A "low interest" loan shouldn't mean you have very little interest in paying it back!
  • Cent Home Loan for Employees

    Central Bank of India offers the Cent Home Loan for Employees for the construction/purchase of a new or existing house/apartment. The loan can also be used for extensions in an existing house/flat as well as for renovations, repair or alteration to an existing house/apartment.

    The loan can be taken for a maximum of 30 years at floating interest rates, or the borrower reaching 70 years of age and all permanent Central Bank of India employees are eligible. The processing fee of 0.50% of the loan amount would be waived for applicants with a Central Bank of India salary account.

    Interest Rates

    As per a recent announcement, home loans issued will have a floating interest rate that is pegged to the MCLR. For loans above Rs.75 lakh, the interest rate would be the current MCLR + 0.25%. In the case of loan amounts below Rs.75 lakh, the interest rate would be the current MCLR only.

    Please contact the bank for the current MCLR.

    Features and Benefits

    The features and benefits offered are as follows:

    • The loan can be used for the following purposes:
      • To buy a plot with the intention of constructing a house within 2 years of taking the loan.
      • To make extensions in an existing house/apartment.
      • To make repairs or renovate an existing house/apartment.
      • To construct a new house/apartment or buy an existing house/apartment not older than 30 years.
    • No prepayment charges will be levied on floating rate home loans.
    • Repayment can be done over a period of 30 years.
    • You can transfer an existing home loan from another bank to Central Bank of India.
    • No guarantee is required for this loan.

    Margin: The margin on the loan would depend on the loan amount and the purpose behind applying for the loan. The margins payable are as listed below:

    For loan amounts up to Rs.20 lakh

    Purpose Margin payable
    Construction/purchase of a new house/apartment or extensions to an existing one 10%
    Repairs/renovation/alteration to an existing house or to purchase a plot of land 25%

    For loan amounts between Rs.20 lakh and up to Rs.75 lakh

    Purpose Margin payable
    Construction/purchase of a new house/apartment or extensions to an existing one 20%
    Repairs/renovation/alteration to an existing house or to purchase a plot of land 25%

    For loan amounts above Rs.75 lakh

    Purpose Margin payable
    Construction/purchase of a new house/apartment or extensions to an existing one 25%
    Repairs/renovation/alteration to an existing house or to purchase a plot of land 25%

    Eligibility Criteria

    All permanent employees of state and central governments as well as government Public Sector Undertaking employees are eligible for this loan.

    Documents Required

    There are certain documents that have to be submitted along with your Cent Home Loan for Employees loan application. You may be asked to submit any or all of the following:

    • Salary certificate/salary slip, or any other income proof document.
    • Latest Form 16/IT Return/IT Assessment Order.
    • Valuation Certificate from an approved valuer.
    • Approved construction plan.
    • An engineer’s or architect’s certificate verifying the cost for construction, repair, improvements, or extensions.
    • For purchase of a house – An architect’s certificate confirming the age of the house/flat
    • Original Title Deed photocopy of the flat/house/plot including all sale/transfer transactions till date. Other documents related to the Title Deed to be submitted.
    • Agreement of Sale.
    • Agreement of construction with the developer or builder.
    • A No Objection Certificate (NOC) from the Housing Society.
    • An affidavit-cum-undertaking confirming that the construction will be done in an authorised area and will occur as per the sanctioned by-laws of the building/plan, and that the loan is being acquired for purchasing a house/flat/plot for residential purpose only.

    FAQs

    1. What is the security to be offered for this loan?

      The registered mortgage of the property can be offered as security. If this is not possible, bonds/stocks/fixed deposits equal to 125% of the loan amount can be offered.

    2. What is the processing charge applicable?

      The processing charge is 0.50% of the loan amount, with the maximum amount being Rs.20,000.

    3. I want to buy a flat that is 12 years old. Can I apply for this loan?

      No, the loan can be used to buy flats/houses that are less than 10 years old only.

    Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

    reTH65gcmBgCJ7k
    This Page is BLOCKED as it is using Iframes.