About Indian Bank Home Loan

Indian Bank is one of the oldest and finest financial institutions in India. Established in the year 1907 during the Swadeshi Movement, the bank currently operates in India. However, it has several branches overseas as well. They currently have a strong workforce of over 19,000 employees in India and 227 overseas correspondent banks spread across 75 counties.

Indian Bank provides customers with affordable housing finance solutions for Indian residents and non-resident Indians (NRIs) as well. These loans cover the purchase of property, repair and remodeling, purchase of new plots, and even the construction of the property.

Indian Bank Home Loan

Interest rate


Loan tenure

30 Years

Loan turnaround period

8 - 15 days

Loan to value (LTV)

Get loan up to 90% of the project cost

Who can apply?

  • Self-employed professionals
  • Salaried individuals
  • Indian residents


Up to 4 applicants are allowed as co-applicants

Lowest EMI

 665 Per Lakh

Why Choose Indian Bank Home Loan?

Indian Bank provides housing loan schemes not only to salaried customers but also to self-employed professionals and business owners. They aim to "Be a common man's bank" providing loans that are simple and affordable for all segments of society.

When you apply for a loan with Indian Bank, you can be assured of the following:

  • Transparent and fair policies and terms
  • Affordable rates of interest
  • Higher loan amount based on your income and repayment ability
  • Multiple Home Loan schemes for purchase, construction, as well as renovation or extension of the property, and plot purchase.
  • Easy equated monthly instalment (EMI) plans and repayment options
  • ISO certified information systems and security processes which is available with a handful of banks across the globe.

Features and Benefits of Indian Bank Home Loan

There are several benefits and highlights of Indian Bank Home Loan schemes that make them extremely simple and easy for customers to avail of. Some of these include:

  • Availability of Home Loans for purchase of new property, plot purchase, extending the current property, additional construction, and purchase of an existing flat or house.
  • Interest rates starting at as low as 7.00% per annum
  • The loan amount is calculated as per the monthly income and the repayment capacity of the borrower
  • Low margins on loan amount to make purchase or construction of new property more affordable
  • Long-term loan tenure extending to 30 years depending upon the type of loan availed
  • Comfortable holiday period of up to 18 months on loans availed for construction of the property
  • Zero prepayment charges
  • Group Insurance Life Cover is available at a concessional premium for borrowers. The premium amount is financed as a fresh loan and is not a part of the loan that you have applied for.
  • Borrowers have the option of Home Loan take over from any other bank or financial institution that has been approved by the National Housing Bank for Housing Finance.

Indian Bank Home Loan Interest Rates

Indian Bank offers fixed and floating rates of interest for borrowers residing in India. For NRI and NRO applicants fixed interest rates are applicable.

The Rates of interest for Indian Bank Home Loans are linked to the bank's 1-year MCLR (Marginal Cost of Funds based Lending Rate) which is 6.85% w.e.f. 29.10.2020. Following are the MCLR-linked rates of interest for various housing loan schemes of Indian Bank:

Name of the product Loan Amount Type of Borrower Effective Interest

IB Home Loan, NRI Home Loan, and IB Home Advantage

Up to 30 Lakhs

Salaried Borrowers - Women


Salaried Borrowers - Others


Non-Salaried Borrowers - Women


Non-Salaried Borrowers - Others


Above 30 Lakhs up to 75 Lakhs

Salaried Borrowers - Women


Salaried Borrowers - Others


Non-Salaried Borrowers - Women


Non-Salaried Borrowers - Others


Above 75 Lakhs

Salaried Borrowers - Women


Salaried Borrowers - Others


Non-Salaried Borrowers - Women


Non-Salaried Borrowers - Others


Plot Loan and NRI Plot Loan

Up to 30 Lakhs

Salaried Borrowers - Women


Salaried Borrowers - Others


Non-Salaried Borrowers - Women


Non-Salaried Borrowers - Others


Above 30 Lakhs up to 75 Lakhs

Salaried Borrowers - Women


Salaried Borrowers - Others


Non-Salaried Borrowers - Women


Non-Salaried Borrowers - Others


Above 75 Lakhs

Salaried Borrowers - Women


Salaried Borrowers - Others


Non-Salaried Borrowers - Women


Non-Salaried Borrowers - Others


Ind Awas (EWS/LIG/MIG-I/MIG-II) under PMAY

All loan amounts

6.90% general, 6.85% for Women

IB Home Improve  Loan 


9.05% general, 9.00% for Women

Types of Home Loans Offered by Indian Bank

There are various housing loan options available with Indian Bank depending upon the requirement of the borrower. The loan scheme options available are:

IB Home Loan

  • The loan is available for:
  • Purchase or construction of a new house or flat
  • Purchase of a plot and construction of a house on it
  • Purchase of an existing house or flat
  • Extend an existing house
  • Repair or renovate an existing house or flat
  • Takeover of Home Loan from another bank/ non-banking financial company (NBFC)/ housing finance company (HFC) approved by Nation Housing Bank.
  • Covering any cost occurred within a period of 6 months for construction or purchase of a house or flat that borrower has met from his or her own resources.
  • The maximum loan amount is 60 times the gross monthly income which is subject to availability of 40% take-home pay or over 20,000 after the deduction of proposed EMI inclusive of the required margin.
  • A maximum of 10 Lakhs is available for repair and renovation purpose
  • The Margin for the loan amount is as follows:
    • Up to 30 Lakhs: 10%
    • Above 30 Lakhs to 75 Lakhs: 20%
    • Above 75 Lakhs: 25%
    • For repair and renovation: 30%
  • The maximum repayment tenure is 30 years for construction or purchase of property
  • Repayment period includes a holiday period of 18 months for purchase or construction of the property.
  • The maximum repayment period for repair and renovation is 120 months
  • NIL prepayment charges

IB Plot Loan

  • The loan is available for the purchase of a plot on an ownership basis. The plot should be in a layout that is approved by a Competent Authority.
  • The maximum loan amount is 36 times the gross monthly income (for salaried individuals) and 3 times of annual net income (for self-employed professionals and business owners).
  • The maximum amount of Plot Loan is capped as follows:
    • In rural areas: 50 Lakhs
    • In semi-urban areas: 1 Crore
    • In urban areas: 2 Crores
    • In metro: 3 Crores
  • The Margin required is 25% of the land's cost
  • Higher interest rate is applicable for the delay period if the construction of property does not begin within 2 years of loan sanction or from the date of handing over possession by the respective Government Housing Development Agency.
  • Repayment must be made within a maximum of 180 EMIs. The holiday period is not available on Plot Loan.

IB Home Improve Loan 

  • Loan is provided for purchase of household furniture, cupboards, kitchen racks, TV sets, computers, fridge, wallpaper, lighting, kitchen chimney, air conditioners, interior decoration, modern gadgets for kitchen, piped gas, supply or cost of bore well with necessary lifting devices such as jump pump sets, solar systems, compressors and immersion pump sets.
  • The borrower should be a current or prospective Home Loan borrower of IDBI Bank
  • The maximum loan amount is 36 times the net monthly income of the individual subject to a maximum of 3 Crores.
  • You may include the salary of your spouse to increase your eligible loan amount if he or she works for the government or public sector or reputed private organisation.
  • Take home salary should be more than 40% of the gross income with a minimum of 20,000 as net monthly income after proposed EMI is recovered.
  • Margin is 15% of articles purchased on the loan
  • There is no holiday period
  • The repayment tenure is as follows:
    • For appliances with less life span: 48 months
    • For others: 60 months

IB Home Loan Plus

  • This loan is available for all bonafide purposes
  • This loan is available to all current Home Loan borrowers who have paid at least 12 EMIs regularly, including NRIs, current staff members of Indian Bank and retired staff members.
  • You must have a minimum of 40% take home pay on your gross income after the proposed EMI is deducted.
  • The minimum loan amount is 1 Lakh and the maximum loan amount available is 60 Lakhs.
  • Maximum Loan-to-Value (LTV) ratio available is 90%, 80%, or 75% as per the loan amount
  • You have a maximum repayment period of 120 months
  • The house property must be revalued after the proposal is considered with a residual life of at least 10 years for the house or flat in consideration.
  • This loan is available on self-occupied or let out properties

NRI Home Loan

  • The loan is available for purchase, construction, repair and renovation of a new house or flat or existing house or flat for non-resident Indians (NRIs) with a regular income.
  • You can get a maximum loan amount of 36 times the gross monthly income or 60 times net monthly income, whichever is higher.
  • The take-home income should be 40% more than the gross income after all deductions including proposed EMI.
  • The margin for these loans is as follows:
    • For loans up to 30 Lakhs: 10%
    • For loans above 30 Lakhs and up to 75 Lakhs: 20%
    • For loans above 75 Lakhs: 25%
    • For repair and renovation: 30%
  • The repayment period for this loan is a maximum of 15 years including the holiday period.
  • The holiday period available is for a maximum of 18 months.
  • Repayment can be made from overseas or through any rental income available with the property.

NRI Plot Loan

  • The loan is available for NRIs for purchase of house site on ownership basis for plots located in Government Approved layouts
  • Purchase of house site in rural areas is not permitted.
  • The maximum loan amount available is 30 times the Gross Monthly Income.
  • The cap per borrower for purchase of property is as follows:
    • For semi-urban areas: 1 Crore
    • For urban areas: 2 Crores
    • For metro: 3 Crores
  • 25% margin of land cost is applicable
  • The repayment should not exceed 180 EMIs

IB Home Loan Combo

  • This loan is available for existing Home Loan holders who have repaid the loan regularly for at least 3 years after the holiday period.
  • The applicant must have created an equitable mortgage
  • The applicant must have maintained a security margin of at least 15% for purchase or construction of the property.
  • This package allows the borrower to avail any of the following loans along with concession on the interest rate and processing charges.
    • IB Clean Loan (to salaried class)
    • IB Vehicle Loan (4 wheeler and 2 wheeler both)
    • IB Bhavishya Prakash Loan (for any one of the dependants of the borrower)
    • IB Pension Loan
  • A concession of 0.50% is available on standard interest rates for any of the above loans
  • Concession of 50% on processing fee is available on any of the above loans and on Home Improve Loan as well.
  • The security required for each of the above loan should be provided
  • Any Equitable Mortgage provided as security should be extended in order to cover the other loans sanctioned under this package.
  • The terms and conditions of individual loans must be fulfilled

Indian Bank Home Loan Eligibility

For Residents of India
  • Resident Indians as well as NRIs who are salaried, business owner, self-employed professional or self-employed non-professional having a regular source of income, are eligible for IDBI Bank Home Loan.
  • Members of Hindu Undivided Family and pensioners can also avail this IDBI Bank Home Loan
  • Minimum age of the applicant should be 18 years at the time of loan application
  • Maximum age of the applicant should not be more than  70 years at loan maturity
  • Equitable Mortgage of Property constructed or Purchased on Loan Proceeds is provided as security. Equitable Mortgage must be registered at the applicant's cost if applicable in the State where the property is located.
  • Property or home appliance offered as security should be insured with the bank at borrower's cost with clause against fire, flood, earthquake and other risks that are generally covered by insurance companies.

For NRI applicants
  • Maximum permissible age at the time of application is 50 years and at the end of the loan tenure is 60 years.
  • The NRI applicant should be gainfully employed with a service of at least 3 years pending.
  • The NRI professional should have a regular monthly income.
  • Equitable Mortgage of Property constructed or Purchased on Loan Proceeds is provided as security.
  • Equitable Mortgage must be registered at the applicant's cost if applicable in the State where the property is located.
  • The property offered as security should be duly insured with the bank at the applicant's cost.

Documents Required for Indian Bank Home Loan

For Residents of India
  • Complete loan application form with 3 recent passport-sized photographs
  • Statements of assets and liabilities in IDBI Bank's format (for applicants, co-applicants, and guarantors).
  • Identity Proof: Voter's ID, PAN Card, Driving License, Passport (any one)
  • Residence Proof: Electricity Bill, Telephone Bill, Property Tax Receipt, Passport, Voter's ID (any one)
  • Business Address Proof: In case of industrialists and businessmen
  • Employment proof and last 6 months salary slips for salaried individuals
  • Bank statement for 6 to 12 months indicating salary credit or other income or transaction
  • Proof of additional income such as returns on investment, rent, etc.
  • Last 3 years ITR and balance sheet in case of self-employed individuals, businessmen and professionals.
  • Approved Building Plan
  • Sales Deed or Agreement of Sale
  • Property tax receipts where applicable
  • Proof of title on revenue records
  • Title Deed Document for 13/ 30 years (as applicable)
  • Two independent valuations are necessary for loan amount exceeding 1 Crore

For NRI Applicants
  • A complete loan application form with a passport size photo
  • Salary certificate
  • Proof of any other income source including rent, returns on investments, etc. if any
  • Balance sheet for the last 3 financial years for businessmen, professionals, and self-employed individuals.
  • Income tax or wealth tax returns for the last 3 years
  • Title Deed Documents for 30 years
  • Proof of title in the revenue records
  • Passport copy with the page containing the visa stamping
  • Copy of work permit
  • Employment contract copy. An English translation of a contract in a foreign language should be attested by the consulate, employer, embassy or foreign branches on Indian Bank.
  • Copy of ID card issued by the employer
  • Copy of continuous discharge certificate for merchant navy employees
  • Brief write up of employment profile for the last 3 years
  • Brief write up about the company or the institution where he or she is employed inclusive of the constitution, employee base, activity, net profit, etc.
  • Statement of the overseas bank account for the last 6 months which reflects savings, salary credit, etc.
  • Specific irrevocable Power of Attorney, if applicable. It must be notarized and duly stamped by the Indian Embassy or Consulate and adjudicated on India.
  • Additional documents of PIOs
  • Photocopy of PIO card or any of the following
  • Current passport with the place of birth indicated as India
  • Indian passport copy, if help earlier
  • Parents' or Grandparents' passport with details to substantiate PIO claims

For IB Home Loan Plus
  • Request letter
  • Updated EC and Tax paid received from an authorized body
  • Valuation report from a panel engineer
  • Letter of authorization for EMI recovery

Other Indian Bank Products and Services

There are several other products and services available with Indian Bank, such as:

Indian Bank Products & Services

Savings Bank Account

Current Account

Salary Account

Fixed Deposits

Recurring Deposit

NRI Accounts

Health Insurance

Life Insurance

IB Vehicle Loan

IB Pension Loan

IB - Bala Vidya Scheme

IB Clean Loan (To Salaried Class)

New IB Jeevan Vidya

IB Rent Encash

Loan/ OD Against Deposits

Ind Reverse Mortgage

Ind Mortgage

Loan/ OD Against NSC/ KVP/ Relief Bonds of RBI/ LIC Policies

IB My Own Shop

IB Vidhya Mandir

IND MSME Vehicle

IB Doctor Plus

IB Contractors


IND SME Secure

Revised IBA Model Educational Loan Scheme (2015)

IB Educational Loan Prime

IB Skill Loan Scheme

Education Loan Interest Subsidies

Agricultural Godowns/ Cold Storage

Agricultural Produce Marketing Loan

Financing Agriculturists for Purchase of Tractors

Purchase of Second Hand (Pre-Used) Tractors by Agriculturists

Agri Clinic and Agri Business Centres

SHG Bank Linkage Programme - Direct Linkage to SHGs

Joint Liability Group (JLG)

Rupay Kisan Card

SHG Vidhya Shoba

Gramin Mahila Sowbhagya Scheme

Sugar Premium Scheme

Golden Harvest Scheme

Agricultural Jewel Loan Scheme

Loans for Maintenance of Tractors Under Tie-up with Sugar Mills

How to Calculate EMI on Indian Bank House Home Loan?

You can easily calculate your EMI with the EMI Calculator available on our website. All you have to do is enter the loan amount that you wish to borrow, the tenure of repayment for the loan, and proposed interest rate and click on the Calculate button to get instant results.

How does CIBIL score affect Indian Bank Home Loan?

A higher CIBIL score improves your eligibility for a Home Loan with Indian Bank. A CIBIL score of 650 or above is necessary for Home Loans applied with Indian Bank.

Indian Bank Home Loan Processing Fee and Other Charges

The charges applicable for Indian Bank Home Loan are:

Processing Fees

  • IB Home Loan: 0.230% of the sanctioned loan amount (maximum of 20,470)
  • Plot Loan/ IB Home Improve/ IB Home Loan Plus: 1.18% of the sanctioned loan amount
  • NRI Home Loan: 0.228% of the sanctioned loan amount (maximum of 20,292)
  • NRI Plot Loan: 1.167% of the sanctioned loan amount


Pre-payment charges



50 for loans up to 5 Lakhs and 100 for amount above 5 Lakhs, to be collected during loan closure.

Indian Bank Customer Care

With Indian Bank, you have reliable customer care options that allow you to make queries and also register complaints and grievances for quick assistance.

Indian Bank Customer Care

Corporate Office: Indian Bank Corporate Office, PB No. 5555, Avvai Shanmugam Salai, Royapeth, Chennai - 600014

Corporate Office Ph. No: 044-28134300

National 24X7 Toll Free Number: 1800-425-00-000/ 1800-425-4422

You can also register complaints through the official Indian Bank website

Indian Bank Home Loan Latest News

Indian Bank Offers 3 Months Moratorium for Loan EMIs to Support RBI's Move

State-run Indian Bank has announced to provide a 3-month moratorium to its customers. As per the COVID 19 regulatory package of RBI, the bank allows a moratorium by deferring EMI payment / Term Loan Instalments and Interest/ Interest on Working Capital for 3 months w.e.f 01.03.2020.Read More

06.09.2018: Indian Bank to organise Home Expo to sensitise home buyers about PMAY

In order to educate first time home buyers about the Pradhan Mantri Awas Yojana (PMAY), Indian Bank is organising a Mini Property Fair at the Grand Regent in Coimbatore on September 8th 2018. The expo is geared towards improving the reach of the PMAY for affordable housing options.

29.08.2018: Indian Bank donates 4 Crores to Kerala

Chennai Based Indian Bank has donated 4 Crores to help flood hit Kerala. The financial aid amount was handed over by ED of Indian Bank, AS Rajeev to Kerala Chief Minister Pinarayi Vijayan.

15.02.2018: Indian Bank lowers Home Loan interest rate to 8.25%

A recent revision of Home Loans at Indian Bank has provided affordable loan options for potential home buyers. The interest rate has been reduced to 8.25%, becoming the lowest in the industry today. This interest rate is available on any Home Loan with a cap.

21.09.2017: Indian Bank raises 2,000 Crores for Infrastructure, affordable Home Loans

In order to provide affordable housing and infrastructure finance, Indian Bank raises 2,000 Crores. This amount was raised by issuing long term bonds and is a part of the 5,000 Crores fund raise proposal put forth by the bank to support better infrastructure and affordable housing in India.

Frequently Asked Questions

What is the eligible age to avail Indian Bank Home Loans?

The minimum age at the time of Home Loan application should not be below 18 years while the maximum age at the time of loan maturity should not be above 70 years.

How is the maximum loan amount calculated?

The maximum loan amount for the purchase, construction, or repair of property is calculated based on the gross monthly income and the total take-home pay of the applicant after deducting the proposed EMI for the loan amount requested.

Should I provide any margin on Indian Bank Home Loans?

A margin between 10%-30% must be provided depending upon the type of loan, the loan amount and the purpose of the loan. Here are the details of the margin to be provided by the applicant depending on the loan amount:

  • Margin required for a loan amount of up to 30 Lakhs: 10%
  • Margin required for a loan amount of above 30 Lakhs up to 75 Lakhs: 20%
  • Margin required for a loan amount of above 75 Lakhs: 25%
  • Margin required for repairs and renovations: 30%

Is there any top-up option available?

IB Home Loan Plus is a top-up loan available to existing Home Loan holders who have successfully paid at least 12 EMIs on the current loan.

What is the interest rate on Indian Bank Home Loans?

The interest rate on IB Home Loans varies between 8.65% and 10.10% depending upon the loan scheme, the loan amount requested, and the type of borrower.

Can avail any loan for repair and reconstruction of an existing property?

Yes. You can avail loans for repair and reconstruction under IB Home Loans, IB Home Loan plus and also IB Home Improve schemes. This also includes the purchase of appliances for your home.

What is the maximum repayment tenure available?

The maximum repayment tenure for Home Loans is 30 years depending upon the loan that you have applied for.

Should my property be insured upon purchase and construction?

Any property that is provided as security should be insured at the applicant's cost at Indian Bank with cover for fire, earthquake and other risks secured by insurance providers.

What security is required for IB Home Loans?

Equitable mortgage of Property that is purchased, constructed or repaired should be provided as security for IB Home Loans. This Equitable Mortgage must be registered at the applicant's cost in case it is required in the State that the property is located in.

Do NRIs have Home Loan options with Indian Bank?

NRIs with a regular income and employment with service of at least three years from the time of application can avail NRI Home Loans and NRI Plot Loans with Indian Bank.

Why Apply for Indian Bank Home Loan on MyMoneyMantra?

MyMoneyMantra is the easiest way available to apply for a Home Loan with any bank or financial institution of your choice. You have the option of reviewing a host of products on one single website before you choose one that suits your budget and requirement. When you apply with MyMoneyMantra, you have the following benefits:

  • You will be able to check your eligibility for a certain Home Loan scheme offered by the financial institution of your choice instantly.
  • The possible EMI upon your loan amount can be calculated using the EMI Calculator
  • You get a detailed analysis of your repayment record and profile
  • Every loan is explained in detail to ensure that you are aware of any fine print associated with a loan.
  • Documentation is simplified with MyMoneyMantra and is completely hassle-free
  • You can get a customised quote for a loan of your choice based on the assessment of your profile
  • Privacy is assured to all applicants who choose to apply for a Home Loan via MyMoneyMantra

How to Apply for Indian Bank Home Loan on MyMoneyMantra?

The loan application is made easy with all the processes streamlined with MyMoneyMantra. In order to apply for the Indian Bank Home Loan, all you have to do is log in to the official website and choose your gender. Then you will be guided through several simple steps as follows:

  • Enter your personal details such as name and address
  • Choose the loan amount that you wish to avail from Indian bank
  • You have the option of choosing your loan tenure as per the loan that you are applying for
  • You need to select your employment type and provide details of your net monthly income
  • Details of the bank that your salary is credited to must be provided along with your work experience.
  • Choose the city where you wish to purchase, construct, or renovate property
  • You will be asked to provide details of the purpose of your loan
  • After you enter your email ID and phone number, associates from MyMoneyMantra will contact you for assistance on various loan processing requirements.

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