welcome

 CIRCULAR 15
 (CONTINGENT LOAN IMPROVEMENTS MADE)
 CIRCULAR 14
 (CLEAN LOANS SCHEME TO AB PENSIONERS.)
 CIRCULAR 13
 (CONFIRMED EMPLOYEES MADE ELIGIBLE TO AVAIL ONG TERM LOAN AT MAXIMUM OF BASIC PAY OR Rs.50, 000/- WHICH EVER IS LOWER.STIPULATION TO  COMPLETE 3 YEARS OF SERVICE TO AVAIL LOAN IS REMOVED.ALL CONFIRMED EMPLYESS ELIGIBLE TO AVAIL LONG TERM LOAN.)
 CIRCULAR 12
 (CONTINGENT LOAN TO THE SHARE HOLDER MEMBERS-INTRODUCTION OF RENEWAL FACILITY – GUIDELINES.)
 CIRCULAR 11
 (ELECTIONS FOR THE BOARD OF DIRECTORS OF THE A.B.E CO-OPERATIVE BANK LTD., BOARD RECONSTITUTED WITH THE NEWLY ELECTED BOARD OF  DIRECTORS.)
 CIRCULAR 10
 (SURETY LOAN AND ADDL. SURETY LOAN MODIFIED AS LONG TERM AND MEDIUM TERM LOAN. REQUIREMENT OF SURETY SIGNATURES FOR AVAILING LOANS  REMOVED – SHARE HOLDERS ALREADY WHO HAVE AVAILED SURETY LOAN AND ADDL. SURETY LOAN SHALL APPLY FRESH TO GET RELIEVED FROM BURDEN  OF SURETY TO OTHER LOANS.)
 CIRCULAR 9
 (REMOVAL OF SURETY FOR AVAILING THE LOANS – SURETY/ Medium Term Loans NOMENCLATURE NOW CHANGED AS MEMBER'S LONG TERM & MEMBER'S  MEDIUM TERM LOANS.)
 CIRCULAR 8
 (INTRODUCING A NEW LOAN SCHEME "Medium Term Loans" TO THE SHARE HOLDER MEMBERS.)
 CIRCULAR 7
 (REVISED/MODIFIED REFUALTIONS FOR SANCTION OF MEMBER'S LONG TERM LOAN/MEMBER'S MEDIUM TERM LOAN.)
 CIRCULAR 6
 (REVISION OF MONTHLY SUBSCRIPTION OF THRIFT DEPOSIT. )
 CIRCULAR 5
 (DISCONTINUATION OF THE FACILITY OF WITHDRAWAL FROM THE THRIFT DEPOSIT.)
 CIRCULAR 4
 (FACILITY TO STAND AS SURETY TO TWO SHARE HOLDERS LOAN ACCOUNTS SUBJECT TO NOT EXCEEDING THE AMOUNT TWICE HIS ELIGIBLE SURETY LOAN  AMOUNT.)
 CIRCULAR 3
 (SANCTION OF LOANS TO MEMBERS AGAINST THEIR NATIONAL SAVINGS CERTIFICATES(S) @ 11.00% P.A.)
 CIRCULAR 2
 (REDUCTION OF RATE OF INTEREST ON LOANS FROM 11.50% TO 10.50% P.A. WITH EFFECT FROM 01-01-2005)
 CIRCULAR 1
 (RELIEF OFFERED TO THE SURETIES ON ACCOUNT OF BORROWERS WHO ARE DISMISSED, TERMINATED, COMPULSORILY RETIRED FROM THE SERVICE OF  ANDHRA BANK.)

CIRCULAR 1
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2003/66
REF NO : 1/25
DATE : 09-12-2003

 
Reg: RELIEF OFFERED TO THE SURETIES ON ACCOUNT OF BORROWERS WHO ARE DISMISSED,         ERMINATED, COMPULSORILY RETIRED FROM THE SERVICE OF ANDHRA BANK.
 

Our Shareholders are aware that whenever any share holder-borrower of our co-operative Bank is Dimissed, Terminated, Compulsorily Retired from the service of Andhra Bank or placed under suspension by Andhra Bank, the dues of such employee on account of Surety loan, Vignan loan, Housing loan are being adjusted from Terminal benefits/Subsistance allowance. However where such amount could not be recovered or where the amount received falls short of the actual dues, the amount is being recovered from the Salary of the Surety.

In this regard, we have received letters from our Share Holders requesting us to give some relief to the sureties of the Dismissed, Terminated, Compulsorily Retired and Suspended Share holder - Borrowers from the service of Andhra Bank, as the Sureties are facing lot of financial problems in paying huge dues of defaulted borrower from their salaries monthly.

Keeping in view the extraordinary circumstances of such cases, our Board of Directors in their Meeting held on 17-8-2003 have taken the under noted unique and important decisions to extend the relief and reduce the burden to the sureties of such type of borrowers.

STOPPAGE OF INTEREST CHARGING:

In case of Suspension/Dismissal of the shareholder-borrowers from Andhra Bank service, the interest may not be charged to the loan account from the date of such suspension/dismissal. However, in the event of reinstatement of the shareholder-borrower in Andhra Bank service, the interest may be charged to the loan account with the retrospective effect from the date of its stoppage.

RECOVERY OF LOAN AMOUNT FROM SURETY AT REDUCED RATES:

In case of suspension of the share holder-borrower from Andhra Bank service, the outstanding balance amount in the loan account as on the date of suspension, without charging any interest further, may be recovered at reduced rates of monthly instalments duly fixed, for the remaining period so that the loan is closed as per the original schedule.

RELIEF TO THE SURETY FROM M.M.B.F.:

In case of dismissal of shareholder-borrower from Andhra Bank service, the outstanding balance amount in the loan account, without charging any interest further may be adjusted by Share Capital, Thrift, M.M.B.F Contribution and Terminal Benefits received, if any, from Andhra Bank. In case any amount remains outstanding even after the said adjustment, 50% of such an utstanding balance amount may be adjusted from the MMBF as relief to the surety and only the remaining 50% balance amount may be recovered at once from surety.

Accordingly the amendments to the subsidiary rules of Members Mutual Benefit fund were approved in the 52nd Annual General Body Meeting held on 28-9-2003 at Hyderabad.

We hope that our Share Holders will appreciate in extending the above Relief to Sureties of the Dismissed, Terminated, Compulsorily Retired and Suspended Share holder - Borrowers from Andhra Bank.

WITH NEW YEAR GREETINGS.

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CIRCULAR 2
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2004/95
REF NO : 1/29
DATE : 27-12-2004

Reg: REDUCTION OF RATE OF INTEREST ON LOANS FROM 11.50% TO 10.50% P.A. WITH         EFFECT FROM 01-01-2005. REDUCTION IN MONTHLY LOAN INSTALMENT(EMI) AMOUNT         FROM JANUARY, 2005 SALARY ONWARDS. REVIVAL OF BANK'S WEBSITE
        ( www.abecoopbank.com )

 

Our Shareholders are aware that the rates of interest on Members loans i.e. Long Term Loans, Vignan loans and Housing loans were reduced from 14% to 13% p.a. (with effect from 01-10-2000), from 13% to 12% p.a. (with effect from 01.10.2001) and from 12% to 11.5% p.a. (with effect from 01-01-2003).

Further, we are glad to inform you that the Board of Directors in its meeting held on 25-12-2004 has taken the undernoted unique decisions in this regard to meet the needs of our Share Holders as expressed by them in the recent Annual General Meeting held on 26-9-2004 at Rajahmundry.

REDUCTION OF INTEREST RATES:

Reduction of rate of interest on Members loans i.e. Long Term Loans, Vignan loans and Housing loans from 11.50% to 10.50% p.a. with effect from 1-1-2005.
Reduction of rate of interest on loans against Thrift Deposit from 11.50% to 10.50% p.a. with effect from 1-1-2005

REDUCTION OF EMI:

We are glad to inform all our members that in view of reduction in the interest rates,the monthly loan instalment (EMI) amount is readjusted, as a result of which,the EMI collected from the january,2005 salary onwards will be reduced.

REVIVAL OF WEBSITE:

Our Share holders are aware that our Bank has provided a facility to our Members to know the information regarding their loan accounts and their status through website (www.abecoopbank.com) in the year 2001. But due to technical reasons, the website is not properly working for about last six months. Now those technical defects in the website are rectified and website is made available from 1-1-2005 onwards to know the information by our Members. A separate brochure also is being released in this regard.

We wish all our Share Holders and their family members a
"HAPPY AND PROSPEROUS NEW YEAR".

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CIRCULAR 3
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2003-33
REF NO : 1/18
DATE : 28-01-2003

Reg: SANCTION OF LOANS TO MEMBERS AGAINST THEIR NATIONAL SAVINGS CERTIFICATES(S) @ 11.00% P.A.

 

Our Share Holders have expressed in the Annual General Meeting held on 22-09-2002 at Kurnool that a loan facilities shall be introduced against the security of their National Savings Certificate(s).

Keeping the above in view, our Board of Directors in their Meeting held on 15-12-2002 have taken a decision to introduce a Loan facility to Members against the security of their National Savings Certificate(s) with effect from 1-02-2003 as noted below.

 SUBSIDIARY REGULATIONS FOR SANCTION OF "N.S.C. LOAN":

1. This loan shall be called "N.S.C. Loan".

2. The Loan shall be granted to Members against the security of their N.S.Cs.

3. The quantum of loan shall be as under:
    i)100% of the face value against the N.S.Cs. purchased on or before 28-02-2001.
    ii)90% of the face value against the N.S.Cs purchased during the periodfrom 1-03-2001 to
       28-02.2002
    iii)80% of the face value against the N.S.Cs. purchased on or after 01-03-2002.

4. The Rate of Interest on Loan shall be 11% p.a. at half yearly rests.

5. Members may remit any amount at any time towards the credit of their N.S.C. Loan Account through     D.D./P/O. However,it may be noted that on the date of maturity of N.S.Cs., the proceeds realized     thereby shall be adjusted towards outstanding liability in the N.S.C. Loan account and the balance     amount if any shall be paid to the member.

6. A sum of Rs. 50/- will be collected towards processing charges.

 PROCEDURE TO SANCTION LOAN:

Prescribed application duly filedin and signed is to be forwarded through their Branch to our Central Office.

On scrutiny of the application, our Central Office will send the sanction letter along with the form of transfer of certificate(s).

On receipt of the sanction letter, Member has to submit the National Savings Certificate(s) to the Central Office of the Co-operative bank after getting a lien marked on them in favour of our Bank by the respective post office at which the N.S.Cs., are purchased.

On receipt of the National Savings Certificate(s) after marking a lien on then in favour of the A.B.E. Co-operative Bank Ltd., our Central Office will then send a cheque for the loan amount in favour of the Members to their respective Branches.

These regulations will come into force with effect from 1-02-2003.

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CIRCULAR 4
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2003/39
REF NO : 1/19
DATE : 03-03-2003

Reg: FACILITY TO STAND AS SURETY TO TWO SHARE HOLDERS LOAN ACCOUNTS SUBJECT TO NOT EXCEEDING THE AMOUNT TWICE HIS ELIGIBLE SURETY LOAN AMOUNT.

 

Our share holders are aware that the members Long Term Loans are being sanctioned up to a maximum amount of Rs. 1,50,000/- as per the eligible criteria with effect from 16-12-2002.

On our circular no.2002/29 Ref.no. 1/17 Dt. 16.12.2002 under subsidiary regulations (D)Surety, we informed to our share holders that “loan shall be sanctioned on the surety of share holder of equal or above cadre of the applicant. Each share holder is eligible to stand as surety to only one share holder”.

In this regard, our members are expressing their difficulties in obtaining surety for their surety loan, as the same is restricted to stand surety to only one member equal or lower cadre.

Keeping in view the above, our Board of Directors in their meeting held on 02.03.2003 have modified the subsidiary regulation of (D) surety of our circular No.2002/29 Ref No. 1/17 Dt. 16.12.2002 as “A member can stand as surety for two loans subject to not exceeding the amount twice his eligible surety loan amount”.

Hence, members can avail this facility for getting surety loan from our Bank easily.

This regulation will come into force with effect from 03.03.2003.

 

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CIRCULAR 5
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2003/42
REF NO : 1/22
DATE : 03-03-2003

Reg: DISCONTINUATION OF THE FACILITY OF WITHDRAWAL FROM THE THRIFT DEPOSIT.

 

Our share holders are aware that hitherto the withdrawal from the members thrift deposits is being allowed upto the amount of 50% of the accumulated thrift deposit on completion of 10 years membership with our Co-op. Bank and thereafter every 5 years.

In the recent statutory Inspection conducted by Reserve Bank of India, the R.B.I. inspector has observed that the thrift Deposit amount is not increasing while the loan amounts are increasing due to the premature withdrawals from the thrift Deposit and suggested that these premature withdrawals shall be discontinued forthwith so that the Thrift Deposit will grown adequately.

Accordingly, our Board of Directors in their meeting held on 02.03.2003 have reviewed the thrift deposit portfolio, and decided to discontinue the facility of withdrawal from the members thrift deposit with effect from 03.03.2003 as it has become invitable.

Members are requested to cooperate to strengthen the Thrift Deposit so that they will be served in a better way.

This regulation will come into force with effect from 03.03.2003.

 

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CIRCULAR 6
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2005/121
REF NO :1/34
DATE : 05-09-2005

Reg: REVISION OF MONTHLY SUBSCRIPTION OF THRIFT DEPOSIT.

 

Our shareholders are aware that our bank is mainly functioning with the funds borrowed from public by way of deposits. The own funds of our bank i.e. Share Capital, Thrift Deposit and Reserves are very meager. In this regard, it is to bring to the notice of our members that the most of the Employees’ Co-Operative Credit Societies/Banks are running their business with their own funds i.e. Share Capital, thrift Deposit and Reserves. The statutory inspection report of RBI was also pointing out that Bank should take steps to increase its own funds.

In the light of the above, it is needless to inform out members that is a need to revise monthly subscription of thrift deposit to increase the own funds and improve the thrift deposit port folio of our bank.

Hence, our Board of Directors in their meeting held on 04-09-2005 have reviewed Thrift Deposit Port Folio and revised the monthly subscription of Thrift Deposit as under.

MEMBERS WHOSE BASIC PAY IS UPTO : RS
Rs. 1,700/- P.M. 50.00 P.M.
Rs. 1,701/- P.M. TO Rs. 3,000/- P.M.  100.00 P.M.
Rs. 3,001/- P.M. TO Rs. 7,500/- P.M.      150.00 P.M.
Rs. 7501/- P.M. TO Rs.10,000/- P.M       200.00 P.M.
Rs. 10,001/- P.M. TO Rs. 15,000/- P.M.  250.00 P.M.
Rs. 15,001/- P.M. TO Rs. 20,000/- P.M.  300.00 P.M.
ABOVE Rs. 20,000/- P.M.      350.00 P.M.

The members are free to subscribe any higher amount also. The members who desire to subscribe a higher amount to thrift deposit may write to the Co-operative Bank immediately. It may kindly be noted that the Bank is paying interest of Thrift Deposit at the rate of 9.5% p.a. which is substantially higher than the interest rates prevailing in the market.

Members are requested to cooperate to strengthen the Thrift Deposit portfolio.

The revised subscription of Thrift Deposit will be effected from the Month of September, 2005.

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CIRCULAR 7
   
DEPARTMENT:MEMBERS

CIRCULAR NO : . 2008/207
REF NO : 1/51
DATE : 05-09-2008

Reg: REVISED/MODIFIED REFUALTIONS FOR SANCTION OF MEMBERS’ LONG TERM   LOAN/MEMBERS’ MEDIUM TERM LOAN.

 
I. MEMBER'S LONG TERM LOAN.

This loan shall be called as MEMBERS' LONG TERM LOAN.

1. The loan shall be granted to members’ subject to the condition that the borrower should have been     completed three years of service in Andhra Bank.

2. A member is eligible for loan for not exceeding Rs. 200/- for every share of Rs. 10/- held by him/her     subject to a maximum loan amount Rs. 1.50lakh.

3. 5% of the loan amount shall be collected as share capital.

4. A member has to pay an entrance fee Re. 1/- per each share taken by him/her provided total     entrance fee shall not exceed Rs 100/-

5. A sum of Re.1/- (One Rupee only) per 1000/- (sanction amount) or minimum Rs. 50/- (Rupee Fifty     only) shall be collected as Processing charges.

(B) REPAYMENT OF LOAN:

i)  Maximum period for repayment of loan sanctioned for “Housing” purpose shall be 120 equal monthly     installments along with the interest thereon.

ii) For the purposes other than "Housing" the maximum repayment of loan shall be 60 monthly equal     installments.

    NOTE: Repayment of any kind of loan shall not exceed beyond the date of retirement of the principle     borrower.

(C) RENEWAL OF LOAN:
i)  Members' are eligible to renew their loan subject to the condition that, such member had repaid     1/3rd of the number of installments (in normal course) opted for repayment.
(D) OTHER CONDITIONS

i)  Interest @ 10.50%p.s on monthly diminishing balances shall be calculated and debited to respective     loan account, once in 6months i.e. at the end of September and March

ii) Members’ have to enclose original/attested copy of the latest pay slip to the loan application. Loan     shall be sanctioned to the sufficient net salary to recovery the installment of the proposed to be     sanctioned.

iii) Advance installment for the purpose of deleting the same from the monthly demand schedule will not      be permitted.

iv) Advance installment received in respect of old loans/ loans after the renewal of such loan/ loans     shall be credited to new loan account, but in no case such installment shall be refunded.

v) Renewals of loans are subject to availability of funds. The application will be sanctioned by keeping in     seriatim strictly, as such members are requested not to press, out of turn renewals and oblige.

II. MEMBER'S MEDIUM TERM LOAN
The loan shall be called as MEMBERS' MEDIUM TERM LOAN

1. ELIGIBLE QUANTUM OF LOAN
BASIC PAY UPTO Rs. 8500 Rs. 50, 000
From Basic pay of Rs. 8501/- to Ts 15, 000/- Rs. 75, 000
Basic pay Rs. 15, 001/- and above Rs. 1, 00, 000
Members’ workings in the cadre of Part Time Sweepers are entitled for loan, proportionate to their scale of pay.

2. The loan shall be granted to members subject to the conditions that the borrower should have been     completed three years of service in Andhra Bank.

3. 10% of the loan amount shall be collected as share capital.

4. A sum of Re.1/- (One Rupee only) per 1000/- (sanction amount) or minimum Rs. 50/- (Rupee Fifty      only) shall be collected as Processing charges.

5. The loan is covers by Member Mutual Benefit Fund scheme.

    Share holders availing this loan shall contribute as noted below every month towards MMBF scheme     during the currency of the loan for availing the benefit under the scheme.
    Members' workings in the cadre of Part Time Sweepers are entitled for loan, proportionate to their     scale of pay.

a)Loan amount up to Rs. 50, 000/- Rs. 25/-p.m
b)Loan amount above Rs 50, 000/- & Up to Rs. 75, 000/- Rs. 40/-p.m
c)Loan amount above Rs. 75, 000/- Rs. 50/-p.m
d)In respect of Part Time Sweepers an amount of Rs. 10/- p.m shall be contributed towards M.M.B.F.

6. RATE OF INTEREST:
    Interest @ 10.5% p.a. on diminishing balances shall be calculated and debited to the respective loan     once in six months i.e. at the end of September & March.
7. REPAYMENT:
    Maximum of 60 monthly installments or the left over service of the borrower whichever is lower,     commencing immediately after disbursement..

8. RENEWAL OF LOAN
    Loan can be renewed on payments of 20 monthly installments.

GENERAL

Member's have to enclose original/ attested copy of the latest pay slip to the loan application. Loan shall be sanctioned subject to the sufficient net salary to recover the installment of the proposed loan to be sanctioned.



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CIRCULAR 8
   
DEPARTMENT:MEMBERS

CIRCULAR NO :. 2006/135
REF NO : 1/40
DATE :17-4-2006

Reg: INTRODUCING A NEW LOAN SCHEME “Medium Term Loans” TO THE SHARE HOLDER MEMBERS.

 

Our Share Holders are aware that the present the members’ Long Term Loans are being sanctioned up to a maximum amount of Rs. 1,50,000/- as per eligibility criteria. The members of our Bank have been expressing their desire that the surety loan amount may be increased since last one year.

Hence, in exercise of the powers conferred under bylaw No. 46 of the Bank, the Board of Directors in their meeting held on 09/04.2006 decided to introduce a new loan scheme "Medium Term Loans" to members depending on their Basic Pays and formulated the following subsidiary regulations.

SUBSIDIARY REGULATIONS FOR SANCTION OF “Medium Term Loans”

1. The loan shall be called as Members Medium Term Loans.

2. ELIGIBLE QUANTUM OF LOAN

BASIC PAY UPTO Rs. 8500 Rs. 50, 000
From Basic pay of Rs. 8501/- to Ts 15, 000/- Rs. 75, 000
Basic pay Rs. 15, 001/- and above Rs. 1, 00, 000

    Members’ workings in the cadre of Part Time Sweepers are entitled for loan, proportionate to their     scale of pay.

3. The loan shall be granted to members subject to the conditions that the borrower should have been     completed three years of service in Andhra Bank.

4. 10% of the loan amount shall be collected as share capital.

5. A sum of Re.1/- (One Rupee only) per 1000/- (sanction amount) or minimum Rs. 50/- (Rupee Fifty     only) shall be collected as Processing charges.

6. The loan is covered by Member Mutual Benefit Fund Scheme. Share holders availing this loan shall     contribute as noted below every month towards MMBF scheme during the currency of the loan for     availing the benefit under the scheme

a) Loan amount up to Rs. 50, 000/-    Rs. 25/-p.m
b) Loan amount above Rs 50, 000/- & Up to Rs. 75, 000/-   Rs. 40/-p.m
c) Loan amount above Rs. 75, 000/-   Rs. 50/-p.m
d) In respect of Part Time Sweepers an amount of Rs. 10/- p.m shall be contributed towards     M.M.B.F.

7. Defaulter(Direct) of any of the existing loan facilities are not eligible to avail this loan.

8. RATE OF INTEREST:
    Interest @10.5% p.a. on diminishing balance shall be calculated and debited to the respective loan     once in six months i.e. at the end of September & March.

9. REPAYMENT
     Maximum of 60 monthly installments or the left over service of the borrower/Surety whichever is      lower, commencing immediately after disbursement.

10.RENEWAL OF LOAN
      No renewal.

GENERAL

Members have to enclose original/attested copy of the latest pay slip to the loan application. Loan shall be sanctioned subject to the sufficient net salary to recover the installment of the proposed loan to be sanctioned.
The loan scheme will come into operation with effect from 1st May, 2006.

 

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CIRCULAR 9
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2005/121
REF NO : 1/34
DATE : 05-09-2005

Reg: REMOVAL OF SURETY FOR AVAILING THE LOANS – SURETY/ Medium Term Loans NOMENCLATURE NOW CHANGED AS MEMBERS’ LONG TERM & MEMBERS’ MEDIUM TERM LOANS.

We are please to inform all out share holders that our Board of Directors has made certain modifications / relaxations to the Surety & Medium Term Loans schemes with a view to mitigate the hardships faced by shareholders.

The requirement to having a surety for availing the Long Term Loans is now waived and the nomenclature of the loans are changed as MEMBERS’ LONG TERM LOAN & MEMBERS’ MEDIUM TERM LOAN.

Members’ Long term loan maximum limit is Rs. 1.50 lakhs

Members’ Medium Term loan maximum limit is Rs. 1.00 lakh as per eligibility.

New applicable for the modified loan schemes are being sent to the branches of Andhra Bank.

Share holders have to apply in new application format hereafter to avail the loans.

Share holders who have already availed the loans and currently having outstanding loan mounts have to renew the loans in the new application format of the modified scheme to relieve their sureties and also ensure that the shareholders for whom they have stood as surety also renew the loans.

However the defaulter borrowers, their sureties and sureties to dismissed borrowers are not eligible to the revised scheme till the loans are regularized settled respectively. Till such that date the loans will continue as Long Term Loans and their liability on surety will remain.

The modified/revised scheme hereafter called Members’ Long Term & Members’ medium Term Loan is enclosed here with for the benefit of comprehensive understanding of the scheme.

 

 

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CIRCULAR 10
   
DEPARTMENT:MEMBERS

CIRCULAR NO : 2009/212
REF NO : 1/52
DATE : 13/3/09

Reg: SURETY LOAN AND ADDL. SURETY LOAN MODIFIED AS LONG TERM AND MEDIUM TERM LOAN. REQUIREMENT OF SURETY SIGNATURES FOR AVAILING LOANS REMOVED – SHARE HOLDERS ALREADY WHO HAVE AVAILED SURETY LOAN AND ADDL. SURETY LOAN SHALL APPLY FRESH TO GET RELIEVED FROM BURDEN OF SURETY TO OTHER LOANS

 

Our Share holders are aware that our Board of Directors had approved a scheme for modification / amendments to surety & Addl. Surety loan to Long term loan and Medium term loan respectively.

REQUIREMENTS OF SURETY SIGNATURE FROM OTHER SHARE HOLDERS TO AVAIL THE LOAN IS REMOVED. THE CIRCULAR NO. 2008/207 DATED 13.02.2009 giving the full details of long term loan and medium term loan scheme along with the new application formats already sent to all the branches for the benefit and information of all our members. We have already informed to the member in order to get relieve from the burden of surety given to the other share holders and also to relieve the share holders from whom the surety signatures were taken for the loans availed, the member who have taken surety loan and Medium Term Loans shall apply fresh for the long term loan and medium term loans respectively.

SURETY RELIEF:

Members who stood as surety to other members Surety loan and Addl. Surety loan in order to get relieved from surety to other loans, shall pursue and ensure that members apply fresh for long term loan and medium term loans. If that members, to whom a member stood as surety do not renew their loans by applying fresh loan for the long term loans and medium term loans. The member surety to their loan amount will continue, in case of their default or non payment of loans, the loan amount will be recovered from the member who stood as surety.

Once again we request you to renew the existing surety loan and Medium Term Loans and also see to whom you stood as surety for surety loan and additional Long Term Loans by applying the loans on the new format under long term loan and medium term loans immediately without any delay to relieve yourselves from the burden of surety.

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CIRCULAR 11
   
DEPARTMENT:MEMBERS

CIRCULAR NO :2010/3
REF NO :1/1
DATE : 19-07-2010

Reg: ELECTIONS FOR THE BOARD OF DIRECTORS OF THE A.B.E CO-OPERATIVE BANK LTD., BOARD RECONSTITUTED WITH THE NEWLY ELECTED BOARD OF DIRECTORS.

Pursuant to the notice under para 2 (c) of the schedule of the M.S.C rules 2002 made under sub section 9 section 45 of the M.S.C.S act 2002, issued by the returning officer for conducting of elections on 18-7-2010 for the purpose of electing 13 (Thirteen) Board of Directors to the Bank, the elections were held on 18-7-2010 at A.V. College of Arts. Science & Commerce, Gagan Mahal, Domalguda, Hyderabad. On reconstitution of the Board, the newly elected members of the Board have must and elected Chairman and Vice-Chairman of the Board. The reconstituted Board of The A.B.E. Co-operative Bank Ltd., is as follows.

ADMISSION NO NAME OF THE MEMBER ADDRESS
CHAIRMAN
14316 SRI KONDA REDDY S 14316 SRI KONDA REDDY S ANDHRA BANK, KALYAN NAGAR BRANCH, HYD.
VICE-CHAIRMAN
5210 SRI RAVINDRANATH T. ANDHRA BANK, H.O - SAIFABAD, HYD.
DIRECTORS
4131 SRI DEVADAS P. ANDHRA BANK, ZONAL OFFICE, KAKINADA
5454 SRI HANUMANTHA RAO T. ANDHRA BANK, SERVICE CENTRE, WARANGAL
4261 SRI KESAVA RAO I. ANDHRA BANK, CURRENCY CHEST, VIZAG
4184 SRI KUTUMBA RAO S. ANDHRA BANK, VIJAYAWADA MAIN BRANCH
17852 SRI MURTHY M.V.S.N ANDHRA BANK, SRINVAGAR COLONY,GUNTUR
6033 SRI SATYANARAYANA P.V.V ANDHRA BANK, AMBAJIPET, EAST GODAWARI DIST.
13475 SRI SHASHIKANTH SITARAM MALONDKAR ANDHRA BANK, SERVICE CENTRE,MUMBAI
19009 SRI SUBRAHMANYAM V. ANDHRA BANK, ELURU MAIN BRANCH
13346 SRI SYED RAFI JANI ANDHRA BANK, KAZIPET, WARANGAL
11295 SRI VEERABHADRA RAO R. ANDHRA BANK, HYDERGUDA, HYDERABAD
18613 SRI VENKATESWWARLU D. ANDHRA BANK, HUZURABAD

 

(G. RAMESH BABU)
CHIEF MANAGER

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CIRCULAR 12
   
DEPARTMENT:MEMBERS

CIRCULAR NO :2011/257
REF NO :1/61
DATE : 02-05.2011

Reg: : CONTINGENT LOAN TO THE SHARE HOLDER MEMBERS-INTRODUCTION OF RENEWAL FACILITY – GUIDELINES

Our Shareholders are aware that the rates of interest on Members loans i.e. Long Term Loans, Vignan loans and Housing loans were reduced from 14% to 13% p.a. (with effect from 01-10-2000), from 13% to 12% p.a. (with effect from 01.10.2001) and from 12% to 11.5% p.a. (with effect from 01-01-2003).

Hence in exercise of the powers conferred under by law No.46 of the Bank, The Board of Directors in their meeting held on 1-5-2011 decided to revise & modify the contingent loan scheme in order to extend the facility of “Renewal” of the Loan, The revised & Modified guide lines are given hereunder.

REVISED / MODIFIED REGULATIONS FOR SANCTION OF CONTINGENT LOAN:

1) The Loan shall be called as ‘Member CONTINGENT LOAN".

2) ELIGIBILITY: All Share holders who have completed 3 years of service in Andhra Bank are eligible.
    (Ex. Servicemen are eligible on completion of 1 year Service)

3) Quantum of Loan: (Maximum)
    Substaff : Rs. 50,000.00
    Clerks : Rs. 75,000.00
    Officers : Rs. 1,00,000.00

    Members working in the cadre of Parttime Sweepers are entitled for Loan, proportionate to their     Scale of Pay.

4) Purpose of Loan: Construction of House of Purchase of Flat or Repairs/Renovation/Additions to the     Existing House or and any other Domestic Need.

5) Rate of Interest: 12.00% P.A. on diminishing balances, calculated & debited to the respective Loan     once in 6 (Six) months i.e. at the end of September & March.

6) Repayment period: Maximum 60 monthly installments or the left over service of the member     whichever is less, commencing immediately after disbursement of the Loan Amount. Repayment of     the Loan shall not exceed beyond the date of retirement of the member.

7) RENEWAL OF THE LOAN: Loan can be renewed on repayment of 1/3rd period or on closure of the     existing loan.

OTHER CONDITIONS:

a) 10% of the Loan amount shall be collected as Share Capital which will be refundable at the time of     Retirement, VRS.

b) A sum of Rs.50 & Rs.75, Rs.100 will be collected as processing charge for the members in Sub-staff     Cadre, Clerical Cadre & Officers Cadre respectively.

c) The Loan is covered by Member’s Mutual Benefit Fund Scheme. Share holders availing this loan shall     contribute as noted below every month towards MMBF scheme during the Currency of the loan for     availing the benefit under the scheme.

i) Loan amount up to Rs. 50, 000/-    Rs. 50/-p.m
ii) Loan amount above Rs 50, 000/- & Up to Rs. 75, 000/-   Rs. 100/-p.m
iii) Loan amount above Rs. 75, 000/-   Rs. 150/-p.m
iv) In respect of Part Time Sweepers an amount of Rs. 20/- p.m shall be contributed towards      M.M.B.F.

d) Member whose existing Loans are not in order are not eligible to avail this Loan.

e) Original/ Attested copy of the latest Salary shall be enclosed to the Loan Application.

f) Loan shall be sanctioned subject to the Member having sufficient Net Pay to recover Loan     installments.

g) Loan shall be applied on the prescribed Application form duly filling all the required columns.

h) The Revised / Renewal loan scheme will come into operation with immediate effect from the date of     this circular.

(G. RAMESH BABU)
CHIEF MANAGER

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CIRCULAR 13
   
DEPARTMENT:MEMBERS

CIRCULAR NO :2009/236
REF NO :1/56
DATE : 29/10/2009

Reg: CONFIRMED EMPLOYEES MADE ELIGIBLE TO AVAIL LONG TERM LOAN AT MAXIMUM OF BASIC PAY OR Rs.50, 000/- WHICH EVER IS LOWER.STIPULATION TO COMPLETE 3 YEARS OF SERVICE TO AVAIL LOAN IS REMOVED.ALL CONFIRMED EMPLYESS ELIGIBLE TO AVAIL LONG TERM LOAN.

We are happy to inform all our Shareholders that in the 58th Annual General Body Meeting held on 31st August, 2009 on the representations made by the Shareholders, the General Body has unanimously decide as under.

*All the employees in Andhra Bank, whoa re shareholders of the A.B.E. Co-operative Bank Ltd. Here in after immediately on confirmation of their services will be Eligible to Avail the long Term Loan equivalent to 10 times of Basic Pay Maximum of Rs. 50, 000-00 which ever is lower as loan Amount. Hence forth, the stipulation to complete minimum 3 years of service to avail the loan is removed.

**The Shareholders who stood as Surety to the loans of other Shareholders who are Dismissed/Compulsory Retired are relieved from the Liability by waiving 50% of the outstanding loan amount of the Dismissed/CRS employee by adjusting the amount from MMBF Fund and the other 50% Loan amount is being recovered from the surety.

Now it is decided by the General Body that the remaining 50% Loan amount which is being recovered from the Surety will also be totally waived and the sureties are totally relieved form the Liability.

***The requirement of having a surety signature form another shareholder to avail the Loans already removed and it is now decided the MMBF Fund. The interest on Loans charged at 10.50%. out of which, 0.50% will be credited to MMBF to absolve and meet the risk of defaults with effects from 1-4-2009. There fore now 10% only charged on loans and 0.50% credited to MMBF Fund.

The above Shareholder friendly decisions are made effective immediately form the date of this circular.

 

(G. RAMESH BABU)
CHIEF MANAGER

 

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CIRCULAR 14
   
SUB: CLEAN LOANS SCHEME TO AB PENSIONERS – INTRODUCTION

The Staff members of Andhra Bank while in service have ample opportunities to avail credit facilities from their own Bank, ABE Co-operative Bank or other Banks/Financial Institutions. The repayment of loans availed from these Banks/institutions are generally synchronized to the retirement age. The staff members, on superannuation may find no/restricted avenues to avail credit facilities. On the other hand, their credit needs continue to be there for medical/ceremonial/education and other unforeseen expenses.

Considering their earlier long association with the Bank and the present credit needs, the Board of Directors of the Bank in the Board meeting held on 18.12.2011 are pleased to approve a Clean Loan Scheme to the Pensioners of Andhra Bank. The maximum limit fixed is Rs.1.00 lakh per individual, with a total portfolio ceiling of Rs.5.00 crores.

Extension of Loans to retired Staff members (Pensioners) is first of its kind in the Bank. The Pensioners of Andhra Bank may take advantage of the Scheme introduced for their benefit. The details of the scheme and procedure to be followed to avail the loan are furnished below.

CLEAN LOAN SCHEME TO A.B.PENSIONERS
Sl. No. Norm Details
1 Name of the Scheme CLEAN LOANS TO PENSIONERS
2 Eligibility (a) Pensioners of Andhra Bank on enrolling as nominal members by applying for it in prescribed format along with non-refundable fee of Rs.10.00.

(b) 5 times of monthly Pension

(c) The loans of the Pensioner should not have been written off earlier in the Bank and/or the Pensioner should not have irregular repayment history, while availing loans from the Bank as member.

3 Maximum Age 70 years
4 Maximum Loan Rs.1.00 lakh
5 Rate of Interest 15.00%
6 Repayment 36 EMI or eligible EMI up to the age of 70 years whichever is less.
7 Purpose To meet educational/medical/ceremonial expenses
8 Co-obligation Spouse and Staff member/Pensioner of Andhra Bank
9 Processing charges Rs.250/-
10 Documents to be obtained (a)Application for Loan

(b) Property statements of applicant and co-obligants

(c) A certificate from pension paying branch on monthly pension being paid along with pension account number.

(d) Demand Promissory Note & 3rd party letter

(e) Loan Agreement

(f) Post dated cheques drawn on pension account

(g) Irrevocable letter of undertaking to pension paying branch by pensioner and spouse to deduct monthly instalments from pension/family pension account and remit to loan account.

11 Sanctioning Powers CEO / Vice Chairman / Chairman to be put up to Board for review. The Sanction/Rejection of the Loan is at the sole discretion of the Bank. No Sanctions will be considered beyond the overall cap of Rs.5.00 crores.
12 Accounts Maintenance At Central Office
LOAN AVAILMENT PROCEDURE
STEP I The Pensioner desirous of availing the loan has to requisition for prescribed application form from Central Office on furnishing mailing address by post/e-mail. Applications forms are kept on Bank’s web site, i.e., www.abecoopbank.com
STEP II The Pensioner has to forward through the Branch of Andhra Bank where pension account is maintained, the following:

1. Application in prescribed form.

2. Property Statements of applicant, spouse and surety

3. Certificate of Pension from pension drawing branch

4. Sureties’ Pension/Salary Certificate as the case may be.

5. Loan Documents 6.DD/Po for Rs.10/- towards entry fee.

STEP III The Bank processes the application submitted with above annexures and if found eligible, sanctions the eligible loan amount.
STEP IV Central Office communicates sanction to the Applicant.
STEP V 1. On receipt of sanction the applicant has to forward through Pension Drawing Branch of Andhra Bank

a. Post dated cheques drawn on pension account

b. Irrevocable Standing Instructions letter, as per proforma.

STEP VI The Bank on receiving the same, disburses the loan to the credit of pension account on line.

CLICK TO DOWNLOAD APPLICATION FOR CLEAN LOAN

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CIRCULAR 15
   
CONTINGENT LOAN IMPROVEMENTS MADE

FLASH

1. Minimum eligible service reduced from three years to two years

2. Loan limit enhanced to Rs.1,50,000/-

1. Eligibility

    1) The member should be a confirmed employee of Andhra Bank.

    2) The member should have completed three years of service in Andhra Bank and the

    minimum eligible service is reduced to 2 years and enhanced limits vide Board

    Resolution No.731/6/FY/2011-12 dt.18.12.2011.

    3) Ex-servicemen are eligible on completion of 1 year of service.

2. Eligible Limit :
Maximum Limit Rs. Enhanced Limits from 18.12.2011
Substaff   50,000   75,000
Clerks   75,000 1,50,000
Officers 1,00,000 1,50,000

Note: Members working in the cadre of part time sweepers are entitled for loan, Proportionate to their scales of pay.
3. Rate of Interest

    Interest @ 12.00 % p.a., on diminishing balance shall be calculated and debited to the
    respective loan once in six months i.e., at the end of September & March.

4. Purpose of Loan

    Construction of House or purchase of flat or Repairs/Renovation/Additions to the existing
    house and/or any other domestic need like Medical/ Ceremonial / Consumption.

5. Repayment

    Maximum of 60 monthly instalments or the left over service of the borrower whichever is
    lower, commencing immediately after disbursement.


    Note:

            (1) Whenever, it is decided by the Bank, to defer recovery of loan installment for any
            month, the repayment period automatically gets extended by such period.

            (2) Repayment of any kind of loan shall not exceed beyond the date of retirement of
            the principal borrower.

            (3) (a) In the event of non-receipt of salary for any month/s by a Member due to some
            reason or the other, the repayment period gets extended to a further period till the
            entire loan amount is recovered in full.

                 (b) In the event of non receipt of full salary for any month/s by a Member due to
            some reason or the other, the Bank has the discretion to reduce EMI to fit into the
            eligible salary during such month/s and in such cases, the repayment period gets
            extended to further period till the entire loan amount is recovered in full.
6. Renewal

    The Loan can be renewed on repayment of 1/3rd of monthly installments or on closure of
    the existing loan.

    Monthly installment received in respect of closed loans or after the renewal of such
    loan/loans shall be credited to new loan account/thrift deposit account, but in no case such
    installment shall be refunded.

7. Other Terms and Conditions

    1.    10% of the loan amount shall be collected as share capital which will be refunded at
           the time of retirement or Resignation/VRS from Andhra Bank and after six months in
           the case of closure of membership, while continuing as staff member of Andhra Bank.


    2.    Processing charges shall be collected as noted here-under.

Processing Charges Rs.
Substaff   50
Clerks   75
Officers 100

    3.    The loan is covered by Member Mutual Benefit Fund scheme.

    4.    Members shall contribute towards MMBF scheme, every month as noted below
           during the currency of the loan for availing the benefit under the scheme.

a)

 Loan amount up to Rs. 50, 000 Rs.50/- p.m.,

b)

 Loan amount above Rs 50, 000/- & Up to Rs. 75, 000/- Rs.100/- p.m.,

c)

 Loan amount above Rs. 75, 000/- & up to Rs.1,50,000/- Rs.150/- p.m.,

d)

 Part Time Sweepers, irrespective of limit Rs.20/- p.m.,

    5.    Members whose existing loans are not in order are not eligible to avail this loan.

    6.    Members have to enclose original/attested copy of the latest pay slip to the
           loan application.

    7.    Loan shall be sanctioned subject to the Member having sufficient net pay to
           recover the installment of the proposed loan.

    8.    Loan shall be applied on the prescribed application form duly filling all the
           required columns.

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