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  • Axis Bank Happy Ending Home Loan

    Axis Bank’s home loans are affordable and customer-friendly. One of the home loan schemes the bank has is the ‘Happy Ending’ home loan, which comes with special benefits on Equated Monthly Instalments (EMIs). This is a scheme specifically to reward customers who pay their EMIs regularly and on time.

    Axis Bank Happy Ending Home Loan Features and Benefits

    The Happy Ending home loans are available under the floating rate plan, for purchasing a house under construction, buying a ready-to-occupy house or an existing house, or purchasing a plot to build your own house. This facility can also be availed if you are transferring the home loan from another bank to Axis Bank. The benefits that make this scheme special are:

    • Waiver of last 12 EMIs: If your repayment record is clean – with a maximum of 3 instances where dues are pending for 30 days or more but never over 90 days during the loan period – then you will be able to avail of this 1 year-EMI waiver. This scheme is only available for loans with a tenure of 20 years or more. Partial repayment of the loan can be done while availing of this “happy ending” if the repayment is made after 180 months (15 years).
    • No hidden charges or higher interest: The Happy Ending home loan scheme does not have any additional or hidden charges. It also comes at the price of the normal home loan with no extra premium or interest.
    • Doorstep service: You don’t have to go to the bank for anything during the tenure of your loan. You can ask for doorstep banking if you ever need Axis’s services.
    • Zero foreclosure charges: There are no pre-payment charges if you are paying off your loan after a period of 15 years.
    • Loan-to-value ratio: the loan-to-value ratio, or the amount of loan you can get based on the value of the property, is as follows:
    For loans up to Rs. 20 Lakh 85% of Documented Cost or Market Value (whichever is lower)
    For loans between Rs. 20 lakh and Rs. 75 lakh 85% of Documented Cost is subject to 80% of the Market value
    For loans above Rs. 75 lakh LTV up to 85% of the Documented cost subject to 75 % of the Market Value

    Axis Bank Happy Ending Home Loan Eligibility Criteria

    The eligibility criteria of the Happy Ending Home Loan is similar to the normal home loan in terms of age and income requirements, except with regard to the EMI payment terms.

    • The minimum age is 24 years and the maximum, 60 years.
    • You should have paid all your EMIs regularly and on time.
    • The maximum delays you are allowed to have made in EMI payments is – 3 times with EMIs pending due for 30 days and never more than for 90 days.
    • Your loan tenure has to be at least 15 years.

    Axis Bank Happy Ending Home Loan Documentation

    You need to present the following documents at the bank to avail the Happy Ending Home Loan from Axis Bank.

    • Proof of identity and address: A copy of any one of these – Passport, Voter’s ID, Driving License, MNREGA Job Card or Aadhaar Card. PAN card is accepted only as identity proof.
    • Proof of income: Payslips of the last 3 months and Form 16/16A (for salaried persons), and for self-employed persons, IT returns for the previous 2 years and computation of income for the last 2 years certified by a chartered accountant.
    • Bank statement or Pass Book for the past 6 months of the bank account in which salary or income is credited.
    • Filled-up application form: Ensure that you fill up the application form with correct information and without making an inky mess on the sheet.

    Axis Bank Happy Ending Home Loan MCLR

    Axis bank’s current Marginal Cost of Funds-based Lending Rate (MCLR) are as follows:

    Loan Tenor MCLR Rate
    Overnight 8.95%
    1 month 9.05%
    3 months 9.25%
    6 months 9.3%
    1 year 9.35%
    2 years 9.45%
    3 years 9.5%

    For floating-rate home loans, Axis Bank takes the 6-month MCLR as benchmark and adds a premium or mark-up to the MCLR to arrive at the actual lending rate. The interest rates will be reset every 6 months based on change in this rate. Fixed-rate loans are not based on MCLR rates.

    Axis Bank Happy Ending Home Loan Interest and Fees

    Given below is the table with rate of interest for Axis Bank Happy Ending Home Loans (floating rate). The rates are slightly different for salaried persons and self-employed persons due to the variation of risk in both the categories.

    Type of customer Interest Rate
    Salaried 7.75% – 8.10% p.a.
    Self-employed 8% - 8.25% p.a.

    Processing Fee: Up to 1% of the loan amount, with a minimum of Rs. 10,000.

    GST: A GST of 18% is applicable on the loan processing fee.

    Prepayment Charges: There is no foreclosure charge, even if you are making a partial pre-payment on floating-rate home loan.

    Default Interest Rate: 2% per month, 24% annually.

    Switching Fees: If you need to move from a higher floating rate to lower floating rate, a fee of 0.5% on outstanding principal loan amount will be charged. The minimum switching fee is Rs. 10,000.

    CERSAI Charges: Rs. 50 for loans up to Rs. 5 lakh, and Rs. 100 for loans above Rs. 5 lakh

    FAQs on Axis Bank Happy Ending Home Loan

    1. Is the Happy Ending scheme available on fixed-interest loans?

      No. This scheme is only available under the floating rate home loan plans.

    2. Can I club any builder-benefit schemes or other Axis Bank schemes with the Happy Ending plan?

      No, you cannot club any subvention scheme or any other kind of benefit plan with the Happy Ending scheme.

    3. Can I convert my fixed-rate loan to floating rate plan and avail this scheme?

      Even with a switch, this EMI-waiver scheme is available only to original floating-interest home loan customers. If you are an existing customer with a floating-rate loan subject to base rate instead of MCLR, you can pay the switching charges and move to the new MCLR regime.

    4. Am I allowed to increase or decrease my EMIs under this plan?

      You can revise your EMI payments for faster repayment, but you will not be able to enjoy the benefits of Happy Ending plan of you do so. But if the EMIs are increasing or decreasing because of change in MCLR, you can still be part of the Happy Ending plan as long as your tenure is more than 180 months (15 years).

    5. If at the end of 180 months I have only 7 EMIs pending, how will the waiver scheme work?

      The basis of the scheme is not waiver of 12 EMIs, but completion of 15 years. So if at the end of that period you have only 7 EMIs due, those 7 EMIs will be waived off, and not 12.  


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