March 10, 2010   98922 48670 / -91 +22 30973078 / 9  
Home Loan Seva *  

FAQ's

  1 Who can apply for a Home Loan ?  
2 Who can be Co- Applicant ?
3 What are the advantages of applying for a Loan from Home Loan Seva.com ?
4 From where does Home Loan Seva.com give loans ?
5 How much loan can I get ?
6 For how long can I get a loan ?
7 How can I repay the loan ?
8 What about the L.I.C. Insurance policies ?
9 What will be the security for the loan ?
10 What is the procedure for loan application ?
11 What is the Interest rate & Monthly E.M.I ?
12 What documents are required for applying for a loan ?
13 What are the steps involved from application of a loan to its disbursement ?
14 What Tax benefits do I get on my Loan ?

  1 Who can apply for a Home Loan ?  
  Our loan schemes are for those going in for a residential house. We may be able to advance you a loan under our scheme if you want to -
Construct / purchase a new house / flat.
Buy an existing house or flat not more than 15 years old.
Extend an existing house.
Renovation / repairs to an existing house / flat
You must be in permanent service or engaged in a profession or business to be eligible for a loan. You should have a stable job and a regular income.
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  2 Who can be Co- Applicant ?  
  The Co-owners of the property in respect of which financial assistance is sought, must be co-applicants. Usually joint applications are from husband-wife, father-son, brother-brother, brother-sister or mother-son .
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  3 What are the advantages of applying for a Loan from Home Loan Seva.com ?  
  As our slogan tells "FOR YOUR HOME AT YOUR HOME", when you apply for a loan form our site you need not worry about the procedures of the loan all the formalities are taken care of by our customer friendly executives. i.e. you can get loans easily without any hassles of commuting to the LIC Housing Finance Limited .for more details click here.
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  4 From where does Home Loan Seva.com give loans ?  
  This site is maintained by Ur Home Loan Seva Pvt. Limited, a Direct Sales Associate of L.I.C Housing Finance Limited so all the loans are given from L.I.C Housing Finance Limited.
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  5 How much loan can I get ?  
  Loan amount is determined on the basis of the repayment capacity of the applicant/s. Repayment capacity takes into consideration factors such as age, income, dependents, assets, liabilities, stability of occupation and continuity of income, savings etc.

The maximum loan would be Rs.50 lakhs per unit to any individual applicant. We will extend loan upto 80 % of the cost of property value (including Stamp duty & Registration charges) under all our Schemes except Griha Lakshmi(75%) and Griha Shobha for NRIs(75%).

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  6 For how long can I get a loan ?  
  We grant term up to a maximum of 20 yrs (maximum 10 years under Griha Shobha for NRIs and maximum 15 years under Griha Lakshmi). The term for the loan will under no circumstances exceed the age of retirement or completion of 65 yrs of age whichever is earlier.
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  7 How can I repay the loan ?  
  You can repay yours by the mode of Equated Monthly Installments (EMI) i.e. a uniform lumpsum amount, which includes repayment of a part of the principal amount and payment of interest, calculated on monthly rent basis. EMI is 1/12 of the annual instalment. It remains uniform throughout the term of the loan. By the end of the term the loan will be fully repaid. Till the loan is fully paid or until 12 months from the date of first disbursement whichever is earlier, only interest is payable on the loan disbursed. To calculate E.M.I. for your loan. please click here.
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  8 What about the L.I.C. Insurance policies ?  
  L.I.C Policies covering risk equal to the amount of loan sanctioned will have to be assigned in favour of LICHFL. These policies should be under plan and term acceptable to us. These may be submitted after sanction of the loan and are not necessary while applying for the loan. To get more details about the policies required for Home Loans click here
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  9 What will be the security for the loan ?  
  The security for the loan is the first mortgage of the property to be financed by way of deposit of the title deeds, subject to local laws.

You will also be required to furnish one guarantee from a person of sound financial standing acceptable to us (Preferably from Government / Public Sector).

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  10 What is the procedure for loan application ?  
  An Individual loan application form is available for Rs.10/-. You may apply for a loan after you have entered into an agreement with the builder/seller and have paid earnest money to the builder/seller to purchase the dwelling unit. Loan can be applied only at the Area/Unit office where the proposed property is situated.

In case of re-sale, the loan will be disbursed in a Single instalment, with least time-lag, provided, all the requirements are complied with expeditiously.

In case of construction, loan will be disbursed in instalments depending upon the progress of construction and on the requirements being complied with.

You can apply for loan even before you have located a flat under our Letter of Intent scheme, for finding out your loan eligibility. If you have not yet bought the house/flat, please consider buying from the list of projects approved by us (APF). Buying a flat in a project approved by us will cut down procedures and loan sanction and disbursement will be expedited.

But if you apply for a loan from our site you don't have to follow the above procedure just, fill in the response form by clicking here & as soon as we receive it, our customer friendly executives will approach you at your place & do the necessary for getting you a home loan as soon as possible with in a short span of time.

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  11 What is the Interest rate & Monthly E.M.I ?  
  The size of the EMI depends on the quantum of the loan, the interest rate applicable and the term of the loan. Please see sample EMI chart given below. For a detailed explanation about how an EMI is calculated click here.

Floating Rate Of Interest & E.M.I. Chart For a loan of Rs.1,00,000/- (Monthly Basis)

Term Rate EMI
1 Yr. to 6 Yrs. 8.75 % Rs. 1766/- (6 yrs)
7 Yrs. to 12 Yrs. 8.50 % Rs. 1100/- (12 yrs)
13 Yrs. to 20 Yrs. 9.00 % Rs. 900/- (20yrs)
Note: Interest review in January & July

Fixed Rate Of Interest & E.M.I. Chart For a loan of Rs.1,00,000/- (Monthly Basis)

Term Rate EMI
1 Yr. to 6 Yrs. 9.00 % Rs. 1803/- (6 yrs)
7 Yrs. to 12 Yrs. 9.25 % Rs. 1152/- (12 yrs)
13 Yrs. to 20 Yrs. 9.75 % Rs. 949/- (20yrs)

To calculate E.M.I. for your loan. please click here.

For Comparative study of Interest Rates of various Housing Finance companies click here.

Notes:

  • The above rates are applicable where collateral security of L.I.C Policies equivalent to loan amount is / are offered.
  • The Rates of Interest for loans under 'Griha Lakshmi' Scheme (loans without collateral security of L.I.C Policy), are higher by 0.25% p.a. Loans under this Scheme are available upto 15 years term only.
  • The above rates are liable to change from time to time.
  • The rate of interest mentioned in Loan Offer Letter will be applicable throughout the term. However, the same will be altered prospectively at any time, if a levy, tax on interest or any other charge or burden is imposed or levied by any Government or Authority.
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      12 What documents are required for applying for a loan ?  
      Common requirements for all applicants.
    1. Application form duly filled in.
    2. Copy of sanctioned plan and sanction letter.
    3. Copy of NA permission/ULC clearance, wherever applicable.
    4. One guarantor form and his/her salary certificate in our format. If guarantor is in business or profession, a copy of his / her latest I.T.returns/assessment order.
    5. Bank Pass-book or statements for the last two years.
    6. Power of Attorney, wherever applicable.
    7. Original Share Certificate wherever applicable.
    Additional Requirements :

    For salaried persons.

    1. Employer's salary certificate in specified format/and latest salary slip.
    2. Identity card of applicant/s.
    3. T.D.S certificate of applicant's.
    4. PF / E.S.I.S slip of applicant's.
    For Businessmen / Self-employed.
    1. Three years' income tax returns/assessment orders along with computation of income and statements of acounts certified by C.A.
    In case of purchase from builder.
    1. Copy of Agreement for sale.
    2. Copy of registration receipt.
    3. Copies of receipts of payment already made.
    4. NOC from builders.
    In case of direct allotment in a Co-operative Housing Society.
    1. Allotment letter.
    2. Share certificate.
    3. Society Registration certificate.
    4. Copy of sale/lease deed in favour of the society.
    5. NOC from society.
    In case of direct allotment in a Co-operative Housing Society by Public Agency.
    1. Allotment letter, Share Certificate, Society Registration certificate.
    2. Lease Agreement.
    3. Public agency's approved list of members.
    4. NOC from Public Agency in favour of LICHFL.
    5. NOC from Society.
    In case of Public Agency's allotment to Individuals.
    1. Allotment letter from Public Agency.
    2. Tripartite Agreement between the borrower, LICHFL and the Public Agency in the prescribed format.
    3. In case of resale.
    4. Copy of all previous vendors' registered documents along with copy of your purchase agreement duly stamped and registered and the registration receipt wherever applicable.
    5. N.O.C. from Society/Builder.
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      13 What are the steps involved from application of a loan to its disbursement ?  
      The Following are the steps involved :
    1. Submission of application with supporting documents.
    2. After scrutiny of application personal interview by a company official.
    3. If loan application is accepted the processing fees (non-refundable) payable is 0.5% of the amount applied for subject to a maximum of Rs. 5,000/-.
    4. Issue of Loan offer Letter by the Company.
    5. On receiving Loan Offer Letter pay the administrative fees (non-refundable) @ 1% of Loan sanctioned subject to certain minimum amount as mentioned in the L.O.L and submit requirements, if any.
    6. Title clearance through our panel advocate.
    7. Disbursement will be made after the applicant has invested his/her share. Total cost less the amount of loan sanctioned).
    8. Letter to Panel Valuer of inspection of property.
    9. If the valuer's report is O.K., collect documents for stamping.
    10. Submit stamped documents along with original Policy Bonds duly assigned and get date for disbursement.
    11. Execution of documets and disbursement.
    Notes:
    Since the validity of a stamped document for its execution is 6 months, the documents should be stamped only after approval of the valuer's report.

    Stamping of documents such as Memorandum of Deposit of Title Deeds, Deeds of Guarantee etc. are as per the local law.

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      14 What Tax benefits do I get on my Loan ?  
      Rebate under Sec 88 of IT Act for repayment of Principal Amount up to a Maximum of Rs.20,000/- Rebate of 20% of Principal Amount ( i.e. Maximum Rebate of Rs. 4000/- ).

    Deduction under Sec 24 of IT Act 0f 100% for interest payment on housing loans up to Rs. 1,00,000/- (in respect of self-occupied house property acquired or constructed with capital borrowed on or after 1.4.99, and acquisition or construction whereof is completed before 1.4.2001. i.e. you get a Total benefit of Rs. 34,500/- on a loan of Rs 1,00,000/- .

    To calculate the Income Tax Benefit on your loan click here

    For a detailed explanation of how Home Loan is a Tax Saving Device click here.

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