Mudra Loan – Pradhan Mantri Mudra Yojana Scheme

Pradhan Mantri Mudra Yojana scheme is one of the best schemes of NDA government. A great initiative to encourage micro and small entrepreneurs. Indians are people who depend on hard work and talent. The best opportunity for those who look for giving a shape to their ideas by getting a maximum of 10 lakhs loan. No collateral required for MUDRA loan. PMMY scheme is valid for non farm loans segment. Banks can lend to members lending institutions which lend to  (MUDRA) Micro Units Development and Refinance Agency Limited.

However, the PMMY scheme mentions categories under which the lending institutes can grant loan based on the income generation.

  1. Shishu Loans – Upto 50,000/-
  2. Kishor Loans – From 50,000/- to 5 lakh /-
  3. Tarun Loans – From 5 lakh to 10 lakh /-.

This is truly a boon for those wishing to aim success at low interest rates investment opportunities. As usually, the micro entrepreneurs usually look for unorganised sector lending for faster investments where they land up in paying  higher interest rates.

All scheduled banks public and private banks are eligible for lending provided their NPAs not more than 3% and should have 3 continuous years profit record.

APPLY ONILINE FOR MUDRA LOAN PMMY

Download the form from the official website and fill the form before visiting the branch. http://www.mudra.org.in/

Getting a loan under MUDRA scheme is easy as lenders in India are looking for lending to meet their targets set by the government itself.

Interest rates for each category under PMMY Scheme or MUDRA loan-

  1. Sishu – Rs 50,000 – 10 – 12%
  2. Kishor – Rs. 50,000 – 5 lakh – 14 – 17%
  3. Tarun – Rs. 5 lakh – 10 lakh – Minimum 16%.

Eligibility check for MUDRA Loan – 

  1. MUDRA loan applicant should be generating minimum revenues to be eligible for loan under any category.
  2. A vegetable shop vendor, machinery shop, manufacturing units, food service units, artisans, small industries, anyone can apply for the MUDRA loan.
  3. All kinds of trading, manufacturing and service sector entrepreneurs  are given loan under pmmy scheme.

Documentation Required for MUDRA Loan –

Like any other loan, the MUDRA loan also needs KYC documentation done. Since it is a collateral free loan, it is easier in deciding to go for the loan.

  1. Address proof
  2. Aaadhar card
  3. Pan card
  4. Photographs of applicants
  5. Business identity proof and address proof
  6. Income statement of 6 months.
  7. Supplier details like machinery vendor name, quotation of machinery needed to be bought.

If loan is taken for working capital, then the MUDRA loan applicant need to submit the following documents too.

  1. Business address proof
  2. Business registration certificate
  3. Proof of continuity of business
  4. 2 years income tax returns
  5. 12 months bank statement
  6. Business vintage proof.

How to approach a bank for MUDRA Loan – 

Mudra loan is also a loan category where every bank and branch deals with the scheme. So, if you have a great idea and if you are already making revenues, if you are wishing to expand yourselves, then you can approach the bank nearby.

Steps Involved in Applying for MUDRA loan – 

  1. Apply online or apply at the branch. Fill all the fields required.
  2. Show all the documents required for no further delay in the process.
  3. Get sanction letter for your enterprise.
  4. Get the loan amount disbursed in your account directly.
  5. Get an acknowledgement from the bank for all the documents you deposited with them.

Challenges faced while applying for MUDRA Loan – 

Since, the pmmy scheme mentions there is no collateral to be asked for MUDRA loan applicant to grant the loan, the banks can ask different questions and documentation to delay the process of sanctioning the loan. You can provide all the required documents at one go and avoid further delays.

The banks have no right to reject an application if the documents are all in place. If still the lender is not ready to avail loan, you can raise a complaint against them in consumer forum or can file an RTI.

Shop for best interest rates from any bank you choose. There can be different rates according tot he category you fall in. Hence, visit every nearby bank and try reducing the interest rate before you avail the loan.

Repayment period for MUDRA Loan – 

Usual repayment period is 5 years. Some banks also help the applicants to choose a bit longer tenure. Choose the best fit as the EMI effects the tenure.

Mudra Loan and Personal Loan Which is better –

Maximum loan amount – Same for both

Repayment Tenure – Mudra Loan is given more tenure when compared to personal loans

Interest Rate – It is almost similar for both the loans

Collateral – Required for Personal loan and not required for Mudra loan

Reason – A solid reason is required for Mudra loan but no reason is required for Personal Loan

Loan Process – Easy for personal loan and a bit tough in real for Mudra loan.

However, if you are in the category of getting a mudra loan, it is recommended to opt for it. Loanyantra’s services are coming soon to meet your needs for Mudra Loan. Nevertheless, Personal loan is also a good option for your immediate needs and Loanyantra is the best one to go with as you get cashback and also low interest rate from many top banks in India.  All you need to do is just give a missed call to us for personal loan and our experts will take care of everything.

 

 

DHFL Home Loan

DHFL Home Loan

When it comes to home loan then you have many options for the same. DHFL is a prominent name when it comes to home loan and allied services. In fact, it has myriads of home loan products catering to the variegated demands of the customer. DHFL is known to offer the best interest rates, longer repayment period and easy home loan application and approval.

Key features of DHFL Home Loan:

  • DHFL offers loan amount up to 80% of the property’s market value.
  • The loan tenure offered by DHFL varies from 1 year- 30 years. The term cannot extend beyond 60 years for salaried personnel and 65 years for self-employed individuals.
  • DHFL offers home loan for buying the new property, construction of a house.
  • One can avail DHFL home loan at RPLR or Retail Prime Lending Rate. It changes at a regular interval of time. This change is dependent on various factors and conditions of the market.
  • DFHL gives the borrower an opportunity to increase the loan amount by adding a co-applicant.

Documentation for DHFL Home Loan-

In order to get a home loan approved form DHFL, it is important that the prospective borrower must submit the documents as asked by the bank.

 

Salaried Professionals Self-Employed NRIs
Duly Filled Application form with passport size photograph Duly Filled Application form with passport size photograph Duly Filled Application form with passport size photograph
Identity proof- Like Adhaar Card, Passport , Driving License Identity proof- Like Adhaar Card, Passport , Driving License Identity proof- Like Adhaar Card, Passport , Driving License, Labour Contract Copy, Work Permit.
Address proof- Like Passport, Adhaar Card, Ration Card, Utility Bills like electricity bill, telephone bills Address proof- Like Passport, Adhaar Card, Ration Card, Utility Bills like electricity bill, telephone bills Address proof- Like Passport, Adhaar Card, Ration Card, Utility Bills like electricity bill, telephone bills.
1 Year Form 16 and ITR. Bank statement of last 6 months showcasing salary credited. Form 16 and ITR along with Profit and Loss account. Bank statement of last 6 months. Balance sheet certified by CA NRIs need to submit salary certificate, last three months salary slip and Last 6 months’ copy of NRO/ NRE bank statement. Appointment letter stating date of joining, designation.

Property Documents

DHFL would ask you to submit the following property documents for approval of home loan:

  1.    NOC from the builder
  2.    Stamp duty receipt
  3.    Allotment letter from builder
  4.    All documents related to builder
  5.    Development Agreement
  6.    Partnership Deed
  7.    Sale Deed

DHFL Home Loan Brief Overview :

Particulars Details
Processing Fee Rs. 5000 onwards plus GST
Loan Tenure Maximum upto 30 years
Cheque Bounce Charges Rs.500 per instance + GST
Cheque Swap Charges Rs. 250 per instance + GST
Prepayment charges No charge if you have floating interest rate and up to 2 % if you have loan with fixed interest rate plus taxes
Loan Amount Maximum Rs. 5 crores

 

DHFL Home Loan
DHFL Home Loan Interest Rates Now. Know more from Loanyantra

Eligibility criteria for DHFL Home Loan

  • The age of the borrower should be between 21 years to 60 years
  • DHFL requires the borrower should have minimum work experience of 2 years
  • If the self-employed individual is applying for a home loan from DHFL then they need to have business stability of at least 5 years.

DHFL Home Loans Types

Apart from conventional home loan offered by DHFL, it also offers other types of loan which can cater to the variegated loan requirements of the individual. These are as follows:

  • DHFL Plot Loan / Land Loan- Well, it might not be necessary that you would want to buy a pre-constructed house. Sometimes you may wish to buy land and build the house of your dream as per your requirement. DHFL makes this easy for you with the help of its land loan or plot loan. The maximum loan tenure for this loan is 20 years and it grants loan up to 75% of the total property values.
  • DHFL Home Construction Loan- Execute you dream of building the house of your dream with DHFL Home Construction loan. It comes at flexible interest rates and the tenure for the same is up to 30 years. With every home construction loan, the borrower becomes eligible for tax redemption as per Section 24(b) and Section 80 C.

DHFL Home Loan Balance Transfer – 

  • This is one the best offers that DHFL has to offer, if you have been repaying a home loan to a certain bank and want to shift to DHFL, then you can do so with the help of DHFL home loan balance transfer. Home loan transfer reduces the burden of EMI and loan tenure. With DHFL, you also get an additional benefit of a top-up loan cover.  The customer can easily transfer 100% of the principal outstanding amount including interest and other charges.
  • Home Extension Loans- Who doesn’t want to have a good looking home. As the family grows and your lifestyle changes, there is a need for a home extension as well. Now, you can easily fulfil this dream by evaluating Home extension loans by DHFL. With this loan, you can construct a new floor, add a room, add an extra bedroom, a balcony and terrace etc. This loan comes with flexible tenure, lower EMIs and Home loan tax benefits.
  • DHFL Home Renovation Loans- Are you tired of the boring look of the house and want to renovate it. Then apply for the DHFL home renovation loan. This loan amount can be used for painting, plumbing, and other maintenance work related to the house.
  • DHFL Plot and Construction Loans-  If you are willing to buy property and then start with the construction of your house, the DHFL offers you the scheme of Plot and construction loan. The best part about this loan is that you can use this amount to buy a plot or land and then start with the construction.  This loan is available to salary, self-employed individuals and NRIs.
  • DHFL NRI Home Loans- If you are an NRI and want to invest in property in India, then DHFL can help you with its NRI home loan. This loan has been developed for NRIs who wish to buy property in India. NRIs from UK, UAE, USA and other countries can apply for a home loan from DHFL. They need to submit certain documents specified by the company for quick approval of the loan.
  • Pradhan Mantri Awas Yojana (PMAY – CLSS)- To support the government of India’s initiative to provide a home to every individual in the nation, DHFL also offers loan under this scheme. This affordable housing project by the government aims at providing a pucca home to all. This scheme has been specially developed for the EWS or Economically Weaker Section of the society.

Those who fall in the category of EWS or Lower Income Group or LIG get the credit linked subsidy on the loan amount of Rs. 6 lakh at the interest rate of 6.5% per annum for a 20 Year tenure.

For the Middle-Income Group 1, the credit liked subsalt is available for loan amount up to Rs. 9 lakhs. It is available at an interest rate of 4% for a period of 20 years.

For those who are in Middle Income Group 2, the credit linked subsidy is applicable to a loan amount of Rs. 12 lakhs at the interest rate of 3% for a period of 20 years.

Following are the key criteria for your home loan eligibility:

  • This loan is available for the first time home buyers and they should be the end user as well
  • The applicant must have not availed any other subsidy under PMAY from central and the state government
  • The applicant must not own any property under their name at present and along with any of the family members.
  • The property should be present in the urban area as per 2011 consensus.

Tax Benefits- One of the primary reason people apply for home loan is that they get tax redemption. If you are applying for a home loan from DHFL, then you get a tax benefit as per Income Tax Act.

The two sections that define about this are :

Section 24(1) B- As per this section, the housing loan expected is upto Rs. 1.5 lacs

Section 80c – As per this section of Income Tax Act, the borrower can get the tax benefit on principal repayment on loan up to Rs. 1 lac.

Why Loanyantra?

Loanyantra is a one-stop solution where the borrower can find all the details about various home loan providers. They can easily do the comparison of all of them and based on this they can choose the right financial institutions. Our services do not end with just comparisons, rather we also help you in completing the paperwork for loan application so that you can get through the entire loan application process hassle-free. To explore more on how we can help you contact us today.

 

Personal Loan for Student

Personal Loan for Students

“An investment in knowledge pays the best interest.” — Benjamin Franklin. Quality education is important for a good and successful life yet expensive in the current age. To avail a high quality education usually needs a good amount of money. And, understanding this need of students, various financial institutions have come up with varied easy-to-avail education loans for students. As in case of personal loans for students in India, it is different from education loan. A personal loan depends on the borrower and can also be taken for a family member. An education loan might fund a part but, personal loan can fund 100% of the expenses.

What is a student loan? Why one should take student loan?

A student loan is generally a loan taken for post-graduation studies and associated fees like tuition, books and living expenses. These loans are different from other loans in the manner because of its low interest rates and deferred payment schedules where the payment doesn’t start while the student is still in college. Student loans generally include tuition and course fee, caution deposit, examination fees, library and laboratory fees and the cost of books, equipment and other study-related materials. Some student loan schemes also include travel expenses for abroad studies, study tours and a cost of a two-wheeler.

What is the interest rate for students personal loan?

Personal student loan rates start from somewhere around 11 %. The rates are usually lower for staff of the financial institutions and employees of reputed organisations. The interest rates are higher for self-employed individuals.

Given below is an example of one of the personal loan rates of SBI

(SBI Student Loan Scheme):

 

Loan Limit Effective Interest Rate Reset Period
Upto 7.5 lakhs 10.55% 1 Year
Above 7.5 lakhs 10.80% 1 Year
0.50% concession for girl students is available

Eligibility for student loan

Financial institutions in India have got flexible in their procedures for student loans. These are aimed to be granted with lowest of complexities.

Some basic criteria for availing a student loan are listed below:

  1. The candidate must be a resident of India.
  2. A confirmed admission letter must be present from a recognised university of India or abroad.
  3. The applicant should have an admission in an university affiliated by UGC/AICTE/Govt. etc.
  4. The age of the candidate must be within 18-35.
  5. The candidate should have a good academic record in most cases.
  6. He/she must be undergoing  a valid graduate, post-graduate degree or a PG Diploma.
  7. Security demanded is usually a guarantor or tangible collateral depending on the loan amount and source of income.

Loan amount

The loan amount depends on the student’s need and financial condition. It also depends on the fees and costs involved in the educational course. An education loan for skill based courses and expenses, a candidate can avail as low as an amount of Rs. 5000. The maximum limit can reach 1.5 crores too depending on the circumstances. A personal loan can be taken just for travel expenses or relocation even if the cost of course is covered by the student.

For example, SBI offers a loan amount of a maximum Rs. 10 lacs for studies in India and a maximum of Rs. 20 lacs for studies abroad.

* Maximum loan limit for studies in India is based on case-to-case basis.

* SBI Global Ed-Vantage Scheme is considered for higher loan limit for studies abroad.

Tenure (Min to Max)

For personal loans in India, the tenure may vary from 12 months to 60 months depending on the loan type. HDFC offers tenure of 12-60 months with an EMI of as low as about 2 k Rs per month. Student loans have a different tenure.

Documentation

The documents required by various financial institutions differ, however, the basic ones are listed below:

For a Student-applicant:

  1. Proof of Identity (Any one): Driver’s License/ Voter ID card/ PAN/ Passport
  2. Proof of Residence/ Address (Any one): Electricity Bill/Water Bill/ copy of Passport/ Driving License/ Aadhaar Card/ Recent copy of Telephone Bill/ Piped Gas Bill
  3. Passport: Mandatory to be submitted for Studies Abroad
  4. Academic Record Documents: 10th Result, 12th Result, Graduation Result- Semester-wise (if applicable), Entrance Exam Result through which admission is being taken (GMAT, GRE, TOEFL, JEE, NEET, CET, CAT, CMAT, etc.)
  5. Proof of admission: Official Admission Letter or Offer Letter from the Institution.
  6. Statement of study expenses and costs
  7. Passport-size photographs -2
  8. Any previous loan statements from any other banks/lenders.

For a co-applicant::

Proof of Identity (Any one): Driver’s License/ Voter ID card/ PAN/ Passport

  1. Proof of Residence/ Address (Any one): Electricity Bill/Water Bill/ copy of Passport/ Driving License/ Aadhaar Card/ Recent copy of Telephone Bill/ Piped Gas Bill
  2. Passport-size photographs -2
  3. Any previous loan statements from any other banks/lenders.
  4. Income Proof for Guarantor or Salaried Co-applicant such as  Bank account statement for last 6 months (of Salary Account), copy of IT Returns for last 2 financial years, copy of Form 16 for last 2 years, Salary Certificate of last 3 months or Salary Slips.
  5. Income Proof for Guarantor or Self-Employed include Bank account statement for last 6 months or Certificate of qualification, IT returns for last 2 years or Business address proof.

Note: All the documents must be self-attested.

Is personal loan different from student loan and education loan different from student loan.

Education loan is a loan for the costs and fees of the educational course involved. It can vary from a minimum of 5000 Rs to 1.5 crores Rs depending on the course. Some skilled based courses demand a low amount and that can be availed from banks and other financial institutions.

Student loan may or not may not be guided by government rules of education and can be provided by various private lenders. The repayment schedules and tenure of such loans may vary from that of education loan.

On the other hand, personal loan depends on the borrower or the guarantor. It can be taken by parents or can cover other family expenses for the student such as relocation expenses, travel expenses, etc.

Interest rates for education loans are generally lower and easy to get for a student even with low or no security as compared to personal loans.

What is education loan and what all courses covered under education loan or student loan

  • Courses offered by recognized universities in India and abroad and listed under ll courses listed here- www.ugc.ac.in , www.education.nic.in and www.aicte-india.org are eligible for education or student loans.
  • Professional courses including B.A/B.Com/M.A/M.Com/MCA/MCM etc., Engineering and Medicine, Management courses (both full time and part time), ICWA, CA, CFA etc., Courses by IIMs, IITs, IISc, XLRI. NIFT,NID etc., Distance learning programs and online certifications, studies such as SAP , ERP , GNIIT , Air Hostess Training programmes, Architecture, Agriculture studies, Fine Arts and Designing, Hotel and Hospitality courses, degree/Diploma courses like Aeronautical, pilot training, shipping, etc.,, courses by reputed institutes that assure employment and are Govt. certified and others in India by reputed and certified foreign universities are all applicable for loans in India.

Student loan schemes and details from SBI, HDFC, ICICI.

SBI Loan Schemes include term loan granted to the citizens of India for pursuing higher education in India or abroad. The courses covered include courses conducted by colleges/universities approved by UGC/ AICTE/IMC/Govt. Etc, regular Degree/ Diploma Courses conducted by autonomous institutions like IIT, IIM etc and training and professional courses by reputed organisations and so on in India and abroad. The expenses covered include the normal course, hostel and examination fees and related fees. It also includes cost of a Two-wheeler upto Rs. 50,000. The maximum loan amount by SBI in India is 10 lakhs and 20 lakhs for abroad however, it depends on every case and regulatory guidelines for abroad studies.

HDFC student loan apply online feature helps you apply for a loan from practically anywhere.

Some features of HDFC education loans include an age limit of 16-35, loan amount with unsecured loans up to Rs.7.5 lakhs and secured loans up to Rs.10 lakhs, choice of collateral where HDFC offers a range of options such as Residential Property, LIC Policy or HDFC Bank Fixed Deposit, etc. It also has a processing fee of as low as 1% of the loan amount.

ICICI offers education loans for both undergraduate and postgraduate courses with loans up to Rs 50 lakh in India and up to Rs 1 crore for overseas.

FAQs about Student loan.

 

Can I get an education loan at the age of 40?

It depends on the financial institution. Some do not have any age restrictions. But, many have an age limit of 18-35 for availing an education loan.

Does education loan have tax benefits?

Education loans do not provide tax benefits immediately. But, there is exempt on taxes for the interest accrued while repayment.

When should I take personal loan and when education loan?

Education loan is taken for the course and course-related fees while personal loan can be taken for other expenses if you have a good guarantee or some financial security.

What are the things to look for in a financial institution while applying for an education loan?

While applying for an education loan, check the repayment schedule, tenure, interest rates, processing fees, etc. to avail the best loan.

What are the criteria for applying for a student loan online?

The criteria and documents for applying for a student loan online remains the same as above.

What are the other expenses covered by education loan?

 

Books, equipment, examination fees, laboratory fees, instruments, building fund, caution deposit, hostel fees, etc. are included in the expenses.

 

How does the Financial Institution track my progress academically during the course?

The applicant must submit progress reports or mark sheets periodically. All documents must be duly signed by a college authority.

 

Student loan is a much needed one for those who look for higher education and who aim for a great career. We are here to help you out.

 

 

Home Loans for Buy-to-Let Investors!!

Loan Acquisitions for Buy-to-Let Investors

Being a landlord in India is not for the faint-hearted. The past few years have not been easy for the Indian real estate market thanks to numerous obstacles including new property laws, demonetization, and the Goods and Service Tax. Now, after a prolonged stagnant period, the sector is starting to show improvement and is on a structured path of recovery, giving hope to property investors across the board.  After several home loan interest rate hikes in recent times, however, an increasing number of Indians are opting to live in rental properties. This has created a big opportunity for investors that acquire residential property for the sole purpose of renting it out.  Unfortunately, funds are often tied up in investments and fixed assets in which case a buy-to-let investor will have to apply for a loan to purchase the property of his choice.

Why do landlords need additional finance?

Obtaining a property requires money. The cost of living in India may be in the region of 65% lower than in the USA but a house in a big city such as Mumbai can still cost anywhere between ₹50 and 75 lakh. Even if the sole purpose of the property acquisition is to rent it out, you will still be responsible for mortgage payments even if the house or apartment is vacant. Additional finance is often required to procure a home that can be rented out.

Property improvements don’t come cheap

Vacant properties result in a financial loss which is why it is critical to keep a property well-maintained in order to keep it occupied. Structures such as roofs, gutters, plumbing, walls, and fences lose their integrity over time and can decrease the rental value of a property if not addressed in a timeous manner. With 2.1% of the Indian population believed to be disabled, there is an increased need for accessible homes. A landlord can boost the appeal of his property significantly by making a range of improvements such as wheelchair ramps, wider doorways, lowered counters, and a roll-in shower. As important as regular maintenance is, and as appealing as a state-of-the-art kitchen, bathroom, or a fully-accessible home may be, it all costs a substantial amount of money, often necessitating the investor to take out a loan.

Where can buy-to-let investors seek financial assistance?

Once the need for financial assistance has been identified by a landlord, the next step entails determining which type of financial institution will render the most viable service. Prior to making any pertinent decisions, it is pivotal to conduct some research before applying for a loan from anyone. Depending on your own personal requirements you may opt to make use of a traditional brick-and-mortar institution, an online lender, or an investor-only lender.

Brick-and-mortar lenders

Long before the internet revolutionized the real estate and financial sectors, landlords seeking loans would have to venture into brick-and-mortar institutions such as the State Bank of India or the Canara Bank. These traditional loan providers are ideal for individuals who are seeking finance in a personal capacity from an entity that is very familiar with the Indian real estate market. Banking institutions also often forge close relationships with their high-end clients which results in better service and a speedier application process.

Online lenders

The internet has revolutionized the real estate industry in countless ways.  Making use of the services of online lenders is often far more convenient than dealing with a conventional service provider. An impressive amount of time is saved as there is no need to go into the bank or office of a loan provider to fill in any documentation as the entire application is done from the comfort of your PC or smartphone.  Online loan providers typically benefit first-class lenders the most as they typically have the funds available for the somewhat steep down payment.  Loanyantra is a perfect example of an online home loan provider that prides itself on its sought-after, reputable online presence.

Investor-only lenders

Investor-only lenders specialize in supplying finance to business organizations to allow them to invest in properties of a residential nature. If your organization fits this brief you may benefit substantially from making use this type of lender. Due to the clientele of investor-only lenders being so limited, the application process is streamlined significantly, saving you a hefty chunk of precious time.  An IO lender can be of great benefit to a business who is investing in a number of rental properties through a legal establishment as well as if your long-term plans involve more than straightforward residential properties, including things such as fix & flips and properties with a multi-purpose appeal.

Acquiring a loan with the purpose of investing in a buy-to-rent property is not uncommon and may result in lucrative financial gains. At Loanyantra you can expect not only to find fast and efficient service but also the best repayment rates available that will help you secure the property of your dreams.

IDBI Home Loan

IDBI Home Loan

When it comes to buying a home, home loans have emerged as the most convenient way. It not only enables you to buy your dream home but at the same time, it also lets you pay back the money in easy instalments which don’t come as a burden. Furthermore, home loans also give the tax benefit to the borrowers.

Key features  and Advantages of IDBI Home Loan:

  • The bank helps in property search and completing the due-diligence for the acquisition of property.
  • IDBI offers in-principle loan approval even before the property is selected
  • IDBI has a wide array of home loan products to choose from, the likes of which include: Home loan, Top-up home loan, Home loan- takeover facility, home extension loan, home improvement loan, home loan- booking finance loan, home loan-refinance facility.
  • Indian citizens both salaried and self-employed and NRIs can apply for home loan.
  • You can take home loan from IDBI bank for any property across the nation and from any of the 1800 plus branches across the nation.
  • Online application and approval facility.
  • What is the different purpose for which IDBI Home Loan can be used?
  • The prospective borrowers can use the IDBI home loan for any of the following purposes:
  • Purchase of a new home
  • Constructing a new home
  • Home renovation and extension.

IDBI Home Loan Interest Rate:

IDBI is known to have the most lucrative interest rates for a home loan, an important point to note about IDBI home loan is that the female borrowers get leverage of lower interest rates as compared to their male counterparts. The loan amount is categorized into different limits. Here is an example how interest rate varies according to the limits and according to the borrower.

 

Loan Amount Interest Rate Interest Rate for Women Borrower
Loan amount up to Rs. 25 lacs 8.40% 8.35%
Loan amount in the range of Rs. 25 lac- Rs. 75 lac 8.55% 8.50%
Loan amount in the range of Rs. 75 lac- Rs.2 crore 8.65% 8.60%
Loan amount above Rs. 2 crore 8.65% 8.60%

Documentation for IDBI Home Loan:

For quick and easy processing of home loan it is important that the borrower must submit all the documents with supporting papers . IDBI bank has specified the following documents submission for loan approval:

Salaried Personnel Self-Employed Personnel
Duly filled application form Duly filled application form
2 passport size photographs 2 passport size photographs
Address proof like Adhaar card, voter ID, passport, registered rent agreement, utility bills like electricity bill , telephone bill(last 3 months) Address proof like Adhaar card, voter ID, passport, registered rent agreement, utility bills like electricity bill , telephone bill(last 3 months)
ID proof like passport, driving license, voter id, Adhaar card ID proof like passport, driving license, voter id, Adhaar card
Income proof, salary slip, bank statement of last 6 months showcasing salary credited. Form 16 Proof of business like incorporation details, business address proof, profit and loss account certified by CA, balance sheet certified by CA, ITR of last 2 years, VAT or service tax registration.
Property documents like sales deed, allotment letter, conveyance deed, possession letter, copy of approved plan for construction or extension Property documents like sales deed, allotment letter, conveyance deed, possession letter, copy of approved plan for construction or extension

Brief overview of IDBI home loan:

Parameters Points to note
Who are eligible for IDBI Home Loan All the salaried and self-employed personnel
Income Minimum income should be Rs. 25,000
Age criteria Minimum age- 21 and maximum age- 60 years
Loan Tenure For salaried individuals it is 30 years and for self-employed it is 20 years
Interest Rate Contact for best rate and a discount on it.
Processing fee .50% up to Rs. 2500 whichever is maximum
Prepayment Charges Nil

IDBI Home Loan Advantages –

  • In-principle loan approval even before property is selected.
  • Extensive Range of Home Loan Products viz .Home Loan, Home Loan Interest Saver, Home Loan -Top up, Home Loan – takeover facility, Home Improvement Loan, Home Extension Loan, Home Loan – Booking Finance, Loan on second Charge/Pari-passu charge and Home Loan-Refinance Facility.
  • Customized Home Loan Features for Salaried (Including NRI), Self Employed Professional and Self Employed Non Professional (Business Category).
  • Already approved projects for convenience of Home Loan buyers.
  • Flexible Loan Repayment Option viz. Flexible Loan Installment Plan, Step up & Step down repayment facility, Tranche Based EMI.
  • Interest calculated in daily reducing basis.
  • Home saver option where you can save while repaying the home loan.
  • Broad presence across India with 1800+ Branches and 76 dedicated Loan Processing Centres.

Repayment Options with IDBI Home Loan – 

  1. Step-up Repayment Facility – Best opportunity for young investors. Loan amount is sanctioned on the assumption of 6-8% income growth per annum. Since the loan amount is decided on the career growth, the chances to get a bigger amount as loan is higher.
  2. Step down Repayment Facility – Make hay while sunshine. Following the adage, the bank allows to opt for two different EMIs during the tenure. Emi along with the co-applicant can be a bit higher to complete the loan faster and when your co-applicant’s income is no more your support, get the privilege of reducing the EMI.

Home Loan Interest Saver  – Home Loan from IDBI Bank –

The interest liability of your home loan comes down to the extent of surplus funds parked in the operative current account. You will be allowed to withdraw or deposit funds from this operative current account as and when required. Interest on Home loans will be calculated on outstanding balance of loan minus balance in the Current Account based on EOD balance.

Advantages with Flexi account –

  • Park your surplus in the savings account and get a feel you had paid part payment in your loan yet you can use the funds when needed.
  • Close the loan the fastest as the interest rate is calculated only in the balance amount.
  • Use this account too as any other with ATM card, cheque book and internet banking too.

 

Different types of Home loan products offered IDBI Bank:

IDBI Home Loan- IDBI offers home loan to both salaried and self-employed individuals at attractive interest rates. Now you can fulfil your dream of buying the house of your dreams and pay it off in easy EMIs with IDBI home loan. Whether you want to buy an apartment or are willing to construct your own house, IDBI leverages you to do the same with its home loan.

Home Extension Loans- If you are planning to expand your house or want to add a new floor or want to have an extra room, the home extension loan from IDBI can be used for the same. This home loan feature lets you use the loan amount for any new construction in the house.

Home Improvement Loans- Home maintained is a big task and involves a huge investment. If you are also planning to renovate your house or are planning some repair work that will require heaps of money, try home improvement loans from IDBI bank and you can easily complete your task.

Tax Benefits-

Apart from easy repayment and simplified home loan approval, with the home loan, you can also enjoy tax benefits. Yes, as per the Income Tax Act, if you have applied for a home loan then you get a tax rebate as per Section 24 and Section 80C. Read ahead to know how you will get the tax benefit:

  1.    Section 24- The interest which the borrower is paying for the capital borrowed for constructing a house, repairing or maintaining gets a rebate. The maximum amount for the same is Rs. 2 lac if the borrower is occupying the property and if it is rented then there is no limit.
  2.    Section 80C- As per this section of Income Tax Act, the broker gets a maximum deduction of Rs. 1.5 lac. This amount is deducted on the income or repayment of the principal amount of home loan.

IDBI Home Loan FAQs – 

1.How IDBI bank decides my home loan eligibility?

Loan eligibility is assessed based on your age, qualification, income, number of dependants, spouse income, stability and continuity of your occupation, assets, liability base and your savings history. Also based on the value of the property you purchased.

2.What is the maximum home loan amount I can get from IDBI Bank?

A maximum of INR 10 crore can be sanctioned as Home Loan amount from IDBI Bank.

3. How much maximum tenure is accepted by IDBI Bank?

The maximum tenure you can choose is 30 years and again the bank can choose the discretion depending on the age factor and the loan amount.

4. Can I get Loan eligibility without selecting the property?

Yes, you can get eligibility also and sanction also. This ensures you to choose property accordingly which equals your principal amount.

5. What security will I have to provide while taking a home loan from IDBI?

On the first, your property itself is the security as you need to deposit the documents with the bank. The documents that the bank withholds include title deed, sale deed and sale agreement. Once you repay the whole loan amount, the documents are handed over to you.

Why choose Loanyantra?

The era of digitization has led to the surge of platforms that makes your work faster and quicker. Loanyantra is one such platform that brings before you’re an array of options when it comes to home loan. We have created this portal that has all the details about various banks and financial institutions providing a home loan. In the click of a button, you will get to know all the details about the benefits, interest rates and other advantages that a particular bank is offering. Apart from letting you know the details about a home loan, Loanyantra’s multifaceted platform lets you know about the complete details about loan application and approval.

Here is what makes us better than other third-party platforms :

  • One platform for all loan related requirements- If you are searching for a third-party platform that can assist you with loan application and approval and shortlisting the best loan provider, then Loanyantra is the best one. We have compiled a list of all the popular banks and NBFCs that offer a home loan, with their interest rates and benefits. You can easily compare all the details and choose the one which is in your best interest.
  • Customer Support- In the busy life of today, getting the right support is the best thing that you can have. At Loanyantra we provide you with all the details about a home loan, in fact, our customer support division will also help you choose the best loan provider.
  • Unbiased approach- We are a third-party platform and hence our reports are not affected by any bank or NBFCs. we give you authentic details which are not influenced.
  • Loan application and approval assistance- Loanyantra aims at becoming a powerful medium to help people find a company that can give you the best offer. We help you with the completion of paperwork, submission and co-shoulder your repressibility so that you don’t have to face any problems while getting the loan approved.

Home loans are meant to lessen your burden and pave an easy way to get your dream house, and we at Loanyantra are here to help you find the right channel to fulfil your dream. Connect with us for more details on a home loan, application and approval.

 

4 Tips to get your loan approved quickly

Preparing to apply for a home loan is a bit like compiling all the information your accountant needs to prepare your tax. It’s tedious! However, unlike preparing your tax documents you have something very exciting to look forward to – owning your own home.

Knowing exactly what lenders require, and having everything ready to hand over to your mortgage broker, will ensure your application proceeds smoothly and your loan is approved quickly.

With your loan pre-approved, you know exactly what you can afford and will be ready to make your move as soon as you find the right property at the right price.

So, what will your lender want to know?

To put it simply they will want to know who you are, what your income is, what you own, and what you owe (including how you are paying it back).

1. Who You Are – Proof of ID

If you are borrowing as an individual your lender will typically require a combination of a primary ID and a secondary ID viz., address proof, photo proof.

A primary ID is a photographic ID, either a PAN card, current driver’s license or passport. Secondary IDs can be a Medicare card, bank card, utilities bill or with your name and current address on it.

If you are borrowing as a company, IDs for the directors of the company will need to be provided as well as a company registration certificate.

In the case of a trust being involved, you will need a copy of the executed Trust Deed, along with IDs for all trustees

2. Proof of Income

If you are an employee earning a salary you will need to provide either your two most recent payslips or a letter from your employer stating your base income (not including bonuses or overtime). This letter should also state the date you commenced employment with the company as your lender may want to be sure that you have passed any probationary period.

You also need to provide details of any other sources of income, such as rental income, dividends, interest on savings, child support/maintenance or government benefits.

If you are self-employed or borrowing as a company or trust there are different requirements.

You will need to provide the last two years signed, lodged tax returns for all entities relating to the loan, including any trusts or companies. You will also need to provide the same details for all directors.

Behind with your tax returns? It may still be possible to get a loan but you will need some help from your accountant.

Your lender may accept an accountant’s declaration stating your income on a form provided by the lender, your most recent Business Activity Statement (BAS) or 12 months of business banking statements.

3. Details of Your Assets (What you Own)

Compile a detailed list of all your assets, including savings in the bank, the value of any property you own, your household contents, shareholdings and vehicles such as cars, motorbikes or boats.

4. Details of what you owe and how you are paying it back

List any debts you may have, such as credit cards or personal loans, and the monthly repayments on these. Your lender will not only be looking at what debts you already have but proof of your payment behaviour.

If you are refinancing a home loan with a new lender, the lender will also need to see a mortgage statement covering the last six months of your payments.

Once you have all these documents compiled and ready at your fingertips, you are good to go!

Contact one of our expert mortgage brokers here at Online Home Loans and they can help you find the right home loan for your particular circumstances. They will double-check that all your documents are in order (and help you if not!), confirm that your eligibility for a home loan is good, advise on the home loan options available to you, and smooth your way through the entire process.

Before you know it, you will have your loan approval and be ready for the exciting journey towards owning your own home.

We are here to help!

Making Home Loan Work For You

When it comes to choosing a home loan, interest rate is not the only thing to consider. Loan features – like the ability to make extra repayments, a line of credit, an off-set account – are just as important. To help you understand what features you could be offered by your lender, we’ve outlined some of the more popular options.

Making extra repayments

Being able to make extra repayments at any time during the life of your home loan is an important feature. Any extra cash paid into your home loan – like an annual bonus, a windfall, or a tax return – could end up saving you thousands of rupees in interest over the life of your loan.

It goes without saying that the more often you make extra repayments, the better – for example, if your mortgage repayments are calculated monthly, consider paying fortnightly instead as you’ll end up paying an additional month’s worth of repayments each year. And the sooner you’re able to start making extra repayments, the greater the benefit to you in terms of time and money shaved off your overall loan amount.

An off-set account

One of the simplest ways to reduce the interest payable on your home loan, is to set up an off-set account. An off-set account is a bank account linked to your home loan and used as you would any other savings or transaction account. The difference is your balance in this account is off-set against your total mortgage and interest is only charged on the difference.

For example: If you had a mortgage of Rs. 45,00,000 and your off-set account balance was Rs.1,00,000, interest would only be charged on the difference i.e. Rs. 44,00,000.

Some lenders calculate the off-set amount daily while others do this on a monthly basis, so it’s worth comparing lenders if this is something you think would work for you. You can have your salary paid into your off-set account, set up automatic payments to be paid from this account, and use it to make everyday purchases using a debit card.

A line of credit

If you have a large amount of equity in your property, you may be offered a line of credit. This means that your lender approves an amount secured against the equity in your property that you can draw down when you need it – say for home renovations or a family holiday.

Typically, you’ll only pay interest – charged at a variable rate – on the amount you draw down rather than the total approved amount. A line of credit is a useful feature to have, but probably better suited to borrowers who are careful at managing their finances and won’t be tempted into overspending each month.

What features work best for you?

As a Mortgage Management Expert, we understand that navigating through the numerous home loan features on offer by lenders can be complicated. We’d like to help you make an informed decision about which features are most important to you. Get in touch with us if you’d like guidance on your home loan features.

Indiabulls Housing Finance

Indiabulls is a popular name when it comes to choosing a housing finance company. In the legacy of more than a decade, the company has established itself as a trustworthy company that renders different schemes and policies, that helps people meet their financial needs. What makes Indiabulls different from other banking and financial institutions, is that it offers the highest LTV or Loans to Value ratio in the Indian market. It means that if you are taking a loan of Rs. 30 lacs, the Indiabulls offers loan amount up to 90% of the market value of the property. For loan amount above 30 lac up to 75 lacs, it offers LTV to a maximum of 80% of the property value. It also includes the land cost.

Key features of Indiabulls Housing Finance Loan-

  • The most important feature of Indiabulls housing finance is that it offers the highest LTV ratio in the market as compared to other banking and financial institutions.
  • Attractive interest rates are yet another feature that differentiates Indiabulls from others.
  • The prospective borrowers can apply for the housing loan individually or may have a co-applicant. The co-applicant can be spouse, parents, siblings or son or daughter.
  • It offers floating interest rates. It doesn’t apply on the loan disbursal amount. Any change in the interest rate will impact only the interest part of the EMI.
  • Indiabulls housing finance offers e-home loans making the loan application hassle-free.

Benefits of Home Loan from Indiabulls:

  • E-home loan facility makes it easy for borrowers to apply for a loan
  • Quick loan processing and approval
  • Flexible repayment
  • Indiabulls offers long and short tenure loans
  • Highest LTV rate

Brief overview of Indiabulls Housing Finance-

Rate of Interest It starts from 8.80%
Loan amount The minimum home loan amount offered by Indiabulls is Rs. 35 lacs
Loan Tenure Up to 30 years
Cheque Bounce Penalty Rs. 500 per instance
Cheque swap charges Rs. 500 per instance
Prepayment Charges Nil
Processing fee Up to .05%

What is the different purpose for which housing loan from Indiabulls can be used?

The borrowers who are looking for housing loan from Indiabulls can use this amount for different purposes, they are enlisted below:

  • Purchasing a new home, flat or independent houses.
  • Construction of a new house on the land owned by the borrower
  • Purchasing a new plot for construction.
  • Home extension or renovation.

Documentation for housing loan from Indiabulls:

The loan application and approval process of Indiabulls is simple but it requires the browser to submit the documents that can substantiate his/her credibility to repay the loan. Indiabulls offers housing loans for both the India residents and NRIs residing in Dubai, the UK and the US. Listed below is the complete set of documents that one needs to submit to get a housing loan.

Mandatory documents that one needs to submit:

  • Passport size photograph of the applicant
  • Filled and signed application form
  • Address proof like Adhaar card, Driving License, PAN card, Passport, Voter ID, Utility bills of last three months- this can be electricity bill or telephone bills.
  • Processing fee cheque
  • NOC from the builder or the housing society(original copy)

Tabular Representation for different categories of loan applicant:

Salaried Individuals Self-employed Individuals BSF Merchant Navy professionals and NRIs
In addition to the above mentioned documents the salaried individuals need to submit:

Form 16 of last 2 years

If they don’t get Form 16, they can submit Form 26AS or ITR of last 2 years.

Salary certificate

Last six month bank statement.

In case of variable salary, the salary slip of last 6 months is required.

In addition to the above mentioned documents, the self-employed individuals need to submit:

Last 2 years ITR

P/L of last 2 years

Balance sheet of last 2 years

Business registration certificate under Shops and Establishments Act or Factories Act or Gumasta License

Education certificates

Along with the application form, the BSF personnel needs to submit service certificate.

Last 3 months salary slips

Form 16 of last 2 years

To get the benefit, the BSF personnel needs to submit the service certificate

If they are on rent then they need to submit rent agreement with utility bills of last three months.

Salary slips of last 6 months

Continuous Discharge Certificate

Passport

Contract copy of last 3 years

Form 16 of last 2 years

Bank statement of 1 year for NRE or NRO account.

 

The NRIs need to submit Form P60/P45

Recent Employment contract along with Consumer Credit Check report.

 

Different types of Home loan products offered by Indiabulls:

Indiabulls Housing Finance Loan– This loan scheme is for the salaried, self-employed, BSF, merchant navy and NRIs. You can use this loan for buying a home or building your own home. The loan comes with attractive interest rates and tax benefits which makes it one of the most popular choices amongst those who are looking for a home loan.

Rural Home Loans- Indiabulls offers home loan to the residents of rural and semi-urban areas. They can use this loan scheme to buy a home in rural areas. The rural home loans from Indiabulls comes at an affordable and attractive interest rate.

Plot loans from Indiabulls- well, if you don’t wish to buy an apartment and are willing to construct your own house, then Indiabulls has plot loans for such needs. This lucrative interest rate makes it easy for individuals to build the home of their dream by availing plot loans.

Home Extension Loans- This is yet another popular loan schemes offered by Indiabulls. Home extension loan lets you use the loan amount to construct a new home, or if you are planning to add another floor to your house.

Home Improvement Loans– Your house is a reflection of your lifestyle and if you want to catch the eyes then it is important that your house should look different. To fulfil this dream of yours apply for the Home Improvement Loans from Indiabulls that helps you renovate your house, from painting to repairing to maintenance, you can use the Indiabulls home improvement loans for the same. It can also be used for home renovation.

Tax Benefits-

Availing housing loan from Indiabulls will not only fulfil your dream of buying a home or building your dream house but at the same time, it also gives you tax benefits. The Income-tax authorities offer certain benefits to the people who take home loan from specified financial institutions and Indiabulls is one of them.

Here is how you get benefitted from housing loan:

  1.    Section 24- As per this section of the Income Tax Act, an interest that the borrower pays on the capital borrowed for construction, repair or acquisition of property gets a rebate. The maximum amount which is eligible for deduction is Rs. 2,00,000 if the property is self-occupied. In case of the rented out property there is no limit of the amount of deduction.
  2.    Section 80C– As per this section of the Income Tax Act, the maximum deduction amount is Rs.1.5 lacs. This amount is under rebate on income or repayment of principal amount of home loan during the financial year.

Why choose Indiabulls Housing Finance from Loanyantra?

If you are searching for a good housing finance company then Indiabulls is a good choice. Loanyantra offers you a good platform to scout through a number of banking and financial services that provide a home loan. Our customer service will guide you through the entire process of loan application and approval. You can compare the interest rates and other benefits offered by banks in one go and finalize the one which can be in your best interest.

Why should you consider Loanyantra as a trustworthy platform?

    • One-stop solution- Loanyantra offers one stop solution where you can access all the information in one click.
    • Unbiased Reports– Loanyantra is a third-party platform where the information is not sponsored by any particular bank or financial. All the information on our website is unbiased and we present you critically analysed reports which will be in the best interest of the borrower.
    • SPOC- Loanyantra offers you a dedicated officer that will help you with the loan application. They will work in coordination with you until the loan gets processed.
    • Quick and time-saving- Time is money and Loanyantra completely comprehends this. We offer quick services and help you complete the paperwork so that you get your loan approved in time.

If you are searching for the right loan provider and are confused who to finalize, then Loanyantra will help you choose the right bank or financial institutions. To explore more about our services and how can we help you contact us today.

 

Traps to avoid by New Home Buyers

Buying a home is one of the largest and most complex purchases you’re ever likely to make. And getting it wrong can have a significant impact on both your financial and emotional health. That’s why it’s important to take time to fully research and understand the process and the complexities that go along with home buying. Here are our home buyer traps to avoid.

Not Getting Pre-approved
In this highly competitive property market, getting a pre-approval for a mortgage is absolutely the first step in the home buying process. And while the amount of paperwork involved may put you off, not getting pre-approved before looking for a property will ultimately cost you.

Securing a pre-approval helps define your property search so you know what price range you can realistically afford. It also shows the seller that you’re serious about buying, and it’s an absolute must-have if you’re buying at auction.

Not saving a deposit
At the very least, you need to have saved a 10 per cent deposit of the property value. If you have less than this, you still have a few options: you could ask a family member to gift you part of the deposit, or act as a guarantor on your home loan. Either way, lenders want to see you are capable of saving a deposit.

Not doing your homework
Defining what it is you’re looking for in a home is an essential part of the home buying process. Before you attend an open house, consider what it is that’s important to you in buying a property: for example, living closer to work or schools, a family lifestyle with a large garden, access to public transport.

Research reliable property data to get a realistic idea of property prices and what you can expect to buy for your budget. Remember to factor in the costs associated with buying, like mortgage registration and transfer fees, loan application and establishment fees, and Lenders Mortgage Insurance if you’re borrowing more than 80 per cent of the property value.

Not working with a mortgage broker
Mortgage brokers have access to a far bigger pool of financial resources and can often secure finance for buyers who have been turned down in the past. In many instances, mortgage brokers are able to negotiate sharper interest rates or terms. Most importantly, they’re experienced in dealing with and understanding lending policies of different lenders, so are able to guide you through the home buying process and ensure you make the best decisions.

Get in touch with our team today if you need assistance or advice around the home buying process.

Inshort about HDFC Home Loan

HDFC housing loan – Check your eligibility now or Calculate your EMI to decide at the fastest.

Key Points to note about HDFC home loan-

If you are applying for home loan from HDFC Bank then you must make a note of the following points :

  • If you add a co-applicant the you enhance your eligibility for a higher loan amount.
  • Adding a woman co-applicant will help you get better interest rate.

Details About HDFC Housing Loan:

Rate of Interest 8.80%-9.05%
Loan Tenure 1-30 years
Processing Fee Up to .50% of the loan amount
Guarantor Requirement Not Required
Pre-closure charges Nil
Maximum Loan Amount It varies from applicant to applicant and other factors decided by the bank.

When it comes to choosing the best option for the home loan, then one factor that instantly lures the borrowers is the interest rates offered by banks. Well, you have a number of banking and financial institutions offering the home loan. However, the right choice would be the one which offers attractive interest rates, expansive set of features, longer loan tenure, nil prepayment charges and great customer support is something that one eyes at. HDFC Bank is one of the leading banks in India that offers myriads of financial products and is known for its housing loan schemes.

Where can you use HDFC Housing Loan?

The bank offers housing loan under the following conditions:

  1.    Buying a new home
  2.    Buying a resale home
  3.    Construction of a new house
  4.    Property purchase
  5.    Transfer of home loan from one bank onto HDFC

Who can apply for home loan from HDFC Bank:

The following people can apply for home loan from HDFC bank, provided they meet the eligibility criteria specified by the bank:

  • Salaried and self-employed individuals can apply for HDFC housing loan
  • Every proposed owner of the property is considered as a co-applicant. But, all co-applicant cannot be co-owners.
  • The bank offers NRI home loan to non-resident Indians on a condition that the applicant must produce the proof the same.
  • The bank offers HDFC rural home loan to the farmers, agriculturists, dairy farmers etc.

Features and benefits of HDFC home loan

There are a series of benefits offered by HDFC bank that makes it a popular choice amongst the home loan seekers.

  • It offers comprehensive loan schemes for buying property, plot, or purchase of the resale property. You can also use the housing loan for construction of the house.
  • One of the distinctive features of HDFC housing loan is that it offers competitive interest rates when compared to other banks.
  • People-friendly policies and customer support makes HDFC bank a popular choice.
  • There are no hidden charges or last-minute costs that come up while you apply for a home loan from HDFC bank.
  • Innovative products like home extension loan and home improvement loans.
  • Door-step service with legal assistance.
  • Special offers for NRIs, defence professionals, farmers etc.
  • You can apply for home loan individually or have a co-applicant

Eligibility Criteria Specified by HDFC Bank-

  • The age of the applicant should be between 18- 65 years
  • Anyone who is salaried or self-employed can apply for home loan for HDFC bank but they must complete all the paperwork.
  • Any resident Indian can apply for home loan
  • HDC bank provides home loan to NRIs as well

Documentation-

Prospective borrowers  must submit the following documents for their housing loan processing :

  • Identity Proof- Adhaar Card, Driving License, Passport, Voter ID or PAN card will work well
  • Address Proof- Utility bills like electricity bill, phone bill, Adhaar card, Voter ID, Passport.
  • Proof of Income- The salaried individuals need to submit last six-month bank statement showcasing their credited salary.
  • Additionally, the salaried individuals need to submit employment contract, appointment letter.
  • The Self-employed individuals need to submit their recent ITR and P/L account attested by a CA.
  • The bank may also ask you to submit the buyer agreement or allotment letter.

Bird’s Eye View of the documents required for HDFC Home Loan under different categories:

 

Farmers or Agriculturalists Salaried Professionals Self-Employed
Application form with photographs Application form with photographs Application form with photographs
ID Proof and Address Proof ID Proof and Address Proof ID Proof and Address Proof
Last 6 Months bank statement Last 6 Months bank statement Last 6 Months bank statement
Processing Fee Cheque Processing Fee Cheque Processing Fee Cheque
A copy of title documents showcasing Land Holding Latest Salary Slip Proof of Business and Education certificates
Statement of last 2 years showing the loans availed (in case the borrower had applied) Form 16 ITR, Last 3 years P/L account, Balance Sheet

HDFC Home Loan Tax Benefit-

If you have bought or constructed a house afresh using a housing loan,  these are the tax deduction for home loan that you can avail of:

Section 80C

You can avail of deduction on the principal of the home loan repayment up to a cumulative limit (including provident fund, insurance premium etc.) of Rs.1.50 lakh per financial year.

Section 24

The interest that you pay on your home loan can fetch you a deduction of income up to
  • a) Rs.2 lakh in case the house is self-occupied
  • b) Without any limit if the house is rented out.

In case of a joint home loan, these tax deductions available on home loans can be enjoyed by the co-applicants separately, provided they are co-owners of the property and each of them is contributing to the home loan repayment. The actual amount of tax benefit enjoyed by each co-applicant is in proportion to their contribution in repayment of principal and interest, subject to the limits mentioned above.

Different types of Home Loan provided by HDFC Bank-

HDFC is known to cater to the variegated financial needs of the people by offering them different financial products like home loan, car loan etc. When it comes to a home loan, then HDFC bank has bifurcated its home loan products in the following categories:

  • Home Loan for Salaried and self-employed individuals- This is their primary home loan product for the salaried and self-employed professionals.
  • HDFC NRI Home Loan- This loan product has been specially developed for the Non-Resident Indians who are willing to invest in property in India.
  • HDFC Pre-Approved Home Loan– This loan is for those who are looking to negotiate with the sellers.
  • HDFC Home Improvement Loan – or popularly known as HIL is for those who are willing to make structural improvement in their house like painting, construction etc.
  • HDFC Home Loan Transfer-It is for those who want to shift their current home loan to HDFC for a better interest rate.
  • Home Extension Loan- If you are willing to add an extra room to your house or do any kind of modification, then HDFC offers you Home Extension Loan for the same. You might get confused between Home Extension Loan and Home Improvement loan, but an important point that differentiates the two is that the home extensions involves an increase in the total area of the house.
  • HDFC Home Loan for Agriculturalists- This home loan is for farmers, planters, horticulturists etc. who want to buy or build a home in villages. The bank doesn’t ask them to mortgage their land to get a home loan. The farmers also don’t need the Income Tax Returns to apply for a home loan from HDFC bank.
  • HDFC Rural Housing Finance-This loan is for the private sector and government employees for buying properties in rural residential.

Extra Charges While you are with HDFC Home Loan –

HDFC Bank doesn’t charges any hidden amount, but you must know the other charges that you might need to pay –

Type of Charges Amount
Late Payment Up to 24% per annum
Bounce Cheque charges Rs. 500
PDC Swapping Charges Rs.200
Cheque Swapping Charges Rs. 500
Per statement charge in case of issuance of duplicate statement NIL
Photocopy of Documents Rs.500
Increase or Decrease in Loan Term Up to Rs. 500 plus taxes

Why choose HDFC Home Loan via Loanyantra?

Well trusting a third party website for finalizing your loan provider can be a tough task for you, but at LoanYantra we make it simple. Our portal gives you an access to the whole new world of home loan providers. It’s a place where you can compare the interest rates, loan tenure, calculate EMI and also get to know which loan provider is the best for you. Here is what makes us stand out from the others:

  • A simple platform with a multitude of benefits– With just one click you can easily create the loan rates provided by different banks across the nation.
  • Unbiased Reports– We are a third party platform and hence all the data provided by us is not influenced by any of the banks or financial institutions. Be assured that you will get the correct and right information which will be in the best interest of the customer.
  • Easy to apply– Loanyantra wants to become a channel that can simplify your task of finding right lender and applying for the same. We help you with the complete procedure of home loan application and approval.
  • Time-Saving- Time is money and if you don’t want to waste time searching for the right bank, then you must long on loanyantra.com. We provide you with complete information and our team will help you complete all the paperwork in time so that you don’t waste your time running around.
  • No hidden charges– We don’t believe in bringing the cat out of the hat at the last moment. There are no hidden cost or charges that will leave you perplexed.

If you find this interesting and want to apply for home loan, then Loanyantra is the right platform for you. Our unbiased approach has made us carve a discernable niche for ourselves in the market. Moreover, we make sure that none of our customers face the hassle of running around and hence we also help you with door service. Connect with us today for easy home loan approval.