United Bank of India Home Loan

Table of Contents

• United Bank of India Home Loan Interest Rates
• Eligibility Criteria for United Bank of India Home Loan
• United Bank of India Home Loan Schemes
• United Bank of India Home Loan for NRI or PIO
• How to Apply for United Bank of India Home Loan
• Document Checklist for United Bank of India Home Loan

Introduction

There is no dearth of home loan schemes in the market with a host of lenders like banks, NBFC and Housing Finance Companies wooing the prospective borrowers with an array of offers. The construction cost of houses have skyrocketed beyond the reach and it is here that the United Bank of India with its bouquet of home loans is playing an important role in bridging the fund gap to enable individuals from realizing the dream of owning a house.

The key features of UBI Home Loans are:

• Repayment for long tenure up to 30 years.
• Low interest rates linked to MCLR.
• Easy documentation.
• Provision of online application.
• Lowest EMI per lakh at Rs.772 for 30 years.
• Attractive tax benefits under the Income Tax Act 1961.

United Bank of India Home Loan Interest Rates

Interest Rates are as of 2019

UBI interest regime is linked to the MCLR pattern which varies according to the repo rate determined by the RBI from time to time.

Eligibility Criteria for United Bank of India Home Loan

The eligibility norms set at United Bank of India is as follows:

In addition to these specific eligibility norms, there are a few other important parameters at the uniformly applicable to all the schemes.

United Bank of India Home Loan Schemes

It is now time to recapitulate the interest applicable in various United Housing Loan Schemes. It should be important to note the primary determining factors of the loan are:

• MCLR where H is Half Year and Q is Quarter
• Floating rate

Types Housing Loan Schemes

As already learnt, there are a host of schemes offered by UBI. The schemes are innovatively designed providing a lot of flexibility to the borrowers to choose the best to one’s advantage.

United Housing Loan: It is the primary home loan offering the whole gamut of possibilities to suit your preference and project. In general, the following can be highlighted as the key features of this loan.

• Type: Term Loan
• Tenure: Up to 30 years, or 70 years of age other than pensioners.
• Interest type: Floating linked to MCLR.

United Housing for Pensioners: As the name suggests, it is specially designed for pensioners, who are mostly senior citizens, thereby giving credence to this category of borrowers.

United Platinum Housing: This loan is specifically designed to cater to permanent staff of offices in State or Central Government, Statutory bodies and PSUs with certain concessions as under:

• Interest: Floating MCLR Q, which is currently 8.45% and lower compared to others by 10 basis points.
• Direct deduction in the salary and remittance to the loan.

United Home Advantage: This loan is laced with a unique feature of overdraft facility with reducing drawing power. The features to specially look for are:

• You can park your surplus funds in the account and withdraw it provided the drawing power permits.
• You are able to mitigate your total interest outgo.
• This facility can be availed of only after the final disbursement has been made.

United Affordable Housing: There are three schemes in this category of loans The three schemes with the bank are:

• United Affordable Housing Loan
• United Affordable Housing for MIG
• Rural Housing Subsidy

United Bank of India Home Loan for NRI or PIO

UBI has a specific scheme targeted at the NRI and PIO component of their clientele. The advantage of housing proposals from them is that they are cash rich in hard currency that gives them greater value in INR. Many NRIs have taken to owning houses or flats by availing of housing loan as a form of investment yielding high returns. However, their fund management is governed by the rules of RBI and FERA regulations.

Housing Loan for High-net-worth Individuals

There is no clear definition of who constitute the class of High – net – worth individuals than the fact that they hold abundant liquid assets. It is advantageous for the bank in extending home credit to them as there is no possibility of the credit turning sticky. Ideal for them is the United Combo Loan Scheme which is a combination of housing and a car loan.

Eligible amount in this loan scheme

This loan makes all those borrowers who have availed of housing loan of over Rs.15L. In addition, the purchase of the car is financed with concessions, especially in the application of interest lower by 0.25 %.

UBI Home loan for NRI

As the name suggests, this loan is meant for the NRI and PIOs who intend to purchase or build a house or flat.  The key features of this unique and attractive loan are:

Eligibility:  Any NRI or PIO.

Purpose: All the purposes specified in the United Housing Loan, plus the following.

• To bridge the gap of housing finance provided by the employer.
• Loan up to only two units.
• The loan can be for residence or a combination of residence and commercial.

Quantum of Loan: The following are the factors that determine the quantum loan to be afforded.

• The lowest amount of the loan requested.
• 75 % of the cost of property including the registration and stamp duty applicable.
• Repayment capacity of the applicant.

Security:

• Equitable mortgage of the property.
• Interim security for under construction property.

Margin: A flat 25 % of the project cost subject to the following norms:

• Based on cost price or the market value, whichever is less.
• The full margin money has to be spent before disbursal of loan.

Repayment Tenure: A maximum of 25 years subject to liquidation of the loan at 60 years age of the borrower.

Documents Required:

• KYC Documents.
• Copy of employment contract or offer letter in English duly attested by the Indian Embassy or bank branch in that country.
• Details of the employer.
• Borrower profile and CV.
• Latest salary slip duly attested.
• Copy of Passport Visa stamped and valid visa.
• Bank statements for last 6 months.
• Assets and liability statement duly notarized.
• A General power of Attorney in our format in favor of a blood relation supported by KYC documents.
• Copy of CDC for Mariners.
• Property documents.
• Details of NRE/ NRO account for payment of EMI.

How to Apply for United Bank of India Home Loan

UBI has an online facility designed specifically for the application process. The online application procedure is quite elaborate asking you to populate the relevant fields. The submission of the online form is only an expression of interest. The appraisal and scrutiny of the proposal are to be accomplished in the branch within the command area where your residence is located. It can also be directed to the retail hub if available in your vicinity. In fine, they offer a seamless loan processing experience to you.

Document Checklist for United Bank of India Home Loan