Muthoot Finance

MUTHOOT FINANCE LOAN AGAINST PROPERTY

Apply Muthoot Finance  Loan Against Property

About Muthoot Finance

Talk of gold loans and one of the first names that come to mind is Muthoot Finance. Muthoot Finance has a reputation for providing easy loans against gold jewellery. However, the Muthoot Group is a diversified one that offers various other loans apart from gold loans.

The Muthoot Group boasts of a rich legacy extending up to 133 years. They started trading from an obscure village in Kerala in 1887. In 1939, the company commenced its gold loan business. It has always maintained its reputation for being one of the finest institutions to offer gold loans. The year 2001 saw Muthoot Finance acquire the status of an NBFC. Since 2001, Muthoot Finance has grown by leaps and bounds by providing various kinds of retail loans that include personal loans, home loans, and loans against property to its landlords.

Today Muthoot Finance has more than 25000 dedicated employees working in 5190+ branches spread across the entire nation. Over its 133-year history, the company has built up a customer base of more than six million.

About Muthoot Finance Loans

Muthoot Finance offers various loan products, the most prominent among which is the gold loan. The company has built up a decent portfolio in retail finance by offering personal loans and home loans.

Muthoot Finance Loans - At a Glance

Product Ideal For Maximum Amount ROI

Gold Loan

To meet all kinds of personal and business requirement

No maximum ceiling

12% to 27%

Personal Loan

Clean and unsecured loan to meet all personal emergencies

Starting from 50,000

Attractive ROI

Housing Finance

To meet all kinds of housing requirements through Muthoot Homefin Limited

Need-based finance

Attractive ROI

Loan to Landlords

Meet the requirements of landlords of premises taken by the company on lease

10 Lakhs

18% to 19%

Microfinance

Finance the needs of the underserved population through Belstar Microfinance Limited

2 Lakhs

21.05% to 25%

Muthoot Finance Loan Against Property

Muthoot Finance has a restricted portfolio for a Loan Against Property. Instead of financing against property to the general public, Muthoot Finance offers this facility to a select group of customers. The customers, in this case, are the landlords of premises that Muthoot has taken on rent.

Muthoot Finance Loan Against Property - Features

  • Loan Against Property available to landlords of Muthoot Finance
  • Loan available for meeting various personal and business needs
  • Individual requirements include the construction of a house, marriage of children, meet medical expenses, and so on.
  • Business requirements can be for the expansion of trade and achieve business liabilities
  • Assured repayment as the EMI is deducted from the rental amount every month
  • No need for creating the equitable mortgage
  • Attractive rates of interest
  • Low processing fees
  • Quick sanction

Muthoot Finance Loan Against Property - How to Apply

Landlords of premises let out to Muthoot Finance can take advantage of this facility of Loan Against Property to satisfy their business and individual requirements. The easiest way to apply for this loan is to approach the branch office of Muthoot Finance and apply in person.

An easy alternative is to apply for the loan through MyMoneyMantra.com. Applying for the Loan Against Property through MyMoneyMantra has its benefits.

How to apply through MyMoneyMantra?

  • Visit the official website of MyMoneyMantra and select the option, 'Loan Against Property'
  • Enter the purpose of the loan by selecting the option from the drop down menu
  • Enter the loan amount you are looking for
  • Provide details of the market value of the property
  • Provide details about the location of the property and your occupation and income.
  • Enter your name and the city where you reside
  • Provide your email address and mobile number

MyMoneyMantra.com will send you an OTP for verification purposes. Enter the OTP and access the comparison page. MyMoneyMantra offers the facility to compare different products on a single page. Select Muthoot Finance as your preferred lender and proceed to complete the application. MyMoneyMantra officials are available to guide you through the entire process.

Muthoot Loan Against Property - Details

Product

Scheme for granting loans to landlords of Muthoot Finance branch offices against the rent payable to them.

Eligibility

Landlords of premises let out to Muthoot Finance branches all over the country

Quantum of finance

Minimum - 1 Lakh

Maximum - 10 Lakhs

Muthoot Finance sanctions higher amounts depending on the merits of the case.

Repayment tenure

60 months

Rate of interest

  • Deposit original title documents of the property with Muthoot Finance - 18%
  • Deposit the copy of the title deeds of the property - 19%

Security

Muthoot Finance does not insist on the creation of the equitable mortgage. Depositing the original or copy of the title deeds of the property is enough.

Processing fee

1% of the loan amount plus applicable GST

Repayment

  • By way of EMI spread over a maximum of 60 months
  • Muthoot Finance deducts the EMI from the rent payable to the landlord and recovers the instalment.

Documents

  • Application form completed in all respects
  • Request letter from the landlord
  • Copy of the title deeds

Turnaround time

Maximum of 2 days

Muthoot Finance Loan Against Property - Advantages to the Borrower

  • Get a lump sum amount against the future rent receivables
  • One of the most straightforward loans to obtain because of the quality and value of security available to the company.
  • Can use the amount for meeting individual and business requirements
  • No need to create the equitable mortgage in favour of the company
  • The borrower can choose not to deposit the original title deeds of the property with the company. Under such circumstances, the rate of interest is 1% more at 19% per annum.
  • The borrower can deposit the copies of the title documents with the company

Muthoot Finance Loan Against Property - Advantages to the Company

  • The safest possible loan that the company can give
  • The repayment is assured because the company deducts the EMI from the rent payable to the landlord.
  • The account does not become bad because of assured repayment

Muthoot Finance Loan Against Property - Documents Required

  • Application form: The applicants should ensure to complete the form in all respects. Muthoot Finance would like to know everything about the customer. It is an integral part of KYC norms. The company does not seek the reasons for availing this loan. However, the borrower should ensure not to use the funds for speculative purposes.
  • Request letter from the landlord: The company seeks a request letter from the landlord offering the property as security for the loan. The borrower authorises the company to deduct the EMI from the monthly rent amount.
  • Copies of title deeds: The company does not stipulate the requirement of creating the equitable mortgage. However, the company needs to satisfy itself about the genuineness of the title to the property.

Muthoot Finance Loan Against Property - Eligibility Details

  • The Loan Against Property is available to landlords who have let out their property to Muthoot Finance.
  • The landlord should agree to pay the EMI by way of a deduction from the rent amount payable by Muthoot Finance.
  • The landlord should agree to deposit the original or the copies of the title deeds with Muthoot. In the case of deposit the copies of the documents, the rate of interest applicable is 19% per annum, 1% more than the standard rate.
  • The borrower must meet the income criteria to qualify for the Loan Against Property

Muthoot Finance Loan Against Property - Security

Generally, the security for a Loan Against Property is an equitable mortgage of the property. However, Muthoot Finance is different because it does not insist on the creation of the equitable mortgage. The borrower can deposit the original title deeds with the company and get the benefit of a lower rate of interest @ 18% per annum. The borrower can opt to deposit the copies of the title deeds and pay additional interest of 1%.

Muthoot Finance Loan Against Security - Calculation of EMI

Muthoot Finance calculates interest on the Loan Against Property on the reducing balance method. The ideal mode of repayment for the Loan Against Property is the EMI. The equated monthly instalment comprises an interest component and a principal repayment component. Muthoot Finance assures the repayment of the Loan Against Property by deducting the EMI from the monthly rent payable to the landlord. Therefore, the Muthoot Finance Loan Against Property is the safest of all its assets.

Muthoot Finance - Other Products

Apart from the Loan Against Property, Muthoot Finance offers various other facilities:

Product Characteristics In Brief

Soch Badaliye

Business expansion, take dealership, build a new showroom, and increase your stock - Overdraft facility available.

Aagey Badhiye

Unique Gold Loan scheme @ 1% per month

Taking India Forward

Reach the unserved and underserved segment of the Indian population with an array of services.

Gold Loan

Loan against gold jewellery

Gold Coin

Sale of gold coins of the maximum purity

Money Transfer

Money transfer service, international, domestic, and Indo-Nepal transfer

Foreign Exchange

Buy and sell foreign currency, sale of travel cards, outward remittances and inward money transfers.

Travel Jango

IATA accredited travel agency services

Insurance Services

Various insurance solutions like Money back policy, health insurance, smart kid policy, Pension plans, and so on.

ATM Facility

Provide White label ATM services

PAN Card

Apply for a PAN Card from any of Muthoot Finance branches

Mutual Funds

Invest in shares through Muthoot Finance mutual funds

Personal Loan

Personal loans to meet your individual and business requirements

Muthoot iWill

Write your will online through Muthoot Securities, a subsidiary of Muthoot Finance.

Housing Finance

Purchase, construct your house with financial assistance from Muthoot Homefin, a housing loan subsidiary.

Digital & Cashless

Services like Aadhar enabled e-KYC, iMuthoot app, pre-paid Visa Card, and so on

Microfinance

Finance business needs of the underserved population through Belstar Microfinance, a Muthoot Finance subsidiary.

Muthoot Finance Loan Against Property - FAQs

Is the Muthoot Finance Loan Against Property available for all customers?

No, the Muthoot Finance LAP is a unique product that is available only to landlords who have let out their property to Muthoot Finance.

What is unique about the Muthoot Finance LAP?

Muthoot Finance LAP is probably the only Loan Against Property facility that does not stipulate the creation of equitable mortgage of property. The borrower can deposit the original title deeds and pay interest @ 18% per annum. Alternatively, he/she can deposit the photocopies of the title deeds and pay interest @ 19% per annum.

How does the company agree to the waiver of the creation of equitable mortgage?

The Loan Against Property is available only to landlords who have let out their property to Muthoot Finance. The company ensures that the EMI is less than the monthly rent they pay to the landlord. It enables them to deduct the EMI from the rent payable and recover the instalment. Therefore, there is no default.

Can the landlord offer any other property to Muthoot for availing the Loan Against Property?

No, the landlord cannot offer any other property. Muthoot Finance accepts only the property that it occupies. In that way, it ensures to deduct the EMI when paying the rent every month.

What is the maximum amount of loan available in this product?

Muthoot Finance offers a maximum amount of 10 Lakhs against the property. There are options to provide higher amounts in deserving cases.

Should the borrower submit KYC documents at the time of applying for the Loan Against Property?

Muthoot Finance offers the facility of Loan Against Property to landlords of the premises they occupy. Therefore, they have already done KYC. Thus, the landlords need not submit KYC documents again.

Is it necessary to carry out the title search and valuation?

Yes, Muthoot Finance carries out the title search and valuation to ensure that they adhere to the LTV ratio.

What is the maximum tenure for the Loan Against Property?

The maximum repayment tenure for the Loan Against Property is 60 months. However, if the residual lease period is less than 60 months, Muthoot Finance stipulates the repayment tenure accordingly.

What is the purpose for which the Loan Against Property is available?

The Loan Against Property is available for meeting individual and business emergencies. The purpose can range from catering to medical expenses, education, and marriage expenses, and so on. On the business front, this loan is available for meeting working capital requirements and for purchasing business assets.

Can the applicant apply for the loan in joint names?

If the property is in joint names, there has to be a co-applicant. Otherwise, the applicant cannot do so in joint names.

OTP is sent to your mobile number

Enter OTP

Resend OTP