To know about Cosmos Bank Home Loan eligibility share your loan requirement on Home Loan Eligibility Calculator. You can instantly assess eligibility for loan amount and EMI. The bank offers customised home loans according to customers’ profile & needs. Currently interest rates for Cosmos Bank start from 6.70% to 7.25% p.a. The basic eligibility criteria for Cosmos Bank Home Loan include your age, credit score and employment type.
Established in the year 1906, Cosmos Bank is one of the oldest Urban Co-operative Banks and is headquartered in Pune. It has received the Authorised Dealership license from the Reserve Bank of India and is the third co-operative bank to get such a license. It is also the first bank to implement Core Banking System across all 140 branches. The software used for CBS is Finacle of Infosys. It is also one of the first banks under the co-operative sector to get permission to operate a currency chest. The bank has a currency chest at Pune.
Investment in house property is a once in a lifetime investment and you would want nothing more than perfect. Here is a bank, Cosmos Bank which has home loan designed to get you your perfect home. The rate of interest is nominal with special rates for women beneficiaries. The repayment period is also flexible and to suit your requirement.
The eligibility criteria to avail a home loan at Cosmos Bank are:
The following are the features of Cosmos Bank Home Loan.
Cosmos bank provides Cosmos Home Loan for purchase of row houses, flats and construction of a house.
A loan is also provided for the repurchase of a house/flat. In the case of repurchase of a flat, the age of the flat should not exceed 20 years.
The Bank also provides Cosmos Home Delight loan which is a top-up loan in the form of both Term Loan and Overdraft. The loan is provided for home renovation/repair etc.
The maximum loan provided is 70.00 lakhs. Stamp duty and registration charges, insurance premium, share money, processing charges, and mortgage charges can also be included for the loan amount but the same should be mentioned in the application form. Inclusion of the additional costs is only optional. The applicant can apply for only the home loan if he/she does not require a loan for the other expenses.
For a new flat/house/construction of the house, a maximum of 80% of the project cost will be provided.
In the case of repurchase of a flat, 70% of the value as per the sale agreement or the valuation cost whichever is lesser will be provided.
The maximum loan provided under Cosmos Home Delight loan is 5.00 lakhs out of which a maximum of 2.00 lakhs will be provided as an overdraft. If the eligibility is less than 5.00 lakhs, then only term loan will be provided.
A borrower who already has a home loan can avail of the facility only after payment of 25% of the existing home loan with a good payment record.
Interest will be charged at 8.65% per annum. There is an option for either a fixed rate of interest or a floating rate of interest. The fixed rate of interest will be reset every 3 years. If the borrower is not agreeable for the reset interest after 3 years, he/she can terminate the loan by paying the entire outstanding loan amount by giving a 15 days notice in advance.
Interest will be charged on daily reducing balance. A special interest rate will be provided for women beneficiaries.
The rate of interest charged for Cosmos Home Delight loan will be 12.50% p.a.
|Security||Along with the prime security by way of equitable mortgage of the property, personal guarantee of two guarantors acceptable to the bank has to be provided.|
|Repayment||The maximum repayment period provided is 20 years. In the case of a balance transfer, the repayment period will be the residual repayment period of the existing loan or 20 years whichever is earlier.|
For a loan up to 10.00 lakhs the processing charges will be 1% of the loan amount and for a loan above 10.00 lakhs, the processing charges will be 0.50% of the loan amount.
Share money at 1% of the loan amount with a maximum of 5000/- will also be collected.
|Pre-closure/part pre-payment charges|
No pre-closure charges/part pre-payment charges applicable if paid out of own sources for a loan on a floating rate of interest.
For a loan at a fixed rate of interest which will be reset after the first 3 years, foreclosure charges will be collected at 1% of the outstanding loan amount if the loan is closed before completion of 3 years. No pre-closure charges if the loan is cleared after 3 years.
The following are the list of documents required for Cosmos Bank Home Loan.
The above documents should be accompanied by two passport size photographs and a home loan application
The following are the factors affecting the Cosmos Bank Home Loan Eligibility.
Age: Age is one critical factor that can define your eligibility. If you intend to go for this huge investment and make repayment with ease and without any financial stress it is recommended to take the step when you are in the prime of your age/career. This will give you a longer repayment option which will give you a better eligible loan amount with an affordable EMI.
Credit Score: Do not have too many commitments if you are intending to own your dream home/perfect home. Instead, avail small loans and pay up on time just to create a credit score. No score is also not a good score. Before applying for a home loan, create a credit score by either availing small loans or with the help of a credit card. Utilise the credit card minimally and make payments promptly. This will enable you to manage a good score. A good credit score can increase your eligibility and give an added advantage of a better rate of interest.
Current loans: If your existing commitments are controlled, then the residual amount available out of your monthly income will be higher and the loan eligible loan amount also will be higher. If you have to avail a home loan which will be of a high magintude, you should keep your existing commitments controlled since this will impact the debt to income ratio and will reduce the eligible loan amount.
Income: Cosmos bank provides the option of including up to 4 co-borrowers for a home loan. You can take advantage of this provision and avail the loan in joint names since the income of the joint borrower will also be considered while arriving at the home loan quantum.
Property and LTV Ratio: Invest in a property in such a way that the market value will be reasonable or rather good. The loan amount not only depends on the income but also on the marketable value of the property. Cosmos bank provides 80% of the value of the property if the property is a new one and 70% of the value of the flat if it is a repurchase.
Employment: Your placement defines the risk attached to the loan you have applied for. If you are employed in a Government Organisation/PSUs/MNCs or you have a well-established business, then you are considered as a low-risk borrower and will be preferred by the lenders.
The following are some of the tips to increase the home loan eligibility:
Instead if you can assess your eligibility using the EMI calculator and apply for the exact amount and also look for a property to fit into the budget, you will be helping the lender in processing the loan faster.
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The interest for Cosmos Home Loan will be calculated on a daily reducing balance.
If the existing guarantors are agreeable to take the additional burden, then they can be taken as guarantors for Cosmos Home Delight Loan. Otherwise, additional guarantors acceptable to the bank have to be provided.
There are no pre-closure charges for a home loan availed at a floating rate if the loan is cleared out of own sources. For a home loan availed at a fixed rate which will be reset after the first 3 years, a pre-closure charge at 1% of the outstanding loan amount will be collected if closed before the completion of 3 years. If pre-closed after completion of 3 years, no pre-closure charges will be collected.
The Cosmos Home Delight Loan can be availed only on payment of 25% of the existing Cosmos Home Loan and only if the repayment track of the existing loan is good.
For a new property 80% of the market value of the property with a maximum of 70.00 lakhs will be available. If the loan is for the repurchase of a flat, then 70% of the value as per the sale agreement or the valuation whichever is less will be provided. The age of the flat in case of repurchase should not exceed 20 years.
A maximum of 5.00 lakhs will be provided under Cosmos Home Delight Loan. Out of 5.00 lakhs a maximum of 2.00 lakhs can be availed as an overdraft. If the eligibility is less than 5.00 lakhs, then only term loan can be availed.
For a loan up to 10.00 lakhs processing charges at 1% of the loan amount will be collected and for a loan above 10.00 lakhs processing charges at 0.50% of the loan amount will be collected.