Home Loan Fees and Charges
What does your Home Loan cost ?
While interest rate, tenure and amount of loan will determine the major costs associated with the home loan, there is a processing fee which is a maximum of 0.5% of the loan amount. There is also a stamp fee levied by the state government which is different for different states.
While servicing the loan by making the EMI you will not be subjected to any charges if you continue to pay the EMI regularly and promptly without missing any EMI throughout the tenure of the loan. However, if you default on an EMI payment then charges will apply. It is also possible you may want to effect changes to the loan our terms permitting then you would also have to pay charges to effect the changes.
The table below gives you the various charges that are in effect as of now
|Prepayment||Partial prepayment up to 25% of your outstanding principal amount in a given year. If prepayment exceeds the limit then 2% prepayment charges plus taxes will apply|
|Foreclosure||No charges in general. However, if you close the home loan with your own funds, there is no charge. If you use someone else's funds then a foreclosure charge will apply|
|Delayed EMI payments||Charges at the rate of 2% over the prevailing rate will apply for the period of delay|
|Collection agency||On actual|
|Legal charges||On actual|
|Other parameters||PDC charges, loan cancellation charges, dishonor of cheque charges, rejection of ECS charges, PDC swapping charges, account maintenance charges, CERSAI charges|
Will my processing fees be refunded ?
We at Tata Capital incur expenses when we process your home loan application irrespective of whether you take the loan or not. Processing involves scrutiny of your application, verification of your documents, assessing your application, calculating your eligibility and so on. Thus, the processing fee is non-refundable.