Financial Assistance as Interest Subsidy on Home Loan
War widows, war-bereaved families, war-disabled veterans, and attributable peacetime casualties can claim 50% reimbursement of home loan interest — calculated on a loan of up to ₹1,00,000 — for a maximum of 5 years, through this Kendriya Sainik Board scheme. The benefit is modest but helps cover initial home-buying interest costs. Apply online at ksb.gov.in.
About This Scheme
War widows, war-bereaved families, war-disabled veterans, and attributable peacetime casualties can claim 50% reimbursement of home loan interest — calculated on a loan of up to ₹1,00,000 — for a maximum of 5 years, through this Kendriya Sainik Board scheme. The benefit is modest but helps cover initial home-buying interest costs. Apply online at ksb.gov.in.
Full official description
The "Financial Assistance as Interest Subsidy on Home Loan" scheme was launched by the Kendriya Sainik Board (KSB), Department of Ex-Servicemen Welfare, Ministry of Defence, Government of India. The scheme aims to provide a small measure of relief to war bereaved, war disabled and attributable peace time casualties(all ranks). Under this scheme, reimbursement of 50% of the interest on a home loan up to ₹1,00,000 is provided for a maximum of five years.
Benefits
- 50% reimbursement of home loan interest
- Subsidy calculated on a maximum loan amount of ₹1,00,000
- Available for up to 5 years, or until the loan is fully repaid, whichever is earlier
Who Can Apply (Eligibility)
- Must be a war widow, war-bereaved family member, war-disabled personnel, or attributable peacetime casualty (all ranks)
- Must have a home loan from a bank, government/public sector undertaking, LIC, GIC, or HUDCO
- Interest subsidy is calculated only on the first ₹1,00,000 of the loan, regardless of the actual loan amount
How to Apply
Interested and eligible students need to apply online at the Kendriya Sainik Board Secretariat. New User Registration
Select the "Register" option.
Complete the registration form with the requisite details, including your name, Aadhaar card number, email ID, mobile number, and bank details.
Establish a password for your account.
Upon successful registration, the applicant will receive a User ID and password.
Login & Application Process:
Log in using the provided User ID and password to access the application form.
Click "New Application" and select the scheme name.
Fill in the complete application form.
Upload the required documents, including a photograph, caste certificate, residential certificate, and bank passbook etc.
Click on the "Save & Forward" and take the printout of the application form.
The applicant submits the printed application along with all the required documents to the District Sainik Board.”
NOTE:
Once the application reaches KSB Sectt., the staff and officers at KSB carry out vetting and approval of the application. Final payment is made online in due course based on the availability of funds in AFFD.
Frequently Asked Questions
What is the maximum loan amount eligible for subsidy?
₹1,00,000, even if the loan taken is higher.
What percentage of interest is reimbursed?
50% of the interest charged.
Who can apply for this scheme?
War widows, war bereaved families, war disabled personnel, and attributable peacetime casualties (all ranks).
How long is the subsidy available?
Up to 5 years or until loan repayment is completed, whichever is earlier.
Can I apply if I took a loan from a private bank?
No, only loans from approved banks, government/public sector undertakings, LIC, GIC, and HUDCO are eligible.
How often is the subsidy paid?
Every six months (half-yearly).
Is there any restriction on changing repayment terms?
Yes, the repayment schedule must remain unchanged.
Can I claim subsidy for a home renovation loan?
No, it is only for home construction loans.
Who verifies my application?
The Zila Sainik Board verifies before forwarding to KSB.
How is the subsidy amount transferred?
Directly to your bank account via ECS.
Ready to apply?
Visit the official government portal to apply for this scheme.
Apply on myScheme.gov.inDocuments Required
- A certificate to the effect that there would be no change in the schedule of repayment.
- A statement showing the amount of interest actually paid for the period covered under the claim.
- A certificate to the effect that repayment of loan along with interest was regular.
- A copy of Ex-Servicemen Identity Card duly attested.
- A copy of Discharge Book duly attested.