The Baroda Artisan Credit Card is a credit card offered by Bank of Baroda specifically designed for artisans. It aims to provide financial support and exclusive benefits to artisans, enabling them to meet their financial needs and enhance their livelihoods.
Features and benefits of the Baroda Artisan Credit Card:
1. Financial Assistance: The card provides artisans with access to credit, allowing them to meet their working capital requirements and fund their business operations.
2. Customized Credit Limit: The credit limit offered on the Baroda Artisan Credit Card is tailored to meet the specific needs and financial capabilities of artisans.
3. Cash Withdrawal Facility: Cardholders can withdraw cash from ATMs as per the available credit limit, helping them manage their day-to-day expenses and cash flow requirements.
4. Interest-free Period: The card offers an interest-free period on retail purchases, providing artisans with the flexibility to make payments within a specified timeframe without incurring any interest charges.
5. Easy Repayment Options: The card allows artisans to repay the outstanding amount in convenient monthly installments, providing them with financial flexibility and easing their repayment burden.
6. Insurance Coverage: Cardholders may be eligible for insurance coverage, such as accidental death or disability insurance, offering protection and financial security.
7. Merchant Discounts and Offers: The Baroda Artisan Credit Card may provide access to various merchant discounts, offers, and reward programs, allowing artisans to enjoy savings and benefits on their purchases.
It is important to note that specific terms and conditions, eligibility criteria, and fees may apply to the Baroda Artisan Credit Card. To apply for the card and obtain detailed information, interested individuals can visit the Bank of Baroda website or contact their nearest Bank of Baroda branch.
Eligibility
Eligibility for the Baroda Artisan Credit Card is as follows:
1. Artisans Involved in Production/Manufacturing: All artisans engaged in the production or manufacturing process are eligible for the credit card. They should also meet the eligibility criteria for obtaining credit facilities under any of the existing schemes offered by the bank.
2. Preference for Registered Artisans: Preference is given to artisans who are registered with the development commissioner (handicrafts). This registration serves as an additional factor for eligibility consideration.
3. Focus on Artisan Clusters and Self-Help Groups: The bank prioritizes financing for clusters of artisans and artisans who have formed self-help groups (SHGs). This emphasizes collective initiatives and collaboration among artisans.
4. Existing Artisan Borrowers: Existing artisan borrowers of the bank who currently enjoy credit facilities up to Rs. 2 lakhs and have a satisfactory track record with the bank are also eligible for the Baroda Artisan Credit Card.
It’s important to note that meeting the eligibility criteria does not guarantee approval for the credit card. The bank may have additional requirements and evaluation criteria to determine the final eligibility and credit limit for each applicant. Interested artisans can visit their nearest Bank of Baroda branch or access the bank’s official website for more information on the application process and eligibility requirements.
Baroda Artisans Credit Card : Most Important Terms & Conditions
Important Terms & Conditions of the Baroda Artisan Credit Card:
1. Issuance of Cards: Beneficiaries will receive a photo card indicating the sanctioned limit and validity period of their credit facility. Additionally, they will be provided with a passbook or a credit cum passbook containing their details.
2. Fixation of Credit Limit: The credit limit will be determined based on an assessment of the working capital requirements and the cost of tools and equipment needed for the manufacturing process. The maximum limit that can be sanctioned under the scheme is Rs. 2 lakhs. The sanctioned limit is expected to be utilized as revolving cash credit, allowing for multiple drawls and repayments within the limit. The bank may set a repayment schedule specifically for the portion of the loan used for purchasing tools and equipment.
3. Period/Validity: The credit facility is valid for a maximum of 3 years, subject to annual review.
4. Margin Requirement: For loan amounts up to Rs. 25,000, no margin is required. For loan amounts above Rs. 25,000 up to Rs. 2 lakhs, a margin of 15% to 25% will be applicable.
5. Group Insurance: Beneficiaries who are registered with the development commissioner (handicrafts) are eligible for coverage under a group insurance scheme. The premium will be paid jointly by the Government and the beneficiaries in a ratio of 60:40 or as mutually agreed between the Office of Development Commissioner (Handicrafts) and the insurance company.
It’s important for applicants and beneficiaries to carefully review and understand the complete terms and conditions of the Baroda Artisan Credit Card before availing the facility. They can contact their nearest Bank of Baroda branch or refer to the official bank website for further information and clarification.
Frequently Asked Questions (FAQs) about Baroda Artisan Credit Card:
1. Who is eligible to apply for the Baroda Artisan Credit Card?
– All artisans involved in the production/manufacturing process, especially those registered with the development commissioner (handicrafts), are eligible. Preference is given to artisans who have formed self-help groups (SHGs) or are part of artisan clusters.
2. How is the credit limit determined for the card?
– The credit limit is fixed based on an assessment of the working capital requirements and the cost of tools and equipment needed for the manufacturing process. The maximum limit under the scheme is Rs. 2 lakhs.
3. What is the validity period of the credit facility?
– The credit facility is valid for a maximum of 3 years, subject to annual review.
4. Is there a margin requirement for the credit facility?
– For loan amounts up to Rs. 25,000, no margin is required. For loan amounts above Rs. 25,000 up to Rs. 2 lakhs, a margin of 15% to 25% is applicable.
5. Are there any insurance benefits associated with the card?
– Beneficiaries registered with the development commissioner (handicrafts) are eligible for coverage under a group insurance scheme. The premium is paid jointly by the Government and the beneficiaries.
Conclusion:
The Baroda Artisan Credit Card is a specialized credit facility designed to cater to the financial needs of artisans involved in the production/manufacturing process. It offers a range of benefits, including a fixed credit limit, flexible repayment options, and insurance coverage. The card aims to support artisans in their business endeavors and provide them with the necessary financial resources to grow and succeed. Applicants and beneficiaries are advised to carefully review the terms and conditions of the card and seek further information from Bank of Baroda for a complete understanding of the facility.
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