Factual Lowdown On Secured Loan You Must Know
With the popularity and growing acceptance of digital platforms today leading lenders offer easy finance in just a few steps. The entire loan process can be concluded online in less time and effort.
The thing with secured loan is that they can be availed at a lower rate of interest.
If you are willing to apply for the loan against property there are certain facts you must bear in mind, as mentioned below -
- Rate of Interest: the loan against property charges floating rate of interest on house property it. Unlike, other forms of secured loan where a fixed interest rate is charged. The rate can differ from lender to lender. At the time of applying for the loan you must discuss these terms with the lender and know at what point time periods can the rate fluctuate.
- Re Mortgage: not many people know that they can take a mortgage against a property which has an existing loan on it. However, the value of the new loan will depend on the market value of the property which is free to be mortgaged. In case, where you have paid more towards the down payment of say a home loan you qualify to obtain a higher value of mortgage.
- Easy to Prepay: usually, lenders do not levy any charges on prepayment and full payment of the loan. However, it may be noted that these terms may slightly vary from lender to lender.
- Joint Loan: if there are any co-applicants all of their consent is needed when applying for the loan and having it sanctioned. A co-applicant with a good credit history helps to meet the eligibility criteria for the loan.
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