Get the Tata Capital App to apply for Loans & manage your account. Download Now

Blogs SUPPORT
Loans For You
Loans for Business
Investment
Insurance
Apply
Quick Links for loans
Quick Links for Insurance
Investment
Offers Quick Pay
Back

Equipment Finance

Avail Digital Equipment Loans
up to Rs. 1 Crore

  • Attractive ROIs
  • Customizable Loan tenure
Know More
Back

Equipment Leasing

Avail Leasing solutions
for all asset classes

  • Up to 100% financing
  • No additional collateral required
Know More
Menu  
 
Apply Now

Tata Capital > Blog > Loan for Home > 5 Tips to Close Your Home Loan Without Facing Any Complications

Loan for Home

5 Tips to Close Your Home Loan Without Facing Any Complications

5 Tips to Close Your Home Loan Without Facing Any Complications

After years of regular EMI payments comes the time when you can finally become a proud homeowner. Naturally, your excitement knows no bounds! But while you might be tempted to relax, you still need to see through the home loan closure procedureto avoid any setbacks in the future. It is an important step that will allow you to gain full ownership of your house without any complications.

Here are five tips on how to close your home loan successfully.

1. Obtain a non-objection/no-dues certificate

Once you've repaid your loan in full, make sure to request a no-objection certificate from your lender. This certificate essentially serves as legal proof that you have paid back all the loan EMIs and there are no outstanding dues in your name. It also states that the lender has no right over the property, and you have complete ownership.

Besides collecting the NOC certificate, verify if the details mentioned in it are correct. These include:

  • Your name and account number
  • Communication address
  • Details of the property against which credit was taken
  • Date of loan disbursal
  • Date of loan closure

If there are any discrepancies, raise a grievance immediately.

2. Recover original documents of your property

When you apply for a loan, lenders typically provide you with a list of documents that you need to submit. At the time of home loan closure, make sure to retrieve all the documents and cross-check against the list. Some of these documents include:

  • Sale deed
  • Title deed
  • Loan agreement
  • Transfer deed
  • Allotment letter
  • Power of attorney

 Also, ensure that all the documents are intact and nothing is missing.

Additional Read:  What are the current home loan interest rates?

3. Terminate the lien on the property

Lenders usually put a lien against the property you're purchasing to secure the loan. Put simply, the lien gives lenders a legal claim over your property and a hedge against possible EMI defaults. This is why when you close the loan, make sure to terminate the lien from the registrar’s office to avoid any complications in the future.

4. Get the non-encumbrance certificate

The encumbrance certificate is legal proof that your property is free of legal liabilities and has no further debt. It contains all the financial transactions linked with the property mortgaged and reflects the full repayment of the loan. This document, therefore, will prove especially valuable if you ever sell your property in the future.

So, make sure you collect the certificate from the sub-registrar’s office when your tenure is over.

5. Verify your credit score

Once you complete the home loan closure process, check if the lender has updated your credit score. If not, you should ask for the needful as soon as possible. Since a good credit score is essential for securing loans, make sure it is updated within 30 days of loan closure. Also, in case of a delay, keep following up with your lender to ensure your records are updated on time. 

Additional Read: Trends in India’s Home Loan Market

In conclusion

And, that's it! Keep the five tips mentioned above handy, and you can avoid any complications at the time of loan closure.

If you're looking for affordable housing finance, apply for a loan with Tata Capital and enjoy benefits like competitive home loan interest rates, easy repayment options, and convenient loan tenure.

Apply Now
Disclaimer

Leave a Reply

Your email address will not be published. Required fields are marked *

Most Viewed Blogs

Trending Blogs

Calculator

Personal Loan EMI Calculator

Personal Loan EMI Calculator
Home Loan EMI Calculator

Home Loan EMI Calculator
Business Loan EMI Calculator

Business Loan EMI Calculator
Used Car Loan EMI Calculator

Used Car Loan EMI Calculator
Two Wheeler Loan EMI Calculator

Two Wheeler Loan EMI Calculator
Loan Against Securities Calculator

Loan Against Securities Calculator
Loan Against Property Calculator

Loan Against Property Calculator
More Tools
Our Subsidiaries
Our Other Websites

Important Information

Investor Information

Visit us on:,Visit us on: www.tatacapitalmoneyfy.com,www.tatacapitalmoneyfy.com

Our Private Equity Funds

Amalgamated Companies

Top Branches

Most Important Terms & Conditions - Home Loans

Download in your preferred language

Download

Policies, Codes & Other Documents

Most Important Terms & Conditions - Home Loans

Download in your preferred language

Download

Tata Capital Solutions & Services

Uh oh, something went wrong

Please try again later.