What is pre-EMI interest?
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…
Read article Things to know while buying or selling house property, associated costs involved in home loans, EMI calculation tax rules etc.
This post provides you the key legal checklist for buying and selling a house property; method of title deed verification, database available with CERSAI and RERA, EMI calculation, associated costs of home loans, teaser rates, risks involved in transferring of loan to other banks, rules regarding funds transfer abroad after disposal of properties in India;…
Read article
What is a 2-in-1 Account?
A 2-in-1 account refers to a financial product that integrates a Demat (Dematerialized) account with a trading account, thereby streamlining the process of buying and selling securities. This consolidated arrangement allows investors to deposit funds, manage securities, and execute trades through a single platform, enhancing convenience and operational efficiency. In banking terminology, the term “2-in-1…
Read article
Entities which are not eligible for bank finance in India: RBI
Updated as per RBI master circular dated April 2, 2024 As per RBI guidelines, the following entities/offices are not eligible for bank finance. Other important home-related articles: IMPORTANT PRE-SANCTION HOME-LOAN REGULATIONS LAY DOWN BY RBI HOME LOAN INTEREST: FLOATING OR FIXED RATES WHICH IS BETTER FOR YOU? HOW DOES A BANK DECIDE YOUR HOME LOAN…
Read article
RBI diktat on innovative housing loan products and upfront disbursal of loan
Updated as per RBI master circular dated April 2, 2024 According to the RBI master circular, the Central Bank has been observing that some banks have introduced certain innovative Housing Loan Schemes in association with developers/builders, such as upfront disbursal of sanctioned individual housing loans to the builders without linking the disbursals to various stages…
Meaning of reset clause in Bank loan rates
A home loan interest rate reset clause allows the lender to review the interest rate after a certain period, as per the occurrence of a scheduled reset date of the loan. A reset rate is the new interest rate that a borrower must pay effective from the scheduled reset date. The lender will provide details…
Read article