UNION HOME

Eligibility

Indian Citizen - 21 years and above. Either single account or joint account with other family members viz., father, mother, wife, son or daughter with regular source of income. Individuals who may be employed/self-employed in business having regular income. A minimum of 40% marks as per investment grade scoring chart.

Purpose

Purchase of independent house/flat. Construction of independent house/flat. Repair/Improvement/Extension. Repayment of loan availed from another agency/Bank/NBFC. For purchase/ construction of 2nd property (independent house/flat) Plot sold by a Government-recognized agency viz., HUDA, HOUSEFED and such others.

Quantum

Max. Rs. 100 lacs for major 'A' class cities; for other cities Rs.50 lacs Max. Rs. 10 lacs for repair.

Margin

For purchase/construction, 20% of the value of independent house/flat. For repairs, 20% of total cost of repair. For purchase of plot, 20% of the value of the plot.

Repayment

Moratorium up to 18 months wherever loan is taken for under construction flat or building. By EMI. The maximum repayment period should not exceed 20 years for construction / purchase of house/ flat and 10 years for repair. Option of Flip/Step-up/Balloon methods of repayments for the convenience of the borrowers.

Rate of Interest ( w e f  01.09.2009)

Loan upto Rs. 5 Lacs  Tenor Upto 5 year >5 Year to 10 Year >10 Year to 15 Year >15 Year to 20 Year First 3 Year 8.50% 8.50% 8.50%  8.50% Begining of 4th Year (Floating) BPLR    -   2.75% i.e . 9.00 % BPLR   - 2.75 % I .e. 9.00 % BPLR -   2.75 % i.e   9.00 % BPLR -   2.75 % i.e   9.00 % Loan above Rs 5 Lacs upto 30 Lacs  Tenor Upto 5 year >5 Year to 10 Year >10 Year to 15 Year >15 Year to 20 Year 1st , 2nd & 3rd Year 8.50% 8.50% 8.50% 8.50% 4th Year onwards (Floating) BPLR   -         2.75% i.e . 9.00 % BPLR   - 2.75 % I .e. 9.00 % BPLR -   2.50 % i.e   9.25 % BPLR -  2.50% i.e. 9.25% Loan above Rs 30 Lacs upto 50 Lacs  Tenor Upto 5 year >5 Year to 10 Year >10 Year to 15 Year >15 Year to 20 Year 1st , 2nd & 3rd Year 8.50% 8.50% 8.50% 8.50% 4th Year onwards (Floating) BPLR    -   2.50% i.e . 9.25 % BPLR   - 2.50 % i.e. 9.25 % BPLR -   2.25 % i.e   9.50 % BPLR -  2.25%  i.e. 9.50% Loan above Rs 50 Lacs    Tenor Upto 5 year >5 Year to 10 Year >10 Year to 15 Year >15 Year to 20 Year 1st , 2nd & 3rd Year(Floating) BPLR    -   2.50% i.e . 9.25 % BPLR    -   2.50% i.e . 9.25 % BPLR    -   2.50% i.e . 9.25 % BPLR    -   2.50% i.e . 9.25 % 4th Year onwards (Floating) BPLR    -   1.75% i.e . 10.00 % BPLR   - 1.75 % I .e. 10.00 % BPLR -  1.50% i.e   10.25 % BPLR -  1.50% i.e. 10.25%

BPLR = 11.75% with effect from 01.07.2009

Processing Charges inclusive of applicable service tax

0.50% of loan amount subject to a maximum of Rs.15000/- plus service tax as applicable 0.25% of the loan amount at the time of application plus service tax as applicable 0.25% of loan amount on acceptance of sanction plus service tax as applicable

Value Added Services

No hidden or built-in costs Quick processing and disposal of loan applications Flexible repayment options

Guarantee

Third party guarantee is not mandatory.

HOME LOAN FOR PURCHASE OF 2nd PROPERTY (HOUSE/FLAT/BETTER ACCOMMODATION)

Co-Applicant

Prospective borrower can include spouse or any other co-owner as a co-applicant. To enhance the loan amount, co-applicant's income can be taken into account while calculating repayment capacity.

Eligibility

Loan can be availed for the second property even while the existing house/flat is under mortgage to Banks/Financial Institutions (subject to conditions).

Quantum

Depends on the repayment capacity as well as the cost of the property. 80% of the cost (cost will include cost of house, stamp duty, registration fees, transfer fees, if any, and all such charges.) subject to maximum of Rs.100 lacs for Major 'A' class cities and Rs. 50 lacs for other cities.

Repayment

Maximum repayment period is 20 years (including moratorium) OR permissible up to the retirement age of the borrower OR 65 years (in case of professionals/businessmen) whichever is earlier. The existing house to be disposed off in 12 months time (optional) and sale proceeds to be deposited in the loan account. The EMI would be fixed on balance amount outstanding in the account.

Margin

If money from the sale proceeds of the existing house is deposited in the account, the same would be treated as margin.

Security

Similar to Home Loan.

Processing Charges ( Processing charges excluding applicable service tax )

0.50% of loan amount subject to a maximum of Rs.15000/- and payable -

0.25% of the loan amount at the time of application plus service tax as applicable 0.25% of loan amount on acceptance of sanction plus applicable as applicable

Other Attractive Features

No prepayment penalty Flexible repayment schedule Easy and convenient EMIs Loan sanctioned within 72 hours of receipt of application in full as per requirement. Option to pay interest on a daily reducing balance basis.

Other Conditions: No Prepayment penalty if the loan is adjusted by the borrower from his own verifiable legitimate sources or genuine sale. However, 2% charged on an average o/s. balance of last 12 months if loan is closed on take over by other Banks / Financial Institutions.

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