123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Debt >> View Article

Personal Loan – A Boon For Nris

By Author: NRI Taxation
Total Articles: 3

Owning a personal heaven (read home!) of choice is a dream of every human. It is more a necessity than a luxury to have a beautiful and well-furnished place you can call home. Home loans provided by various Banks and Housing Finance Companies (HFC's), providing finance to the citizens have come the rescue of those willing to convert this dream into reality. It's not just the citizens who are availing these, but even NRIs, whose needs are being looked into, as well. Regarding home loans for NRIs, various queries like "what exactly are they, what do they do, who can avail them" may rise in the minds of many.

How the government defines NRIs?

NRI's are Non Resident Indians, who are the citizens of our country, and who hold a valid document like, say the Indian passport. They stay abroad for employment or for carrying out a business. Every bank follows the RBI guidelines to provide a home loan to the NRI's who are recognized under Foreign Exchange Regulatory Act, 1973.
Specifications for NRIs intending for a home loan

Home loans for NRI's are available for construction of new houses or flats, purchase of old houses or flats, flat addition, alteration of existing houses, renovation, repairs etc. NRI's should fulfill certain eligibility criteria in order to get the home loans. The documents required for resident Indians and NRI's vary in few respects. These include the age of the applicant which should be at least 21, should be a graduate, the income they get which should be a minimum of 2000$ per month. In addition, the numbers of dependents are also considered.

Other important considerations

• An NRI can get a maximum of 85% of the cost of property.
• Payment options are critical for providing the loan. It should be only through the Equated Monthly Installments (EMI), which also include the interest and the principal amount calculated on monthly rests.

• Payment of EMI is by issuing post-dated checks from his/ her Non Resident External (NRE) or Non Resident Ordinary (NRO) or Non Resident (Special) Rupee Accounts (NRSR) in India.

• They are also provided with various facilities like Step up Repayment, Flexible Loan Installments Plan, Trache Based EMI, and Accelerated Repayment Schemes etc., for the repayment of the loan.
An NRI applicant is eligible to get a home loan ranging from a minimum of five lakhs to a maximum of 1crore, depending on his repayment capacity and the property cost. The repayment tenure of an NRI is different. In addition, the rate of interest at which the home loans are offered to NRI's differs to an extent of 0.25%-0.50% from that of resident Indians. They can't claim tax benefits, and more over, need to file tax returns to become eligible to get the home loans. http://www.nonresidents.in/

Total Views: 188Word Count: 460See All articles From Author

Debt Articles

1. How To Pay Off Your Debt
Author: Richard Mark

2. The Reason Why Everyone Love Pay Off Bad Debts
Author: Richard Mark

3. What Are The Best Home Equity Loans?
Author: The Best Home Equity Loans?

4. Short Term Loans- A Shield For The Unemployed Individuals
Author: Olivia Elmore

5. I Can’t Pay My Credit Cards, What Can I Do?
Author: Paul J Paquin

6. Why Choose Pbbj Services
Author: Gilly Shaw

7. How 12 Month Loans Save You Time And Hassle?
Author: john thomson

8. How To Avoiding Bad Fashion For Men
Author: IIFD

9. Turn Your Bad Debts Into Profit
Author: Filingenie

10. Know How To Find The Best Commercial Property Loan Melbourne
Author: mohan srivastava

11. How To Make Your Debt More Manageable
Author: Jack Jones Jack

12. Arbitration Clause In General Insurance Policies – A Legal Gimmick To Avoid Liability
Author: Narendra Sharma

13. Fifa Coins
Author: FIFAanch

14. Understanding The Benefits Of Emi Calculator
Author: Arwindsharma

15. Data And Suggestions About Individual Student Loan Consolidation
Author: salman javed

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: