Canara Bank’s Home Improvement Loan Scheme provides a packaged financial assistance to individuals for furnishing their houses / flats at incredibly low rates of interest.
One can avail Home Improvement Loan along with a Housing Loan from Canara Bank Or Separately in cases where Housing Loan is obtained from other Banks / Financial Institutions Or Without any Housing Loans. This Home Improvement Loan can also be availed where a Housing Loan is already obtained from us and the liability is subsisting.
Purpose:
For furnishing house / flat with household furniture items, air conditioners, wardrobes, kitchen cabinets, refrigerator, washing machine, etc.,
Eligibility:
- Owners of House / flat who are salaried individuals / individuals engaged in business / professionals / self-employed. NRIs are also eligible.
Loan Quantum & Margin:
- When availed along with Housing Loan from our Bank, amount upto one year’s gross salary / income over and above the normal eligible amount for housing finance.
- In other cases, one year’s gross income / salary will be reckoned to determine the loan quantum under this Scheme.
- Subject to above, normally, the maximum loan quantum shall be Rs.2 lacs. Higher quantum considered selectively.
- If availed as a part of the housing finance from our Bank, then, the margin stipulated is 15%. In other cases, the margin is 20%.
Security:
- Hypothecation of assets created out of this loan.
- Mortgage of house / flat (if housing loan is availed from us)
- Suitable co-obligation / personal guarantee. Waiver considered selectively.
Repayment:
- In convenient equated monthly instalments upto 60 months.
Processing Charges:
- 0.50%of the loan amount minimum of Rs. 500, no hidden cost. No application fee.
Disbursements:
Amount will be normally disbursed only after acquiring ready built house / flat or completion of construction of house / flat or completion of repairs / renovations, etc., where the loan is availed along with housing finance. In case this loan is sanctioned independent of a housing loan then, the loan can also be disbursed against proforma invoice, etc.
Documents / Formalities:
- Stipulated Loan application with 2 passport size photographs
- Latest Salary Certificate and Form No.16
- ITAO / IT Returns (for professionals and non-salaried persons)
- Proforma Invoices, cost estimates
