Loan Against Assets: loan against property process

Search Your Query

Hot

Showing posts with label loan against property process. Show all posts
Showing posts with label loan against property process. Show all posts

Monday, December 9, 2019

Property Loan - Features And Benefits

12:35 PM 0
Property loans are secured credits which are disbursed against a mortgage loan. These advances, like a loan against property, have several specific traits.


Let’s take a look at all the details as well as the features and benefits of such credit.
  • High Value: Since these are secured loans, a loan against property can be a very high-value advance. Usually, the loan amount can go up to Rs. 3.5 Crore.
  • Lengthy Repayment Tenor: As high-value credit products, borrowers generally require a long time to repay these loans. As a result, financial institutions usually offer a lengthy tenor for their repayment. This duration for repayment of a mortgage loan can stretch up to 20 years.
  • Prompt Disbursal: These loan products have multiple steps of verification to check all property-related details. Nevertheless, financial institutions and NBFCs generally approve these loans followed by disbursal within 4 days of application.
  • Online Management: Online management of property loan accounts allow customers not just to check on EMI details, but also clear their payment and avail additional features like prepayment, additional financing, etc.
  • Option to Transfer a Balance: This can be availed by borrowers to gain better rates of interest from a different financial institution. Anyone transferring their loan account to a different financial institution can also access additional financing with top-up loans.
Typically, the loan against property process of application is fairly simple and convenient for the customers. It helps them save time and effort while creating financial support for any requirement.
Read More
Posted by at No comments:
Labels: ,

Friday, November 29, 2019

Things You Need To Check Before Applying For A Loan Against Property

2:46 PM 0
A mortgage loan against property is a popular credit option amongst individuals, as it can be used to fund a variety of large-scale expenses. The cost of borrowing such advances are low as well, due to relatively low interest rates and nominal prepayment and foreclosure charges.

Nonetheless, several factors play a crucial role in determining the total amount of advances sanctioned under a property loan.


Things to know before applying for a loan against property can be listed below –
  • Eligibility Criteria
The first step to understand the loan against property process is to check whether applicants satisfy the eligibility criteria. Salaried individuals should be between 33 and 58 years of age while self-employed individuals should be in the age bracket of 25 to 70 years. All applicants should have a stable source of income.
  • Interest Rates
Borrowers can avail such credits at either fixed or floating interest rates, depending upon their risk appetite and understanding of the financial market. However, since advances against property tend to be of a substantial amount, it is advisable to opt for fixed rates to secure their finances against adverse situations.
  • Loan to Value Ratio
Credit sanctioned on loan against property is a stipulated percentage of the value of the collateral. Such loan-to-value rate not only depends upon the underlying property value but also the credibility of applicants. Such ratios should be carefully analyzed to avail of the optimum loan amount from NBFCs.

Careful consideration of such pointers allows individuals to secure high-value credits through a mortgage loan at relatively low-interest rates.
Additional Read: Why Loan Against Property Used for?
Read More
Posted by at No comments:
Labels: ,

Thursday, December 27, 2018

Secured Option To Pay Off Your Medical Debt

7:32 PM 0
Paying off medical bills may sometimes not that easy as with other forms of debt. This kind of debt is mostly open to negotiations in terms of repayment. To avoid missing payments it is advisable to look for smart options to pay off the medical debt. These include -

The Payment Plan: Take the help of accountants at the hospital’s bill desk to help you break down your medical bills. They can divide the bills into equal monthly dues spread over a decided period by the accountant and you and opt for loan against property.

Offers and Discounts: In case where the bills are pending for long you can hire a medical bill advocate to negotiate them, on your behalf. These are professionals who have an in-depth understanding how medical bills are formulated and on what basis. They can help to spot errors, ask for MRP discounts, and even help to get some of the amount waived off.

 Hardship Plan: Something like a payment a hardship plan breaks the total amount of the bills into easy-to-manage amount which can be settled on a monthly basis. This amount is decided based on your income and hence it offers a faster and efficient settlement of the pending bills without affecting your routine expenses.


Secured Finance: You can consider taking a loan against your fixed asset such as property. Being a secured loan it will be available at a lower interest rate and help to pay off the medical debt without much hassles.
Read More
Posted by at No comments:
Labels: , , , ,
Location: New Delhi, Delhi, India

Wednesday, September 5, 2018

How To Better Manage The Process For Loan Against Property?

3:03 PM 0
Leading NBFCs offer instant loan approval and quick disbursement in case of loan against property. In order for you to enjoy these benefits you must take care of few things while applying for the loan to help your profile get noticed and processed faster.

Documentation

Maintain proper paperwork of bank transactions in the form of statements and source of income. Owing to growing demands of a mortgage loan lenders have relaxed the eligibility criteria for the loan and thus require only basic documentation for it. To speed up the approval process maintaining and submitting accurate paperwork will help your profile get noticed. Also the Interest Rates on Loan Against Property is quite lower, so it acts as the best option for applying.



Minimize FOIR

FOIR is Fixed Obligation to Income Ratio and is a ratio of fixed monthly obligation and the total income of an applicant. Lenders take this into consideration and it must be kept under 50% to secure the loan. It means that all credit card dues are paid off on time and there are no outstanding loans to help your application gets processed faster.

Income Stability

Maintain a consistent income source such as a job. Avoid changing employers often as this may affect your loan application negatively. Besides, working for a reputable employer will also increase your chances of getting the loan.

Collateral 

 Ensure that the collateral or property against which you apply for the loan is free from any litigation and does not have any loan running on it. Get the property evaluated by a certified chartered accountant and keep the documents ready so you can obtain up to 60-70% of the property value as loan (a percentage usually provided by the lending institutions). 
Read More
Posted by at No comments:
Labels: , ,
Location: New Delhi, Delhi, India