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How To Calculate Loan Monthly Reducing Balances Interest?

How To Calculate Loan Monthly Reducing Balances Interest? - Number of time lender promote their loan products quoting Reducing Balance EMI. This is the method used by Public Sector Bank for various loan products mainly MSME Business Loan, Overdaft, Housing...

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How To Calculate NIM (Net Interest Margin)?

The Net Interest Margin is the difference of Interest Income generated through various sources and expenses made out on interest to lenders on various items like deposit etc.

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How Does accepting OTS effect on Credit History ?

One Time Settlement Scheme , OTS effect on Credit History of an Individual future credit history : Just as all information about credit availed (amount availed, payments, defaults etc) is reported to Credit Information Companies (CICs), the fact that the...

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When will bank return the securities after closure of loan ?

How much time bank would take in returning the title deeds /securities after closure of loan. Banks should return all the securities / documents/title deeds to mortgaged property within 15 days of the repayment of all dues agreed to or...

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Do I need to Insure the Loan from Bank ?

Insure the Loan from Bank - Yes. One will have to insure the property etc. as required by the bank during the tenure of the loan. However, banks cannot insist on your obtaining insurance cover from any particular provider.

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What is Collateral Security ?

Collateral Security - This is generally defined as additional security borrower offers a lender to secure a loan. Banks may take some additional securities which are called collateral securities. Collateral could be in the form of guarantee from one or two persons,...

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Is there any Penal Charge for Prepayment of Loan ?

Penal Charge for Prepayment of Loan  - Yes, most banks allow you to repay the loan ahead of schedule by making lump sum payments. However, banks may charge a pre-payment penalty which may differ from bank to bank. Pre-payment penalty...

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What is Interest Rate Reset Clause ?

Interest Rate Reset Clause - An 'interest rate re-set' clause allows a bank to review and reset rates at the end of a specified period of time based on interest rates prevailing at that time. Read - Whether Provident Fund (PF)...

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