The government has extended the Credit Linked Subsidy Scheme (CLSS) for MIG (Middle Income Group) by one year to 31 March 2020 from the earlier implementation of 31 March 2019, said Union Housing and Urban Affairs Minister Hardeep Singh Puri on Monday.
The CLSS was introduced under the Pradhan Mantri Awas Yojana (PMAY) to extend institutional credit flow to the urban poor for buying or constructing houses. Over 68.7 lakh houses have been approved under the PMAY (urban) mission under the Modi government. 13.5 lakh houses among these have already completed construction while 37 lakh are under construction.
The CLSS for MIG was initially only launched for a period of 12 months ending 30 December 2017 and later extended to March 2019. Under the scheme, MIG beneficiaries with an annual income from Rs 6 lakh and up to Rs 12 lakh will get an interest subsidy of 4 percent on a 20-year loan component of Rs 9 lakh. For those with annual income exceeding Rs 12 lakh and up to Rs 18 lakh would get an interest subsidy of 3 percent. These home loans can be availed for acquisition or construction of houses (including re-purchase) from banks or other finance companies.