Interest Free Loan (CBOCWWB) provides registered construction workers in Chandigarh with interest-free financial support to purchase essential household items like refrigerators, televisions, two-wheelers, and cooling appliances through an accessible online application process. The scheme is open for eligible workers in 2026 and continues to run under the Chandigarh Building and Other Construction Workers Welfare Board.
Interest Free Loan (CBOCWWB) - Introduction
Interest Free Loan (CBOCWWB) helps registered construction workers improve their standard of living by providing financial support for purchasing common household necessities. Managed by the Chandigarh Building and Other Construction Workers Welfare Board (CBOCWWB) under the Labour Department, Chandigarh, this scheme eases the burden of buying items like fridges, televisions, motorcycles, scooters, coolers, fans, and bicycles.
This scheme supports the hard-working labor community by offering these loans at zero interest, so eligible workers can acquire useful assets without building up debt. The loan is recovered in easy monthly installments directly from the salary.
Key Information
| Scheme Name | Interest Free Loan (CBOCWWB) |
|---|---|
| Level | State |
| Scheme For | Individual |
| Beneficiary State | Chandigarh |
| Category | Banking, Financial Services and Insurance, Social welfare & Empowerment |
| Benefit Type | In Kind |
| Nodal Department | Labour Department |
| Implementing Agency | Chandigarh Building And Other Construction Workers Welfare Board |
Benefits
This scheme offers interest-free advances to help eligible workers purchase essential items. These loans are recovered in easy monthly installments directly from the salary. The loan amount and repayment period depend on the item chosen.
| Item Name | Loan Amount | Repayment Period |
|---|---|---|
| Motorcycle / Scooter | ₹25000 | 20 equal installments |
| Fridge | ₹15000 | 15 equal installments |
| Television / LCD | ₹15000 | 15 equal installments |
| Cooler | ₹7500 | 10 equal installments |
| Fan | ₹2500 | 10 equal installments |
| Bicycle | ₹4000 | 10 equal installments |
Eligibility
Eligible workers should meet the following criteria to qualify for this support:
- Should be employed in an establishment registered under the Punjab Labour Welfare Fund Act, 1965, and contributions must be regularly received by the Board.
- Should have been a member of the Board for at least 6 months before applying.
- Must apply for only one item at a time.
- Should not be a defaulter on any previous loans.
- Application requires a standing guarantee from the employer.
Application Process
Registration Process
Before applying for the loan, eligible workers should make sure they are registered with the Board. Visit the official website, click on the registration link, and provide the required details to receive a User ID and Password. Complete the profile by uploading the mandatory annexures and making the required payment.
Applying for the Loan
STEP 1 - Login to the official portal using the credentials.
STEP 2 - Select the Interest Free Loan scheme under the Grant of Welfare Schemes section.
STEP 3 - Fill in the personal and workplace details carefully.
STEP 4 - Provide a self-declaration and upload all required documents.
STEP 5 - Upon submission, note the Acknowledgement Receipt for tracking the application progress.
Documents
Keep the following documents ready for the application:
- Passport-size photograph.
- Valid Aadhaar card of the applicant and nominee.
- Standing guarantee affidavit from the employer.
- Bank passbook details.
- Recent salary slip.
- Copy of BOCW card (if issued).
References
For further help, eligible workers may refer to the following official resources:
FAQ's
What is Interest Free Loan (CBOCWWB)?
This is a welfare scheme by the Chandigarh Labour Department that offers interest-free loans to registered construction workers for purchasing household items.
What items are covered?
Eligible workers can apply for loans for a fridge, television/LCD, motorcycle/scooter, cooler, fan, or bicycle.
Is the loan completely interest-free?
Yes, the loan provided under this scheme is fully free of interest.
How is the loan repaid?
The employer helps with the loan recovery through equal monthly installments deducted directly from the salary.
Can I apply if I have an existing loan?
Only one active loan is allowed under this scheme at a time, and the applicant must not be a loan defaulter to qualify.
Is employer approval required?
Yes, the application must be backed by a standing guarantee from the employer.
How long must I be a member to apply?
The applicant must have been an active member of the Board for at least 6 months.
Where can I apply?
Visit the official Labour Department website at http://labour.chd.gov.in to start the online application.