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Ways to save interest amount on your home loan (PPT)

Everyone dreams of finding the perfect home, but with that comes a home loan and certain complexities. When choosing a home loan, one of the most important considerations is the interest rate. The interest rate on a home loan is the percentage of the principal amount that the lender charges the borrower for using the principal amount. The interest rate charged by banks and other non-financial entities determines the cost of a home loan. Poor planning can sometimes result in you paying more toward your debt.<br><br>Let's go over a few of these strategies for lowering your mortgage interest rate.

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Ways to save interest amount on your home loan (PPT)

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  1. WAYS TO SAVE INTEREST AMOUNT ON YOUR HOME LOAN

  2. Shorter Home Loan Term: Although a shorter term will result in a higher EMI, it will ensure that your principal is paid off much sooner. Since interest rates are based on principal, paying the principal amount sooner will help somewhat reduce the total amount of interest that must be paid.

  3. Pay More EMIs: This may sound a little challenging, but if you wish that debt to be paid off quicker than anticipated, try paying extra EMIs. Your principal amount and, in turn, the interest will be reduced if you pay extra toward your EMIs. Increase your EMI payment for your house loan, as you start receiving annual appraisals from your employer. This reduces the principal balance of your loan as well as the interest rate.

  4. Online Interest Rate Comparison: You must thoroughly research loans and compare rates before deciding on a specific product or lender. Various third-party websites can help you know about lenders and their loan charges. Before settling on a specific bank or home loan programme, it is best to compare the home loan rates offered by all banks.

  5. Try to negotiate Your Loan: If you're looking for a job, this is the place to be. Your current lender may offer you loans with lower interest rates. You may then transfer your mortgage to a different bank. However, before switching to another lender, you should carefully review all of the terms and circumstances. Make sure that the cost of switching to a lower-interest-rate housing loan provider does not outweigh the savings from a low- interest rate.

  6. Change to Lending Rate Calculated on Marginal Cost of Funds: In May 2016, all banks switched from the base rate to the MCLR, or marginal cost of funds-based lending rate. This action was taken to allow borrowers to benefit from changes in interest rates on their loans. Choose what suits your monthly budget rate.

  7. Avoid skipping payments: einsteinerupload of. The lender will send you a letter informing you that if you do not pay your debts by a certain date, you may lose custody of your collateral. A single default will reduce your credit score by at least 50 to 70 points. If your income is disrupted, you can contact your lender and request an EMI-free period. Banks often waive your EMI payments for three to six months if you're in a job or your commercial activities have been delayed.

  8. THANK YOU SALES@GOELGANGADEVELOPMENTS.COM https://goelgangadevelopments.com/ (020) 2611 3701 / 02 / 03 (+91) 9071889988

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