The home loan interest rate is the amount charged by the lender on the borrower's principal sum. You repay a 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 the full disbursement.
One of the most crucial things a lender considers when disbursing a home loan is the CIBIL score. Your CIBIL score indicates your ability to repay any debt. TransUnion CIBIL (Credit Information Bureau India Limited) monitors credit scores for individuals based on their credit history.
SBI MCLR from December 15, 2024: Check latest SBI MCLR, base rate here
If you are planning to avail of a home loan, then you should make sure to compare the interest rate as a lower interest rate can result in lower monthly payments. However, one should also not ignore other important factors such as prepayment charges, top-up rules, and other related charges.
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