Axis Bank has a unique offering where the bank waives off your last 12 EMIs if you have maintained a good repayment record. Looks like a really good deal. Who wouldn’t like to save on 12 EMIs? You would, right? Why will a bank waive off the EMIs? Banks never do charity. Clearly, there is… Continue Reading
Ever since MCLR (Marginal Cost of funds based Lending Rate) came into existence from April 1, 2016, a question that I have been asked multiple times is “Should I switch from Base Rate to MCLR?” The frequency of these questions grew after various banks cut their MCLR sharply after the demonetisation drive. How Can I… Continue Reading
In this post, I will share an example where the bank did not pass the interest rate cut to the customer for a very long time. I found out about this case in an article in MoneyLife magazine. A gentleman took a floating rate loan from HDFC Bank in 2007. The loan was to be… Continue Reading
A few days back, one of my clients me told that his brother was going for higher education and that he (his brother) was unsure if he should take a personal loan or education loan to fund the education. Frankly, it was an apple and orange comparison. It is difficult to compare an education and… Continue Reading
Young salaried employees are target customers for all the banks. Therefore, you can expect them to come with schemes to lure such prospects to their fold. The core idea behind such products is to offer such customers principal moratorium for a few years (since they may not be able to afford the full EMI). The… Continue Reading
In an earlier post, I had talked about ICICI Bank Step-up Home Loan, where the applicants could get higher loan eligibility than regular home loans due to moratorium on principal repayment for a few years. However, the limitation with Step-up loan was that the maximum age was capped at 40 years, the loan tenure was… Continue Reading
Almost everyone plans to purchase a house sooner or later. For those who want to purchase their house early in their professional career, affordability of the home loan can be a serious issue. Your salary grows over a period of time. Your non-discretionary expenses such as rent, groceries, utility bills, school fees for kids etc.… Continue Reading
Many of us purchase car on loans. Wouldn’t it help if you were to pay lower EMIs every month? Here are a few tips to reduce your car loan EMI burden. 1. Negotiate on the Price First, Then on the Loan Terms You need to negotiate on the price of the car first. Loan interest… Continue Reading
You get a call from your bank. The executive tells you, “Since you are a privileged customer, we are offering you an upgrade on your existing credit card.” Such statements invariably massage your ego. Who does not want to be recognized as a privileged customer? In addition, you are getting better benefits and a higher… Continue Reading
You are planning to go for higher education. You got the admit letter from your favorite college. Everything is going smoothly. There is just one dilemma, whether you should finance the education from own funds or take an education loan. In this post, let’s look at some of the aspects that can help you make… Continue Reading