Bajaj Housing Finance has launched a new offer, My EMI, for home loan customers. Under this option, Home Loan applicants can choose an EMI amount suitable for them in the initial period of the tenor.
In a statement, the company said that customers can pay as low as 0.1 per cent of the loan amount as EMI, starting at Rs. 4,999, for a period of up to 3 years, or till project completion, whichever comes first. The actual loan EMI would commence after this period, enabling borrowers to purchase a property without stretching their finances too thin in the initial period.
For example, if you take a loan of Rs 50 lakh to buy a house, you will have to pay just 0.1% of this amount, i.e. Rs 5000 per month as EMI for the first three years. The actual EMI will start only after three years of the loan tenure or the completion of the project, whichever comes first. This facility may be more suitable for customers booking a new float/house in ongoing projects.
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Customers can benefit from the My EMI offer by applying either online or offline. Bajaj Housing Finance’s home loan interest rates start from 8.20 per cent p.a. for salaried and professional applicants as part of their ongoing offer till 5th December. The lender said that prospective applicants also benefit from the option to choose to link their interest rate to an external benchmark, i.e., the RBI repo rate.
Bajaj Housing Finance Limited is a 100% subsidiary of Bajaj Finance Limited, which is one of the most diversified NBFCs in the Indian market, catering to more than 58 million customers across the country.
Should you take EMI?
In the case of a home loan, it is always better to start paying your actual EMI as soon as possible instead of delaying it. As more delay means more interest. If taking the My EMI offer, you should calculate how it will impact your total loan outgo. That said, the loan offer may be useful in case when you are certain about a project but don’t have enough funds to start paying full EMIs.