Home Loan:
If you follow some of the tips given by financial experts systematically, you can reduce mental stress and get rid of the home debt burden as soon as possible. Let’s find out.
The middle class thinks that owning a dream means achieving the greatest thing in life.
Usually, homeowners apply for home equity loan for a variety of reasons. And for some as a homeowner, buying a home can be a daunting task. Can I repay my home loan quickly? What should be done for this?
There are a large number of people in our country who are looking for ways to get rid of home loan. That is why it is always trending on the internet.
Financial experts advise that ordinary people who insist on the depths of a home loan when interest rates rise and interest rates fall, can pay off that debt burden by following a few tips.
On the other hand there are many ways to repay a home loan while paying regular easy instalments. Read Avento yourself.
Long-term
Home loan is usually a commitment to pay off over a period of 15-20 years. And in the meanwhile, you have been making a lot of sacrifices, killing even the smallest of fun, and tying that money up for a home loan … calculating that this interest-bearing policy should be scrapped as soon as possible.
All of this is nice but don’t think about home loan as much as you are mentally depressed. Sacrifice all the joys like this and keep in mind that a home loan is not a one-month loan.
Sacrificing your fun, joys, travel, gifts, celebrations, etc. at home may seem like a challenge at first, but after a year it all feels like a punishment.
So if you follow some of the things that financial experts say systematically, you can reduce your stress, Get rid of debt fast with this simple idea.
Regular EMIs:
It is easy to reduce your debt burden if you do not repay the EMI regularly and pay as much as you can regularly.
This not only reduces the actual margin but also greatly reduces the interest burden. Use it to make such payments when you have extra income like bonuses.
Plan a loan to pay off as many EMIs as possible. The loan will be repaid automatically in less time if the higher amount is paid in instalments. But you have to figure it out for yourself as much as possible.
Care should be taken to keep the EMI amount high considering the amounts you will have to pay for your income, expenses, savings, and other needs. Bank discuss with them if you are not aware of this matter.
Increase your home loan EMI starting this month. You can also negotiate to reduce the interest. But these policies are not the same in all banks.
Transfer:
If you are not ready to reduce the interest on the home loan bank, compare the home loan interest you are currently paying with other banks.
If your bank is charging high interest, immediately transfer your home loan to another bank. This can take up to 2 weeks.
All you have to do is pay the processing fee along with some paperwork. If you transfer to such low interest home loan banks, you will have the option to repay the principal quickly instead of carrying the burden of interest.
When interest rates fall:
When the Reserve Bank revises interest rates, the bank’s interest rate on a home loan falls sharply. Be sure to increase the EMI you pay as your sources of income increase and your salary increases. This will ensure that you repay your home loan at least 5-8 years in advance.
Systematic Investment Plans (SIP):
With Systematic Investment Plans (SIP) you have a chance to repay the home loan very quickly. Even if you save a very small amount in a sip over a long period of time it will come to your hand in a large amount.
By investing in SIP you will also get a corpus fund. Even if you pay some of this amount for a home loan, you can save the rest under future savings for future needs. A
ll you have to do is invest just 0.10% of your home loan amount in SIP. This means that if you have taken a home loan of Rs 70 lakh, of which 0.10 per cent or just Rs 7,000 per month is invested in SIP for 20 years, you will get a huge amount including interest.
(Disclaimer: The material provided on this page is for information purposes only. Any opinion that may be provided on this page does not constitute a recommendation by ePaisawala.com. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.)
0 comments