3 Handy Tips to Enjoy Lower Loan Against Property Interest Rate

 A loan against property (LAP loan) is one of the best financial solutions available at a lower rate. It is because it is a secured loan type.

But if you go for a longer loan repayment tenor, you will need to pay a higher loan against property interest rate.

But, you can still enjoy a lower loan against property interest rate by following a few tips. Read on and know more!

      Here’s you can enjoy a lower loan against property interest rate

 Go for a smaller tenor

The first thing that can help you avail of a lower loan against property interest rate is opting for a smaller tenor. A smaller tenor may increase your EMI amount, but that will help you save on interest charges. Hence, if possible, you should opt for a shorter tenor.

2.    Make prepayments during the tenor

If you can’t opt for a smaller tenor, you can go for an extended tenor. But, you should make prepayments during the tenor to bring down the principal amount. And once that reduces, your loan against property interest rate will also go down.

3.    Maintain a robust CIBIL score

While applying for a loan against property, you should ensure having a higher credit score. It means that you have paid your past and ongoing loan EMIs on time. Hence, lenders may reward you with a lower loan against property interest rate. In turn, it may help you pay reduced EMIs and save on repayments.

Considering these handy tips can help you avail of a reduced loan against property interest rate and make savings. 

Additional Read: Avail a Mortgage Loan in 3 Simple Steps