Questions to ask

Interest 8.50% 8.55%

What is your base rate? MCLR - 8.20 HDFC - RPLR - 16.15%
What is the margin? ICICI margin - 0.3 Discount margin - 7.6
What is your loan processing fees? 10000 + service tax (15% of 10000) paid in 2 installments - Initial & disburseme
What is your procedure and cost of prepayment of loan? No foreclosure or prepayment charge
Facility to switch to lower rates offered to new customers at a fees? What is the fees?
Penalty in case of default? 500Rs per EMI penalty on one month default, 24% interst rate if default procee
You can bargain on rate and amount
Processing fees on migrating loan from another bank? ICICI Bank - Zero fees upto 31st May, otherwise 10000 + t
Foreclosure charges?

Insurance - Of 50% loan amount each, or combined of full loan amount

Go for 10 year insurance
One time premium of about 1.5Lakh as insurance (goes as EMI)- hdfc ergo/hdfc life
Advcantages of HDFC - Not a bank, hence limited number of customers and better customer service

Definition of default? You may think a 'default' is only if you do not pay the EMI. However, there are some bank
Also, some banks have a security clause that makes that entitles the bank to demand additional security along with your
Additional charges- There are additional charges such as administrative and service charges or processing fees. Also, the
 HDFC - RPLR - 16.15% (Retail prime lending rate)
Discount margin - 7.6
n 2 installments - Initial & disbursement 10000 + service tax (3450 will be retained if loan not sanctioned)
epayment charge EMI from ICICI will autodebit, Electronic clearing system from other banks
ICICI - 5000 to 10000+service tax negotiable 5000 + tax (negotiable)
ault, 24% interst rate if default proceedings are initiated 350Rs penalty + immediate next month payment

s upto 31st May, otherwise 10000 + tax HDFC Bank - Zero fees upto 31st May, otherwise 10000 + tax (or 0.5%+tax): Which is

ustomer service

e EMI. However, there are some banks who define default as when the borrower expires, gets a divorce (in case of joint-loans), or the b
d additional security along with your loan amount in case property prices fall. If you fail to pay up, you'll be marked as a defaulter.
e charges or processing fees. Also, there are penalties like on pre-payment of the loan. Consider these when comparing the deals offere
 Subsidy of 2.4L on loan for income upto 18L Rates follow market. Immediate drops
Other banks have hidden charges like
8.55% (upon approval)
MCLR - 8.20
SBI Margin - 0.45
ed if loan not sanctioned) 10000 + service tax (will be incurred if sanction letter is given)
No prepayment or foreclosure Zero charges
x (negotiable) No charge to migrate to new rate after minimum of 1 year (New rate means new margin)
xt month payment 18-24% after that Upto 3 months safety net, Monthly bounce charges = TBD, after that warning notice

000 + tax (or 0.5%+tax): Which is lower 4000 (Legal) + .2% of outstaning loan amount

Property insurance is compulsory

i

e (in case of joint-loans), or the borrower is/are involved in any civil litigation or criminal offence.
'll be marked as a defaulter.
when comparing the deals offered by various lenders
ow market. Immediate drops

w rate means new margin)

er that warning notice