Government Security Loan

Immediate liquidity — without cashing in your savings

Get access to funds by pledging your National Savings Certificates, Kisan Vikas Patra, or other eligible government securities as collateral.

Apply for Loan

Immediate liquidity — without cashing in your savings

Liquidity without disrupting the plan your savings were built for

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No Income Proof Required

No income proof. No employment check. Your government securities determine your eligibility — nothing else.

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No Credit History Check

Your credit score and prior loan history are not assessed for a Government Security Loan.

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Securities Continue to Mature

Pledging your NSC or KVP does not interrupt its maturity schedule. Interest continues to accrue on the original terms.

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Fast Processing

Once the India Post endorsement is obtained, the loan is typically processed and disbursed within the same branch visit or within [X] working days.

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Flexible Repayment

Repay your Government Security Loan at any time before the due date — in full or in partial amounts. There is no prepayment penalty.

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Assignment Released on Full Repayment

On full repayment of principal and interest, the bank cancels the assignment on your securities and they revert entirely to you — to be redeemed at maturity as originally planned.

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Fully Accessible to Senior Citizens

No upper age limit. Senior citizens can pledge their NSCs, KVPs, or SCSS instruments for immediate liquidity — without permanently liquidating a lifetime of savings.

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Useful for Business Short-Term Needs

Your personal NSCs or KVPs can fund your business needs — less documentation, faster processing, and no standard business loan assessment required.

🚫

No Income Proof Required

No income proof. No employment check. Your government securities determine your eligibility — nothing else.

📊

No Credit History Check

Your credit score and prior loan history are not assessed for a Government Security Loan.

📈

Securities Continue to Mature

Pledging your NSC or KVP does not interrupt its maturity schedule. Interest continues to accrue on the original terms.

⚡

Fast Processing

Once the India Post endorsement is obtained, the loan is typically processed and disbursed within the same branch visit or within [X] working days.

🔄

Flexible Repayment

Repay your Government Security Loan at any time before the due date — in full or in partial amounts. There is no prepayment penalty.

🔓

Assignment Released on Full Repayment

On full repayment of principal and interest, the bank cancels the assignment on your securities and they revert entirely to you — to be redeemed at maturity as originally planned.

✅

Fully Accessible to Senior Citizens

No upper age limit. Senior citizens can pledge their NSCs, KVPs, or SCSS instruments for immediate liquidity — without permanently liquidating a lifetime of savings.

💼

Useful for Business Short-Term Needs

Your personal NSCs or KVPs can fund your business needs — less documentation, faster processing, and no standard business loan assessment required.

Who are Eligible

Individual Investors & Savers
Senior Citizens
Business Owners & Traders

Required Documents

Aadhaar Card
Valid Aadhaar card for identity and address verification
PAN Card
Mandatory for all personal loan applicants
Address Proof
Utility bill, passport, driving licence, or bank statement — not older than 3 months
Photograph
2 recent passport-size photographs
Income Proof
Salary slips, ITR filings, pension certificate, or business financials — based on your applicant type
Bank Statements
Last 6 to 12 months' statements — salaried, self-employed, or current account as applicable
Employment or Business Proof
Appointment letter, employer ID, GST registration, or business certificate — as applicable
Loan Application Form
Completed and signed — available at your nearest branch
Government Security Proof
Original certificates/receipts of Government Bonds, Debentures, Treasury Bills, or other approved securities pledged for the loan

How To Register

1
Confirm which eligible government securities you intend to pledge — NSC, KVP, POTD, POMIS, or SCSS — and check the eligible securities table in Section 3 to estimate the maximum loan amount available.
2
Visit the India Post branch where your security was originally purchased and request an endorsement for assignment to Hindusthan Co-op. Bank.
3
Once the India Post endorsement is obtained, visit your Hindusthan home branch with the endorsed securities, your KYC documents, and the completed loan application form.
4
Once the securities are formally assigned to the bank and the loan agreement is signed, the loan amount is credited to your linked Hindusthan bank account.

Frequently Asked Questions

No. Pledging your NSC or KVP as collateral does not affect its interest accrual, maturity schedule, or maturity value in any way. The securities continue to earn interest on the original terms and mature on the original date. The only change is that the assignment rights are held by the bank until the loan is repaid — at which point the assignment is cancelled and the securities revert to you in full.

The India Post endorsement is a mandatory legal process where India Post formally records on the security certificate that it has been assigned to Hindusthan Co-op. Bank as collateral. Without this endorsement, the bank has no formal security interest in the certificates — and cannot accept them as valid collateral. The endorsement process is carried out at the India Post branch where the security was originally purchased and typically takes [X] working days.

The securities must be in the applicant's name for a standard Government Security Loan. Jointly held securities can be pledged — with all joint holders' consent, signatures, and KYC documents. Securities held solely in another person's name cannot be pledged by a different applicant. If your family's securities are held in a single member's name, that member must be the loan applicant.

Contact your branch as early as possible — before the security's maturity date and before the loan's due date. Options include loan renewal, partial repayment to reduce the outstanding amount, or arranging an alternative repayment plan. If the loan remains unpaid when the security matures, the bank has the right to encash the matured security and apply the proceeds to the outstanding loan amount — returning any surplus to you.

Yes. Multiple eligible government securities can be pledged together as combined collateral for a single Government Security Loan — increasing the maximum loan amount available. Each security requires its own India Post endorsement. The loan amount is calculated as a percentage of the combined assessed value of all pledged securities.

The minimum loan amount is ₹[X]. The maximum is determined by the combined value of the securities pledged and the applicable loan-to-value percentage — there is no fixed rupee ceiling. Contact your branch with details of the securities you intend to pledge for a specific maximum loan amount assessment.

Government Security Loans at Hindusthan are sanctioned in the name of the individual holder of the securities — not in the name of a business entity. A business owner can take a Government Security Loan in their personal capacity against securities held personally — and use the funds for business purposes. The loan is a personal liability of the individual — not the business.