IndusInd Bank is a new generation bank established in the year 1994 with its head office at Mumbai. The bank offers commercial, electronic, and transactional banking products and services. The retail lending products are the specialty of the bank. The bank is abreast of the changing scenario in the banking industry by continuously introducing new technologies and has been striving to offer services to every nook and corner of the country by vigorously expanding its network. At present, there are over 1500 branches of the bank across the country.
The retail products being the specialty of the bank, it is the best bank for the Loan Against Property if you intend to encash your investment in a property for immediate funds requirement. The bank offers the loan at very competitive and affordable rate of interest and other associated charges. The repayment period being flexible, you can manage your monthly budget by opting for a lower EMI.
IndusInd Bank offers Loan Against Property against residential or commercial property, and against the rent receivables.
The features of the loan are mentioned below:
|Name of the Product||Purpose||Quantum||Interest||Security||Repayment||Processing Charges|
|IndusInd Bank Loan Against Property||The loan quantum depends on the value of the property and the repayment capacity of the borrower.||The rate of interest ranges between 9.95% p.a. to 15% p.a., depending on the profile of the customer.||Equitable mortgage of the security against which the loan is granted.||The maximum repayment is 15 years or before the retirement age in the case of salaried individuals and before the borrowing attaining the age of 70 years in the case of the self-employed, whichever is earlier.||Up to 2% of the loan amount.|
The following are the advantages of taking the IndusInd Bank Loan Against Property:
The rates of interest are linked to base rate and range between 9.50% p.a. to 13.60% p.a., depending on the profile of the customer.
The loan involves the following charges as well, apart from the rate of interest:
|Processing charge||Up to 2% of the loan amount|
|Part prepayment charges|
|Cheque dishonour charges||500 per instance|
|Delayed payment of EMI||Penalty at 2% per month on the overdue amount for the overdue period.|
|Issuance of NOC/NDC||Nil|
|Stamp duty||As applicable to respective State|
|Charges for swapping of cheque||500 per swapping per instance|
|Issuing a duplicate repayment schedule||500|
|Charges for issuing copies of the document||500 for copies of property documents|
|Cheque collection charges||100 per instance for local visits and 250 for an outstation visit.|
|Charges for substitution of property/collateral security||0.1% of the loan outstanding with a minimum of 10,000 for every substitution.|
|Release of property during the pendency of the loan||0.1% of the outstanding in the loan account with a minimum of 5,000 per instance.|
|For rebooking of loan account||Processing charges as applicable will be collected|
|Conversion charges||Up to 0.75% of the principal outstanding in the loan account|
There are certain parameters that IndusInd Bank has stipulated to be eligible for the Loan Against Property. You will have to comply with the parameters that are mentioned below to be eligible for the Loan Against Property from IndusInd Bank:
The documents are specified to know the whereabouts and the repayment capacity of the borrower.
The following documents are required for the IndusInd Bank Loan Against Property:
|Type of Document||Salaried||Self-employed|
|KYC documents||Valid identity/ address/ signature proof|
|Processing fee||A cheque for the processing fee|
|Property documents||All the documents required to establish the marketable title of the property against which the loan is granted.|
|Application||Application for the loan, duly filled and signed|
|Photograph||2 passport size photographs|
EMI or Equated Monthly Instalment is the amount you will have to pay to your loan provider every month till the loan is repaid in full. It means that you will have to bear the extra burden on your monthly budget every month for the tenure you have opted for the loan. It is thus very essential to know the EMI before applying for the loan for you to decide if you can accommodate the additional burden without disturbing your monthly budget.
You can do the calculation using an EMI Calculator. If you use the MyMoneyMantra EMI Calculator, you will have an added advantage of a list of best quotes with which you can choose the best deal. You will also have a Part Prepayment EMI Calculator and Full Prepayment Calculator, with which you can understand how the EMI varies on part pre-payments and how much of saving you can make on full prepayment.
To use the MyMoneyMantra EMI Calculator, you will have to follow the steps detailed below:
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Up to Rs. 5 Crore loan against property can be availed by Salaried and self-employed applicants online as well as offline. The LAP can be used for applied for business expansion, long term working capital, debt consolidation, equipment purchase, medical exigency, education/ marriage of children, holiday and much more. Higher loan amounts are available for select customers.
The reasons to avail of the Loan Against Property from IndusInd Bank are:
You can apply for the loan if:
The rates of interest charged are between 9.50% and 13.60%, depending on the customer's profile.
The processing fee applicable on IndusInd Bank Loan Against Property is up to 2% of the loan amount.
Prepayment charges at 0.5% of the part prepaid amount if the pre-payment is done after 12 months from the EMI start date. No prepayments will be allowed within 12 months from the EMI start date. The prepayment charges will be as per the RBI guidelines if the loan is availed by an individual.
For others, prepayment will be allowed to the extent of 25% of the principal balance at the beginning of the financial year. Repayments are allowed only 4 times in a financial year.
Foreclosure charges for a loan availed by individuals is as per the RBI guidelines. For others, charges will be collected at 4% of the outstanding balance in the account. A foreclosure will not be permitted with 12 months from the EMI start date.
The maximum repayment period permitted for the IndusInd Bank Loan Against Property is 15 years.