1. What is the minimum loan amount?
The loan amount depends on your repayment capability and is restricted to a maximum of 80% of the cost of the property or the cost of construction as applicable.
Repayment capacity takes into consideration factors such as income, age, qualifications, number of dependants, spouse's income, assets, liabilities, stability, continuity of occupation and savings history.
2. What are the loan tenure options?
You have the option of selecting a term you are comfortable with, ranging upto 25 years, provided the term does not extend beyond your reaching 65 years of age or retirement age, whichever is earlier.
3. How is the interest charged/calculated?
ICICI HFC has two schemes, (a) Fixed Rate Home Loans (b) Adjustable Rate Home Loans.
If you opt for an Adjustable Rate Home Loan, the interest rate would vary with the ICICI Bank Home Floating Reference Rate. Under the Fixed Rate Home Loans the rate applicable on the date of disbursement remains fixed during the entire duration of the loan. ICICI HFC also offers products with a combination of both these rates.
4. Do I have to pay any additional charges?
Please refer to Rates & Other Charges page.
5. What documents do I need to submit to avail a Home Loan?
Please refer the Documetation page.
6. How do I approach ICICIDirect for a Home Loan?
You can approach us in any of the following ways-
By clicking the Apply now link on the main Home Loan page
You can just walk into any of our ICICIdirect stores
7. How much time will it take for my loan to be approved?
It takes 48 hours your loan to be sanctioned after you have submitted all the documents.
8. Who can be the co-applicants for the loan?
You could include your spouse as a co-applicant for the loan and his/her income can be include to enhance your loan amount. Further, in case there are any other co-owners they also need to be co-applicants. Other than the spouse please check with your home loan counselor on the approved co-applicants for the loan.
9. Is a personal guarantor a must?
No, there is no personal guarantor required in most cases. Please check with your home loan counselor with your specific details
10. What security/collateral do I have to provide?
Typically the security for the loan is a first and exclusive charge of the property to be financed, by way of deposit of title deeds and/or such other collateral security as may be necessary. The title to the property should be clear, marketable and free from any encumbrances.
11. Can I prepay my loan?
Yes, you can make your prepayment in either part or full. There is no charge on part pre payment. In case of full prepayment, the charge levied is 2% of the principal outstanding at the time of foreclosure and amounts prepaid in the last one year, if any.
12. Do I need to open an account with ICICI Bank for availing and/ or servicing the loan?
You will be encouraged start a banking relationship with ICICI Bank so that a host of other value added services can be offered, which are complementary to the loan, however opening an account with ICICI Bank is not mandatory.
13. What are the stages involved in taking a loan?
There are three main stages -
Application - Whereby you submit a completely filled in application with all necessary documents
Sanction - Whereby you get an approval for a specific loan amount based on the value of your property and repayment capabilities
Disbursement - Whereby the loan amount is transferred
14. How is the loan repaid?
All loan repayments are done via equated monthly installments (EMI).
15. What is an EMI?
An EMI refers to an equated monthly installment. It is a fixed amount which you pay every month towards your loan. It comprises of both, principal repayment and interest payment.
16. When does the repayment start?
EMI payments start from the month following the month in which the full disbursement has been made.
17. What is the repayment tenure?
Repayment tenure is the tenure for the number of year for which the loan gets sanctioned. There are a wide range of options for the tenure of the loan. You can take a home loan for up to 25 years provided you do not reach the age of 65 years or retire within that period.
18. How is the EMI paid?
The EMI is to be paid every month through post-dated cheques (PDCs) or Electronic Clearing System (ECS). If you are opting for PDCs, then you will have to provide 36 PDCs upfront. The PDCs are to be dated on the 1st of every month. However, if you receive your salary a few days later, ICICI HFC provides the flexibility of dating the cheques for the 10th of the month. In case you have an ICICI Savings account you can also go in for the facility of Auto Debit.
ECS facility is available in selected cities only.
19. What if a PDC bounces?
In the case of a bounced cheque or delayed payment, charges and outstanding dues will be charged as per the prevailing company policy. You can replace old PDCs with new ones within 5 - 7 working days.
20. What is pre-EMI interest?
In the case of part disbursement of the loan, monthly interest is payable only on the disbursed amount. This interest is called pre-EMI interest (PEMI) and is payable monthly till the final disbursement is made, after which the EMIs would commence.
21. When do I pay PEMIs?
The first PEMI is payable by cheque and by the end of the month in which the disbursement is made and each subsequent PEMI at the end of every month till the commencement of EMI. In case you have an ICICI Savings account you can also go in for the facility of Auto Debit.
22. What is a Monthly Reducing balance?
An Equated Monthly Installment (EMI) has 2 components, interest and principal. When the interest is calculated on monthly rests, the principal on which the interest is charged goes down every month. This results in a significant saving for the customer over the tenure of the loan.
23. What is an Annual Reducing balance?
An Equated Monthly Installment (EMI) has 2 components, interest and principal. When the interest is calculated on annual rests, the principal reduces only at the end of the year. Therefore, you continue to pay interest on a portion of the principal that you have already actually paid back to the lending company.
24. When can I apply for a loan?
The moment you decide to buy a home, you can put in your application for a home loan. Yes, you can apply for a home loan even before you have selected the property. The loan amount would be sanctioned or approved for you, based on your repayment capability.
25. Can ICICIdirect assist me in selecting an accommodation of my choice?
Yes, ICICI HFC also assists you in searching for a property. This service provides assistance in identifying a property that fulfills your requirement from a vast database of properties, arranges for site visits to the properties shortlisted by you, and helps with legal documentation.
This service comes to you completely free of cost for first sale properties. This facility is available in select cities.You can visit the nearest ICICdirect store or contact your relationship manager for availing these services.You can also register for this service by clicking on the apply for Home search link on the main HL page.
26. Can I get a loan for commercial property, like offices etc.?
Yes, ICICI HFC gives loans to self-employed professionals for commercial property.
27. When will the loan be disbursed?
Your loan will be disbursed on :
Your identification and selection of the property
Submission of the legal documents
Legal and technical clearance of the property
Investment of your contribution towards the property
28. What is an amortization schedule?
An amortization schedule is a table giving the reduction of your loan amount by monthly installments. The amortization schedule gives the breakup of every EMI towards repayment of interest and outstanding principal of your loan.
29. Can I get IT certificates in the name of both the Applicant and co-Applicant separately?
As per the IT rules only one certificate can be issued for a home loan and hence one certificate will be issued in the name of both applicant and co applicant.
30. When is the IT certificate issued?
The IT certificate will be issued at the end of a financial year. You can expect to receive your copy of the IT certificate in the month of April or May.
31. How can I get the tax benefit during the year?
You can request for a provisional IT certificate that can be issued any time during the course of the year.
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