Skip to main content

Prepayment of Home Loan?


Home Loan Pre Payment simply means early loan repayment in case if you have surplus cash. As a borrower, you may close your loan before the due date to reduce your borrowings and monthly EMIs. You may repay the loan from your own savings or by transferring your loan to another bank to get lower interest rates. The partial prepayment helps you in reducing the tenure of your existing home loan, EMI, or both as per your financial requirements. 



A home loan repayment is calculated with a home loan prepayment calculator that helps you to determine the impact of a partial payment of your home loan. It also provides you with an amortization table to have a clear and a better understanding of the savings you will have. Before you make a prepayment, you should know that the prepayment amount must be at least three times your existing home loan EMI. You must know-how you can calculate the prepayment amount on our loans as well as know in which all cases we don't need to pay the prepayment charges (Individuals take floating Rate Home Loan, Fixed Rate Home Loan from HFCs, provided the prepayment is from own sources and Dual Rate Home A loan from Banks or HFCs) and the cases where we have to (Home Loan is taken by non-individuals, Fixed-Rate Home Loans taken from banks, Fixed-Rate Home Loans taken from HFCs and Dual Rate Home Loans by individuals).


READ MORE: Prepaying Home Loan?, Think Again !!
Labels:

Comments

Post a Comment

Popular posts from this blog

Fixed Deposit can help you in Saving

Any individual needs to save money for any future situations. They aim to save money but ends up spending it all if proper budgeting is not done. There are multiple ways to save money like mutual funds, investing in the stock market and many more but they all are subject to market risks. However, Fixed deposit , on the other hand, is the most secure form of investment where the investor deposits all the amount at one go for a certain fixed period and gets a fixed return including interest after maturity with no risk. There are multiple reasons which attract the customer to invest as it offers a higher interest rate than usual savings bank account. The money invested here is for a long tenure which cannot be closed in between, however, if needed, can be closed with premature withdrawal penalty. You can also use it as collateral to avail loan or credit card. It also exempts tax up to a certain limit. Fixed deposits are one of the best forms of investment. Read full info: How...
1 comment
Read more

Find here Top and High PA DA Article submission sites list

About Article Submission Article accommodation destinations list assume a tremendous job in expanding traffic and item positioning as a demonstrated strategy in off page SEO.  This is the most savvy path for sites or online journals to venture up traffic dissimilar to spending on PPC promotions.  Article accommodation destinations list is a gift to new web journals or sites.  Many free article accommodation destinations list are for sure an open door for submitting astounding articles.  Web search tools like Google slither quality substance from article indexes making numerous articles in high PR article accommodation sites become famous online. This reflects in list items and the greatest gain is a backlink climbing the specialist record of the blog or website.  Higher web index positioning of a blog shoots up site traffic by method for natural pursuits.  As indicated by specialists, for accomplishing some not too bad traffic, f...
22 comments
Read more

PREPAYING OF HOME LOAN

Being in debt is not an ideal situation for anybody. However, there are some scenarios where availing a loan is necessary to fulfil your dreams, like in the case of a home loan. The dreams of millions of people have come true due to availing a home loan. But, if you have some money to make a partial or full prepayment of a home loan , then it is worth considering.  After you make the prepayment, you will have the option to decide among two scenarios, and they are:  First, you can opt to reduce your EMI. It will help you save some money each month.  The second option you will have is you can opt to reduce your tenure and continue paying the same EMI. in this way your loan will be finished earlier.  This decision can be made more easily by using the home loan prepayment calculator. All you have to do to use this calculator is enter the following fields:  Loan amount Rate of interest Tenure (months) The amount you want to re...
Post a Comment
Read more