Smart ways to prevent your home loan rejection
It's a great feeling when you own a space that you can call home. However, real estate prices are skyrocketing high, and it’s nearly impossible to fund your dream home with the little savings you do over the years. Therefore, many aspirants apply for a home loan from reputed banks or finance companies. However, before you apply for a home loan you will have to do a lot of planning and research, compare quotes on aggregator sites, and pick the best possible home loan that proves lighter on your wallet. But it is not necessary that when you apply for a home loan, it has to be approved by bank or finance companies. Many times your application gets rejected as well. There are many reasons for which banks or financial institutes reject it. It might turn a nerve-wracking experience if you don’t have proper knowledge on the subject, and find your application is rejected. Thus, the best way is to prepare for such in advance so that you are sure to get the loan approval.
Here are smart ways that deny from getting your loan rejected:
Don’t keep unpaid dues
Any major debt history, especially of credit cards will make a negative impact on your credit score. Lenders will evaluate the history to know your creditworthiness and repayment capacity. And if it’s not up to the mark your application it tends to get rejected. The best way is to clear the condition and be punctual with the payments. Don't miss a deadline on EMIs and credit card dues. This way you ensure you get an inch closer to your loan approval.
Stick to your job
Job stability is the next thing on your watch list. Frequent change in the jobs would reflect poorly on the loan application. It will create a sense of doubt about your income generation. So, it’s better to stick to your job longer and apply for a home loan in india once you're stable in your job or profession for 2 to 3 years. Also, the company reputation such as its being listed or not, employ strength, public or private limited all these factors will be taken into consideration.
Don't become a loan guarantor
Being a loan guarantor is a risky shot especially when you're about to make an application. That's because if the other person won't pay back the money, then it’s your responsibility as a guarantor to repay back. This will be a big blow to your finances, and it impacts your credit score. Thus, it can lead to home loan rejection. The safest way is to avoid being a guarantor.
Keep a strong financial portfolio & file regular IT returns
Banks and financial institutes will evaluate your account statement, check your financial history and see if you file your income tax returns or not. They basically want to ensure you can easily make loan repayments. It’s better to build a clear track record of income tax returns of the past 2-3 years before you head towards applying for a home loan.
Apply when you younger
Most lenders will welcome your loan application when you 're young and step into the world of employment. At this point of time, your credit score is not affected, and you're free from any form of prior financial responsibility. Thus, you can easily contribute towards your Apnapaisa home loan repayment, and clear the debt before the loan tenure.
Follow these simple tips, and improve your chances of getting a home loan approved today!
Fund your dream home with home loans online
The millennials have computer and internet at their service. So, they want to buy things at just a touch of the button on their tablets or smartphones. Right from ordering pizza to equity stocks, booking a flight ticket, it's the most convenient medium for them to get connected instantly to the world and markets. Opting for traditional methods is quite a time-consuming, and therefore they rely more on online facilities. Earlier because of the hassles and exhaustive procedure, borrowers used to postpone their decision to apply for home loans as well. Understanding the importance of a home in an individual's life and time consumption, many reputed private lenders, and banks have come up with online facilities to apply for housing finance.
Today, at comfort zone and convenience you can visit online, compare quotes of reputed lenders, and make an informed choice. You don't have to run pillar to posts to collect information leaflets, forms, sit with financial planners to compare quotes of each lending firm and finally arrive at any consensus. There are top aggregate sites that will help you get the best home loan quotes under one umbrella so that you can compare the interest rate, principal amount, loan tenure, EMI and make a wise choice. Once you find a suitable lender, you can get proper details of the loan process, documents required and flexible repayment options by calling up or chatting with the customer care team of the desired firm or bank. Online application for home loans proves to the most convenient and easy medium for the borrowers till date,especially for the millennials who are always running short of time with a hectic lifestyle.
These portals are boon for salaried professionals who often have to take leaves from their offices, visit the lender branch and wait in queue for form submission. It is user-friendly and gives end-to-end home loan solutions in quick turnaround time. Before you fill up the application form online, it's advisable to spend a few minutes in knowing the eligible, documentation, and procedure to apply for home loans in india .
With online home loan eligibility tool, you can check for the maximum loan amount you get qualified for. You need to enter your name, address, occupation, monthly income, existing EMIs (if any), retiring age, co-applicant details, etc. and it will display instant results on the eligible loan amount. There are EMI calculators as well that will let you choose an affordable EMI option as per your eligibility and risk potential. Choosing an affordable and accurate EMI will help understand your loan repayment scenario and weed out the unnecessary expenses for comfortable loan repayments.
Once you submit the details online, the lender will confirm your loan eligibility. You will then have to submit the required documents and pay the processing fees. Lenders will evaluate the home loan application, and let you know the loan status. If the loan is sanctioned they would inform you through email, SMS or phone call and start processing for your loan amount.
Apnapaisa Home loans can be taken for different purposes such as buy a ready or resale flat, construct your own home, plot purchase, renovate or extend your existing home, home improvements, etc.
Some tips before you apply for home loans:
- Never choose your lender without comparing at least 3-4 options
- The rate of interest is not the only deciding factor. Give emphasis on the firm or bank's market reputation, review from existing borrowers, repayment options, and other terms and conditions.
- Don't keep too much debt before making an application.
- Maintain a credit score of 700-900 for negotiable interest rates.
- Display a strong bank statement records to prove your income flow and financial stability.
Being a millennial make optimum use of digital facilities. Compare home loan quotes, and chase your housing dreams with just a few clicks on your smartphones!
4 Essential tips to pick the best home loan lenders from the market
We all dream of owning a house and reside peacefully in it. Hence most of us opt for housing loans to turn our dream into reality. But not everyone is well-versed with the pros and cons of the housing loan segment, the tedious documentation, and way how to negotiate for better interest rate deal. Home loan is an intricate product and has a possibility of getting disapproved easily if you don’t meet the eligibility factors of a particular loan lender.
Before you apply for a home loan it would be great if you invest your time and effort to scan through the housing loan deals offered by reputed players in the market. Applicants can visit some of the leading aggregating sites, which would suggest customized loan products as per the financial capability. It would also be ideal if you go through the terms and conditions, evaluate loan product on your own. And to make this task easy, follow these 4 essential tips that would help you shortlist the ideal home loan deal for you:
Finding the right quotes online
Usually, the tenure options availed on home loans are for a longer period, which makes it comfortable to repay the loan amount. It is good to try multiple options in EMI, the rate of interest rate and tenure choices to pick that would prove affordable on your wallet. It is of utmost importance to choose the right home loan quote else it would put you under the stress of loan burden and the installment value. To make the right decision, you can use home loan EMI calculator that would suggest ideal EMI quote, and let you know your interest outgo. You can pick the loan as per your financial withstanding.
Look beyond the interest rates
The attractive interest rate deals on advertisement campaign can easily lay a trap for you. However, there are other factors that matter while applying for a home loan and neglecting them would make the wrong choice for you. These are processing fees, prepayment charges, late charges, cheque bounce charges, stamp duty and other expenses related to your loan process. You should aim to find a housing loan deal that would reduce the overall costs. There are many ways to reduce the interest rate such as good credit score, additional income source, higher down payments and more.
Check your loan eligibility
It is wise to check your Apnapaisa home loan eligibility and then approach any lender. Your eligibility is judged based on your age, income details, company profile or nature of the business, additional income source, existing debt, financial commitments, property value and lastly your credit score. These factors will determine your repaying capability and place trust on your behalf in the lenders.
The right loan lender
There are many financial institutions that offer home loans; however, choosing the right loan lender would make your journey go smooth and happy. It makes sense to evaluate the lenders in terms of pre and post-sale service, reviews from other customers, market reputation and the turnaround time for documentation, evaluation, sanctioning and disbursals. Private Banks and NBFCs are rather efficient in loan processing and offering customized loan solutions. For better understanding about a particular loan lending firm, you can refer to online forums to know the customer's feedback and then take an informed decision.
Tips to smoothen your loan application process for easy approvals
A personal loan can help you fulfill your immediate financial goals such as debt consolidation, wedding expenses, take a foreign trip, buy electronic appliances, car repairs, home renovation or may cover up an unexpected medical expense, etc. They are offered based on the credibility of the borrowers, along with their income details and repaying capacity. You can procure a loan amount that varies between 50000 to 25, 00,000 with a repayment tenure that would range from 24 months to 60 months.
Thanks to the leading aggregator sites you can now compare quotes of private finance companies, banks, and online lending agencies under a single platform and take an informed decision on a personal loan.
These sites bring the best players of the market under a single umbrella wherein you can compare interest rates, processing fee, principal amount and apply for personal loan online. Online lending is rather fast and slowly gains the trustworthy amongst the borrowers because of the quick and easy digital application procedure. They offer faster loan sanction and instant disbursal of the loan amount to your bank account as well.
Since the sector is vast there are few terms you should be aware of so that you make a successful personal loan application for easy approvals:
Purpose of taking the loan
The loan can be availed for any purpose as long as it’s not about dealing in any illegal activity. You neither have to specify any reasons for taking a loan nor pledge any collateral to take the loan. The loan could be availed for home renovation, medical emergency, wedding, pay for sibling's higher education, travel, etc. You can buy a new automobile as well or make a down payment for the residential/commercial property, cover expenses such as business expansion, inventory setup as well. It's important you get a clear picture of the purpose so that you borrow only the requisite amount
Check your loan eligibility
You can't just choose any ballpark figure to avail the amount. It basically depends on your eligibility and lenders will evaluate it before they offer any loan amount to you. It's important that if you're a salaried professional or self-employed individual you follow the minimum salary or earnings criteria to avail the loan. For salaried individuals, you need to have a salary of around 20-25K to take the loan. Your age and occupation will come in the picture to decide the personal loan eligibility.
Credit Score
It's one of the most important checks by lenders to test your repayment ability. It decides if you repay your dues on time and you are a responsible citizen or not. It is vital you maintain a score of around 750+ to negotiate with the lenders for low-interest rate deals.
Interest Rate and Duration
When you compare Apnapaisa personal loan on aggregator sites you can see that some lenders are willing to offer loans starting at just 10.99% which is far lower compared to traditional finance. A steady income source and good credit score would be the key to reduce your interest rates. The duration can range from 12 to 60 months to repay the loan amount. You can make payment in EMIs and through the auto-debit process.
Additional Charges
When any bank, NBFC or e-lending firm offers you loan there are many charges other than interest rates such as processing fee, late payment fee, pre-closure charges, etc. You should talk to the lenders and try to get a waiver as it will help you save more money.
Here are some tips to shortlist the best home loan available in the market!
It is hard to deny the importance of a thorough product comparison when you’re planning to borrow such large amounts of funds! Hence many loan aspirants invest their time and efforts to scan all available home loan to find the best offerings that meet their requirements. Applicants often use loan aggregating websites, which suggests loan product as per your financial capability. But it would be more ideal if you go through product description and evaluate loan products on your own. And to make this task easy, you can follow below tips to shortlist the ideal housing loan products & ultimately make the right decision.
Know your eligibility!
The choice of EMI, tenure, and rate of interest of home loan are defined as per your financial eligibility. Hence it is wise to know your eligibility before you apply for a housing loan. Besides the collateral, your eligibility will be judged on the basis of your credit score and overall economic condition. Such factors not only reflect your loan repayment capability but also make you qualified for some added benefits. These benefits include a reduction in the rate of interest and ability to stretch the borrowing limits.
Although lenders keep the rate of interest reasonable, each home loan provider follows their own norms to allow such benefit. You can compare the difference in the interest rate on the loan amount you are hoping to get.
Finding the right loan quotes
It is good to have multiple options as far as EMI, the rate of interest and tenure choices are concerned. It is of utmost importance that you choose loan quotes as quotes that do not match your needs can put you under stress. And to make the right decision you use home loan EMI calculator, which suggest you ideal loan quote based on your financial withstanding.
Everything beyond the rate of interest
It is easy to get blinded and start shortlisting home loan based on which loan product is availed at lowest interest rates. But there are other factors that matter while applying for loan and negligence could make you choose a wrong home loan option. Other factors like processing fees, prepayment options and many other expenses related to the documentation process are also very important. The aim should be to find a housing loan that costs less when you calculate other factors too. Know this, there are many ways you can reduce the rate of interest but the processing fee remains almost similar to some degree of changes.
Important of choosing right loan lender
Since there are so many financial institutions offering just as many Apnapaisa home loan, you have plenty of options to choose from. So it makes sense to evaluate home loan lenders and their processes to get the best product options from them. Public banks mostly offer a lower rate of interest but applicants are still reluctant to apply as the quality of service is most questionable. Whereas private banks and NBFCs are more efficient in loan processing and deliver better service terms before and after applying for home loan. Each ending entity has their own norms to allow benefits of credibility to the applicants. You can refer online forums to skim through customer feedback about the lenders you’ve shortlisted.
Once you are done shortlisting home loan, you can pay a visit to the loan lender to discuss loan terms and apply for a housing loan. Most loan lenders keep online customer support and you can even call helpline number if you have any queries regarding the loan process.
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Opting for a housing loan is indeed a big deal for everyone, irrespective of which economic class you belong to. Many loan aspirants invest a lot of time scrolling through loan lender’s websites to find the ideal loan product. But it might seem absurd to find how applicants can make such a mistake when finding the lowest home loan interest rate is their ultimate motto!
It is indeed crucial to choose the right home loan interest rate as it will affect your financial management, every month. Hence you can refer some of these common mistakes that most applicants make and try your best to avoid them, and they are here as follows:
Forget to use their loan credibility to the full extent!
Each housing loan lender suggests certain loan quotes to an applicant appropriate to their financial withstanding. In this process, their current monthly income and credit history will be judged to know the loan repaying capability. And following are some ways you can increase chances to improve your loan credibility:
- Include rent from the property you own, if any
- The profit you receive from share trading.
- Include spouse as a co-borrower
- Clear each loan you’ve borrowed and been unable to pay off.
- Follow a regular EMI cycle on each loan you’ve borrower so far.
All these factors will eventually give you the benefit to get lower home loan interest rate and other loan quotes.
Fail to choose right tenure option!
A good thing about housing loans is that each lender provides ample number of repayment tenure choices. And most applicants prefer choosing longer repayment time to reduce home loan interest rate and make EMIs comfortable to pay. But the idea is to pick right quotes while applying for a loan and it is not necessary that longer tenures will ensure you are following in right.
While paying your monthly installments, you also pay interest rate while repaying the principal amount. So when you pay installments for a longer period of time, you might end up pay extra interest payment. Hence, it is wise to calculate and choose the right tenure period when you applying for the loan. You can use home loan EMI calculator to compare various tenure options available in front of you.
Prefer paying lower down payments!
Principally, home loan lender will only allow 80% of the loan amount of the property value. And the rest amount needs to be arranged by the applicant! This might add stress to determination but paying a higher down payment has its benefits. When you arrange a higher down payment, you would eventually need less loan amount to buy the property proposition. And since the Apnapaisa home loan interest rate is charged as per the loan amount you borrow, you have some relief from that side.
Choosing a right home loan interest rate isn’t that rocket science if you take the decision right! Keep in mind, one miscalculation or misjudgment while applying for a home loan might put you under loan burden and eventually cost you a lot.
These were a few kinds of mistakes that the applicants makes while choosing the home loan interest rate!
If you are planning to opt for a home loan, try these tips to make the right decisions!
It takes a lot of courage to plan your home loan as the level of financial liability and responsibility to pay back the loan can be stressful. But since it fulfills your dream to own your own home or redecorate your existing adobe, any amount of stress is worth it! Fortunately, there are many public and private banks and other Non-Bank Financing Companies (NBFCs) that provide housing loans at reasonable interest rates. All you have to do is pick a loan product and plan it precisely – and to help you do exactly that, we have put together the following tips which you can use to make the task easy.
Check all the options available!
Of course, there are benefits of doing market research since it lowers the probability of ending up with the wrong home loan product. Each lender offers comprehensive housing loan options at affordable loan quotes. You can visit their official websites, scroll through the range of options they offer. Keep in mind, no matter what interest rates are given in the catalog, the loan lender will offer loan quotes as per your loan credibility. Or you can log in to a loan aggregating websites which suggest ideal options from the best lenders in the market. You can shortlist a few options and visit loan lender to discuss terms and condition or discuss any query you have.
Choose the right type of loan lender!
The selection of ideal loan lender is also important as you need to find which one provides best deals on housing loans. Each lender follows their own norms to offer interest rates, EMI options, and tenure choices on a home loan product. Most lenders offer a reduction on interest rates and allow stretching your borrowing limit on the account of good CIBIL score. Although which loan provider gives how much discount differs from one lender to another.
Since a home loan takes at least 1-2 decade to repay the total loan amount, it would be ideal if the lender provides better service to their customer. You can check out review website and know which loan provider offer best service terms.
Finding the right balance in loan quotes
Of course, you should choose an installment value which is comfortable to follow throughout the tenure period. Once you chose a right EMI, the interest rates charged on it will be appropriate. We know first instinct of every applicant is to choose longer tenure on a home loan to make repayments smooth to follow. But be careful as choosing an unnecessarily elongated tenure might make you pay extra on interest outflow. If you are confused in finding the right balance, we suggest using a home loan EMI calculator. Through it, you can calculate an ideal EMI on the loan amount you wished to borrow.
Plan your EMIs right!
This might involve some planning and adjustments but you can actually save some money while repaying the Apnapaisa home loan. You can increase EMI each year to repay the total loan amount quickly. This is a good way to use extra income earned and lower the loan burden!
You can follow these basic tips to plan your home loan and focus on looking for a new house or finding the ideal interior idea to renovate your existing property.
