Surety Relief Fund has been introduced to help the members who have stood surety for other member’s loan. If the loanee is terminated or dismissed from service, the outstanding loan amount will be adjusted from this fund and thereby the surety is given financial relief. Every member shall contribute Rs. 15/- p.m. towards surety relief fund from his/her salary till the date of his/her membership with the Bank, which is not refundable.
The relief will be provided to the surety out of the amount accrued in the fund. If more cases are received the relief will be given in a phased manner based on seniority on the date of event. The amount to be adjusted under the scheme will be the amount outstanding from the principle loanee on the date of his death / dismissal / terminated / Retrenchment (i.e. date of Office order). In death cases, if any amount is outstanding after adjusting the amount from DRF/MBS, share account, and any amount due to him from office the Balance will be adjusted out of this fund.