Chandigarh Interest-Free Loan Scheme: ₹25,000 for a Motorcycle & More

The “Interest Free Loan” scheme is initiated by the Chandigarh Building and Other Construction Workers Welfare Board (CBOCWWB) under the Labour Department, Chandigarh. Under this scheme, registered construction workers are granted interest free loans to purchase essential household items such as a motorcycle/scooter, fridge, television/LCD, cooler, fan, or bicycle. This initiative aims to provide financial support for better living conditions and enhance the quality of life of the workers.

Benefits

Eligibility

• The beneficiary must be working at an establishment registered under the Punjab Labour Welfare Fund Act, 1965, and their contributions to the labour welfare fund must be regularly received by the Board.
• The beneficiary can apply for a loan for the purchase of one item at a time.
• The loan installments will be directly recovered from the worker’s salary by the employer, who must deposit the recovered amount through a payee A/C cheque in favor of the Chandigarh Labour Welfare Board.
• The loan is repaid in equal monthly installments as per the scheme rules.
• The scheme is not available to beneficiaries who have defaulted on any previous loans.
• The loan will be sanctioned subject to a standing guarantee provided by the employer.
• A beneficiary must have been a member of the Board for at least six months before becoming eligible to apply.

Application Process

Online

1. Registration Process:

   • Visit the official website of the Labour Department Chandigarh: http://labour.chd.gov.in/.
   • Click on “Click Here for Registration” to open the registration page. Fill in all mandatory details and click “Submit.”
   • An OTP will be sent to your registered email and mobile number. Enter the OTP and complete the registration. Note your ‘User ID’ and ‘Password’ for future reference.

2. Application Submission:

   • Log in using your ServicePlus credentials by clicking on “Login.”
   • Click on “Apply for Services” and view all available services. In the search box, type “BOCW” and select “BOCW Application for Registration as a New Member/Renewal.”
   • Download the CBOCW form, fill in the requisite information, and upload the form in the next step.
   • Complete the application form by entering personal details, selecting the “Interest Free Loan” scheme, and providing workplace details.
   • Click on “Self-Declaration” and fill in additional required information.
   • Enter the verification code/Captcha and click “Submit.”
   • Preview all filled details, then click “Attach Annexure.”
   • Upload all mandatory documents and click “Save Annexure.”
   • After verifying all details, click “Submit.”
   • Print the generated Acknowledgement Receipt for future reference.

3. Application Tracking:

   • To track your application status, log in to the official website using your User ID and Password.
   • Click on “Track Application Status,” fill in the required details, and click “Get Data” to view the status.

Documents Required

For Registration under CBOCWWB:

• Passport-size photograph.
• Filled-in and signed form of the CBOCW Board.
• Copy of the Aadhaar Card of the applicant.
• BOCW Card (if available).
• Copy of the Aadhaar Card of the nominee.
• Bank details.
• Receipt of payment file.
• Any other relevant documents.

For Grant of Welfare Schemes:

• Passport-size photograph of the applicant.
• Copy of the Aadhaar Card of the applicant.
• Standing guarantee of the employer in the form of an affidavit.
• Bank account details or Bank Passbook.
• Copy of the salary slip of the worker.
• Any other relevant documents.

Frequently Asked Questions

1. What is the Interest Free Loan Scheme introduced by the CBOCWWB?
   It is a scheme that provides registered construction workers with interest free loans to purchase essential household items such as a motorcycle, fridge, television, cooler, fan, or bicycle.
2. What items can be purchased using the Interest Free Loan?
   Eligible items include a motorcycle/scooter, fridge, television/LCD, cooler, fan, and bicycle.
3. Is the loan entirely interest-free?
   Yes, the loan is provided without any interest.
4. Who is eligible to apply for the loan under the scheme?
   Registered workers at establishments under the Punjab Labour Welfare Fund Act, 1965, who have been members for at least six months, are eligible.
5. How many items can a beneficiary apply for at a time?
   A beneficiary can apply for the purchase of one item at a time.
6. How is the loan installment collected from the workers?
   The loan installment is deducted directly from the worker’s salary by the employer, who deposits the recovered amount to the Chandigarh Labour Welfare Board.
7. Can a beneficiary who defaulted on an earlier loan apply for a new loan?
   No, previous defaulters are not eligible.
8. Is the employer required to provide a guarantee for the loan?
   Yes, the loan is sanctioned subject to a standing guarantee from the employer.
9. What is the eligibility criterion regarding membership duration for availing benefits under the scheme?
   The beneficiary must have been a member of the Board for at least six months.
10. How do I apply under the scheme?
    You can apply online through the official Labour Department Chandigarh website by following the registration and application process outlined above.

Sources and References

• Official Website
• Application Portal
• User Manual