Indian Bank
Loan Against Property

Indian Bank was established in 1907. Since inception Indian Bank has slowly ventured into different domains of banking. Today it enjoys a pan India presence with nearly 3,000 branches and 10,000 touch points.  The bank reported a total business of over 4 lakh crore with a net profit of more than 300 crore. To meet the different and diverse requirements of the customers, Indian Bank offers a vast range of banking products and services. Its Loan Against Property allows customers to avail funds against residential and commercial properties and use the proceeds for unexplained purpose. The loan amount, however, cannot be used for speculation purpose. Indian Bank's Loan Against Property is a quick and hassle-free scheme. The process involves minimum paperwork. It is very lucrative in terms of rate of interest and processing charges.

Indian Bank offers Loan Against Property under the category of Ind Mortgage.

The features and details of the scheme are as under:

Many banks and non-banking financial companies offer Loan Against Property. However, it's the benefits and features offered by different lenders that make viable and attractive proposition. Indian Bank too offers Loan Against Property that is loaded with benefits.

The advantages of applying for Indian Bank Loan Against Property are:

• The loan quantum depends upon applicant profile and cost of the property. It may go up to 10 Crores in some cases.
• Floating rate of interest is charged for loans approved against property
• Competitive rate of interest on loan against property starting at 11.80% p.a.
• Quick and hassle-free loan application system
• Less paperwork
• Low processing fee.
• Nil charges for prepayment and foreclosure
• Maximum loan tenure of 7 years
• Transparent working and no hidden charges
• Flexible repayment option through monthly EMIs.

Indian Bank has a well-structured department dealing with Loan Against Property applications. The applicant, however, must fulfill the eligibility criteria as stated below:

• All individuals aged above 18 years can apply for the loan
• The exit age is 60 years for a salaried employee and 70 years for other borrowers
• Permanent employees working in central/state government, public limited companies, quasi government bodies, reputed private limited companies can apply for the loan if they have a clear record of timely salary payment. They must be in service for a minimum period of 3 years.
• Employees of Indian Bank, as well as other banks (private/PSU/Co-op/foreign), can also apply.
• Professionals, self-employed, traders, businessmen (including sole proprietary concern, HUF, firms, limited companies) are also eligible based on their cash flow and income level.
• All central and state government pensioners, as well as family pensioners, drawing pension through Indian Bank branches, are eligible.
• NRIs are also eligible, provided the end use of the loan is for a bankable purpose and property is located in India.
• The property to be set as collateral can be residential or commercial
• The property must have a clear title and should be registered in the name of the individual applying for the Loan Against Property.
• Indian Bank Loan Against Property offers a maximum quantum of loan that is linked to the repayment capacity and applicant profile.
• Property-to-be-mortgaged should be insured with bank at borrower's cost against fire, earthquake, flood, riot, and other risks for the entire loan period.

To apply for the Indian Bank Loan Against Property, the applicant must submit a duly filled application form. The application form must be supported by requisite documents.

The list of the same is described below:

For Salaried employees:

For Self-Employed:

Submitting your loan application with the requisite documents is the first important step in availing a Loan Against Property. Equally important is the assessment of repayment capacity. The borrower's dream can vanish in thin air if the EMI amount is inappropriately calculated. MyMoneyMantra offers a valuable tool, i.e., EMI Calculator, to enable the borrower to assess the right EMI amount. The tool is a boon for lenders as well as borrowers. When used prudently, it creates a long-lasting win-win situation wherein the borrower uses the loan amount for the purpose it was taken and the lending institution adds a valuable customer in its books.

As the EMI amount is a long term expense and is to be paid for the tenure of the loan, it is important that it should be prudently calculated. It should neither be too high as it can lead to financial stress nor should be too low as it will make the loan every expensive.

The table below indicates the value of EMI against different principal amount and loan tenures. The rate of interest remains unchanged at 11.80% p.a., the lowest rate of interest charged by Indian Bank for approving Loan Against Property. The lowest EMI of Loan Against Property taken from Indian Bank is 1,755 per lakh for 7 year tenure.