Federal Bank Home Loan Details

Following are some important Federal Bank Home Loan Details:

Loan AmountUp to 85% of the property cost
Rate of interest6.90% - 7.80%
TenureUp to 30 Years
Lowest EMI possibleRs. 659 Per Lakh
Processing fee0.50% of loan amount 
Prepayment/ Foreclosure ChargesNil for floating home loan

Federal Bank Home Loan Features 

Following are the features of Federal Bank Home Loan:

  • Federal Bank Home loan interest rates start from 6.90% per annum
  • Federal Bank Housing Loan Top Up as well as special house warming party loan available for existing & new customers.
  • Repayment tenure: Up to 30 years.
  • Loan amount: Up to 15 Crores; Max up to 85% of property value
  • Federal Bank Home Loan processing fees is nominal at max of 0.50% of the loan amount which may range from Rs 10000 to Rs 45000.
  • Lowest EMI possible: Rs. 659 Per Lakh

Federal Bank Home Loan Benefits

The benefits of the Federal Bank housing loan are:

  • Tailored Federal Housing Loan for purchase, construction or renovation of villa, apartment, or residential plot.
  • Resident & non residents including salaried, self-employed & business owners can apply.
  • Exclusive scheme available for house warming ceremonies.
  • PMAY linked credit subsidy for the eligible borrowers.
  • Competitive Federal Bank Home Loan rate of interest & nominal processing fees.
  • No penalty for pre-payment & foreclosure.
  • Customer-friendly terms & conditions.
  • Robust branch network & digital presence.
  • Fast approval.
  • Convenient Federal Bank Home Loan process.
  • Minimal paperwork.
  • Maximum repayment period.
  • 18-30 months of moratorium available.
  • Flexible EMI options.

Federal Bank Home Loan Eligibility Criteria

Federal Bank Home Loan Eligibility criteria can be summed up as:

  • Resident Indians & PIOs can apply.
  • PIO should hold valid PIO card & make a residing Indian (close relative) as co-obligant.
  • Both salaried and/or non-salaried individuals with regular income qualify.
  • For NRIs, the maximum age restriction is 55 years.
  • For resident Indians age limit is capped at 65 years.
  • Margin is in the range of 15% to 20% for the Home Loan.
  • Factors such as debt to income ratio & credit score will also be considered.

Federal Bank Documents Required

Documentation required for Federal Bank Home Loans include proof for identity, residence, income & property ownership. Primary applicant as well as co-applicants must submit the required documents.

Here is the list of Federal Bank Home Loan Documents:

Purpose

Documents

 

KYC
Proof of Identity (any one)Passport, Driving Licence, PAN Card, Aadhaar Card, and Voter's ID Card
Proof of residence (any one)Passport, Driving Licence, Aadhaar Card, and Voter's ID Card
Age (any one)Passport, Birth Certificate, Driving Licence, and SSLC/ AISSE certificate
Additional documents for NRI/ PIOsCertified copy of Passport, VISA, ID Card (for NRIs) and Work Permit.
Income document 
Resident Salaried
  • Salary Slips
  • IT Returns - copy
  • Form 16
  • Statement of Salary account for last 6 months
 Resident Self-Employed
  • Proof of Business existence
  • Business profile
  • P&L statements
  • Balance Sheet
  • IT returns for 2 years with tax calculation sheet & tax challan as applicable.
  • Last 12 Bank Account statements
 Non-Resident Salaried

Either of the following two options

Option 1

  • Salary certificate duly certified by Embassy or CRO/ last 3 months’ salary slips or latest salary certificate/ 6 months bank statement citing credit of salary
  • NRE account statement for one year.

Option 2

  • 2 year NRE Account Statement of the applicant and/or resident account details of spouse/ parents in which remittances are credited
 Non Resident Self-Employed

Either of the following two options:

Option 1

  • Proof of business profile & business existence
  • Balance Sheet, Profit & Loss statement, & statement of bank account for the last 12 months.

Option 2

  • Statement of NRE account of the applicant or the resident account of spouse/ parents for 2 years evidencing credits of remittances
Property documents
For purchase & construction of approved flats & houses
  • Agreement for sale & construction
  • Allotment letter/ NOC from builder
  • Tripartite agreement
For purchase of unapproved flats or houses under construction

Regular documents as listed above + following:

  • Prior Deed/ title document, as applicable
  • Encumbrance Certificate (EC) for 13 years
  • Possession certificate, location sketch, latest land tax receipts
  • Permission or approval from civic authorities for construction of the flat/ house
  • NOC/ clearance from Pollution Control Board, Environmental Department, Fire and Safety Clearance, Aviation Department, Army & Navy, and the Coastal Zone Management, as applicable
For repairs & renovations of houseApproved plan & estimate for construction + regular property document listed above.

Federal Bank Home Loan Interest Rates

Federal Bank Home loan interest rates for Floating Housing Loan linked with repo rate:

Loan detailInterest Rate (Spread+ EBR)
Home Loan - Salaried
Up to 30 Lakh6.90% (Repo Rate + 3.65)
Above 30 Lakh and up to 75 Lakhs7.70% (Repo Rate+ 3.70)
Above 75 Lakh7.75% (Repo Rate+ 3.75)
Home Loan – Self-employed
Upto 30 Lakhs7.70% (Repo Rate+ 3.70)
Above 30 Lakhs and up to 75 Lakhs7.75% (Repo Rate + 3.75)
Above 75Lakhs7.80% (Repo Rate + 3.80)

Current Repo Rate: 4.00% p.a

Home Lon Base Rate: 9.63% p.a

MCLR (overnight to 1 year): 7.65% to 7.90%

Federal Bank Home Loan Processing Fees & Charges

Types of ChargesQuantum of Charges
 Processing Fees/ Admin Fee0.5% of sanctioned limit ( Minimum: Rs 10,000, Maximum: Rs 45,000)
 Prepayment/ Foreclosure Charges

Individuals - NIL in case of floating rate loans.

For non-individuals, Overdraft A/c and Fixed Rate loans - 3% of the balance outstanding or drawing power whichever is higher.

Penal Charges for delay in payment2% per month of the overdue amount
 Conversion Charge (switching from fixed to floating home loan or vice versa)0.25% of the balance outstanding or drawing power whichever is higher
 Interest Reset ClauseBased on the linked Benchmark Rate
 CERSAI ChargesNIL
 Documentation Charges

Up to  2 Lakh – NIL

Above  2 Lakh and up to  10 Lakh -  500

Above  10 Lakh and up to  30 Lakh -  1000

Above  30 Lakh up to  50 Lakh -  2,500

Above  50 Lakh to  1 Crore -  5,000

Above  1 Crore -  10,000

Federal Bank Home Loan Schemes

Here is the list of different types of Federal Bank Home Loan Offers & Schemes:

Federal Housing Loan

Federal Bank Housing Loan can be availed for purchase or construction of a housing plot, flat or villa. The loan can also be used for repairs, renovations, improvements, or extensions of existing housing units. It can be summarised as:

  • Hassle free housing loan for a variety of purposes.
  • Balance transfer available.
  • Minimal paperwork.
  • Speedy loan processing & approval.
  • Loan available up to 85% of the project cost.
  • Extended repayment period up to 30 years.
  • Home Loan for up to 15 Crore.
  • Residents and non-resident Indians are eligible.
  • Salaried, self-employed, and business persons can apply.

Federal Bank Loan for Housing Plots

Federal Bank Home Loan for purchase of plots facilitates buying of a residential land and subsequent construction thereon.

  • Margin for plot loan is 40% cost of the property.
  • Minimal documentation requirement. 
  • Maximum loan up to Rs 25 Lakh.
  • You can include stamp duty and registration charges in the cost of project.
  • The maximum repayment period is 60 months.
  • Collateral is house plot to be purchased.

Federal Bank House Warming Loan

Federal Bank House Warming Loan is an innovative product for existing and new Home Loan customers. You can apply for a special Personal Loan Scheme as House Warming Loan and meet your expenses for house warming celebration and other related expenses. 

  • Home Loan customers are eligible for Housing Warming Loan after completion of construction or acquisition of the house or flat.
  • There is no lock-in period for this product.
  • The maximum repayment tenure is 60 months.
  • The rate of interest is Housing Loan rate plus 2%. 
  • The maximum quantum of loan is 5% of the Home Loan amount, subject to a ceiling of Rs 2 Lakh. 
  • Loan repayment should not exceed the remaining period of existing housing loan.

Federal Bank NRI Housing Loan

Federal Bank offers customised Federal Bank Home Loan schemes for Non Resident Indians (NRIs) and Persons of Indian Origin (PIOs). They can apply for NRI Home Loan for the purchase of plots as well as Housewarming Personal Loans. The PIOs should fulfil following criteria:

  • Immovable property in India as collateral.
  • PIO should hold a valid PIO Card accompanied by a valid foreign passport.
  • A close relative residing in India should join as a co-applicant to Home Loan.
  • The borrower's age should be less than 55 years.
  • The monthly income of the applicant should not be less than Rs 30,000.

Federal Bank Pradhan Mantri Awas Yojana (PMAY)

The eligibility criteria for Pradhan Mantri Awas Yojana or PMAY are the uniform for all banks and Housing Finance Companies (HFCs). It is Central Government’s pilot scheme for availing of credit subsidy for purchase of first pakka house. The Credit-Linked Subsidy is available for maximum of Rs 2.67 Lakhs per year.

The scheme is active for Economically Weaker Section (EWS) and Lower Income Group (LIG) till 31 March 2022. The beneficiary of Middle Income Group (MIG-I and MIG-II) are announced till 31 March 2021.

The maximum amount of loan is 4 times gross income with appropriate ceiling for each category. Repayment can extend to 30 years, but interest subsidy is available for a maximum of 20 years.

Federal Bank Home Loan Comparison with Other Lenders

LenderMaximum Loan AmountInterest RateProcessing Fee
Federal Bank Housing LoanUp to 85% of the property6.90% - 7.80%0.50% of loan amount (Min. Rs. 10000)
ICICI Bank Home LoanUp to 90% of property 6.75% - 7.55%0.50% - 2% or Rs. 1,500 (Rs. 2,000 for Mumbai, Delhi & Bangalore), whichever is higher + GST
SBI Home LoanUp to 90% of property cost6.75% - 8.05%Up to 0.50% + applicable GST
Axis Bank Home LoanRs. 5 Crores6.90% - 8.40%Up to 1%, minimum Rs.10,000
HDFC Home LoanUp to 90% of property cost6.75% -7.65%Up to 1.50% or Rs. 4,500 (whichever is higher) + applicable taxes

How to Calculate Federal Bank Home Loan EMI?

You can use Home Loan EMI Calculator to determine monthly instalment for Federal Bank Home Loan. You need to feed in following information to get EMI as well as amortisation schedule from EMI calculator. 

  • Loan Amount
  • Rate of Interest
  • Loan Tenure (in months or years)

You can use different interest rate combinations and check the loan affordability before signing the final papers. MyMonyMantra Home Loan EMI calculator can also be used as Federal Bank Home Loan interest rate calculator thus.

Federal Bank Home Loan EMI Calculation

Loan Amount10 years20 years30 years
Rs.20 lakhRs. 23,119Rs.15,386Rs.13,172
Rs.30 lakhRs.34,678Rs.23,079Rs.19,758
Rs.40 lakhRs.46,237Rs.30,772Rs.26,344
Rs.50 lakhRs.57,797Rs.38,465Rs.32,930
Rs.60 lakhRs.69,356Rs.46,158Rs.39,516

*For EMI calculation purpose, flat rate of Interest @ 6.90% p.a. is considered. The calculation is indicative only. Your EMI schedule will vary as per rate of interest offered to you.

Federal Bank Home Loan Repayment Options

The repayment of Federal Bank Home Loan can be made through EMIs. You can use any one of the following ways to repay the loan.

  • Cheques
  • Standing Instruction at your branch
  • FedNet - Internet Banking
  • Electronic Clearing Service
  • Mobile Banking

Federal Bank Pradhan Mantri Awas Yojana Subsidy 2021

Federal Bank Home Loan are available to a diverse customer base, comprising resident Indians, NRIs and PIOs. Being a premier private bank, Federal Bank also facilitates Pradhan Mantri Awas Yojana (PMAY) for customers in low income borrowers, economically weaker section as well as eligible middle income group home loan applicants. PMAY is the central government’s Credit linked Home Loan subsidy scheme and supports a vision of housing for all Indians by 2022.

The eligibility criteria for PMAY are the uniform for all banks and Housing Finance Companies (HFCs).

  • It is a credit-linked subsidy scheme with the maximum annual subsidy of 2.67 Lakh.
  • The scheme will offer credit linked subsidy to Economically Weaker Section (EWS) and Lower Income Group (LIG) home loan applicants till 31 March 2022. Middle Income Group (MIG-I and MIG-II) scheme was available up till March 2021.
  • The maximum amount of Federal Bank Home Loan is 4 times gross income with appropriate ceiling for each category.
  • Repayment can extend to 30 years, but interest subsidy is available for a maximum of 20 years.

Federal Bank Home Loan Customer Care

For any housing loan query, contact Federal Bank Home Loan Customer Care 24X7 at their following Toll-Free numbers:

1800-420-1199 and 1800-425-1199

NRI customers can call at 

+91-484-2630995 and +91-484-2630994
(Non toll free)

You can write email at: contact@federalbank.co.in

Head office can be contacted at:

Registered Office

Federal Bank

Aluva, 2018

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MyMoneyMantra is India’s largest phygital loan distributor. With trust of 70 lakh customers, we assure hassle free access to the best Home Loans up to 10 crore for housing loan borrowers in India. Our service is 100% free. We use latest technology and AI to serve customers across the length & breadth of our diverse country. Check Eligibility & Apply.

Home Loans Federal Bank FAQs

✅ How to check Federal Bank Home Loan status?

To check Federal Bank home loan status, you can use online or offline methods. If you are already a bank customer, you can simply log on to customer portal and check the Federal Bank Home Loan Application Status. Alternatively use customer care toll free numbers and check the status online. You can also visit the bank branch to check the status. Do carry loan application details along when checking the loan application status. 

Please note that it is convenient to start federal bank home loan tracking online.

✅ Does Federal Bank offer Home Loan moratorium?

Yes, Federal Bank offers home loan moratorium on loans for construction of house or purchase of houses under construction. The moratorium provision is available for 18 to 30 months depending on the stage of construction.

✅ Is interest accrued during the moratorium period?

Yes, you have to pay the interest amount accrued during the moratorium period. It is known as the pre EMI interest. But regular EMIs start only after the end of the moratorium period.

✅ Is additional collateral required for Federal Home Loan?

No, additional collateral is not required for home loan. The house you purchase or construct with Federal Bank Home Loan is the prime security or collateral for the mortgage.

✅ Should I insure my house when I take a Home Loan?

Yes. It is recommended to opt for home insurance, though it is not mandatory. The insurance guards your house against disasters like floods, earthquakes, tsunamis, fire, and so on. 

✅ Has Federal Bank approved any real estate projects?

Yes, Federal Bank has approved housing projects in Andhra Pradesh, Gujarat, Haryana, New Delhi, Karnataka, Kerala, Maharashtra, Tamil Nadu, and Uttar Pradesh.

✅ Do I get income tax benefits if I take loans from Federal Bank? What is the tax rebate available on a Home Loan?

Yes, you get income tax concessions under Sec 24 and Sec 80C of the Income Tax Act, 1961 for your Home Loan interest and principal repayments respectively. Section 24 and Section 80C allows you a separate deduction on repayment of interest and principal amounts respectively subject to a ceiling of  2 Lakhs and  1.50 Lakhs respectively. You can also claim tax deductions on payment of stamp duty and registration even if you have not availed any Home Loan. First-time home buyers get additional rebates in income tax.

✅ Does a change in the RBI repo rate affect the EMI?

Yes, any change in the RBI repo rate affects the bank's benchmark lending rate MCLR & RRLR. The loans linked to repo rate will effectuate change in the rate swiftly, however MCLR linked loans will change as per the switch date of the loan.

✅ From where can I avail Federal Bank Home Loan?

Federal Bank has a pan India presence and particularly has an extensive network of branches in the states of Tamil Nadu and Kerala. You can also apply for your Federal Bank Home Loan through MyMoneyMantra. It provides you with an opportunity to compare different products on a single screen. You can locate the best deals on Home Loan using the free loan assistance service from MyMoneyMantra.

✅ How to apply home loan in federal bank?

You can apply for Federal Bank Home Loan online as well as offline. The online application will faster and can be accessed from choice of your location. To Apply for Federal bank Home Loan online, share your personal details and attach proof of identity, income and address. The application is processed instantly and a loan representative will call you to take further in the process.

✅ How do I reduce federal bank home loan duration?

To reduce home loan tenure, you can either contact the lender and request for the change in the loan schedule, or prepay your EMIs and effectuate shorter tenure. There is no prepayment charge for floating base product and thus it is most convenient to reduce tenor of home loan by prepaying loan principal amount. 

✅ How to calculate EMI of federal home loan?

You can calculate Federal Bank Home Loan EMI simply by sharing loan amount, tenure and interest rate in the free online emi calculator for home loan. Instantly you will get EMI, total repayment amount and amortization schedule.

✅ How Much Home Loan Can I Get for Purchase of Property (LTV) from Federal Bank?

Federal Bank offers Home Loans up to 85% of the project cost. However, the margin depends on your credit score, loan amount, purpose of loan and alike. The margin will vary from 15-20% depending on your eligibility and credit policy