Pankaj Banga

Pankaj Banga

Are you an aspiring first time home buyer?

Then this blog may help you save up to 2,67,280 on your home loan, and your monthly EMI can come down by 2500. Find out here how.

The Government of India has envisioned a pucca roof over every citizen of India by 2022. To accomplish this vision, our honorable Prime Minister announced on 17th June 2015, the progressive mission ‘Pradhan Mantri Awas Yojana’ (PMAY). The Yojana has 4 verticals, out of which Pradhan Mantri Awas Yojana – Credit Linked Subsidy Scheme has gained immense popularity as it makes you save up to 2,67,280 on your home loan interest component. Sounds Interesting? The beauty of this yojana lies in the fact that an applicant earning up to 18 lakh per annum is eligible to claim for the PMAY benefits.

What is the CLSS Scheme of Pradhan Mantri Awas Yojana?

Under Credit Linked Subsidy Scheme (CLSS), Central government gives money related help (subsidy on the interest rate of home loans) through banks and NBFCs to eligible recipients residing in 4513 towns and their adjoining areas (as per 2011 census and updated by Government from time to time). You can be a lucky one!

Two nodal agencies channelize the interest subsidy and they are 1) National Housing bank (NHB) and 2) Housing and Urban Development Corporation (HUDCO). The government agencies channelize the interest subsidy to the lending Institutions, and they will further help the eligible applicants to avail the subsidy upfront to the loan account, resulting in reduced effective housing loan and EMI.

Who are all eligible?

PMAY beneficiaries are segregated into 1) EWS/LIG and 2) MIG I & II

EWS/LIG group

Families whose annual household income is upto 6,000,00 all under this group.


Families whose annual income falls under 6 lakh to 12 lakh comes in MIG I category and the other which have annual income of 12 lakh to 18 lakh comes under MIG II category. Central government announced the interest subsidy on these two categories as well for housing.

It’s time to have glance on some important numbers –

Features & Eligibility LIG (Lower Income Group) EWS (Economically Weaker Section)
Annual Household  Income 300001 to 600000 Up to 300000
Dwelling Unit Carpet Area 60 30
Subsidy on Interest 6.50% 6.50%
Loan limit for subsidy 6 lakh 6 lakh
Tenure of calculating subsidy amount 20 yr or loan tenure, whichever is less 20 yr or loan tenure, whichever is less
Maximum amount of Subsidy availed 2,67,280 2,67,280
Requirement of NOC from state government Not required Not required

Documentation Requirement


Aadhar of an applicant, co- applicant, adult household member is must


Aadhar of an applicant, co- applicant, adult household member is must

House Upgradation Covered Covered

Annual Household  Income Between 600001 to 1200000 lakh Between 1200001 to 1800000 lakh
Dwelling Unit Carpet Area Up to 160 Up to 200
Subsidy on Interest 4 % 3 %
Loan limit for subsidy 9 lakh 12 lakh
Tenure of calculating subsidy amount 20 yrs or loan tenure, whichever is less 20 yrs or loan tenure, whichever is less
Maximum amount of Subsidy availed 2.35 lakh 2.30 lakh
Requirement of NOC from state government Not required Not required
Documentation Requirement Aadhar of an applicant, co- applicant, adult household members is must Aadhar of an applicant, co- applicant, adult household members is must
House Upgradation Not Covered Not Covered

Now, the question pops up in your mind – how will I apply for PMAY?

Applying for the PMAY:

You can apply online or via offline mode

a) Applying online:

Step 1: Log on to the Pradhan Mantri Awas Yojana official website at

Step 2: Under the citizen assessment drop-down, select the benefits under three components

Step 3: Enter Aadhaar card details to proceed (mandatory for enrolling in PMAY)

Step 4: After filling in the Aadhar details, you will be redirected to the application form stage where you will have to fill in the details accurately.

Step 5: Once this is done, click on ‘Save’ and enter the Captcha code.

Step 6: Next, click on ‘Save’. The application is now complete and a print out can be taken at this stage.

Corrections and Editing on PMAY form: As it is automated and electronic procedure of registration so it is workable for you to make changes and amendments whenever after submission of form. To alter the application structure you may need to give details of your application and Aadhar card number. This facility is for individuals who may have made wrong sections at the session of filling entries in the application forms.

You may be thinking how to check the application status. Wait……I will help you

  • Visit the following link- ad check the option ‘by application number’. Then you will have to enter your application number in the space given. Once you have entered your application number click on ‘show’. After this your application status will be shown on the screen.
  • Visit the following link- and select the option that reads ‘By name, father’s name & ID type’. Then in the page that appears select your state, district and city and enter your name and your father’s name. Then you need to select the ID type (Aadhaar, Voter ID, etc.). You have to select the same ID type that you selected during submission of the application form. Then enter your ID number. Then click on ‘show’ button. Once you do so your application status will appear on the screen.

b) Applying offline through banks:

On the off chance that you get yourself qualified under this plan then you can apply for the plan by visiting the closest public bank. You simply need to fill in the application form that is accessible in all the public sector banks and fill in the details that have been asked in the form. When you are finished filling the application form, attach the important documents and submit the form to the bank itself. After verification of you documents, your application will be processed and you will be able to get the benefit of scheme.

c) Applying through CSC (Common Service Centres)

This plan likewise permits online application. For this procedure 60000 CSC or Common Service Centers have been empowered. The interested and eligible candidate should visit his or her nearest CSC and fill in the online application form and submit it. You will be charged Rs.25 per application.

If you have any questions regarding PMAY feel free to connect with me on [email protected] I will be happy to help you in the best possible way. Keep reading.

(This post is written by Pankaj Banga. Pankaj is working as Senior Manager, operations in Afinoz Digitalizing Finance (AFINOZ.COM). He is an energetic personality possessing a great level of enthusiasm with strong knowledge in business strategy & analysis, customer satisfaction, quality standards and manpower management. He is an avid traveler and keeps learning new languages.)

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April 2021