By Chaitali Dutta
l I am taking a sabbatical from work and will do an MBA. Can I take a education loan of `20 lakh for three years?—Gopal Kishore
Yes, you may take an education loan for this purpose. However, the lender may ask an earning member from your family, to be the co-borrower on this loan.
l Should I pledge some mutual fund units to take a loan or should I take a personal loan?—Vivek Sharma
If the loan is required to pay off a more expensive loan (say, a credit card rolling credit), then a personal loan may be considered. Here, the assumption is that there are no other assets to fall back on to reduce the liability. However, if the loan is required to acquire an asset, then taking a secured loan by pledging units of mutual funds may be considered.
l Can I repay the entire home loan which I got last year now as I have got some money from selling another property and do I have to pay any penalty?—Arun Handa
Yes, if it is a floating rate home loan, you can likely make full repayment on the home loan without any penalty.
l I had repaid my car loan and had moved to another city. As I am planning to sell the car, the transport authority is asking for a no-objection certificate from the bank. How will I get it?—Anshuman Kumar
This can be obtained online from the bank. Write an email to the bank branch, providing the details of the car loan.
l My wife has inherited a plot of land through a gift deed. As she is a housewife, can I take a loan and construct the house on the land?—E S Vijay
In this case, the loan has to be in your joint names with you taking the responsibility to pay the EMIs.
l In an education loan, can I start repaying within the first year instead of doing it after the moratorium period?—Samir Singh
Yes, if you have surplus funds, you may start doing lump sum repayments even in the moratorium period.
l For a gold loan, is it a good idea to pay the interest amount in one-go and get back the pledged gold?—Rishab
To get back the gold, the entire principal outstanding, as well as the interest on it, needs to be repaid. Then you will get back the physical gold.
The writer is founder, AZUKE Personal Finance Advisory. Send your queries to fepersonalfinance@expressindia.com