What are the Type of Loan that Reliance Home Finance Limited Offers?

  • Loan for Purchase of Property from Builder
  • Loan for Purchase of Resale property
  • Loan for Residential plot purchase and self construction thereon
  • Loan for Self Construction
  • Balance Transfer from other bank

3. What is the right time to apply for a Home Loan?

  • You can apply for Home Loan with Reliance Home Finance Ltd. even before you finalize your property. The loan amount would be approved, based on your repayment capability.

4. What are the loan tenure options?

  • RHF offers Home loan up to 30 years, provided the term does not extend beyond 65 years of age (for Self Employed) or the retirement age (for Salaried) as applicable.

5. How is the interest charged/ calculated?

  • Interest is calculated on monthly rest.

6. Who all can be the co-applicants for the loan?

  • Your spouse
  • Any of your blood relative (immediate family members)
  • All Co-owners have to be necessarily co-applicant in the loan

7. What are the securities/ collaterals you need to provide?

  • The property to be bought or constructed with the proposed Home Loan will stand as security/collaterals to the loan. Title to the property should be clear, marketable and free from any encumbrances. The security will be created by deposit of original title documents of the said property.

8. What is an EMI?

  • You repay the loan in Equated Monthly Installments (EMIs) comprising principal and interest. Repayment by way of EMI commences from the month following the month in which you take full disbursement.

9. What is pre-EMI?

  • Pre EMI is the Interest paid on the Loan Amount availed in trenches before the start of the actual EMI. This generally occurs in Self Construction or Construction Linked Disbursals. The EMI doesn’t get started till the loan is disbursed in full and hence interest is charged on partially disbursed loan amount only which is Pre EMI.

10. What is a Monthly Reducing Balance?

  • An Equated Monthly Installment (EMI) has 2 components: interest and principal. When the interest is calculated on monthly rests, the principal on which the interest is charged goes down every month. This results in significant savings for the customer over the tenure of the loan. RHF works on Monthly Rests basis.

11. What is an amortization schedule?

  • An amortization schedule is a table giving the reduction of your loan amount by monthly installments. The amortization schedule gives the break-up of every EMI towards repayment interest and outstanding principal of your loan.

12. What are the stages involved while taking a loan?

  • Loan Application submission– Duly completed and signed Application form along with necessary documents pertaining to KYC and Income to be submitted for appraisal.
  • Loan Approval – Loan will be approved based on the RHF policy.
  • Loan Disbursement- Based on the nature of transaction basis of nature of transaction loan will be disbursed. Example- For resale disbursal instrument is made favoring the seller; for Balance Transfer it will be favoring existing financer; for self construction cases it will be in favour of the borrower in trenches on the basis of stage of construction; for Builder purchase it will be in favoring of the builder in trenches on the basis of stage of construction.