Mysore/Mysuru: The main aim of The Muslim Co-operative Bank Ltd., Mysuru,  is to provide better facilities and serve shareholders and customers of the century-old Bank which was established in 1916, said Bank President K.C. Showkath Pasha.

Addressing a press meet at the Bank recently, Showkath Pasha said that a few days ago Statutory Audit for 2024-2025 was successfully concluded by Chartered Accountant Mayuresh and Co.

He said, as there was a continuous demand from the shareholders and customers of the Bank to reduce the rate of interest on loans sanctioned by the Bank, the Management of the Bank unanimously resolved to reduce 2 percent interest bringing down the interest rate to 12 percent from 14 percent for some types of loans and from 13.50 percent to 11.50 percent on house purchase and construction loans, reduction from 12 percent to 10 percent on gold and ornaments loans.

The Bank President said that after the reduction of 2 percent interest rate, the Bank has to incur a loss of Rs. 90 lakh annually which will be compensated by increasing the business and inviting new shareholders and customers to offer more loans.  Besides, internet banking facilities will be introduced soon after obtaining permission from the Reserve Bank of India (RBI) and other agencies, he added.

Pointing out that the tenure of the loans is also increased from 10 years to 15 years so that the loanees can pay their monthly instalments easily, he said that the loan limit was also increased from Rs. 30 lakh to Rs. 50 lakh to help shareholders.

Showkath Pasha requested loan defaulters to clear their loans on time failing which the Bank would initiate action for recoveries of loan as per RBI guidelines.

Speaking on the occasion, former President and Director of the Bank Dr. Abdul Ravoof said that to compensate the loss incurred due to reduction of 2 percent rate of interest on loan with effect from July 1, business should be increased by offering more loans to shareholders and customers with new facilities.

Another senior Director Ahmed Saleem Ahmed said that after The Mysore Merchants Co-operative Bank Ltd., The Muslim Co-operative Bank Ltd. is the second Bank which is offering very less rate of interest to the Bank shareholders and customers.

Bank Vice-President Gulam Rabbani, Directors Md Abdus Salam, Md Akram Shan, Iftekhar Ahmed Khan, Irfana Azmi, In-charge CEO Shaik Ibrahim and Senior Manager Syed Abdul Irfan were present.