DCB Bank Home Loan
Home Loan Bank Information
Table of Contents
- DCB Bank Home Loan Interest Rates
- Eligibility Criteria for DCB Bank Home Loan
- DCB Bank Home Loan Schemes
- DCB Bank Home Loan for NRI or PIO
- How to Apply for DCB Bank Home Loan
- Document Checklist for DCB Bank Home Loan
Introduction
DCB Bank is a modern day private sector bank which boasts of contemporary technology and a professional management. It is endowed with state of the art facilities providing online banking options both to the personal and business banking customers.
The history of DCB bank can be traced to 1930 when it was promoted by Aga Khan Fund For Economic Development (AKFED) and the Platinum Jubilee Investments Ltd. With its deep roots in India, they are well attuned to needs of customers, which presently number about 6 lakhs.
Reputed to be new generation, DCB bank has come forward with their home loan product suitable in many ways to help home ownership. It has a pan India presence in 19 States and 3 Union Territories with over 330 branches to cater to the home loan market with some innovative features.
Once the target property has been identified, the next step entails that you look for a suitable home loan solution matching your needs and the financials. DCB Bank is just the type to approach for your fund need.
DCB Bank Home Loan Interest Rates
Interest Rates are as of 2019
Working out the financials is the next step in your venture of home ownership. It takes an analytical mind to work out the cost of capital and what better than looking up the interest regime at DCB Bank.
In fact it is the one crucial factor that impacts the cost of capital. At DCB Bank the various interest patterns for consideration are:
| Benchmark Lending Rates in DCB Bank in Q2 2019 | |
|---|---|
| DCB Bank BASE Rate | 10.64% since 5th Sep 2018 |
| DCB Bank BPLR | 17.69% |
| DCB Bank MPLR | 17.44% |
| MCLR Range | |
| ON (Overnight) | 9.19% |
| 1M (One Month) | 9.29% |
| 3M (Three Month) | 9.34% |
| 6M (Six Month) | 10.09% |
| 12M or 1Y (One Year) | 10.84% |
Accordingly, the interest rate charged by DCB bank in the home loan product applicable in 2019 quarters is:
| The Interest Rate Home Loan at DCB Bank | ||
|---|---|---|
| Product | Minimum | Maximum |
| Home Loan | 9.50% | 15.00% |
Eligibility Criteria for DCB Bank Home Loan
The eligibility criteria for home loan are important as it determines which scheme fits your bill best in alignment with your specific requirements. It is therefore of importance to be aware of the eligibility norms and use the eligibility calculator generously to arrive at the ideal solution to enable you to make an informed decision.
| Eligibility criteria for DCB Bank Home Loan | |
|---|---|
| Home Loan | |
| Nationality | Resident Indians |
| Target Types |
|
| Property Types |
|
| Age | Minimum:23 years |
| Maximum: 65 years on maturity of loan | |
| Loan Amount |
|
| Loan Tenure | Up to 30 years |
| LTV Ratio | 90% of the cost of property |
| Insurance | Attractive insurance plans are offered to the extent of loan amount for death and critical illness cover. |
While knowing the eligibility criteria is critical to choosing your right scheme of home loan, it is also imperative to get acquainted with the features with the DCB Bank home loan which are somewhat unique.
Some of the redeeming features worth noting are:
- Maximum Quantum of Loan: The evaluation of the loan application at DCB Bank factors in your income and cash flow to reckon the eligibility amount. In plain language it means that your creditworthiness is assessed while determining your loan amount.
- Seamless Approvals: At DCB Bank the approach to the processing of loan proposals are customer centric with their relationship managers extending a helping hand at every stage to seal the deal in your favor with the appropriately suited home loan scheme for you.
- Wide Network: The DCB Bank boasts a presence in 66 cities pan India to cater to the needs of their customer base for servicing the loan proposals.
DCB Bank Home Loan Schemes
The Home Loan schemes offered by DCB Bank encompass a host of purposes practically helping you with solutions for all the needs.
The loans are in the form of term loans with a choice of selecting the floating rate of interest or fixed rate. You are free to choose that best serves your purpose. While the floating rate is linked to the MCLR, the fixed is with the other benchmark lending rates in currency at the bank.
Having familiarized with the different features of the home loan product at DCB Bank, it is time to recapitulate and refresh your memory with the crucial information about the interest rate and the service charges that ultimately impacts your cost of capital.
| The Interest Rate for DCB Bank in 2019 | ||
|---|---|---|
| Product | Minimum | Maximum |
| Home Loan | 9.50% | 15.00% |
Now that you are aware of the various rates of interest, it is critical for you to have a broad overview of all the service charges levied by DCB Bank with respect to your home loan.
| Various Service Charges Applicable to DCB Bank Home Loan | |
|---|---|
| Fee Type | Particulars |
| Processing | 2% of the loan amount subject to a minimum of Rs.5000 + GST to be paid at the time of application separately through a cheque. |
| Annual Maintenance | 1% of the outstanding loan amount where the utilization is less than 70% |
| Prepayment | Free for floating rate home loan |
| Re-pricing | 1% of the outstanding amount subject to minimum Rs.5000 + GST |
| Penal Interest | .3% per month |
| Cheque /ECS Swap | Rs.500 + GST per instance |
| Document Retrieval | Rs.500 + GST per instance |
| Cheque Bounce | Rs.500 + GST per instance |
| Amortization | Rs.100 + GST per instance |
| Statement of Account | Rs.100 + GST per statement |
| Foreclosure Statement | Rs.100 + GST per statement |
| NOC | Rs.100 + GST |
| Copy of Loan Agreement | Rs.500 + GST per instance |
Types of DCB Bank Home Loan
By now it is amply clear that the bank offers only term loan and there is no facility of overdraft facility which many lenders offer to widen the choice to borrowers. The interest regime is also confined to both the floating and fixed rate, of which the former is more popular and usually chosen by the borrowers.
It is also clear by now that the DCB Bank offers the borrower a wide choice of fund usage covering all the possible scenarios in home ownership. Be that as it may, it is time to look up the overall view of home loan schemes offered by DCB bank.
Main Home Loan by DCB Bank
Home Loan: It is an all encompassing home loan product from the retail loan stable of DCB Bank extending across the entire gamut of possibilities to make optimum usage of the fund. The various purposes for which the DCB bank housing loan can be taken are:
- Acquisition of ready property
- Purchase of under construction property approved by DCB Bank.
- Self construction of house
- Home improvement / addition / alteration / renovation / repair / furnishing
- Balance Take Over with top-up for additional funds
On top of all these, DCB Bank offers a seamless experience pertaining to application of home loan to disbursement process through its wide network of branches and the system of relationship managers.
The balance takeover not only offers the best deal but also provides you with additional funds through a top-up loan for funding your needs.
DCB Bank Home Loan for NRI or PIO
The NRI clientele at the DCB Bank occupies a pride of place with a host of services for their benefit. Some of the NRI Services offered by the bank are:
- Accounts
- Deposits
- Remittances
- Portfolio Investment schemes.
In fact the coverage is quite wide in the services offered, but as of now credit facilities are not provided to the NRIs. Notwithstanding this, a NRI is governed in his dealing in the country as per the guidelines framed by the RBI and the regulations of the FERA.
While there is no bar on their investment in immovable properties other than farm lands and plantations. Repatriation of funds on disposal of the property is limited to the extent of the value of funds used to procure it.
Housing Loan for High-net-worth Individuals
It is still a new concept in the banking industry in our country where HNWI are considered elite. As an unwritten law, many customers get special attention in Indian bank branches if they hold abundant assets.
There is no standard yardstick to determine a HNWI other than the measure just stated. But some do offer premium services to such individuals, yet there are no standard norms to identify one, except for each bank defining the norms.
Since Indian economy is one of the fastest growing in the world, it is implied that the number of such individuals will be on the rise. Banks too will adapt offering wealth management services to HNWI in the long run.
Though at DCB Bank there is no specific premium home loan scheme. The home loan offering Rs.5C is reasonable enough to cater to the need of this class of clients. On the flip side, HNWI are expected to propose high cost projects for home loan and it shall be a boon to the bank’s home loan portfolio.
Loan amount permitted under this scheme
It is amply clear that at DCB Bank the home loan scheme offers a reasonably high amount of loan to cater to a wide cross section of prospective borrowers.
In the home loan segment the maximum loan amount permitted is Rs.5C.
DCB Bank Home Loan for NRI
NRIs are an important segment of the client base at the bank. They are provided with a host of services pertaining to their investment avenues including the different types of accounts they can access and the types of deposits they can make. They are also provided with portfolio investment scheme.
Despite such a wide coverage to the NRIs, there is no credit facility to them including a suitable home loan. There is no bar in their investment is immovable property as per RBI, yet the scheme has been lacking. While discussing the various options for the NRIs, it is also critical to have a clear picture about them.
In very simple words a NRI or the full form Non Resident Indian is self explanatory signifying that he resides abroad. Thus a NRI can be described as one who is an Indian citizen residing in a foreign country for earning his living through employment or business. As per the definition for the purpose of Income Tax, a NRI is a citizen of India who has resided in any other country for 182 days or more in a Financial Year.
Since the earnings are generally in hard currency, it is advantageous both to the bank as well as the individual gaining from the conversion differential.
How to Apply for DCB Bank Home Loan
The bank has a wide network of over 300 branches to cater to the needs of prospective borrower. The states covered are mostly in the West, North and the South of India. You can approach any of their branches with your credentials and they will be glad to assist you in the process of selection of your ideally suited home loan product.
The process may be broken up in the following steps:
- Submission of application along with your documents pertaining to KYC and income.
- The loan application will be evaluated and your documents verified and an offer letter issued.
- Acceptance of the offer letter and submission of property documents and other legal papers.
- Vetting of the documents and sanction of loan.
- Signing of the agreement, post-sanction documents and disbursal.
You can choose to access Houisng.com for assistance in the application process.
Document Checklist for DCB Bank Home Loan
Proper documentation is an important part of the home loan application process. An appropriate checklist is a handy tool to ensure its correctness.
| Documents | Salaried | Self Employed |
|---|---|---|
| Application Form | Duly signed by all the applicants | |
| Photographs | Signed across the face | |
| KYC | Valid Identity, Address and Age proof | |
| Bank statement | Last six months | Last one year |
| Income proof | 3 salary slips / certificate | 3 years ITR |
| Turnover | NA | GST statement |
| Continuity | 2 years Form 16 | Trade License |
| Processing Fee | Cheque required | |
| Additional documents for non individuals | ||
| Sole Proprietor |
Registration Certificate Trade License GST statement ITR Copy of Utility bills |
|
| Partnership |
Copy of partnership deed Registration Certificate |
|
| Companies |
Incorporation Certificate Copy of MOA Copy of AOA Board Resolution |
|
| Applicable to all Transactions | ||
| Property Documents |
Title deeds for execution of mortgage Tax receipts Search reports |
|
| Loan disbursal documents |
Signed Loan Agreement Repayment instruments |
|