.
Top Banks To Take Home Loan Under Pradhan Mantri Awas Yojana (PMAY) 2022
Here is a list of the current top 10 banks for PMAY home loans:
Bank of Baroda
Bank of India
IDFC First Bank
Punjab National Bank
State Bank of India
Other banks that also provide PMAY home loans are:
Bank of Maharashtra
Catholic Syrian Bank
Central Bank of India
City Union Bank
DCB Bank Ltd.
Deutsche Bank AG
Dhanlaxmi Bank Ltd.
ICICI Bank Ltd.
Indian Overseas Bank
Karnataka Bank Ltd.
Karur Vysya Bank Ltd.
Kotak Mahindra Bank Ltd.
Lakshmi Vilas Bank
Nainital Bank Ltd.
Punjab & Sind Bank
SBM Bank (Mauritius) Ltd.
South Indian Bank Ltd.
Tamilnad Mercantile Bank Ltd.
The Federal Bank Ltd.
Union Bank of India
Now that we have a full list of banks that can help you achieve your dream of owning a house under the Indian Government’s Pradhan Mantri Awas Yojana, it’s time to start your application for the same.
Read More: Best Banks to get Home Loan from in 2022