Central Bank of India Home Loan

Table of Contents

• Advantages of Central Bank of India Home Loans
• Central Bank of India Home Loan Interest Rate and EMI
• Eligibility Criteria for Central Bank of India Home Loan
• Central Bank of India Home Loan Schemes
• Central Bank of India Home Loan for NRI or PIO
• How To Apply for Central Bank of India Home Loan
• Document Checklist for Central Bank of India Home Loan

 

Introduction

Central Bank of India was the first commercial bank in India that was entirely managed and owned by Indians. It is one of the oldest and largest commercial banks in India. Having established in the year 1911, the bank has been providing financial needs to its customers for the past 106 years. The bank has 4730 branches across 27 states and 3 Union Territories. It provides a wide range of banking products and financial services to corporate and retail customers. Central Bank of India provides easy installments at a manageable interest rate and is considered to be one of the best in the market.

Central Bank provides Home loans for purchase of a flat or a house, for construction purposes and for renovating and repairing an already existing property. Any applicant for home loans can either apply jointly or individually. All of the proposed owners of the respective property will have to become co – applicants.

Advantages of Central Bank of India Home Loans

• Home loans are offered for both salaried and self – employed applicants
• Home loans are granted to individuals between 18 to 60 years of age.
• Central Bank’s Loan – To – Value Ratio is 90%
• The rate of interest starts from 8.50 %
• A low EMI of INR 769 for each lakh
• The bank offers a maximum loan tenure of up to 30 years
• Attractive interest rates with fixed and floating type ( as per the borrower’s preference)
• Less paperwork
• Low processing fees
• No prepayment charges
• Transparent application process
• Easy home loan balance transfer from other banks
• Door step assistance provided by exprerts
• Flexible repayment options

Central Bank of India Home Loan Interest Rate and EMI

The interest rates are as of 2019:

Central Bank Home Loan Schemes	Interest Rate
Cent Home Loan	8.55 %
Cent Home Loan to employees	Contact the bank to know more
Cent Home loan Plus	Existing rate + 1 %
Cent Combo	Concession of 0.25 % *
Cent Home Loan Double Plus	8.55 %
Cent Home Loan scheme for purchasing 3rd or 4th House or Flat	9.55 %

 

Central Bank of India EMI for various tenures and loan amount

Depending on the amount of loan, the EMI varies based on the repayment tenure at 15 years, 20 years and 25 years. The EMI will be high if the loan is taken for a shorter period and the EMI will be low if the loan tenure is high.

Amount of loan	For 15 years	For 20 years	For 25 years
Rs. 25 Lakhs	Rs. 24,765	Rs. 21,854	Rs. 19,400
Rs. 50 Lakhs	Rs. 49,531	Rs. 43,708	Rs.38,801
Rs. 75 Lakhs	Rs. 74,296	Rs. 65,562	Rs. 58,201
Rs. 1 Crore	Rs. 99,061	Rs. 87,416	Rs. 77,601

Eligibility Criteria for Central Bank of India Home Loan

Eligibility Criteria	Central Bank of India Home Loan
Eligible Age of Borrower	18  –  60 years
Work Experience for Salaried	2 years
Business Stability for Self Employed	2 years
Loan Amount Eligibility	Rs. 15 Lakh to Rs. 10 Cr
Maximum loan as percent of property value	Up to 90 %
Maximum EMI as percent of income	Up to 65 %

 

Central Bank of India home loan eligibility is calculated by taking various criteria into consideration like the borrower’s income, age, repayment capacity and property value.

By adding family members as co  –  applicants who are earning or by choosing a longer tenure for the loan the borrower can increase the Central Bank housing loan eligibility.

Central Bank of India Home Loan Schemes

The Central Bank of India grants a variety of housing loans like the Cent Home Loan, Home Loan Plus, Home Double Plus and Home Loan for the Central State Govt employees, PSU. The 1 – year MCLR offered by the bank is 8.60 %  p.a. and the tenure of housing loans can go up to 30 years.

 

1. Cent Home Loan

Key Highlights

• The borrower gets up to 90 %  of the value of the house up to Rs.30 lakh.
• Applicants from 18 years of age can avail this loan.
• Non – resident Indians are also eligible to apply.

Applicant category	Interest rate (p.a.)	Processing fee
Individuals or Group of Individuals or NRIs or Cooperative Societies	8.60 %  onwards	0.50 %  of the loan amount (max. Rs.20,000 + applicable tax)

 

2. Cent Home Loan Plus

Key Highlights

• This loan is available for existing borrowers of the bank who have been prompt in paying their mortgage EMIs for 3 years.
• Up to 10 years of loan repayment period
• A maximum of Rs.10 lakh is given as loan amount.

Applicant category	Interest rate (p.a.)	Processing fee
Existing housing loan borrowers	8.60 %  (for renovations) 1 %  more on existing rates (for refurbishment or purchasing TV, furniture, etc.	Rs.500 for each loan

 

3. Cent Home Loan to Employees

Key Highlights

• All permanent Central Bank of India, State Governments, and PSUs of Central Government are eligible.
• No guarantor required.
• Processing fees waived if employers hold a salary account with the bank.

Applicant category	Interest rate (p.a.)	Processing fee
Permanent employees of Central Bank of India, State Governments, and PSUs of Central Government	8.60 %  onwards	0.50 %  of the loan amount (max. Rs.20,000 + applicable tax) Waived on maintaining a salary account with the bank

 

4. Cent Combo Scheme

Key Highlights

• A concession is given if housing loan and vehicle loan are availed together.
• Applicants with a minimum annual income of Rs.4 lakh in the last two years as reflected in their IT Return can apply.
• The maximum loan amount is Rs.40 lakh.

Applicant category	Interest rate (p.a.)	Processing fee
All applicants	Home Loan: Concession rate of 0.25 %  for  all loan slabs (a minimum MCLR is charged) Vehicle Loan: Concession rate of 0.5 %  for all  loan slabs (a minimum MCLR is charged) MCLR: from 8.60 %	A 0.25 %  of the total  loan amount (a maximum of  INR.20,000 + tax)

 

5. Cent Home Double Plus Scheme

Key Highlights

• The loan scheme can be availed either as a term loan or as an overdraft facility based on the borrower’s purpose.
• Upto 30 yrs repayment period.
• Any individual above 18 years can apply.

Applicant category	Interest rate (p.a.)	Processing fee
All applicants	8.60 %  onwards	0.50 %  of the entire loan amount (max. Rs.20,000 + applicable tax)

 

6. Cent Home Loan Scheme for purchasing 3rd or 4th flat or house

Key Highlights

• Can be availed on flat or house which is not more than 40 years and the leftover life of property is 10 years greater than the period of repayment.
• The period for repayment ranges from 25 years to 30 years.
• The loan can be availed by an individual or jointly.

Applicant category	Interest rate (p.a.)	Processing fee
All applicants	9.60 %  onwards	0.50 % of the entire loan amount (max. Rs.20,000 + applicable tax)

Central Bank of India Home Loan for NRI or PIO

NRIs or Non – Residential Indians are individuals who are settled overseas for employment, educations and other personal reasons. A person is considered as an NRI if he is a citizen of India who resides abroad and is an overseas cardholder.

Applicant must be an employee with a fixed income or can also be a self – employed, with a good income or must be having a business. The applicant must be staying in abroad for at least 1 year.

 

Eligibility (Income or Remittances):

One of the following conditions should be fulfilled in order to become eligible:

1. The NRI applicant must have a gross annual income that is either equal to or more than INR.3 lakhs p.a
2. The applicant must have a minimum of INR.3 Lakhs as gross remittance in his or her NRE or NRO or FCNR during last 3 years should be made

 

Eligibility (Age):

The individual should be between 21  –  60 years of age. Any applicant who is 21 years and above can easily avail a loan if the applicant matches the required eligibility criteria. However, the upper age limit is 60 years and in the case of salaried applicants.

 

Security:

To avail a home loan from the Central Bank of India, the borrower needs to produce something expensive or valuable as a security. From the perspective of the bank, the security is an assurance, in case if the applicant is not able to pay off the installments or EMIs. In such cases, the bank has an option, and can easily sell off the properties in order to get their money back. An applicant has to mortgage its property. If the loan is borrowed by a salaried applicant who has already availed a loan from his or her organization the person has to give a second charge over the particular property.

How To Apply for Central Bank of India Home Loan

You can either apply online or visit a nearby Central Bank of India Bank branch for the application. You can also download the home loan application form from the Central Bank of India Bank official website, complete the form and submit it the bank representative.

 

EMI Payment Methods

The borrower can repay his Central Bank of India Bank home loan in following ways:

Post – Dated Cheques (PDCs):

The borrower can submit the post – dated EMI cheques by any other Bank account in the nearest Loan Centre of Central Bank of India Bank. A new set of PDCs should be submitted on time. It is to be noted that Post Dated Cheques shall be collected only in non – ECS locations. It is recommended that you opt for either the SI or ECS mode of payment for faster and less prone to error than the use of PDCs.

Standing Instruction (SI):

If the borrower is an existing account holder at the Central Bank of India Bank, Standing Instruction is the best mode of repayment. Your EMI shall be automatically debited at every monthly cycle’s end from the Central Bank of India account that is specified.

Electronic Clearing Service (ECS):

This mode can be utilized if the borrower has a non – Central Bank of India Bank account and would like his EMIs to be automatically debited by the end of every monthly cycle from the account.

Document Checklist for Central Bank of India Home Loan

Important documents to be submitted while applying for home loan with Central Bank of India

• Completed loan application
• 3 photographs (Passport size)
• Identity Proof (copies of Passport or Voters ID card or  IT PAN card or Driving license)
• Proof of residence (copies of latest  Electricity Bill or Telephone Bills)
• Bank Account Statement or  Pass Book (past 6 months)
• Form 16or IT returns for the last two financial years for salaried employees
• IT returns for the three years for self – employed professionals
• Receipt of Property tax
• Proof of business address for non – salaried individuals
• Personal assets and liabilities statement

 

For guarantor (wherever applicable):

• 2 photographs (passport size)
• Signature identification issued by present bankers
• Proof of residence
• Personal Assets and Liabilities Statement
• Proof of business address
• Proof of identification

 

While applying for a housing loan from the Central Bank of India, you will be required to submit the below documents:

Any one identity proof	Copy of valid passport or  PAN Card or  Driving license or  Election Card or  Aadhaar Card
Any one address proof	Aadhaar Card or  Copy of utility bills or  Voter ID or  Driving license or  Copy of valid passport
Proof of income	Latest Form 16 or Income Tax (IT) Returns or  Recent salary slips
Other documents (Not all documents are mandatory. The bank will give you a list of all the mandatory documents)	Valuation certificate issued by the approved valuer or  NOC from the housing society or  Agreement for construction with Developer or Builder or  Sale agreement or  Original property title deeds or  Approved construction plan

 

The Central Bank of India lends financial services to people from all sections of the society with its low processing fee and attractive rate of interest. The bank offers both fixed and floating rate of interests as per the customer’s preferences. Moreover, the borrowers are allowed to repay their home loans without any charges of penalty.