RBL Bank Loan Against Property
Last Updated : Oct. 27, 2016, 12:30 p.m.
About RBL Bank Loan Against Property
Founded in August 1943, Ratnakar Bank Limited is one of the oldest private sector banks in India. Headquartered in the Kolhapur region of Maharashtra, this scheduled commercial bank is no doubt growing very fast and is known for offering best of services and products. Well, with products like Loan Against Property, this lender is grabbing the attention of many as it offers you a loan at attractive interest rates and charges. Yes, you can easily avail this loan from RBL bank in order to fulfill your various wishes like home renovation, starting a new business or your child’s marriage, child’s foreign education, etc.
Loan Against Property
RBL Bank’s loan against property is here to meet all your unforeseen financial needs without hurting your pocket much with low-interest rates, flexible loan repayment option and higher loan amount. To know more about RBL Bank Loan Against Property (LAP), go through this article below.
RBL Bank Loan Against Property Details:
| Particulars | Details |
|---|---|
| Interest Rates | 12.00% - 15.00% |
| Loan Amount | Upto 10 Crores |
| Tenure | 15 Years |
| Processing Fee | 1.25% to 1.50% of the loan amount |
How to Apply
When it comes to applying for LAP in RBL, you can easily do the same with the help of online facility or can either visit the branch. Once you have got the loan application with you, mention personal details like the name of the applicant/s, date of birth, etc., professional details like your profession, monthly/annual income, etc. and the purpose of taking the loan against your residential or commercial property. You have to submit the above documents along with the property documents and passport size photos and submit it to the nearest bank branch.
The process of applying for a loan against property from RBL bank is smooth with easy loan processing and less documentation involved. So, choose the application process depending upon your convenience and enjoy your journey with the bank.
RBL Bank Loan Against Property Eligibility
Both salaried and self-employed individuals can avail LAP from RBL Bank, but both of them have different eligibility for the same.
| Salaried Professionals | Self-employed Professionals |
|---|---|
| Minimum gross salary of Rs. 150,000 per annum | Minimum net profit as per latest year ITR / Financials of Rs. 150,000 |
| Minimum age at loan sanction – 23 years. | Minimum age at loan sanction – 23 years |
| Maximum age at loan maturity – lower of 60 years or retirement age | Maximum age at loan maturity – 65 years |
RBL Bank Loan Against Property Eligibility Calculator
With the help of a Loan Eligibility Calculator, you can calculate if you are eligible for a loan against property from RBL Bank or not.
Let us take an example that a man is working in an MNC and gets the in-hand salary of ₹ 1,00,000 per month. Obviously, there are some financial responsibilities where he spends 50% of his monthly salary. However, he is able to save around 50% of your income each month. Now, this man wants to know if he is eligible to take LAP or not. How will he do it?
Well, in bank’s point of view, this man saves around ₹ 50,000 per month. So, his savings can be used to repay the EMIs of the loan against property he is planning to take. Now, the loan amount that he will be eligible for can be calculated on the basis of the EMI per lakh with the below details:
Amount- Rs. 1 Lakh
Loan Tenure- 15 years
Rate of Interest-12.90% p.a.
Your monthly EMI will be ₹ 1,259
So your calculation for a loan against property would be:
Rs 1 lakh x 50000/ 1,259 = ₹ 39.72 lakhs
So, your eligibility for a loan against property will be about ₹ 39.72 lakhs .
RBL Bank Loan Against Property EMI Calculator
EMI or equated monthly installment is the monthly payment that the loan borrower is supposed to pay to the bank or NBFC from which he/she has taken a loan. An EMI is the sum of the interest and the principal amount of the loan. For RBL Bank loan against property, the EMI is calculated on the loan amount, interest rate and tenure that you have chosen.
For Example: If you are taking a loan against your property from RBL Bank for the loan amount- ₹ 1,00,000, tenure-15 years and the interest rate that you have been offered is 12.90% p.a., how much will be your EMI? The EMI, Total interest outgo and Total amount payable from your pocket at the end of your loan tenure will be:
EMI- ₹ 1,259
Total Interest Outgo- ₹ 1,26,560
Total Amount Payable- ₹ 2,26,560
For better understanding, have a look at the table given below that shows the EMI, Total Interest and the Total amount payable with the same amount at different tenures.
Table showing EMI, interest outgo and total amount payable on your loan against property
Table Showing EMI, Interest Outgo, and Total Repayment Amount
EMI, Total Interest Outgo, Total Repayment (Interest + Principal)
| Year | Principal | Interest | Balance Amount |
|---|---|---|---|
| 1 | ₹ 2339 | ₹ 12,765 | ₹ 97,660 |
| 2 | ₹ 2659 | ₹ 12,445 | ₹ 95,001 |
| 3 | ₹ 3023 | ₹ 12,081 | ₹ 91,978 |
| 4 | ₹ 3437 | ₹ 11,667 | ₹ 88,540 |
| 5 | ₹ 3908 | ₹ 11,196 | ₹ 84,632 |
| 6 | ₹ 4443 | ₹ 10,661 | ₹ 80,189 |
| 7 | ₹ 5051 | ₹ 10,053 | ₹ 75,138 |
| 8 | ₹ 5742 | ₹ 9361 | ₹ 69,395 |
| 9 | ₹ 6529 | ₹ 8575 | ₹ 62,866 |
| 10 | ₹ 7423 | ₹ 7681 | ₹ 55,443 |
| 11 | ₹ 8439 | ₹ 6665 | ₹ 47,004 |
| 12 | ₹ 9594 | ₹ 5509 | ₹ 37,409 |
| 13 | ₹ 10,908 | ₹ 4196 | ₹ 26,501 |
| 14 | ₹ 12,401 | ₹ 2702 | ₹ 14,099 |
| 15 | ₹ 14,113 | ₹ 1005 | ₹ 0 |
Documentation Required for RBL Bank Loan Against Property
| Documents | Self-Employed Individuals | Self-employed Professionals | Partnership Firms/Private Limited Companies |
|---|---|---|---|
| Identity Proof | Identity Proof | Identity Proof | Identity Proof |
| Address Proof | Address Proof | Address Proof | Address Proof |
| 6 months Bank Statement with salary credits | Bank statements from the borrower's main account/s for last 6 months and 3 months of all other bank accounts mentioned in the Balance Sheet. | Bank statements from the borrower's main account/s for last 6 months and 3 months of all other bank accounts mentioned in the Balance Sheet. | Bank statements from the main account/s for last 6 months and 3 months of all other bank accounts mentioned in the Balance Sheet. |
| Passport Size Photographs | Passport Size Photographs | Passport Size Photographs | Passport Size Photographs |
| Last 2 years Income tax returns or latest 3 month salary slip or latest Form 16 issued by the employer | Latest audited ITR and financials for the last 3 years | Latest audited ITR and financials for the last 3 years | Latest audited ITR and financials for the last 3 years |
| Business Continuity Proof | Business Continuity Proof | Business Continuity Proof | |
| PAN Card | Professional Qualification Certificate and Degree Certificate for professionals. | PAN Card | |
| Partnership Deed and partnership authority letter for partnership firms | |||
| Memorandum and Articles of Association and Board Resolution from the company | |||
| Certificate of Incorporation (COI) for companies | |||
| Latest shareholding patterns for Private Ltd. / Public Ltd. companies |
RBL Bank Loan Against Property Interest Rate
The rates offered by RBL bank on a mortgage loan are one of the lowest interest rates on LAP in the market. The bank offers the loan against property at floating rate of interest ranging from 12.90% to 13.90% per annum.
Features & Benefits of RBL Bank Loan Against Property
- Higher Loan amount
- Flexible loan repayment options
- Both residential and commercial property accepted as collateral
- Quick loan approval
- Lower interest rates
- Fixed rate for first three years available