What is partial payment in home loan?
You can avail of a home loan part pre-payment facility depending on the financial institution you are dealing with. It simply means, at times when you have reserve or extra cash flow, you can pre-pay any amount as a pre-payment transaction and save on your overall interest to be paid for the rest of the tenor.
Does pre closure affect credit score?
If you already have a good credit score, foreclosing a personal loan may not significantly impact your credit score. Additionally, it will signal to future lenders that you are committed to repaying your debts on time.
How do I make a partial payment against my LIC loan?
As of today, there is no online/NEFT facility to do partial payments against your loan. However, the easiest way to do this is to this is the following: Get a cheque/DD in favour of LIC Housing Finance Ltd.
Is LIC Housing Finance Limited a bank?
You probably know that Life Insurance Corporation Housing Finance Limited (LICHFL) is one of the biggest lenders for home loans. But did you know that LICHFL is not a bank? LIC Housing Finance Limited is actually a Housing Finance Corporation (HFC).
Can I make a partial pre-payment on my home loan?
To make a partial pre payment it depends on several factors, mainly the terms of your loan, which cannot be changed unless its a common change in rules. Factors are whether its fixed or floating, the EMI v/s your outstanding loan, whether in same city etc; there may be charges.
How does lichfl decide my loan amount?
When you apply for a home loan, the lender decides your loan eligibility i.e what loan amount you qualify for. This amount is calculated by considering your salary, age, education, credit score etc. When it comes to loan eligibility, you will often find that LICHFL favours the borrower and approves a higher loan amount than most lenders.