Loan
Planning to be a loan guarantor? Be informed!
A key deciding factor will be to gauge the borrower’s financial capability to pay off the loan. You also need to evaluate objectively whether the borrower can honour such a commitment and not leave you to face the lone battle of paying up their dues in case of a default.
If you are confident on both these counts, then you can opt to become a guarantor but not before you completely read and agree to the terms and conditions put forth by the bank in their agreement.
What if you are approached by a close friend to become their loan guarantor? Would you say yes without question or would you analyse the situation objectively before making your decision. In money matters objectivity is critical, so we would advise you to opt for the latter. Read on to know more about being a loan guarantor and why you should think twice!
Is being a loan guarantor such a big deal? <
Do your math before you shift your home loan!
Does it make sense to reduce one burden by taking on another? This is the first question that would be top of mind when faced with the question of whether to refinance an existing home loan. Given the fact that a home loan is the biggest reason for cash outflow in most Indian households, this decision has to be taken after a lot of thought. Here is some food for thought to help you arrive at the best decision.
Refinancing a loan can give multiple benefits depending on the situation of your current personal finance
- Get you a lower interest rate thus reducing your EMI and monthly burden
- Give you the option to go for lower tenures and be out of the burden soon
- Reduce your EMI by going in for longer tenures
- Shift from a Floating rate to fixed rate or vice-versa depending upon interest rate trends.
Wow! With so many benefits, I should immediately go and refinance my loan! On second thoughts,
Shifting your home loan? Here are some pointers!
A home loan transfer (also known as refinancing or balance transfer) is an option that most individuals opt for to avail the benefit from lower interest rates prevalent in the market.
Usually the existing borrower of a bank who is about 2 or more years into his loan tenure does not get the benefit of reducing interest rates in the market. RBI has been insisting on lower interest benefits to be passed on to the existing borrowers as well but it seldom happens but is expected to become a reality in the base rate regime. Individuals looking for better interest rates could discuss with their bank on re-negotiating the interest rates based on the good repayment track record etc. If the bank is not amenable, then they could shift to another bank which offers a lower interest rate prevalent in the market.
How does the process work
You will need to submit a letter to the existing lender requesting a loan transfer.
Get desi education! Avail an NRI educational loan
Repayment of the loan will begin 12 months after the completion of the course or 6 months after getting job whichever is earlier and it is to be paid in monthly installments which is typically for 60 months. If you are an NRI and want to send your child back to India for studies and you are in need of funds, NRI educational loan could solve your hassle.
Mr. Sharma has been living in the Dubai for several years. His daughter, Neetu has finished the Indian equivalent of the 12th standard there. It’s Mr.Sharma’s wish that his daughter should pursue her higher education in India. Neetu welcomed his decision as the credibility of the Indian education system was sound with certain institutions particularly sought after..
Educational institutions in India have a quota system for NRIs. But the catch is that the fees are higher than that charged to resident students. If