Can I stop making EMI payments on a home loan, if I don’t get the possession by the builder?
There are two enforceable agreements between the parties here. The builder and the buyer enter into a selling agreement. Another participant in the loan arrangement with the buyer is the home loan provider. If the builder has not yet granted the buyers ownership, they may go to court as a group to seek justice.
If the EMI is stopped, the debt goes into default, and the borrower’s CIBIL rating decreases. The bank has mortgage rights to the proposed property, and if the bank does not get a valuation from there, there is the risk of further litigation with the bank.
I have a mortgage for a house with HDFC Ltd. Now I’m looking for a second loan. Can I payback the top-up loan since I anticipate to get money after a year?
Yes, you may go ahead and pay off in the loan account if you have extra cash.
Should I get a house loan that is tied to the repo rate or a loan from an HFC?
It is better to get a loan that is tied to the repo rate.
What is the maximum loan repayment period for an education loan? Can I get a tax break for the whole term of the loan?
A typical student loan has a maximum repayment period of seven years. The tax benefit is the deduction of loan interest from the taxable income of the individual paying the EMIs. If the father pays the EMI, he is eligible for the tax break. Once the student begins working and paying the EMI, they may claim the tax advantage immediately.
My daughter attends college and makes money through tuition. Can she get a vehicle loan?
The borrower must demonstrate his or her capacity to repay the car loan by providing proof of income. Normally non-salaried people shoe their latest three years’ income tax returns for this purpose.