Central Bank of India was established in the year 1911. It was the first Indian Commercial Bank that was owned and managed by Indians. The bank provides innovative and unique banking services and products to meet all the financial needs of their customers. Mortgage loan is one such product that they provide to their customers who wish to supplement their income. In India owning a property is a greatest asset one can own. Having a property in your name means that it can be used in emergency situations. A mortgage against a property can meet your financial requirements.
Purpose of Central Bank of India Mortgage Loan
Central Bank of India offers Mortgage Loan or Cent Mortgage to meet personal or business financial needs except for speculative purpose or real estate activity or capital market activity.
Eligibility Criteria for Central Bank of India Mortgage Loan
Individuals who wish to obtain a Central Bank of India Mortgage Loan or Cent Mortgage is offered against mortgage of immovable property located in metro or urban or semi-urban and rural centres. The loan is offered to:
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Individuals
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Staff
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Single or joint individuals
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Businessmen
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Professionals
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Self-employed individuals
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Proprietary firms
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Partnership firms
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NRIs with a co-borrower who is a resident India.
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Minimum monthly income requirement is Rs.10,000.
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The borrower must not be engaged in real estate or speculative activity or capital market activity.
Note: The criteria is subject to change at the sole discretion of State Bank of Mysore.
Documents Required for Central Bank of India Mortgage Loan
A borrower is required to furnish the following documents before availing a loan:
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Application form duly filled.
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Identity proof - either passport, PAN card, employee identity card or other valid proof.
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Address proof - either electricity bill, telephone bill, ration card or other valid proof.
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PAN card copy.
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Property papers that is the ownership proof and title deed.
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3 passport sized photographs.
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Any other required documents as expressed in the application form must be submitted.
Features and Benefits of Central Bank of India Mortgage Loan
Some of the salient features and benefits of Central Bank of India Mortgage loan or Cent Mortgage are:
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The loan is easy to avail and requires minimum documentation and is processed very quickly.
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Competitive interest rate is offered by State Bank of Mysore.
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The idle property can be used to avail funds.
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The mortgage loan is offered as term loan or ad an overdraft facility.
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Overdraft facility is for a year and it will be reviewed annually.
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The minimum loan amount offered is Rs.1,00,000. The maximum loan amount offered is Rs.1,00,00,000 for a property that is located in a rural area and Rs.10,00,00,000 for property located in other areas.
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The non-encumbered residential property or commercial or industrial property has to be offered as security. The property value must be equal to or more than 200% of the loan.
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The mortgaged property must be insured against fire, riots, earthquake, flood, lightning etc.
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Personal guarantee of the joint or co-owner is to be provided. If the firm or company is being mortgaged then personal guarantee of partners and directors has to be taken.
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The processing fee for the term loan is 0.50% of the loan amount subject to a maximum of Rs.20,000.
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The processing fee for the overdraft facility is 0.50% of the loan amount subject to a maximum of Rs.10,000 for sanction and maximum of Rs.2,000 per renewal.
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There is no prepayment charges applicable if the borrower is paying the loan from his own sources. If the loan is taken over by another bank, then the prepayment charges incurred is 1% of the outstanding loan amount.
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Loan can be repaid in maximum of 120 EMIs. The EMIs can be paid through ECS mandate or through post-dated cheques.
Central Bank of India Mortgage Loan Interest Rate
Central Bank of India charges an attractive interest on their mortgage loan. The bank ensures that repaying the loan doesn’t become an additional financial burden on the borrower. The interest rate offered is 13.75% per annum.
Note - Interest rates charged by Central Bank of India are at their sole discretion and are subject to change without prior intimation.
