Rotavator & Cultivator Finance: Farm Implement Loan Guide
Aug 11, 2026 | 4 mins read
When securing a Tractor Loan, understanding the associated tractor fees and charges is crucial. These costs include processing fees, documentation charges and potential prepayment penalties. These Tractor Loan charges contribute to the overall expense of your loan, impacting total repayments over time. By comprehending these Tractor Loan fees, you can accurately assess the true cost of your financing.
List of all fees and charges
| Type | Details |
|---|---|
| Processing Fee | New Tractor & Implement - Up to 1% of the loan amount or Rs. 30,000 whichever is lower + applicable taxes Kisan Suvidha - Up to 2% of the additional loan amount or Rs. 10,000 whichever is lower + applicable taxes Used / Preowned Tractor & Refinance - Up to 2% of the loan amount or Rs. 10,000 whichever is lower + applicable taxes Trade advance – Up to 2% of sanction amount + applicable taxes |
| Prepayment/ Foreclosure Charges | Up to 2% of principal outstanding + applicable taxes |
| Asset valuation and verification Fee | Up to Rs.1,200/- + applicable taxes |
| Penal Charge/Late Payment Charge (LPC) | Up to 2% per month (p.m.) on overdue EMI + applicable taxes Trade advance – Up to 2% per month (p.m.) on overdue amount + applicable taxes |
| EMI Dishonour/ Bounce Charges* *A bounce charge is a charge for (i) dishonour of any repayment instrument; (ii) non-payment of instalment(s) on their respective due dates due to dishonour of payment mandate or non-registration of the payment mandate | As shown in the table below |
| Loan sanction amount in Rs. | Charges in Rs. |
| < ₹ 5 lakh | Up to ₹ 500 |
| ₹ 5 – ₹ 50 Lakhs | Up to ₹ 1000 |
| > ₹ 50 Lakh – ₹ 2 Crore | Up to ₹ 1500 |
| > ₹ 2 Crore | Up to ₹ 2000 |
| RC non submission Charge | Up to Rs.1000/- per month post 120 days + applicable taxes |
| Document retrieval / Duplicate NOC charges | Duplicate NOC: Up to Rs. 1000/- + applicable taxes (charge is applicable post 3 free copies) |
| Repayment instrument swap Fee (per swap) | Up to Rs. 500/- + applicable taxes (Applicable only for branch walk-ins) |
| Part-prepayment charges | Up to 2% of part prepayment amount + applicable taxes |
| Field collection service charges | Up to Rs.500/- per collection + applicable taxes |
| Legal fees and charges | As per actuals or Up to Rs. 30,000/- whichever is lower + applicable taxes |
| Recovery charges | As per actuals or Up to Rs. 1,00,000/- whichever is lower + applicable taxes |
| Auction fees | Up to 1% of auction sale amount+ applicable taxes |
