Is there any bank giving more then 80% loan?
--- In CrossingsRepublikOwnersAndMembersAssociation-CROMA@yahoogroups.co.in, manmohan.jha@... wrote:
>
> This is applicable only for floating rate.
>
> Foreclosure charges are still applicable for Loan with fixed rate for initial period.
>
>
> Manmohan Jha,09212313580,Sent from my BlackBerry® from Tata Indicom
>
> -----Original Message-----
> From: Mohd Aftab <mirza.aftab@...>
> Sender: CrossingsRepublikOwnersAndMembersAssociation-CROMA@yahoogroups.co.in
> Date: Thu, 21 Jun 2012 09:37:14
> To: <CrossingsRepublikOwnersAndMembersAssociation-CROMA@yahoogroups.co.in>
> Reply-To: CrossingsRepublikOwnersAndMembersAssociation-CROMA@yahoogroups.co.in
> Subject: [CROMA] Home Loans-Levy of Fore-closure Charges / Pre-payment Penalty
>
> Hi
>
> RBI has directed all banks not to charge any prepayment penalty on home
> loans as per the following circular.
>
>
> RBI/2011-12/604
> RPCD CO. RRB. BC. No.85/03.05.033/2011-12
> June 18, 2012
> All Regional Rural Banks
> Dear Sir
> Home Loans-Levy of Fore-closure Charges / Pre-payment Penalty
> Attention is invited to paragraphs 81 to 83 of the Monetary Policy
> Statement 2012-13
> announced on April 17, 2012 with regard to home loans on floating interest
> rates. The
> Committee on Customer Service in Banks (Chairman: M. Damodaran) had observed
> that foreclosure charges levied by banks on prepayment of home loans are
> resented
> upon by home loan borrowers across the board especially since banks were
> found to be
> hesitant in passing on the benefits of lower interest rates to the existing
> borrowers in a
> falling interest rate scenario. As such, foreclosure charges are seen as a
> restrictive
> practice deterring the borrowers from switching over to cheaper available
> source.
> 2. The removal of foreclosure charges/prepayment penalty on home loans will
> lead to
> reduction in the discrimination between existing and new borrowers and
> competition
> among banks will result in finer pricing of the floating rate home loans.
> Though many
> banks have in the recent past voluntarily abolished pre-payment penalties
> on floating
> rate home loans, there is a need to ensure uniformity across the banking
> system. It has,
> therefore, been decided that Regional Rural Banks will not be permitted to
> charge
> foreclosure charges/pre-payment penalties on home loans on floating
> interest rate basis,
> with immediate effect.
> Yours faithfully
> (C. D. Srinivasan)
> Chief General Manager
>
> Regards
> Aftab
>
http://www.croma.org.in
Also, do register at the CROMA site, if not done already:
http://www.croma.org.in/member-registration/
[IMP: People posting ads for promotion of their business or of commercial-only nature will be banned/unsubscribed without any warning or clarification]
