How much you will save, with RBI Slashing its benchmark repo rate by 50 basics point?

Dated : 29-Sep-2015 

RBI slashed its benchmark repo rate by 50 basis points (0.5 percent) to 6.75 percent. This came after a total of 75 basis point cut earlier this year in three tranches as inflation pressures eased in the economy. 

Check out RBI’s trend


Questions which arise for the existing customer… 

Will this reduction be passed to existing home loan customers ? 

SBIHopefully the banks and lending institutions will pass on the benefits to there existing customers. If not full at-least partial in some wave form.

Already, the country’s largest state ­run lender, State Bank of India , has cut its base rate by 40 basis points, or 0.4 percent, to 9.3 percent, effective October 5, Chairperson Arundhati Bhattacharya told CNBC­TV18. 

In an interview, Bhattacharya said that there could be further rate cuts in the future by banks, given that the RBI Governor Raghuram Rajan has indicated that the door for future rate cuts is open. 

SBI also has cut its deposit rates by 25 basis points across maturities, effective next Monday, the bank chief said, adding that it would help bring down cost of funds for the lender.

If  banks/lending institutions doesn’t pass on this benefit to existing customer,  is there a way to avail it. If so how ?

Yes, existing loan lenders can avail the benefit in following ways 

  1.  The old home loaners have the choice to convert their existing rates to current rates by paying hefty penalty charge of minimum of 0.56% on left over principle to the banks/lending institution. Its advised to compare the benefits of paying part-payment over penalty.  Check out part-payment calculator.
  2. The old home loaners have one more choice of switching to new bank or lending institution. Check out Switch & Save option and get rewards and benefits from

How much does it save tenure ?

Definitely, there will be a change in the tenure when you go for a lesser interest rate. Infact, 0.5% change in interest rate will result in closing your loan to a maximum of  30 months earlier. 

For example, if you have a loan of 50 lakhs for a tenure of 20 years with 10% interest, a change to 9.50% interest will change your tenure to 18 years and 2 months. 

How much does it save my EMI ?

If you want to keep your tenure same, your EMI reduces from Rs. 48,251 to Rs. 46,606. This leaves you with a saving of Rs. 1645. 

Competition in home loan space has been quite intense not only from banks, private banks, nationalised banks but also from the NBFC space. SBI has again proved that it stands on the top among its rivals. Infact, with the immediate reduction in the interest rate and implementation, it makes way to the competition.

Reduction in the interest rate is always advantageous. 

For new loans and hassle-free balance transfers, logon to 

Calculate your EMI with the help of our EMI calculator…

Check out our balance transfer calculator..

Get associated with us and help us monitor your home loan against paying higher interest or higher EMIs. Also avail extra benefits like cash back. 

For more details follow the link below..

World Tourism Day – 27 September

Holidays can be a wonderful chance to get to know new places and people. As well as learning about a location’s geography, history, literature and language, visiting a new place can help break down stereotypes and misconceptions. Tourism can also benefit the communities being visited; many areas rely on tourism as their main industry. A massive 231 million people are employed in the tourist business, and recently there has been a dramatic increase in the number of holidays taken, with more people going away more often. 

What is World Tourism Day 

Since 1980, the United Nations World Tourism Organization has celebrated World Tourism Day on September 27. The purpose of this day is to raise awareness on the role of tourism within the international community and to demonstrate how it affects social, cultural, political and economic values worldwide.

Each year has a particular theme. With more than a billion tourists now travelling the world each year, the theme, “1 Billion Tourists, 1 Billion Opportunities”, for 2015 explores the potential of tourism for socio-economic development. The UNWTO has developed a global code of ethics for  tourism,  “to help minimise the negative impacts of tourism on the environment and on cultural heritage while maximising the benefits for residents of tourism destinations”.  It includes sections on ‘The Responsible Tourist’, ‘Trips for travellers’ and ‘Sustainable development’.

Why teach about tourism?

Tourism is a global phenomenon and is a great entry point into looking at other issues such as trade, climate change, sustainable development, workers’ rights and human rights. It naturally fits into the Geography and Modern Foreign Languages curricula, and can be used as a starting point for work in other subjects such as looking at statistics in Maths or sustainable technologies in Design & Technology.

Teaching about tourism raises pupils’ perceptions of the impact they can have on holiday, and can influence their choice of behaviour both while on vacation and towards tourists in their home.

Suggested WTD Activities 

The possibilities are endless to promote the theme. See below for just a few suggestions of how you can get involved.

Spread the word

The WTD website is full of resources you can use to spread the word .

The message of the UNWTO Secretary-General can be freely used in conference materials, brochures, documentaries etc.

You can feel free to upload the logo on your website. You could also use the logo to make your own WTD-themed materials, such as t-shirts, stickers, posters etc.

Hold an event 

WTD is a celebration. So concerts, festivals, shows and parades are a great way to take part.

Launch a competition

A competition – essays, paintings, videos – on tourism and sustainable energy is a fun and simple way to get involved in World Tourism Day.

Take a trip

What better way to celebrate WTD than enjoying being a tourist yourself? Whether it’s around the world or within your own country, with your family or your classmates.

On previous WTDs, a number of destinations and sites have offered free entry or special discounts to the public, so look out for special offers!

World Tourism Day Celebrations in India

People can visit Taj Mahal and nearly 200 other ticketed monuments and museums across the country for free on September 27 that coincides with the World Tourism Day. 

Apart from 116 ticketed monuments which include World Heritage Sites like Taj Mahal, Agra Fort, Vitthala Temple Hampi, Western Group of Monuments of Khajuraho and Buddhist Monuments at Sanchi, entry will also be free for 35 site museums and all other museums under the administrative control of the culture ministry, such as the National Museum and the Salar Jung Museum. 

Other ticketed monuments which will not carry any entry fee on September 27 include Golconda Fort, Charminar, Hydrabad Fort, site of Mauryan Palace, Kumrahar, Patna, Shershah Suri’s Tomb at Sasaram, excavated site of Vikramshila, Antichak, excavated Site of Nalanda, and ancient remains at Vaishali. 

Note : Check World wide  home loan interest rates  in

World wide Home loan interest rates!

World wide Home loan interest rates!

As on Sep-2015

home loan interest rates

India’s economy with a population of 1.26 billion (Est 2010) ranks 4th in the world with a GDP PPP of 3.5 trillion and GDP PPP per capita of 3,015 vs 45,934 home loan interest rates(United States) according to the IMF in 2009. India inflation was 8.3% in 2008 and 10.9% in 2009 . Approximately ~6.80 in 2015.

Home loan interest rates around the world in 44 countries. 

Country Inflation GDP Population Interest Rate Currency
Hong Kong 5% 45,277* 7,234,800 2.15% HKD
Singapore 4.60% 50,180 5,469,700 2.50% SGD
Switzerland 0.40% 40,484 8,183,800 2.62% CHF
Norway 1.90% 53,471 5,156,450 2.75% NOK
Germany 2.20% 34,388 80,767,000 3.28% EUR
Canada 2.80% 37,947 35,540,419 3.30% CAD
Sweden 2.50% 35,951 9,728,498 3.55% SEK
Chile 3.30% 15,002 17,819,054 3.70% – 4.90% CLP
Netherlands 2.30% 39,877 16,876,800 3.90% EUR
Slovakia 3.90% 7,325 5,415,949 4.04% EUR
Taiwan 1.60% 31,776 23,410,280 4.047% ~ 6.797% TWD
Poland 4% 18,837* 38,496,000 4.05% PLN
Slovenia 27,900 2,064,647 4.10% EUR
Austria 3.30% 39,634 8,527,230 4.30% EUR
Qatar 2.80% 78,260 2,187,326 4.35% QAR
Ireland 2.40% 38,685 4,609,600 4.40% EUR
China 5.40% 6,778 1,367,900,000 4.50% RMB
United States 1.50% 45,934 319,094,000 4.88% USD
Panama 5.90% 14,097 3,713,312 4.95% USD
United Kingdom 2% 34,388 64,105,654 4.99% GBP
Bulgaria 4.20% 13,789 7,245,677 5.80% BGN
Fiji 8.60% 4,366 859,178 6.15% FJD
Vietnam 18.90% 2,942 89,708,900 6.49% VND
Greece 2.90% 29,663 10,992,589 6.55% EUR
Australia 3.40% 38,663 23,665,600 6.70% AUD
New Zealand 4.50% 26,670 4,541,340 8.55% NZD
Bahamas 1.80% 31,324 368,390 9.00% – 10.5% BSD
Nepal 8.30% 1,200 27,646,053 9.00% – 10.50% NPR
Bosnia 8,127 3,791,622 9.37% BAM
Jamaica 9.40% 9,029 2,717,991 9.50% JMD
South Africa 5% 10,229 54,002,000 9.50% ZAR
Solomon Islands 3,345 581,344 9.95% SBD
India 6.80% 3,275 1,262,530,000 9.70% – 11.5% INR
Georgia -0.50% 6,145 4,490,500 10.25% GEL
Malaysia 3.30% 13,800 30,401,400 10.50% MYR
Philippines 5.30% 3,546 100,553,900 10.50% PHP
Indonesia 5.70% 4,151 252,164,800 11.00% IDR
Maldives 9,173 341,848 11.00% MVR
Sri Lanka 7.70% 5,220 20,277,597 12.75% LKR
Thailand 4.10% 8,051 64,871,000 12.87% THB
Bangladesh 10.70% 1,565 157,322,000 13.50% BDT
Russia 8.90% 14,913 146,149,200 14.50% RUB
Turkey 7.80% 13,905 76,667,864 16.08% TRY
Zimbabwe 8.30% 559 13,061,239 18.50% USD
Ukraine 9% 6,665* 42,977,367 22.30% UAH

Know about CIBIL Score- It’s growth & impact!

About CIBIL 

Credit Information Bureau (India) Limited, CIBIL, is India’s first credit information company. It creates immense value for financial institutions by providing objective, data and tools to help them manage risk, and devise appropriate lending strategies thus reducing cost and maximizing portfolio profitability. CIBIL benefits both credit grantors and consumers by collecting, analyzing, and delivering information on credit histories of millions of borrowers. It provides its members with information on both consumer and commercial borrowers, thus enabling them make sound credit decisions across both individuals and businesses. It also provides services and education to consumers to help them better manage their finances.

CIBIL’S Growth 

In May 2006, CIBIL commenced commercial credit bureau operations.

In November 2007, CIBIL  TransUnion Score is introduced to banks.

In April 2011, the score is made available to individuals.

“CIBIL today is one the fastest growing credit bureaus globally as it has established its leadership in India’s high potential credit sector within a decade of operations”, said Mr. Satish Pillai- CIBIL’s new Managing Director and CEO. “Over the years, CIBIL has achieved several milestones of growth and is the partner of choice on credit risk management for banks and credit institutions in India. 

CIBIL, India’s largest credit information bureau, maintains credit information on more than 406 million consumer accounts and 22 million business accounts and has a membership base of over 1400 banks and credit institutions. Credit institutions check an applicant’s CIBIL report and CIBIL-TransUnion Score before making lending decisions. Today, banks and credit institutions can lend to consumers confidently based on the information received from CIBIL on the consumer’s past credit behavior as well as anticipate likelihood of default based on the CIBIL-TransUnion Score. CIBIL has also benefitted the consumers by helping make access to credit opportunities faster and easier while driving credit penetration. Anyone who has 750 or more CIBIL TransUnion score can get loan from banks easily, though each bank has its own policy.

Impact of CIBIL 

Home Loans and credit card accounts have witnessed a positive trend in the recent past. The credit demand too has witnessed significant growth during the past five years. 

CIBIL Senior Vice-President-Customer Relations, Harshala Chandorkar said over 3.9 lakh home loans were disbursed between April and June, 2015.

The delinquency of repayments (90 days and more) had come down from 1.06 per cent by end of 2010, to 0.57 per cent by this year’s first quarter, she said, adding that home loan growth was driven by higher demand in Mumbai, Pune, Bengaluru and New Delhi.

As for credit cards, 10.8 lakh new credit card accounts were opened this quarter, against 8 lakh accounts in the first quarter of the last financial year. Delinquency on credit card payments too had come down from 3.27 per cent at the end of 2010, to 1.06 per cent this quarter.

The maximum number of credit card applications came from Mumbai, New Delhi and Bengaluru, she pointed out. The growth, she said was driven by the increased growth by increased availability of credit information.

Quoting from CIBIL’s latest data trends report, Ms. Harshala said that 79 per cent of retail loans were approved for individuals whose CIBIL TransUnion rating were beyond 750. She said the number of disputes every month, arising out of incorrect information furnished to the CIBIL by banks were in hundreds, while the CIBIL Reports and TransUnion Scores were being given in crores.

The credit information support received from CIBIL has made lending objective, information oriented and therefore much reliable and less risk prone. On the other side consumers with a good CIBIL TransUnion Score have benefits for accessing credit quickly and conveniently.

I Am Using a Clay Ganesha..Are You..?

Vakrathunda mahaakaaya 

Surya koti samaprabhaa 

Nirvignam kurume deva 

Sarvakaaryeshu sarvadaa.

Ganapati is the god of wisdom and the benevolent deity of the dynasty of Peshwas who ruled Maharashtra inculcating a special culture in the state. He is the herald of auspicious beginnings and is the beloved deity of all. He is the one who can remove all obstacles to success. He is the giver of fortune and can help to avoid natural calamities.

Why is Ganesh Chaturthi Celebrated 

Ganesh Chaturthi is celebrated on the eve of the lord Ganesha’s birthday. Ganesh Pooja is preferred during Madhyahana on Ganesh Chaturthi as it is believed that Lord Ganesha was born during Madhyahana Kaal which is between 12:33 and 15:35.

There is always an innate pull towards Mushika Vaahana who has occupied a place in the hearts of elders and children alike.

How is it Celebrated 
The celebrations are usually so grand that everyone, irrespective of their age and gender, is involved. The proceedings involve getting a Ganesha idol, placing it in the proper place and performing pooja, also offering Ganesha a variety of  dishes.  Performing pooja and offering variety of dishes to Ganesha goes on either for a day or 3 or 5 or 7 or even 21 days. Finally, the Ganesha is immersed in a lake or sea.

Public celebrations of this festival are hugely popular, setting up different statues in each street or in each locality.The festival is also the time for cultural activities like singing and theater performances, orchestra and community activities like free medical check-up, blood donation camps, charity for the poor, etc.

How is Ganesha Made / From Clay Ganesha to PoP Gnaesha :
Though the Ganesha to be used should be made of clay, to make it attractive,  coloring the idol had begun. Slowly, Ganesha’s with Plaster of Paris (PoP) had come up. As they are lighter, a bit cheaper and can make it colorful, setting up different Ganesha idols had become a fancy, and also a matter of pride, infact. 

We know that the proceedings involve immersing Ganesha in a lake. So, immersing these huge PoP idols  in a lake, lead to the water pollution. This had an adverse impact not only on humans but also on the marine life.

Plaster is non-biodegradable, and insoluble in water. Moreover, the chemical paints used to adorn these plaster idols themselves contain heavy metals like mercury and cadmium, causing water pollution. Also, on immersion, non-biodegradable accessories that originally adorned the idol accumulate in the layers of sand on the beach.

When an idol made of Plaster of Paris is immersed in the water, it changes form to gypsum, thus adding a large amount of material to the water that breaks down very slowly, while adding to the hardness of water, both of which deteriorate the life carrying capacity and quality of the water thereby causing irreversible environmental effects on the coastal ecology or the eco-system of any water body, which in turn causes adverse environmental effects.

An example:
A study in 2001, revealed an alarming increase in presence of heavy metals in the Hussainsagar Lake (Hyderabad) following immersions. The study showed that subsequent to Ganesha-idol immersions, the concentration of these metals Calcium, Magnesium, Iron, Lead  increased perceptibly. The level of arsenic, a noxious trace element, had increased nine-fold in the lake water after the idol immersion, compared to its Bureau of Indian Standards (BIS), Indian Council of Medical Research (ICMR) standards.

The concentration of mercury was found to be alarmingly high in the lake water. It increased by five to six hundred times in the lake water compared to the specifications of desirable limits set by BIS and ICMR standards.

The various paraphernalia immersed along with the idols and its impact is given below:

Sr.No Material contributed by immersion Impact on the aquatic body
1 Plaster of Paris Increases dissolved solids, contribute metals and sludge
2 Decoration material viz. clothes, polish, paint, ornaments cosmetic items etc. Contributes suspended matters, trace metals (Zinc, lead, iron, chromium, arsenic, mercury etc.) metalloids and various organic and inorganic matter, oil & grease etc.
3 Flowers, Garlands, oily substance Increase floating suspended matter organic contamination, oil & grease and various organic and inorganic matter.
4 Bamboo sticks, Beauty articles Big pieces get collected and recycled while small pieces remain floating in water or settled at the river bottom inhabiting river flow.
5 Polythene bags/plastic items Adds to the hazardous material and chokes the aquatic life
6 Eatables, food items etc. Contributes oil and grease, organics to water bodies.

All the figures quoted above and the data has been taken from the report :

Preventive Environemental Management plan for eco-friendly Ganpati festival prepared by Dr. Shyam R Asolekar, Professor & Head Centre for Environmental Science & Engineering Indian Institute of Technology Bombay (IIT-B), 2007.

Eco-friendly Ganesha 

With the awareness growing now, there are about 40% of the population who use clay idols. There are many NGOs that take up making clay ganeshas. Also to pass on the tradition, schools teach the kids how to make them. Many mothers fill the air with fun and festive mood by engaging their kids in the Ganesha making.

How to make a clay Ganesha…

  1. Roll out some clay or dough into a thin, rectangular shape about a cm thick to use for a pedestal for your Ganesha to sit on.
  2. Roll a big ball for the body and place it in the middle of the pedestal.
  3. Roll a small ball for the head and elongate one part of it to make a trunk.
  4. Bend the trunk up a bit and position the head on the body.
  5. Roll two similar shapes (about the size of the head) to create legs, and position these on either side of the body, curving round to overlap at the front.
  6. Roll two cylindrical shapes for the arms and attach these to the back of the body, then curve them around to the front and position them as you like. A raised hand for blessing, or a hand cupping a lotus flower, are both good options.
  7. Roll another two balls of clay, and flatten them to create ears that you attach to the back of the head.
  8. Roll two tiny pieces of clay, or insert toothpicks to create tusks.
  9. Fashion a headdress of your liking to place between Lord Ganesha’s ears. 

It is easy and fun..

The Ganesha Festival is not only a popular festival; it has become a very critical and important economic activity. Many artists, industries, and businesses survive on this mega-event. Ganesha Festival also provides a stage for budding artists to present their art to the public. There are also many events that are organised to promote awareness to use clay Ganesha.

So, let us also revert to the traditional clay Ganesha and immerse it in a bucket of water at home.

Kumar Manglam Birla’s Bungalow – The Costliest in India

The iconic Jatia House in Malabar Hill, which was on the block for quite some time, has not only finally been sold, it has set a new record in the process.

The new owner of the bungalow is Kumar Mangalam Birla of the Aditya Birla Group, who bidRs. 425 crore for the property – which has a 25,000 sq ft built-up area – during an auction, making it the most expensive bungalow deal in the country.

 A senior officer from Jones Lang LaSalle, an international consultancy firm which was carrying out the deal, confirmed that the sale has been done and an amount of 10 per cent will be paid by the owner now and the remaining in the coming days.

“The bungalow has a built-up area of about 25,000 sq ft. This is the costliest bungalow sale in the city for now and no such sale of over Rs.s. 400 crore has taken place in the last few years.”

While the per sq ft rate comes to about Rs.s.1.7 lakh, experts said using that methodology in case of a bungalow is not advisable as apart from the built-up area, it has various open spaces and also a large parking area. The plot size of the bungalow is 2,926 sq m (about 31,495 sq ft) and it is located at Little Gibbs road, in Malabar Hill.

The bungalow has reportedly been bought for the personal use of Birla, who currently resides in a bungalow on Altamount Road, which is hardly a 10-minute drive from his new purchase. 

Next Costliest Bungalows in India :

  • The Maheshwari House in the same area, which went for Rs. 400 crore in 2011. 
  • Mehrangir, the house of Homi Bhabha, which is barely a few feet from Jatia House, was sold for Rs. 372 crore in 2014.

The Costliest Houses In India :

The two Ambani brothers own the two most expensive homes in the world.

1. Mukesh Ambani’s Residence, Mumbai : Antila, the residence of Mukesh Ambani, is not only the most expensive house in India 2015, but also the most expensive house in the world, with its value reaching an incredible Rs 10000 crore. Occupying an area of 400000 sq foot, Antila is no less than a landmark in Mumbai and is full of all modern amenities, which are even hard to imagine.

2. Anil Ambani’s Residence, Mumbai : Anil Ambani is trying to catch his brother even in the race of luxurious home. His new home Abode is said to be  Rs.5000 Crore. 

3. Shahrukh Khan Residence, Mannat, Mumbai : Mannat, the beautiful house of Bollywood super star, is considered as one of the most luxurious homes in the country. The house lives up to the reputation of the super star. It is located in the Bandra locality of Mumbai and is valued at Rs 125-150 crore.

4. Ratan Tata Residence, Colaba, Mumbai : Featuring next on the list of top 10 most expensive houses in India in 2015 is the magnificent bungalow of industrialist Ratan Tata, which is worth Rs 125-150 crore. The three storied palatial house covers an area of 15000 sq feet and has some excellent amenities.


5. Naveen Jindal Residence, Delhi : Next on this list is the beautiful hose of politician-industrialist Naveen Jindal, which lies in the Leafy Lutyens Bungalow Zone in Delhi, one of the most expensive localities in the city. This house is valued at Rs 125-150 crore.

7 things you must know about top-up loan on home loan

What is a top-up loan.

A top-up loan is a loan given on an existing home loan. 

Infact, a top-up loan is an incremental loan on an existing home loan given to the existing customer at a current ‘rack rate’ of  the home finance company or bank. The rack rate is usually 1-1.5% higher than home loan rates.

1. Who is eligible for top-up loans.

top-up loan on home loan

The top-up loan is available for only the existing customers. The customers should have done atleast 6 or more repayments and should have a good track record of repayment.

2. How much top-up can you get.

It varies from lender to lender. 

  • Some  have a cap, say, they look at the current price of your property less the amount of home loan you owe. For e.g., Your property costs 60 lakhs and you got 80% loan at 10% interest. Then the loan amount is 40 lakhs. Supposing you repayed for three years. 

Then the top up is provided on (The amount of the initial home loan) – (outstanding principal amount). 

  • Some provide amount up to 100% of the original home loan. Like Standard Chartered, HSBC, Citi Bank, ICICI Bank.

3. Tenure

The tenure of the top-up loan can go up to 15-20 years, depending on your home loan’s term. As it is offered only to existing customers, the maximum tenure could be the same as the balance repayment period. 

4. Interest Rate

The interest rates are relatively higher when compared with home loans and lesser than the personal loans. Usually it is 1.00% to 1.50% higher than the home loan interest rate.

5. Fees

Banks usually charge a processing fee that is the same as that on their home loan offering. If you have been a good home loan borrower, which means you have paid your instalments on time and have a favourable credit report, the fees may even be waived by some banks.

6. Why Should you Opt for a Top-up loan / Advantages

  • If you are in urgent need of funds, like for education or child’s marriage or even if you want to renovate your house or furnish it, top-up loan is the best solution.
  • Compared to other alternatives such as personal loans, a top up gives you a better deal when it comes to interest rates and processing fees, so you can leverage your existing home loan to help you save costs
  •  A Top Up Loan allows you to repay over a longer tenure compared to a personal loan, helping you to keep your monthly outflow low.
  • The process is simple, quick and hassle-free as the documentation is already done earlier. 
  •  It does not require collateral.

7. Disadvantages

  • It is not approved for those who have a poor track records of repaying the loan.
  • It is the bank’s discretion to approve the loan and the number of EMI’s to be repaid before being eligible for getting the top loan.
  • Not all the banks have this option. 

              So you have an option to transfer your home loan to another lender and get a top-up loan. 

Hence, when you weigh the advantages and disadvantages, it is obvious that opting for a top-up is the best. The purpose may be anything either renovating your home or medical expenses or any emergency needs.There are banks who disburse top up loans equivalent to that of home loans while some have a cap on the amount being lent. Some banks may ask to mention the reason for top-up loan just to avoid illegal usage. So a careful and detailed research is to be done, on your purpose of top-up, as well on the banks you can consider, before going for a top-up loan.