IDBI Bank
Loan Against Property

A simple solution for a fund crisis that has to be resolved immediately is a Loan Against Property. IDBI bank provides a Loan Against Property (LAP) both for new customers as well as existing customers. If you already have a home loan or any other secured loan at IDBI bank, the bank provides loans against the same property by putting through a continued mortgage for the additional loan provided. You can even avail a fresh loan against an unencumbered residential or commercial property. IDBI provides four types of loans under the Loan Against Property Scheme. A loan is also provided against the rent receivables on the property by accepting the leased-out property as security. The rate of interest is competitive with flexible repayment terms. The whole process of availing the Loan Against Property at IDBI bank is hassle-free.

IDBI Bank offers 4 types of loans against property:

• Mortgage Loan (Loan Against Property)
• Loan Against Property (Interest Saver)
• Loan Against Property (Overdraft)
• Loan Against Rent Receivables

The speciality of Loan Against Property Interest Saver is that the LAP loan account will be linked to a Flexi Current Account. You can park surplus funds periodically in the Flexi Current Account instead of Savings Account. The interest on the LAP account will come down to the extent of the surplus funds parked in the Flexi Current Account. The funds parked in the current account will be available for use as and when you require it. The interest on the loan account will be calculated on the outstanding balance in the loan account minus the balance in the current account at the end of the day.

Following are the features of IDBI Bank LAP:

Also Read - 9 Factors That Affect Your Eligibility for a Loan Against Property

The following are the advantages of availing IDBI Bank Loan Against Property:

• The interest rates are very competitive
• There are different types of loans against property, which you can choose as per your requirement.
• Loan is given against residential as well as commercial properties
• The whole loan process is hassle-free
• Documentation is easy and quick
• Very efficient customer service
• No hidden charges
• Complete transparency about the charges levied for the loan

Also Read - 5 Steps to Choose the Ideal Lender for Loan Against Property

The documents mentioned below should be accompanied by a loan application for Loan Against Property and two passport size photographs.

For Salaried employees

KYC Documents:

• Aadhar Card
• Voter's ID Card
• Driving Licence
• Pan Card
• Passport
• Utility Bills

Income Proof:

• Salary Slip for the last 3 months
• Latest ITR and Form 16
• Bank statement of salary account for the last 6 months

For Self-Employed

KYC Documents

• Voter's ID Card
• Passport
• Utility Bills
• Aadhar Card
• Driving Licence

Income Proof:

• Financial statements like the audited balance sheet and profit and loss account for the last 3 years.
• ITR with income computation for the last three years
• Bank statement of the individual as well as business accounts for the last 12 months

Other documents:

• Business profile for non-professionals
• Qualification proof for professionals
• Proof of business existence

Property Documents:

• Chain of title related documents
• Building plan/Approved sanction

Also Read - Documents Required for Applying a ‘Loan Against Property’ in Mumbai

The following are the eligibility criteria for IDBI Bank Loan Against Property:

• Self-employed professionals like Merchants, SME Manufacturers, Service Providers, etc. are eligible for the loan.
• Self-employed non-professionals like proprietorship/partnership firms, closely-held limited/private limited companies are eligible for the loan.
• HUF, Trusts, AOPs, and NGOs are not eligible for the loan against property.
• Salaried individuals are also eligible for the loan
• The property should be owned by the borrower
• A loan can be availed against property situated in rural, semi-urban, urban areas, and in metros.
• Salaried Class, Proprietorship firms, Partnership firms, Companies, property owners who have leased out their property to PSUs, Government Organisations, Corporate Houses, Banks, etc., under registered lease deed or Leave and Licence Agreement in rural, urban, semi-urban areas and metros are all eligible for Loan Against Rent Receivables.

Also Read - 7 Factors That Affect Loan Against Property Eligibility

The interest rate on IDBI Bank Loan Against Property is very competitive is between 10.05% to 10.40% p.a. for loans against residential property and is between 10.30% to 10.65% for loans against commercial property.

The other charges are:

Also Read - Best Loan Against Property Interest Rates in India

Residential as well as commercial property can be provided as security for the Loan Against Property. Primary security will be the first charge by way of equitable mortgage of the property against which the loan is granted.

Additional collateral security by way of assignment of LICP, NSCs, Fixed Deposits, etc. as required by the bank on case to case basis.

Also Read - Dos & Don’ts of Applying for a Loan Against Property

In the present scenario, there are various players in the market providing loans at different rates and charges. It is difficult to compare the schemes to negotiate on the best offer. If you apply for a loan through MyMoneyMantra, the process becomes simpler since the comparative data is available on a single screen on the MyMoneyMantra website.

The loan experts at MyMoneyMantra will assess your eligibility based on the information provided by you on our website. They will assist you to choose the right product, give comparative data on the processing fees end expedite the whole loan availing process by coordinating with the loan provider.

They will also assist you with the fine print with regard to terms and conditions, especially in cases where the offer is highly attractive. They will also analyse your credit history and advise accordingly.

It is always better to understand your loan eligibility even before applying for a loan. On knowing the eligibility, you will be able to decide if the amount is adequate for the purpose for which it is required. If there is a gap and you will have to make arrangements elsewhere to bridge the gap, then it is not worth the strenuous ordeal.

Instead of applying the manual method, which is elaborate and confusing to calculate the loan eligibility, it is better to use the LAP EMI Calculator which is quick and accurate.

To use the MyMoneyMantra LAP Calculator, you will have to access the MyMoneyMantra website. All the comparative data of various loan providers are available on a single screen on the website of MyMoneyMantra.

You can assess the eligibility by providing the data of different loan providers and arrive at the deal that is the most beneficial one for you. For doing this, you will have to follow a few steps after accessing the website of MyMoneyMantra:

• Choose the EMI Calculator on the home page of the website
• Give the details of the loan amount, loan interest, and loan tenure
• The EMI will be calculated instantly
• You can calculate the EMI as many times as required by applying the different offers of the lenders available on the screen.
• You choose the lender that provides you an offer with which you arrive at an EMI that suits your pocket.
• Once the decision on the loan provider is made, continue with the filling up of the loan application. The representatives of MyMoneyMantra will take it further from here from delivering the loan application with the documents to the loan provider to documentation and until the disbursement of the loan.