ICICI bank knows and understands its customers and their need of owning their own house. Therefore, to meet their requirements, ICICI bank offers a variety home loan options. ICICI (Industrial Credit and Investment Corporation of India) offers home loans at competitive interest rates and relatively higher repayment period with simplified documentation process. In order to provide convenience to its customers, ICICI bank offers doorstep services and also provides access to smart-phone applications, thus preventing the customers from making frequent and tedious visits to the bank.
ICICI Bank Home Loan Interest Rate 2018 |
|
|---|---|
| Interest Rate | 8.85% onwards |
| Processing Charges | 0.5-1% of the loan amount+applicable taxes |
| Loan Tenure | Up to 30 years |
| Loan Amount | Rs. 10 crore |
| Cheque Bounce Charges | Rs.500 per instance |
| Prepayment or Foreclosure Charges | Nil if floating, up to 2%+taxes for fixed rate |
Key Offerings of ICICI Home Loan:
- Home Loan from ICICI Limited is offered at an interest rate of 8.85% onwards.
- ICICI bank gives its customers the freedom of choosing their dream homeby selecting from its database of approved projects at across 12 cities in India.
- Loan Against Property (LAP): ICICI bank also facilitates loan against property. It allows the user to make funds easily available. Loans offered by ICICI Bank against property are available at an interest rate of 11.70% onwards per annum and repayment tenure lasts up to 15 years. The loan is provided only against Residential/Commercial property.
ICICI Bank Home Loan – Types and Features
- ICICI Pre-Approved Loan: ICICI bank a]so facilitates pre-approved loans for its selected customers, thus reducing the burden of detailed documentation.
- ICICI Home Loan Insurance:ICICI bank keeping in mind any unforeseen incident in the user’s life,provides for Home Loan insurance to make ICICI Home loan repayment easier for the user’s near ones. These products come in two variants:
a) Home Insurance and Secure Mind:This scheme is also known as single premium long-term plan that offersno medical checkup upto premium of 3 crore. This plan is also helpful in tax benefit and multiple applicants can be covered under one single plan.
b) Loan Protect: Provides for tax benefit and also gives the flexibility to continue life cover even after loan closure.Life coverage remains constant for 20 years.This plan also offers no medical test for premium upto 5 crore.
- Personal Loan Linked to Home Loan Schemes: A customer already having an ICICI bank housing loan scheme can directly apply for a personal loan in linkage with the existing ICICI Bank Home loan. This provides the customer with some extra cash for meeting certain sudden expenses.The period of the personal loan is same as the ICICI Bank home loan period.This kind of loan can also be referred to as top up loan can be taken by both individuals, as well as non-individual customers. The top up amount can be up to 100% of the existing amount and the tenure can range up to 20 years or the outstanding period of the original ICICI Bank Home loan.
- ICICI Home Loan Transfer and Top Up:This is an extended facility for customers transferring their loan from other banks and NBFCs (Non Banking Financial Companies)to ICICI. This feature provides customers with the power to apply for an additional top up loan at the time of transfer. The top up amount can be up to 100% of the transferred amount and the interest rates are also kept low.
- ICICI Bank Saral Rural Housing Loan: Sanctioned upto 90% of property value, this loan ranges between Rs. 5.00 Lakhs to Rs.15.00 Lakhs and a tenure of 3 years to 20 years with an interest rate of 9.70% (of the base value), this loan is directed towards developing the rural area and empowering women and the weaker sections of the society. The ICICI rural home loan is generally sanctioned for acquisition, construction, repairs, renovation or up-gradation of houses in rural areas. ICICI Rural Housing Finance is meant for the welfare of the rural population.
- Lease Rental Discounting: It facilitates raising loans against future expected rentals of self-owned commercial property.The property should be occupied by a lessee. This loan is helpful in raising funds for wedding, child’s education, business expansion or renovation work.
- Office Premises Loan (Non–Residential Property): With this loan, ICICI bank caters to the needs of its customers of owning their own business premises or office.This loan provides for purchase, construction, extension and improvement of its customer’s office premises. The loan may also be packaged to include the estimated renovation expenses.However, the loan can be extended only towards non residential property.
- Land Loan: Contrary to the above mentioned loans, Land Loans can only be applied for purchase of residential property and can only be utilized for self-constructionof property. The plot must be within municipal limits of hub locations or outside municipal limits in case of direct allotment by Development Authority. However, the applicant must keep in mind that the construction has to be completed within two years of the first amount disbursement of the sanctioned loan.
- ICICI NRI Home Loans: ICICI Bank Home Loan is also available to NRI’S and PIO’S. With attractive interest rate, easy home loan application and tracking facility and doorstep service this loan gives NRI’S the freedom to purchase a land, home, flat or any residential property in India. The applicant must be minimum 21 years of age. The maximum age limit for an NRI candidate could go upto 60 years or retirement age (whichever is earlier) at the time of maturity. The applicant if Salaried should have stayed abroad for a minimum period of 1 year and if Non-salaried, should have had spent a minimum of 3 years abroad for NRI home Loan.
The processing fee stands at 0.5% of the loan amount and the surcharges plus applicable taxes.
The repayment of the loan amount can be done only in INR through remittances from abroad, through normal banking channels or through NRE/NRO accounts. ICICI allows three modes of repayment under NRI Home Loans:
- Before availing full disbursement of loan
- After availing full disbursement of loan
- Prepaymentof loan
- Pradhan Mantri Awas Yojana: In keeping with the vision of our honorable Prime Minister, ICICI bank offers Personal Loans under the Pradhan MantriAwas Yojana(PMAY) Scheme which is for the welfare of the economically challenged class of people. This ICICI Bank home loan offers a ‘Credit Linked Subsidy Scheme’ which is meant for Economically Weaker Sections (EWS) and Lower Income Group (LIG) sector of the population. This scheme allows these economically weaker individuals avail a home loan to fulfill their housing needs. The beneficiaries of this scheme are those families from EWS and LIG which do not own a pucca house.The family in question should consist of a husband, wife and unmarried children. The subsidy promised under this scheme would be in the form of a lower interest rate which would be 6.5% per annum for those who are buying their first house. This subsidized rate would be applicable for a period of 15 years of the loan for loans amounting up to Rs.6 Lakhs. Loans higher than this amount would not attract the interest subsidy. An upfront subsidy benefit is given on the amount of principal outstanding as loan. The ICICI Bank Home loan granted under this scheme can be used for purchasing or constructing a new house and also for enhancing an existing dwelling unit.The categories of individuals who can avail this subsidy, namely the EWS and LIG should comply with the prescribed income norms. Such income norms state that EWS households should have an annual household income of up to Rs. 3 lakhs while LIG households should have an annual income of Rs. 3 lakhs to Rs. 6 lakhs. Documents supporting this income proof needs to be submitted or else an Affidavit for the same is required. Moreover, the individuals not owning the pucca house and applying for the loan should also make a declaration of not owning a pucca house.
- Balance Transfer: ICICI Bank also allows its customer to transfer their existing loans from other banks and NBFCs to ICICI at lower rates of interest, thus saving the customer a lot of money in terms of interest and also gives them longer tenure.
Benefits of ICICI Bank Home Loans
Apart from the home loans sanctioned, ICICI bank also provides the facility of enhancing one’s ICICI Limited home loan by about 20% and also lets one extend the ICICI Bank Home loan tenure to up to 50 years of age. This extended facility is known as ICICI Bank Extra Home loans and is available under three variants suitable to everyone’s needs.
For middle age, salaried customers: Home loan from ICICI Bank is suitable for salaried individuals up to 48 years of age. Unlike regular home loan, which gives a repayment schedule until the age of retirement, this facility provides for the extension of the loan tenure up to 65 years of age.
Self employed customers: Beneficial for self-employed professionals whose income varies time-to-time depending upon the seasonality of the business. This facility allows them to earn extra time for repayment in case of slowdown in their business or work.
For young, salaried customers: This feature is extended to the young salaried individuals, up to the age limit of 37 years. It allows the individual to enhance the repayment tenure up to 67 years of age.
ICICI Bank Home Loan Processing Fee & Charges
|
Charges |
Mortgage Loans |
|---|---|
| Loan Processing Charges / Renewal Charges (Non Refundable) | 0.50% – 1.00% of the loan amount or Rs. 1500/- (Rs. 2000/- for Mumbai, Delhi and Bengaluru), whichever is higher + GST & Surcharge |
| Prepayment Charges | Nil for ICICI Home Loans and ICICI Home Improvement Loans with floating rate of interest. 2% plus applicable taxes on the outstanding principal on full repayment for ICICI Bank Home Loan with fixed rate of interest. 2% plus applicable taxes on the outstanding principal on full repayment for Top Up loan if the applicant or co-applicant is Non Individual. 4% plus applicable taxes on the outstanding amount of loan where loan is given to Non Individual borrowers or with fixed rate of interest to Individual borrowers. |
| Charges for late payment | 2% per month Home OD: 1.5% of the outstanding amount subject to minimum of Rs. 500/- & Maximum of Rs.5000/- |
| Conversion charges for ICICI home loans | Floating to Floating 0.5% of the principal outstanding plus applicable taxes Dual fixed rate to Floating 0.5% of the principal outstanding plus applicable taxes Floating to Dual fixed rate 0.5% of the principal outstanding plus applicable taxes Life time fixed to floating 1.75% of the principal outstanding plus applicable taxes |
| Repayment mode swap Charges | Rs 500 |
| Document Retrieval Charges | Rs 500 |
| Cheque bounce charges | Rs 500 |
| Amortisation Schedule | Nil |
| Statement of Account | Nil |
| Final prepayment statement | Nil |
| Duplicate No Objection Certificate / No Due Certificate | Rs 100 |
| Revalidation of No Objection Certificate | Rs 100 |
| Provisional Income Tax Certificate | Nil |
| Final Income Tax Certificate | Nil |
| Interest Certificate | Nil |
| Change of Address | Nil |
| Agreement Copy | Nil |
| No Objection Certificate / No Due Certificate | Nil |
| Administrative Charges | Rs 5000 |
| CIBIL Report Charges | Rs 50 |
| Legal, Repossession and Incidental Charges | At actuals |
- GST and other applicable charges will be charged above these charges on the ICICI Home Loans.
- The ICICI Limited Home Loan interest rate on Non-Home loans is 11.70% onwards that include Loan Against Property, such as residential and commercial, office premises loan etc. and Top-Up loans.
Documents Required for ICICI Bank Home Loan
The following documents for home loan are required for availing ICICI Housing loans:
- Application Form with signed photo: An application form signed by the applicant along with attested photograph and all details duly filled is required to be submitted at the time of application for ICICI Housing loans. It is required in case of all salaried, non-salaried or professional applicants.
- Identity,residence and age proof: Copy of Passport / Voter ID card / Driving License. Any one of the document can be submitted as a valid Identity Proof because all the listed documents have the individual’s photograph along with his/her name against the photograph proving the identity of the applicant. Copy of Ration Card / Electricity or Telephone Bill / Rental Agreement / Passport. The applicant needs to submit any one of the above mentioned documents which state the correct address of the applicant needed for the verification process of the bank. Required in case of salaried, self employed professionals and non-salaried self employed
- Last 6 months bank statement: These documents depict a clear picture about the applicant’s financial status and his/her ability to repay the loan depending upon his/her past transactions and credibility with his/her bank. Again required, in the case of all applicants.
- Last 3 months salary slips: Used to legally depict the current net salary of the individual and to check whether it matches the level of minimum net monthly income as laid down in the ICICI home loan eligibility criteria checklist.
- Loan processing fee cheque: Cheque to be issued towards funding of opening the account. Required in case of all applicants.
- Form 16/ Income tax returns: Required to be submitted at the time of opening the account, by all the applicants.
- Proof of business existence: Required to be submitted by Self employed non professionals, in order to have concrete information about the loan applicant.
- Business profile: To be submitted by businessmen in order to get a clear picture about the type and nature of business being carried out by the loan applicant, before the disbursement of loan.
- Education qualification certificate and proof of business existence: To be submitted by Self Employed Professionals and Self Employed non professionals.
- Last 3 years of IT returns with computation of income: To know the creditworthiness of the applicant and his/her legal standing.
- Last 3 years CA Certified/ Audited Balance Sheet / P&L Account: To get a clear picture of the clarity of accounts and financial standing of the applicant, this document is essential and is required to be submitted only in the case of self employed professionals and self employed non professionals.
ICICI Bank Home Loan Eligibility
ICICI home loan eligibility majorly depends on following factor:
- Age – The minimum age for home loan is 21 year while maximum is 60 or retirement age of borrower whichever is earlier.
- Profession – To meet home loan eligibility and apply for ICICI Home Loan, the applicant must be salaried or self-employed and must have a regular source of income.
- Income – The borrower should earn a minimum income of Rs. 25000 pm in a regular manner.
ICICI Bank Home Loan EMI Calculator – Calculate Home Loan EMI
The bank provides the facility of Home Loan EMI Calculator to calculate the Equated Monthly Installments (EMI) payable under the loan. EMI calculators give an accurate figure of the amount of loan that can be applied for at an EMI best suited to the individual at highly satisfactory interest rates. Given below are a few scenarios related to EMI Calculator:
- Sinha, a salaried Employee wishes to purchase a flat of his own. As per his financial planning process, he feels that he will be able to repay the loan within a period of 20 years. He is an existing account holder of the bank and enquires about the rate of interest chargeable along with the EMI. He uses the EMI and eligibility calculator and finds out that he is eligible for a loan of Rs. 29,24355 with an EMI figure of Rs. 29,000 at an interest rate of 10.40%.
- Rameshis a self employed individual who recently got relocated to Delhi. He decides to buy a house and needs funds for purchasing his new home. He doesn’t want to put a dent in his meager savings and so he decides to seek a loan from ICICI Bank. Ramesh has a gross monthly income of Rs. 75000. He checks with the EMI and eligibility calculator and finds out that he is eligible for a loan of Rs. Rs 43, 86533 with a monthly installment payment of Rs. 43,500, payable over a period of 20 years. The interest rate stands at 10.40% p.a.
The following table records the EMI of each of the above-mentioned cases for easy understanding:
| Applicant | ICICI Bank Home Loan Amount | ICICI Home Loan Interest Rate | Term | EMI |
| Mr. Sinha | Rs. 29,24,355 | 8.40% | 20 years | Rs. 25,193 |
| Mr. Ramesh | Rs. 43,86,533 | 8.40% | 20 years | Rs. 37,790 |
Home Loan Tax Saving Calculator – Save Tax Upto 2 Lakhs
By applying for Home Loans with ICICI bank, an individual can also earn benefits of tax saving on the principal and interest payments made towards the loan taken. This facility proves to be beneficial for the user as he/she can easily get a substantial amount deducted from his/her total tax liability. Here is a simple example on Home Loan Tax Saving Calculator:
Mr. Verma with a gross annual income of Rs. 15 Lakhs wants to purchase a property of worth Rs. 50 Lakhs at certain area. He approaches ICICI bank and applies for a ICICI Bank Home Loan with a repayment period of 20 years and at an interest rate of 10.40% p.a. He now, wishes to know the amount of tax that will be saved during the aforesaid loan period. With the Home Loan Tax Saving Calculator, he finds out that he can save a total amount of Rs. 14,67,743 as deductions from the total tax payable.
Applying ICICI Bank Home Loan Online via Paisabazaar.com
Apart from visiting the branch personally, the user can also apply for ICICI Bank home loans online. All that is required for the online application is by visiting Paisabazaar.com, and comparing and selecting the desired home loan option. After having selected the best home loan deal, you needs to choose the type of loan you are looking for. Having selected the type of loan, you need to fill up the form and submit your details such as name, age, occupancy and related requirements. After having submitted all the necessary details and having submitted all the documents, you need to wait for the bank to respond. The bank then on having completed all the formalities, like cross checking the documents, and checking your creditworthiness, sanctions the loan at the earliest. However, it is very important for any individual to fulfill all the eligibility criteria’s and also he/she has to make sure that all the information provided is true and correct. ICICI bank also facilitates discounts on online processing fees. The online application process is very easy and convenient and also allows the applicant to check his/her loan eligibility status online without having to undertake any unnecessary hassles.
ICICI bank also facilitates pre-approved loans for its existing customers. The bank has certain offers for all of its existing customers, depending upon their relationship with the bank. All the customer has to do is click on home loans tab and choose ‘Check Your Offer’ tab under the existing customer options. A pop-up comes which asks for certain details like the customer’s debit card no and PIN. After filling the necessary details the customer can get a preview of special offers available only for them. Such loans generally provide for lower rate of interest, and higher tenures. However, the eligibility criteria must be matched, and the customer should have sufficient credit worthiness in the books of the bank.
Managing ICICI Home Loan Account Online:
Not only does ICICI bank provide for online application of loans, it also allows the user to manage their accounts online. All the customer needs to do is login to the bank’s website and select the respective option. The site gives the user access to his/her personal statements, loan summary, copies of Income Tax certificates and also a feature to place request for part disbursement of the loan.
ICICI bank has also introduced iloans, a mobile application, available on android phones. This feature allows the user to check their last five transactions, outstanding balance, statement of account, amortization schedule and other details regarding their home loan account. The user need not be attached to a wire. This app allows the user to access details on the go.
How Download Iloan Application Online:
- Visit Google Playstore, Iphone App store or the relevant app store on your mobile from the registered mobile number with ICICI bank
- Download ICICI bank Application
- Select ‘Activate Now’tab and set a four-digit PIN
After setting the PIN you will be able to use the features of the app that primarily includes keeping a track of your home loan.
Customers can check their ICICI Bank home loan Statement Online.