ASKED QUESTIONS (FAQs)
ABOUT K.S.F.E. AND ITS SCHEMES
1. What are the main attractions
of enrolling in KSFE Chitties over enrolment in other savings
is a unique scheme incorporating the aspects of a recurring
deposit and an advance scheme. In chitty, the subscriber has
an opportunity to bid and avail of advance which amounts to a
certain percentage of the total denomination of the chitty (sala),
whereas in recurring deposit the advance can be availed only on
the paid up amount. In case bidding is delayed due to draw of
lots in the initial instalments, one can resort to availing of
chitty loan, which is a loan that "bridges" the gap
between the need of the subscriber for money and the delay in
the chitty getting prized.
I hear that the security norms of KSFE for various schemes
are rigid and cumbersome. Is it true?
is really a false notion, born out of lack of first hand information
regarding the range of securities accepted by KSFE
and the actual case with which this can be offered. The KSFE
accepts securities belonging, broadly, to four categories:
Financial Document (2) Personal surety
security and (4) Gold Security
first category consists of
Ų Fixed deposits of KSFE and
other institutions, covered by deposit insurance cover
NSC VIII issue, which is 4 years or more old from date of deposit
Kissan Vikas Patra
The surrender value of LIC policies
Paid up amount in Non-prized chitties of KSFE
second category consists of employees belonging to Government of
Kerala and Government of India Departments and Undertakings, Banks
and other reputed Organisations and Professionals like Doctors,
Chartered Accountants, etc. who have assessed income above a certain
Self surety of an employee belonging to SREG/SRNEG will be accepted
upto a liability limit of Rs.3,00,000/-
case an employee under SREG/SRNEG catagory can bring another surety,
either from SREG or SNREG, this security will be enough for a
liability upto Rs.5,00,000/-.
monthly salary of sureties belonging to Salary Recovery Enforceable
Group (SREG) shall be not less than 10 % of the future liability
and it should be 12.5% if the sureties are belonging to Salary
Recovery Non-Enforceable Group (SRNEG). The total net pay of subscriber/surety
together should cover gross monthly installment of chitty/loan.
the third category the document related to any, property that
is situated in a prime location is admissible, can be accepted
will not be difficult for any one to offer one of the above categories
hereby for a scheme. Moreover reforms are being effected to make
the security norms more customer friendly.
What are the advantages of the Consumer/Vehicle Loan Scheme of KSFE
over similar schemes of other institutions?
is a scheme where interest rates are most competitive at 13.00%(simple)
and security norms are simple as in other schemes. CVL scheme
can be availed to acquire consumer articles ranging from TVs to
four wheelers. Unlike similar schemes of competitors the repayment
period can be extended upto 60 months.
What are the advantages of the KSFE Housing Loan over similar
schemes of other institutions?
other institutions, Housing Loan Scheme of KSFE
is designed to cater to the needs of all segments of population
such as Traders, NRIs, Business persons, Professionals, Salaried
class etc. The interest rate is competitive and the terms are
simple. Moreover Green Channel systems have been introduced to
expedite the completion of the formalities of the scheme. KSFE
provides advance under this category for purchase of plots as
well as purchase of dwelling house and for construction of dwelling
What are the main attractions of Gold Loan Scheme of the KSFE
Gold loan scheme of the KSFE is operated through
the specialised Gold Loan counters with extended working hours
upto 4.30p.m. in branches. The loan applications are disposed
within a very short time and since the Gold Loan counters are
given immense discretionary powers in relation to the decision
making about the suitability of the loan applicant for granting
the advance is made in a jiffy. Further interest is charged for
the actual number of days the gold is under pledge.
What are main attractions of Chitty Loan Scheme?
Under this scheme advance is extended for any purpose. After remittance
of 10% of the instalments a subscriber will be eligible for advance
of upto 50% of the sala of the chitty, subject to certain conditions.
All securities accepted for chitties are acceptable for chitty
loan also. The execution of the loan application is usually
very fast, especially if the security belongs to financial documents
or personal security category. The interest rate is most competitive,
at 13.00% (simple).
7. What are the attractions of
KSFE Personal Loan Scheme?
person who is a customer, with a good track record, in any of
the KSFE schemes for 1 year can avail of an advance
upto Rs.3,00,000/- on personal security, Rs.25,00,000/- on property
security / financial documents security under this scheme. Also
employees belonging to SREG category and who do not have a track
record of chronic default can avail of this scheme. The interest
rate is competitive at 12.25% (yearly diminishing)
I hear that the granting of chitty prize money and advance will
involve delay in KSFE?
is absolutely wrong. There may be rare instances of delay due
to the failure in submitting sufficient security in time. Recent
reforms brought about for the quick acceptance of securities and
bringing in speed and flexibility will further expedite the processing
of loan/chitty prize money payment applications and extending
of advance/prize money payment in submitting sufficient security
Is there a system of redressal of complaints, if I have any?
Complaints any, regarding the deficiency in service at any of
the KSFE branch, you can immediately take it up
with the Branch Manager. If redressal of complaints is not effected
at that level, the complaint can be forwarded to the respective
Regional Offices/Corporate Office.
How is the line of control over branches structured?
The Corporate Office of KSFE is at Thrissur. It
has eleven Regional Offices at
i) Thiruvananthapuram ii) Kollam iii) Kottayam
iv) Ernakulam v) Thrissur vi) Kozhikode vii)
Kannur viii) Attingal ix) Alappuzha  x)
Kattappana and xi) Malappuram for coordinating and
controlling the branches. A list of branches under each Regional
Office is given in this Website elsewhere.
I hear that now a days KSFE Chitty scheme opens its door to NRI's
Yes. Now NRI's can also join chitties offered by KSFE as per notification
no. 227 dated 13/4/2015 in the gazette of government of India.
For this, they may go through the various denominations of chitties
offered by our various Branches and select the type for their
requirement. Then they may download the chitty application form,
which can be obtained from our website. Take the printout in duplicate
and fill up the personal details called for in the last page of
the application form. After putting signature on both forms, they
may send them to the concerned branches. The address and phone
number of branches are provided in our website. The amount for
first installment may be transferred by the mode internet banking,
money transfer service of WUMT/Xpress Money, for which KSFE has
an agreement. The installment can also be remitted directly in
the branch in cash/cheque on behalf of the subscriber. For internet
banking, the account no. and IFSC code of the branches may be
obtained by contacting the concerned branch over phone or email.