HOME LOAN

WHEN LOAN EMI STRETCHES BEYOND RETIREMENT

Published By Livemint | 22 Mar, 2023

RATE HIKE

RBI rate hikes increase loan EMI sharply
Credit : PTI

STRETCHING LOANS

To avoid high EMIs, borrowers opt for longer loan tenures, that overstretch their loan beyond retirement
Credit : Pexels

IDEAL HOME LOAN TENURE

15-20 years is considered as ideal home loan tenure
Credit : Unsplash

HOW TO REDUCE HOME LOAN TENURE

Follow these steps to reduce loan tenure
Credit : Pexels

EARLY CLOSURE

Try putting money in loan from other investment for its closure
Credit : Pexels

TALK TO LENDER

Try convincing lender for higher EMI with lower interest rate

BALANCE TRANSFER

If lender doesn’t agree, explore and balance transfer loan to lender with lower interest rate
Credit : Pexels

PARTIAL PAYMENT

Start partial prepayment to reduce the principal component of the home loan
Credit : Pexels

REFINANCING

Talk to lender to refinance balance amount into another loan and pay in smaller monthly income
Credit : Pexels