Allahabad Bank offers a plethora of loans based on borrower’s needs and requirements. Allahabad Bank Property Loan is one of the loans available at the bank against an applicant’s property. The loan allows applicants to take this loan under the scheme against their property. Apart from individuals, even companies, societies or trusts are eligible to apply for this loan.
The Allahabad Bank Property Loan can be availed by:
There are certain set of criteria set by Allahabad Bank that need to be met in order to be eligible for the property loan. The criteria can be categorized into three types of specific eligibility:
Nature of the Property:
Allahabad Bank calculated an applicant’s repayment capacity from the net income or take home salary earned per month, considering all EMIs both old and new. The repayment capacity should not be below 40% of the applicant’s monthly gross income.
Allahabad Bank has a set of margin requirements that varies with different types of properties, they are:
Allahabad Bank charges a rate of interest at MCLR plus 5.50%.
In case, property loan is being taken in the name of a company, trust, firm, society, either authorized signatory or personal guarantee of individual major partners, proprietor, directors, promoter or office bearer has to be obtained.
Loan applicants are required to provide something valuable or expensive as security against the loan from the bank. The security is considered as an assurance to the bank and in case borrower fails to make loan repayment on time, the bank is free to sell off the property given to the bank as security in order to regain the money. Also, borrower must mortgage the property against which loan is applied.
Loan repayment commences from a month after the loan amount is disbursed. The loan repayment should be done through EMIs, within a maximum of 108 months.
The bank charges the following processing fee based on the amount of loan taken:
|Loan Amount||Processing Fee|
|Up to 25 lakh||1.20% of the loan (Rs.3000 maximum)|
|Between 25 lakh to 150 lakh||0.60% of the loan (Rs.30,000 maximum)|
|Above 150 lakh||0.30% of the loan (Rs.90,000 maximum)|
Prepayment penalty is charged by Allahabad Bank and it is 2.25% of the remaining loan balance.
Allahabad Bank grants a maximum of Rs.200 lakh against the property loan.
Yes, Allahabad Bank charges 2.25% of the outstanding loan amount as prepayment penalty charges.
The minimum eligible age is 21 years to apply for property loan.
Borrower can be at the most 70 years of age at the time of loan sanction.
No, only when a firm completes 5 years after its formation can it apply for a property loan with the bank.