HDFC Ltd has become the first financial institution in the country to disburse subsidy to over 51,000 customers amounting to over Rs 1,100 crore under the Credit-Linked Subsidy Scheme, the flagship scheme of Government’s Pradhan Mantri Awas Yojana .

It has provided loans of over Rs 9,800 crore under PMAY-CLSS, to these customers belonging to the economically weaker section , low-income group and middle-income group category, it said. Renu Sud Karnad, Managing Director, HDFC, said, “the government has laid extraordinary focus on affordable housing with the launch of PMAY. Given the excellent response to the scheme, the government has improved the scheme from time to time. This has renewed the interest of homebuyers in the Indian real estate sector and allowed first time home buyers to avail these benefits to own a house.” “I suggest that people should take all efforts to avail the benefits of these schemes especially the middle class as the schemes for the MIG category are available only up to March 2019,” she said.

During the quarter ended September 30, 2018, HDFC approved 37 per cent of home loans in volume terms and 18 per cent in value terms to customers from the EWS and LIG segment. HDFC, on an average, has been approving 8,300 loans on a monthly basis to EWS and LIG segment, with monthly such average approvals at approximately Rs 1,354 crore. The average home loan to EWS and LIG segment stood at Rs 10.1 lakh and Rs 17.6 lakh respectively.

CLSS was introduced in June 2015 under PMAY for home loans to customers from the EWS, LIG and was extended to MIG category from January 2017. As per the scheme, eligible borrowers are eligible for interest subsidy of 6.5 per cent per annum for loans up to Rs 6 lakh for EWS and LIG category, interest subsidy of 4 per cent and 3 per cent for loans up to Rs 9 lakh and Rs 12 lakh respectively for MIG category for a maximum tenure of 20 years.