HSBC Loan Against Property Details 2025
Apply for HSBC Loan Against Property at flexible interest rates starting at 8.45% p.a. onwards. HSBC Bank offers highly customised mortgage loans for salaried & self-employed for up to 40 crores. Use online Loan Against Property EMI Calculator and determine your eligibility instantly. With extended tenure of 15 years, low processing fees, no prepayment charge, minimal documentation, no restriction on use of funds.
Apply for HSBC Loan Against Property @ 8.45% Interest Rates
HSBC Loan Against Property Details
HSBC is one of the largest banking and financial services organisations is serving numerous customers through Retail Banking and Wealth Management, Global Banking and Markets, Commercial Banking, and Global Private Banking. They are at present operating in 65 countries and territories.
Their origin of HSBC in India is 160 years old and was a result of taking over of Mercantile Bank of India in the year 1959. The Mercantile Bank of India was established in the year 1953 in Mumbai. Ever since the bank has contributed immensely to the development of the Indian Banking Industry and gave the first ATM to India in 1987.
The bank offers various retail and corporate sector products with flexible terms and conditions. The HSBC Bank Loan Against Property is one of the products devised to cater to the requirements of the retail, corporate and MSME sectors.
Interest and other charges for HSBC Loan Against Property
The rate of interest for Loan Against Property is 8.45% p.a. The rate of interest for Smart Loan Against Property is 13.50% p.a. with a commitment fee.
Other charges:
| Type of charge | Details |
|---|---|
| Processing charge | 1% of the loan amount with a minimum of 10000/-. 5000/- will be collected 1at the time of accepting the application and the balance will be collected before disbursal. Processing charges collected is not refundable. |
| Pre-payment charges | Pre-payment is allowed only after 6 months from the date of the first disbursement of the loan. No pre-payment charges for a loan availed of at a floating rate. If the fixed-rate loan is converted to a floating rate, then the pre-payment charges are applicable only till the fixed-rate tenure. For a pre-payment up to 25% of the loan amount sanctioned in a financial year, there will be no charges. For a pre-payment above 25% of the loan amount sanctioned a pre-payment charge at 3% of the amount pre-paid will be collected. No pre-payment charges for Smart Loan Against Property |
| Issuing copy of documents | 500/- |
| For dishonour of cheque | 250/- per instance |
| For delayed payment | 2% over and above the regular interest on the overdue amount for the overdue period. |
| Conversion charges | The conversion from MCLR/Base Rate/Retail Lending Rate to RLLR can be done with a one-time conversion fee of 5000/- plus the applicable tax. |
| Commitment fee | This is applicable only to Smart Loan Against Property. The fee is collected at 1% on the amount above 25% of Smart Loan Against Property with a commitment fee sanctioned amount. If the excess amount in the Smart Loan Against Property account is above 25% of the Smart Loan Against Property with commitment fee sanctioned amount, the sanctioning authority has the discretion to collect a commitment fee at 1% on the balance amount over and above the threshold limit. |
| Stamp duty and legal charges | At actuals |
Processing charges and Security for HSBC Loan Against Property
Processing charges
Processing charges at 1% of the loan amount with a minimum of 10000/-. 5000/- to be paid at the time of submitting the application and the balance to be paid before disbursement of the loan.
Security:
Equitable mortgage of the property against which the loan will be granted.
Features of HSBC Loan Against Property
| Name of the product | Purpose | Quantum | Interest | Security | Repayment | Charges |
|---|---|---|---|---|---|---|
| Loan against property | The loan can be used for either personal requirements like higher education, wedding expenses, medical expenses, repayment of other dues, planning a vacation or for business requirements like business expansion, building infrastructure etc. | A minimum loan of 3.00 lakhs and a maximum loan of 40.00 Crores will be provided. The loan will be provided as a term loan only. | The rate of interest will be 8.45% p.a. | Equitable mortgage of the property against which the loan will be given. | The maximum repayment period is 15 years | Processing charges: At 1% of the loan amount with a minimum of 10000/- Pre-payment charges No pre-payment charges for a loan with a floating rate of interest. For a loan with a fixed rate no pre-payment charges for a pre-payment up to 25% of the outstanding loan amount. Such pre-payments are allowed only once in a financial year. If pre-payment is above 25% of the outstanding loan amount or done more than once in a financial year a pre-payment charge at 4% of the pre-paid amount will be collected. |
| Smart Loan Against Property | The loan will be granted in the form of an overdraft facility for working capital requirements of the business or for any other personal requirement. The loan account will through a Smart Loan Against Property account which is like a current account and will be fixed with an overdraft limit equivalent to the sanctioned amount. This arrangement will facilitate in managing the interest cost of the loan since the interest will be charged on the day to day outstanding balance in the account. Any credits that come into the account will be again available for utilisation like any overdraft account. | The maximum limit will be up to 40.00 Crores | The rate of interest will be 12.75% for Smart Loan Against Property with commitment fee and 12.95% for Smart Loan Against Property without commitment charges | Equitable mortgage of the property against which the loan will be given. | The maximum tenure is 15 years with a review every year |
Advantage of availing HSBC Bank Loan Against Property
The advantage of availing HSBC Loan Against Property is:
- Simple documentation.
- Quick approval
- Competitive rate of interest on loan against property
- A loan up to 40.00 Crores.
- Flexible repayment period up to 15 years.
- Transparency in the charges and fees collected.
- Hassle-free loan process.
- A loan will be granted against residential property.
Eligibility for HSBC Loan Against Property
- The minimum entry age is 21 years.
- The maximum age at the time of maturity of the loan is 58 years for the salaried. The maximum age for individuals employed with Government Organizations/PSUs is 60 years and for the self-employed, it is 65 years.
- The minimum net annual income for the salaried is 3 lakhs and for the self-employed it is 4 crores.
Documents required for HSBC Bank Loan Against Property
The following are the documents required for HSBC Loan Against Property. The documents have to be self-attested.
Proof of present Residence Address (anyone)
- Voter's ID Card
- Aadhar Card
- Society outgoing bill (only registered society)
- Electricity Bill
- Gas Bill
- Property Tax Paid Receipt.
- Domicile Certificate with age (issued by Municipal Corporation)
Photo ID Proof (anyone)
- Permanent Driving Licence
- Passport
- Pan Card
- Passport
- Voter's ID
Age Proof(anyone)
- Passport
- Pan Card
- Valid Driving Licence
Income Proof for Salaried Individuals
- Salary slips of the last 3 months showing salary credit
- Bank Statement of salary account for the last 3 months showing 3 salary credits.
Income Proof for self-employed individuals
- Audited financial statements like balance sheet and P & L Account for the last 2 years.
- IT returns with acknowledgement for the last 2 years.
- Bank statement of the primary account for the last 6 months.
- Partnership deed for Partnership Firms.
- Shareholding pattern, MOA, AOA attested by a Chartered Account and the List of Directors required for a Private Limited Company.
- Copy of Qualification Certificate for professionals like Doctors, Engineer, Chartered Accountant, etc.
Income Proof for NRI-Salaried
- Copy of Indian passport that is valid with visa stamping or copy of foreign passport/any other equivalent document.
- Copy of valid work permit/visa/equivalent document proving the NRI status of the applicant.
- Latest salary certificate/wage slips/contract copy proving the source of income.
- 3 months' bank account statement of overseas account with salary credits.
- Credit bureau report of the country where the applicant is located.
Income proof for applicants working in Merchant Navy
- Contract copy (latest). If posted on homeport for more than 6 months in the current year, then a copy of the future contract has to be submitted.
- Continuous Discharge Certificate (latest) for employment proof for 3 years.
- Proof of identity by way of a copy of Passport
- Operative bank account statement for the last 3 months.
- Credit Bureau report of the country where the applicant is located.
Income proof for NRI- self-employed
- Trade licence or any other comparable document
- Audited balance sheet and P & L Account for the last 3 years.
- ITwith computation of income for the last 3 years.
- Profile of the applicant in brief in the prescribed format.
- Valid passport with visa stamping.
- Credit bureau report of the country where the applicant is located.
- Bank account statement of overseas account for the last 6 months.
Property Documents
Copies of all the property documents required against loan to prove a marketable title.
FAQs
The time taken for the processing of the loan application will be 5 days on submitting the complete set of documents required. It takes 5 days for the legal scrutiny of the documents and the valuation of the property. The time taken for legal scrutiny varies from state to state. The loan processing (i.e., the post-approval process) will take a minimum of 4 days of submitting all the required documents. The loan disbursal will be done within 2 days from the date of submitting the completed and duly stamped agreement and other necessary documents. The overall time taken for the credit approval will be around 16 days.
The repayment can be by way of debit to NRE/NRO account, liquidation of FCNR deposit, by debit to the bank account of a close relative. It can also be through foreign inward remittance.
For making pre-payments to the HSBC Loan Against Property account, a written request for making the pre-payment with an instruction to either reduce the EMI or reduce the tenure has to be given. If no instructions are given, the bank will as per the practice reduce the tenure of the loan according to the pre-payment amount received. If credit in excess is received to the Smart Loan Against Property account without any instruction, the excess amount will impact on the outstanding balance in the Smart Loan Against Property account. Any excess amount received to the Smart Loan Against Property account will be adjusted to the principal amount only.
The current interest rate for loan against property at HSBC Bank starts at 8.45% p.a.