RBE No.53/2018: House Building Advance (HBA)
No.F(E)Spl./2008/ADV.3/6 (7th CPC), dated 28.03.2018
Sub: Grant of advances 7th Central Pay Commission recommendations – Amendment to rules on House Building Advance (HBA) to Railway servants.
1. Please refer to this Ministry’s letter of even number dated 05.12.2017 (RBE No.183/2017) on the above cited subject, vide which, the revised provisions relating to grant of House Building Advance has been issued by Ministry of Housing & Urban Affairs (Housing-III Section) vide their OM No.I.17011/11(4)/2016-H-III, dated 09.11.2017 pursuant to acceptance of 7th CPC recommendations, were mutatis-mutandis made applicable to Railway employees.
2. Ministry of Housing & Urban Affairs vide their OM dated 31.01.2018 (copy enclosed) have now issued clarifications to the fulfillment of extent conditions mentioned in para-2(viii) of their aforesaid OM dated 09.11.2017, which shall be applicable mutatis-mutandis on the Railways.
Ministry of Housing & Urban Affairs
(Housing-III Section)
OM No.I.17011/11(4)/2016-H-III, dated 31.01.2018
Sub: Interest bearing advances/ Seventh Central Pay Commission recommendations on migration of existing government employees who have already taken home loans from Banks/ other Financial Institutions – regarding.
Kind attention is invited to Para 2(viii) to of this Ministry’s OM No.I.17011/11(4)/2016-H-III, dated 09.11.2017 on the above mentioned subject regarding fulfillment of extent conditions, the extent conditions are clarified as follows:
(a) Before granting such House Building Advance, the head of department;
(i) Should satisfy himself that the home loans were taken by the government employee entirely for purpose of construction purchase of new house/ flat.
(iii) Should ensure that House Building Advance sanctioned is limited to the amount of loan is still due to be repaid by the government employee
(b) House Building Advance can be availed towards repayment of bank loan taken for the purpose of construction/ purchase of new house/ flat.
(c) Employee shall be eligible for grant of House Building Advance on the date he/ she obtained loans from banks and other Financial Institutions, irrespective of whether they applied for house building advance before raising the loan.
(d) House Building Advance for repayment of loans shall be granted to the eligible employees in one lump sum. However, the government employee shall produce the HBA utilization certificate within one month from the date of release of HBA.
(e) Employee has to satisfy the other provisions of House Building Advance Rules – 2017.
Download Railway Board Circular RBE No.53/2018
Forward reference⇒RBE No.101/2018