Checklist of Application Form and Required Documents for Availing a Home Loan
OverviewWhile the format and layout of home loan application forms may vary across banks and financial institutions, the essential information and supporting documents required remain broadly consistent. The application process involves providing comprehensive details of the borrower, and where applicable, the co-applicant and guarantor. Below is a structured overview of the information to be filled…
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Strengthening the Monitoring Framework for Home Loans: Challenges and the Way Forward
The rise in non-performing assets (NPAs) and fraudulent activities within the home loan segment reflects increasing operational complexity and systemic vulnerabilities. These challenges often stem from borrower misconduct, collusion with builders or insiders, and lapses in institutional oversight. In this environment, reinforcing due diligence protocols, embracing technological advancements, and adhering strictly to regulatory norms have…
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Step-by-Step Guide to Closing Your Home Loan
1. Notify the Lender Begin by formally informing your lender of your intention to close the loan. Share your loan account details and specify the proposed date for final payment. 2. Settle Outstanding Dues Clear all outstanding dues, including the principal, interest, and any applicable charges such as prepayment or foreclosure penalties. Request a final…
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Key Methods for Detecting Forged and Fabricated Title Deeds
Detecting forged or fabricated title deeds in home loan applications requires a comprehensive approach involving both manual scrutiny and digital verification tools. Banks and financial institutions adopt several methods to ensure the authenticity of documents, identify discrepancies, and mitigate the risk of fraud. These methods focus on verifying the legitimacy of title deeds, assessing ownership…
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Bank Loan Securities: Difference Between Prime and Collateral
In the context of bank loans in India, security refers to the assets that a borrower pledges to a lender as a guarantee of loan repayment, mitigating the lender’s risk in case of default. Essentially, it’s a form of collateral that the lender can seize or sell if the borrower fails to meet their loan…
Home Loan Frauds in India: Patterns, Case Studies, and Preventive Measures
IntroductionAccording to the Reserve Bank of India’s Annual Report for FY 2024–25, the total value of bank frauds tripled despite a decline in the number of reported cases, indicating that frauds are becoming more sophisticated and financially damaging. Among various fraud typologies, home loan frauds remain a critical area of concern due to their multifaceted…
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