By Chaitali Dutta
As the rates of interest are prone to rise within the close to future, ought to I take a house mortgage at a set price at decrease charges?
—Vimal Kishore
If you take a mortgage with a tenure of 15-20 years, it could be higher to go along with a floating price mortgage because the dedication for a long run could also be costly. However, in case your mortgage is for 5-7 years, then a fixed-rate mortgage could be higher. In the latter, you’ll not be allowed to pre-pay the mortgage.
I’ll retire from service after two years. My son needs to take an training mortgage for his larger research. Will a financial institution give me the mortgage or ought to I liquidate some investments?
—Gopal S Raju
The training mortgage is mainly the legal responsibility of the kid to pay as soon as the training is full and she or he is gainfully employed. You as a guardian are there as a co-borrower to make sure fee of curiosity in the course of the course length. If the mortgage is for a level or a course the place there are excessive probabilities of employment after completion, then you need to go forward. However, if the training is primary commencement, then utilizing your belongings could be a better option.
Are all repo-rate linked house loans calculated on a month-to-month decreasing steadiness methodology?
— Rajiv Charan Saxena
On paper, most banks say that they use a day by day decreasing steadiness to calculate the curiosity on your private home mortgage. This is useful for the borrower in case there are further repayments to the EMI. However, if the reimbursement is barely by means of an EMI, then the curiosity for day by day decreasing steadiness and month-to-month decreasing steadiness are nearly comparable.
Is feminine possession necessary for a married couple to take PMAY subsidy. The mortgage was taken in December 2019. The financial institution is denying the identical level.
—Rajesh Kar
In the case of a married couple, both the partner or each collectively in joint possession might be eligible for a single subsidy of PMAY beneath CLSS.
The author is founder, AZUKE Personal Finance Advisory (www.azukefinance.com). Send your queries to [email protected]
Source: www.financialexpress.com”