Allahabad Bank is a nationalised bank with its headquarters in Kolkata, India. It is the oldest joint stock bank in India. Allahabad Bank creates a good Housing Loan experience to the Housing Loan Borrowers by way of APPL. It has introduced the facility of APPL (Allahabad Bank Preapproved Limit) for the Housing Loan Borrowers for purchase of Flats / Villas or Ready Built Houses. It certainly gives confidence / comfort to the Borrowers as they can search for property with a pre approved limit in hand. Many property developers / builders prefer customers who are having pre-approved limits in hand. Read on to know more:
At least 21 years old
Less than 70 years old
Salaried or self-employed
with regular income
Earn more than the minimum
Earn more than the minimum
Loan capped @ 60 times of gross monthly income
EMIs of other loans lower
Make your spouse a co-applicant,
and her income will add
to your eligibility
Choose longer tenure loan up to 30 years
Alternatively add your parents
|Interest Rate||8.75% to 9.25%|
For LA upto Rs.30 lacs - 0.61% of the LA, Maximum Rs.12,228
For LA above Rs.30 Lac upto Rs.75 Lacs - 0.46% of the LA, Maximum Rs.24,457
For LA above Rs.75 Lacs upto Rs.300 Lacs - 0.36% of the LA, Maximum Rs.61,143
For LA above Rs.300 Lacs upto Rs.500 Lacs - 0.26% of the LA, Maximum Rs.71,334
|Pre Closure Charges||Nil|
|Loan Tenure||30 years|
Allahabad bank offers a variety of home loan products under its retail lending portfolio. Led by the AB Asiana Scheme, you can consider a loan from this bank to fund your housing loan requirement since it comes at attractive rates and a wide range of benefits. The purpose of this scheme is to provide loans for the following housing requirements.
Simple eligibility criteria:
Loan aspirants with income from regular sources are eligible to apply. The age limit is relaxed to 70 years, slightly higher when compared to other banks offers in the loan market.
The advantage of applying for a loan with Allahabad bank is that you can look forward to getting a loan amount of your choice since the loan amount offered is up to Rs.5 crores, depending on your eligibility. If you’re looking to buying a premium property, this can be the right loan offer for you. For purchasing a plot, the utilization of loan for land purchase is restricted at 85% of the costs involved or 60% of the permissible portion of the total loan (whichever is lower).
Allahabad bank offers up 7 years repayment period for loan payment in EMIs (Equated Monthly Installments). You can choose a tenure as per your convenience at the time of signing up for the loan.
The Moratorium period depends on the type of property for which the loan is availed. The table below provides a break up of the available periods.
|Type of property||Moratorium period|
|Construction of house on a plot already owned by the borrower||Up to 18 months|
|Flat under construction||Up to 24 months|
|Purchasing a completed house/flat||3 months|
|Semi finished house/repair/modification||Up to 12 months|
|Repair or house furnishing||3 months|
Allahabad bank uses the MCLR (Marginal Cost Based Lending Rate) for setting home loan interest rates for home loans. It earlier was based on the loan amount and has been reduced since July, 2016, from 9.60% to 9.55%. The MCLR rates keep changing based on periodic revisions. It is always a good idea to check the bank’s portal for the latest rates for more accuracy because of the revisions that take place. This rate is subject to periodic revisions. Make sure to refer to the bank’s website for latest rates.
|Scheme Name for Housing Finance||Interest Rate Calculation|
|All Bank Ashiana Scheme and Housing Finance Scheme for NRI/PIO||
|Premium Housing Scheme for HNIs meant for loan amounts over Rs. 5 crore||
|House Furnishing Scheme||
|Application Money Raised by Housing Board or by Development Authority for Allotment of Residential Plot, house or apartment||
In addition to the regular home loan scheme as detailed above, the following loan schemes are also offered by Allahabad bank in its housing loan portfolio.
A one of its kind housing loan available to borrowers for purchasing house/flat or villas that comes pre-approved and gives confidence to the borrower to search for a property since he/she is armed with a certain loan amount.
This scheme is aimed at providing loans to the Non Resident Indian (NRI) and Person of Indian Origin (PIO) class. Eligible NRIs should be holding an Indian passport while PIOs should have a foreign passport. This loan is available for single as well as joint applicants.
An exclusive loan scheme for individuals falling in the high income group which offers a loan amount in tune of Rs.5 crores to Rs.25 crores. This loan is available for a variety of housing needs such as construction, purchase, renovation and take over from other banks.
Allahabad Bank also offers financing for furnishing, repair and other home improvement services for the flat/house owned. This scheme is not only available to existing home loan customers of the bank, but also to applicants with an established source of income. The amount of loan approved depends on the income of the applicant.
The loan amount is capped to 72 times of gross monthly income in case of salaried individuals who are less than 45 years. For all other professionals and self-employed applicants, the amount is restricted to 6 times of gross annual earnings as per the last IT returns filed.
If the age of the primary borrower is more than 45 years, the maximum loan amount salaried borrowers can draw is 60 times of gross monthly income and 5 times of gross annual income as per the IT returns filed for all other types of borrowers.
NHI individuals can avail up to Rs.25 crores as home loan. However, the loan amount is capped at 5 times of gross annual income shown in the latest ITR (Income tax returns).
The moratorium period provided in this case is up to 18 months. Further details will be provided in the loan contract.