Edited on 27.12.2021 Amortization refers to the process of paying off debt over time in regular equal payment consisting of interest and principal loan amount sufficient to repay the loan in full by its maturity date. Amortization also refers to the spreading out of capital expenses (similar to depreciation) related to intangible assets over a…
Generally, you can seek a first-time home loan for buying a house or a flat, renovation, extension, and repairs to your existing house. You can own more than one house and borrow home loans for that purpose. However, it depends directly on your income and your repayment capacity of paying off the debt simultaneously for…
EMI stands for Equated Monthly Installment for the loan you avail of from your bank. The EMI consists of the principal portion of the loan amount and the interest. The installment amount is fixed on your loan depending upon the loan amount, tenure of the loan, and rate of interest. The higher the interest rate…
Housing loans are sanctioned by banks mainly on the assessment of prospective borrowers’ monthly repayment capacity for the entire tenure of the loan and borrower’s credit-payment history provided by credit information companies like CIBIL about previous loans/credit cards etc. enjoyed by the customer from various financial institutions. Also, Banks generally fix an upper age limit…
You might have identified a property for purchase that suits your requirements. In my previous article ‘How to examine title deeds of house property?‘ among other things, I suggested that buyers consider important aspects before entering into the sale agreement with the vendor for the purchase of a flat/house. In this post, we will discuss…
Any credit facility provided to a borrower company engaged in an infrastructure facility is known as ‘infrastructure lending’. The activities such as developing, or operating, and maintaining, or developing, operating, and maintaining any infrastructure facility of the following sector are called infrastructure projects. a road, including toll road, a bridge or a rail system; a…
Reserve Bank of India has framed guidelines for extending working capital finance to the Information Technology and Software Industry, based on the recommendations of the National Taskforce on Information Technology and Software development. However, said guidelines prepared by the central bank are not mandatory for lenders. They are free to modify RBI framed guidelines, built…
RBI today announced to double collateral-free loans to Rs 20 lakh for Self Help women groups from the existing limit of Rs.10 lakh under Deendayal Antyodaya Yojana – National Rural Livelihoods Mission (DAY-NRLM). In its notification dated August 9, the regulator advised the banks to follow the below instructions concerning Security and Margin for collateral-free…
The corporate borrowers, whose loans were restructured under the first recast resolution plans under the RBI’s circular of 6 August 2020, can take another six months to achieve financial parameters laid down by the Reserve Bank of India. RBI on Friday notified to defer the target date for companies by six months to October 1,…
The Pradhan Mantri Awas Yojana (PMAY) (URBAN), was formerly called Indira Awas Yojana and was renamed in March 2016. Housing for All was a mission that was launched by the Government of India targeted at promoting with the aim of boosting homeownership. It aimed at achieving ‘Housing for All’ by the year 2022. All statutory…