By Chaitali Dutta
My home loan began in January 2020. Since then I have received two installments from Pradhan Mantra Awas Yojana (PMAY) subsidy, amounting to Rs 1 lakh. The total subsidy is Rs 2.6 lakh. (A) When will they release the remaining subsidy? (B) While interest prices have come down to 6.8%, my home loan which was sanctioned at 8.6 % has not been decreased to that extent. It was decreased to 7.9% and that also following paying costs of Rs 5,900. What will take place to my PMAY subsidy balance if I adjust my home loan to yet another lender?
—R S Ghuman
There is no established timeline for the release of the PMAY subsidy. You will have to wait it out. Check if the floating interest price applicable to you (sanction letter) is linked to the repo price. If not, the interest price reductions are not passed on to the customer in a transparent way. If you do a balance transfer, you will drop the advantage of subsidy for the remaining unexpired period of the loan. Evaluate whether or not the loss in subsidy is reduce than the achieve in the interest price reduction, in which case you may well shift your loan to the new organisation.
I am the nominee of the policy holder. I do not have the original policy and have only the photocopy. Will it be accepted by LIC?
—N M Ahuja
I presume that you want to claim the spend-out on the policy holder’s life. In such a scenario, the original policy has to be made along with the claim type, death certificate, type of discharge and your identity proof and bank particulars. Only then the policy spend-out will take place.
Will a bank give me and my brother a joint loan to construct a residence?
—Amandeep Kohli
Yes, it is achievable. Siblings may well jointly apply for such a loan. The documents—proof of ownership of land, estimate of the expense of building by an authorised architect, each your earnings proofs and potential to repay—has to be established.
Will the bank assess industry price tag of a flat when finalising its worth?
—Ashok Kumar
For a new flat, banks do not go for an independent valuation. Loan is granted on the agreement worth. For a second sale, exactly where the purchaser is availing a home loan, the bank asks for house valuation certificate by their authorized valuer.
The writer is founder, AZUKE Personal Finance Advisory (www.azukefinance. com). Send your queries to