Axis Bank Set to Waive Off 12 EMIs for Home Loans up to Rs 30L @8.35% p.a.

In this file photo, an employee speaks on his mobile phone as he walks inside Axis Bank’s corporate headquarters in Mumbai. (Photo: Reuters)

In a move to widen its Home Loan Portfolio, the Axis Bank has come up with a one-of-its-kind EMI waiver scheme for home loan customers. With the Shubh Aarambh Home Loan – as the bank has named it, Axis Bank on Friday announced to waive 4 EMIs every 4 Years exclusively for home loans from Rs 1 Lakh upto Rs 30 Lakhs. Home Loans contribute 44% of the Rs 1.68 Trillion Retail Portfolio of Axis Bank as of June 2017, and this scheme is aimed at further boosting the HL share.

As per the scheme, a customer can save up to Rs 3.09 Lakhs on a Home Loan of Rs 30 Lakhs taken for 20 years tenure @8.35% interest per annum.

The bank will waive off these 4 EMIs at the end of the 4th, 8th & 12th year of the total loan tenure which must be 20 years at the time of loan disbursement.

Furthermore, the bank’s website states that the part-payments can still be made for the Home Loan however that must not reduce the total loan tenure to less than 4 Years and there would be no additional charges if a customer closes the loan via part-payment.

The bank has kept the Shubh Aarambh Home Loan a welcome option for home loan customers who wish to port or transfer their existing home loan to Axis Bank. Also this option is available to those who qualify under the Pradhan Mantri Awas Yojana (PMAY), thereby they can benefit from waived off EMIs apart from availing the government aided interest benefit.

With Shubh Aarambh, Axis bank aims to bring good Credit behavior of customers while making them stick to a longer home loan tenure. To avail the EMIs waive off benefit the bank has clearly asked for a Clean Track Record of the home-loan customer during the total tenure of the home loan which is tracked as per below points:

1. There must not be more than 3 instances when the customer’s dues were pending for 30 days or more

2. There must not be any instance when the customer’s dues were pending for 90 days or more

The effective rate of interest for Salaried class is 8.35% p.a. at floating rate and 8.40% p.a. for Self Employed individuals. The bank has kept the Top-Up Loans for existing customers for which if the amount is upto 30% then same rate will apply however if it’s between 30% – 100% then LAP (Loan Against Property) rate will apply. GST will be charged extra wherever applicable.

Home-buyers looking for Home-Loans can check the interest rates on Axis Bank’s Website here:

https://www.axisbank.com/retail/loans/home-loan/shubh-aarambh-home-loan/interest-rates-charges