About KSFE

The Sugama Security Scheme is intended for accepting amount outstanding in Sugama Deposits as security towards future liability in chitty and other schemes. The advantage under this scheme is that the advance will be secured and the monthly instalments can be adjusted from the account and at the same time the customers can enjoy interest income on the Sugama Deposit.

Sugama Security Account is to be opened in the name of the subscriber/loanee only either by depositing the future liability in cash or by transfer. No further remittance by any mode is allowed in this account. The deposit amount should atleast be the future liability. However, in the case of combined security the deposit amount can be limited to the shortage of security of chitty/loan amount.

Rate of interest will be the same as for Sugama Account. (Now 5.5%). The depositor can withdraw the interest accrued and credited to the account from time to time. He can withdraw the balance in the account after termination of the liability or on providing alternate security.

 

KSFE is collecting Short Term Deposits for periods ranging from 30 days to 364 days offering attractive rates of interest for different slabs. Individuals and Institutions can prefer this deposit for temporary parking of fund. When compared to Nationalised and Scheduled Banks, the rates of interest are much higher. Minimum amount that can be deposited under this scheme is Rs.5,000/-
Deposits in multiples of Rs.500/- will be accepted.

Short Term Deposits will be accepted as security to future liability in chitty and loan schemes of KSFE. On maturity these deposits can be renewed for a further period at the then existing rates. Provision is also there for premature closure of these deposits.

 

This scheme is specifically designed for the chitty subscribers, which allows the prized subscriber to deposit the prize money in full/part against future liability intending to withdraw the same on furnishing adequate alternate security or repayable on termination of the chitty, provided that the amount deposited under this scheme should not exceed the future liability in the chitty. The period of deposit is minimum 30 days from the opening of chitty and maximum till the date of termination of chitty.

 

KSFE lets you make fixed deposits with higher interest rates. Fixed deposit scheme offered by KSFE has many features similar to that of Fixed Deposits (FD) in banks. But the return offered by KSFE is comparatively higher than that of banks. The interest rate of deposits from the public is 6.25% per annum, chitty prize money deposit is 6.75% and for fresh deposits from senior citizens is 7.25%. The effective returns are higher than the published interest rates, because of monthly payment of interest.

 

 

One of the best deposit schemes offered by KSFE. Sugama Deposit Scheme, in its mode of action/procedure, is comparable to the Savings Bank deposits in banks, but with a higher interest rate. Sugama Scheme is the best in the savings account category as it is offering an interest rate of 5.5%, while the maximum interest offered by banks for this scheme is 3.5%. Sugama acts as a safe and sound transaction scheme for automated chitty installments payment, deposit interest withdrawals and day-to-day dealings.

 

Western Union Money Transfer

In order to provide money transfer services to the customers, KSFE joined hand with the international money transfer service provider, Western Union to act as their agent partner for providing money transfer services anywhere in the world. Money transfer can be done only from a foreign country to India. Transfers within the country and out of the country are not permitted under this scheme.

Xpress Money Transfer

This is the second venture of KSFE in the field of money transfer service, a fee based activity, joining hands with M/s UAE Exchange and Financial Services Limited. With this service, relatives of NRKs working abroad, especially in the Middle East will be able to get cash within minutes through our branches.

Customers have to bring in details of a valid ID proof such as passport, Voter’s ID, driving license, PAN card, Adhar card, NPR card, student ID (issued by Govt. colleges/schools), bank passbook with photo etc. In the case of foreigners, valid passport is the only acceptable ID.

 

This is the second venture of KSFE in the field of money transfer service, a fee based activity, joining hands with M/s UAE Exchange and Financial Services Limited. With this service, relatives of NRKs working abroad, especially in the Middle East will be able to get cash within minutes through our branches.

Customers have to bring in details of a valid ID proof such as passport, Voter’s ID, driving license, PAN card, Adhar card, NPR card, student ID (issued by Govt. colleges/schools), bank passbook with photo etc. In the case of foreigners, valid passport is the only acceptable ID.

KSFE introduced Safe Deposit Locker facility in some units in order to expand our range of services to the public. Lockers may be hired in the names of individuals, firms, companies, association of persons or clubs, trustees, NRIs, Govt. departments, co-operative societies and/or body of individuals. Lockers can also be opened in the name of minors duly represented by a guardian.

The rent of the locker is fixed at the rate of Rs.800 + tax for public and Rs.700+ tax for chitty subscribers, on yearly basis. Nomination facility is available for locker holders.

 

Personal security is accepted for future liability upto Rs.12-lakhs. Employees of Central/ State/ Quasi-Government Departments/ Undertakings, employees of Government / Aided schools/ Plus two schools, colleges and employees of Nationalised/ Scheduled Banks and certain Co-operative institutions are generally accepted (Conditions apply) as sureties by the Company for its various schemes.

1. SALARY AND MINIMUM SALARY

a) “salary” for this purpose include Basic pay plus D.A. (Dearness Allowance) and adhoc DA/increase and P.P (Personal Pay), if any.

b) “Minimum Salary”

Only full-time permanent employees who are drawing a minimum net-salary of Rs.5000/- will be accepted as sureties/guarantors.

2. CLASSIFICATION OF SURETIES

a) “SREG” (Salary Recovery Enforceable Group)

b) “SRNEG (Salary Recovery Non-Enforceable Group)

3. Salary Requirement Norms

a) SREG employees:The SREG surety (s)/guarantor(s) offered should have a minimum/combined salary of 10% of the future liability.

b) SRNEG employees:

The SRNEG surety(s)/guarantor(s) offered should have a minimum/combined salary of 12.5% of the future liability.

c) Combination of Sureties/guarantors

When SREG employee and SRNEG employee are jointly offered as sureties/ guarantors they should have a combined minimum salary of 12.5% of the future liability.

4. General Conditions.

(a) Sureties should be permanent residents of and working in Kerala State.

(b) They should be permanent/ officiating full time employees.

(c) The sureties should have at least 6 months service left for retirement after the termination of the period of liability.

SELF SURETY

SREG and SRNEG employees who are chitty subscribers/Loanees can avail of the facility of self surety/guarantee, up to a liability of Rs.4,00,000/- in all schemes, with minimum net-salary of Rs.5000/- on the condition that total recovery of the applicant doesnot exceed 60% including the monthly gross instalment amount of the chitty/loan/advance applied for. However for future liability of chitty, upto Rs.5,00,000/- ,personal surety is accepted on the basis of salary certificate as well as marks as per score card.

SINGLE SURETY

Single surety is accepted in all the schemes:

(a) Upto a liability of Rs. 4,00,000/- if the principal debtor is unemployed, provided the surety is from SREG with minimum net-salary of Rs.5000/-.on the condition that total recovery of the surety doesnot exceed 60% including the monthly gross instalment of the chitty/loan/advance applied for.

(b) Upto a liability of Rs.8,00,000/-, where the principal debtor is from SREG, provided both the principal debtor and surety have separate minimum net-salary of Rs.5000/-.on the condition that total recovery of the principal debtor doesnot exceed 60% including the monthly gross instalment of the chitty/loan/advance applied for.

 

Fixed deposits with Nationalised Banks, Scheduled Banks, District Co-operative Banks, Co-operative Banks or any other Banks, having deposit insurance coverage and fixed deposits with KSFE. Ltd., either in the name of the subscriber/applicant or in the name of another person will be accepted as security for all our schemes.

Short Term deposits with KSFE. Ltd., either in the name of the subscriber/applicant or in the name of another person will be accepted as security for all our schemes.

LIC Policies, the surrender value of which, are equal to the future liability of the loan/chitty can be accepted as security. The LIC policy accepted as security in such cases can be in the name of applicant/subscriber or in the name of spouse or in the name of any other person. In such cases the policy should be assigned in favour of the company and the policy holder should be a co-bounden in the agreement.

Government Securities and Bank Guarantee can be accepted as valid security. The Bank Guarantee should cover an amount equal to one instalment more than the future liability. Also it should be valid for a period not less than three months after the termination of the liability.

The Passbook of non-prized chitties can be accepted as security for the future liability of schemes.

NSC will be accepted as valid security, on the following conditions:

At the time of acceptance, the issue price (face value) of the NSC’s (VIII issue), should cover the future liability, ie. principal plus interest in case of advances and sum total of future instalments in the case of chitties. The interest for the loan amount is to be calculated till the maturity of the instrument or the remaining period of loan, whichever is longer.

Forms prescribed by the Post Office are used for noting the lien.

The future liability for which Kisan Vikas Patra can be accepted as security is determined as follows:

1. In case the Kissan Vikas Patra is offered as security before the expiry of 30 months after the issue of the same, the certificate will be accepted for a future liability not exceeding 75% of the value of the certificate (i.e, purchase price).

2. If the Kissan Vikas Patra is offered as security after 30 months (i.e, expiry of lock in period) of the issue of the same, the certificate will be accepted as security for future liability worth the premature closure value of the certificate on the date of acceptance of the same as security.

The NRI, NRO, FCNR and NRNR deposits can be accepted as security to our various schemes, provided.

a) The deposit receipts are properly discharged and company’s lien noted on it.

b) The Bank, in which the deposit is kept, agrees to close it and make required payment to KSFE. even before maturity, on demand.

Property security inside the State of Kerala can be accepted as security, provided the title of the owner over the property is clear. The following documents will have to be presented while submitting property as security.

• Title Deeds and prior documents in original (for the past 13 years)
• Encumbrance certificate for the past 13 years
• Land Tax Receipt for the current year
• Building Tax Receipt, if there is a building on the property.
• Possession and enjoyment certificate
• Location Certificate and Sketch of the property.