Step by Step Complete Guidelines About Engineer Loan on Propertyby Alisha Antil Financial Blogger
Financial products are usually tailor-made for applicants belonging to different streams, as they are likely to have unique financial requirements. Similarly, financial institutions offer a specialised line of credit to engineers, assisting them during their time of need. If an ordinary engineer loan fails to meet your monetary requirements, an engineer loan on property is another option open to you. It is one of the types of loan against property available in India.
Listed below is detailed information regarding such loans. Read on if you are looking to apply for this credit in the future.
Eligibility criteria for engineer loan on property
Financing institutions verify certain personal and financial factors about the applicant before sanctioning said loan. Listed below are the aspects that determine your engineer loan eligibility.
An applicant must be a self-employed or consultant engineer.
An applicant must own the property against which he/she is opting for this loan.
An applicant must hold at least 3 years of working experience as an engineer.
An applicant must belong to the eligible age group, which varies from one lender to the next. Generally, this acceptable age bracket is between 25 and 65 years.
Keep in mind that based on your financing company, these eligibility criteria are liable to change. Before application, enquire about the same with the lender of your choice.
Before you apply for an engineer loan on property, you should also figure out the documents necessary for hassle-free approval.
Proof of identification.
Proof of income, including income tax returns for the preceding years.
Self-employed individuals must present proof of business.
Details or proof regarding your engineering degree.
Proof of property ownership.
Property papers, including the deed and tax receipts.
Duly filled up application form, containing your information.
If you meet the eligibility criteria and can provide the necessary documents, you will be able to apply for an engineer loan on property.
Process for engineer loan application
Now that you know what you need, here is a look at the correct procedure for engineer loan application. Simply follow the steps mentioned below to ensure a hassle-free loan approval.
Step 1: Filling out the application form
The first step involves filling out the loan application form. Ensure you provide accurate information without making a mistake. An error in this form can result in loan rejection.
Step 2: Pick the loan amount
Based on your eligibility and requirement, choose the amount of money you want to borrow from the financing company. Borrow only as much as you need to reduce unnecessary financial burden during loan repayment.
Step 3: Select repayment tenor
Choosing the loan tenor is a crucial step that can influence your repayment process. Picking shorter tenor increases monthly instalments while keeping the overall interest on the credit in check. However, if you opt for longer tenor, EMIs are smaller resulting in a greater cost of the loan. Choose carefully based on your financial condition.
Step 4: Loan approval
The time it takes for your loan to be approved differs from one lender to the next. Most NBFCs today offer instant approval, with some loan sanctions in just 24 hours after application.
Step 5: Submitting documents
After approval, submit the necessary documents to the lender and after verification of the same, the loan amount will be disbursed.
This is how you apply for an engineer loan against property. With complete online integration, the process has become much simpler to follow.
Benefit of loan against property for engineers
Normal engineer loans are a form of unsecured credit. Therefore, for such a loan, the principal amount is lower. Additionally, the rate of interest for unsecured loans is generally higher than secured credit, due to the lack of collateral in the former.
On the other hand, in the case of an engineer loan on property, you can apply for a more substantial amount of credit. The tenor is flexible, ranging between 2 years and 20 years, minimising your financial burden. Therefore, opting for a loan against property is considerably more beneficial when engineers require emergency funds.
Companies like Bajaj Finserv also provide pre-approved offers to make the loan application process simpler and faster. These offers are available on many secured and unsecured credits, such as personal loans, credit cards, loan against property, home loans and more. You can check your pre-approved offers by providing your phone number and name.
Created on Feb 21st 2020 01:00. Viewed 346 times.