What is the Tenure of Loan Against Rent Receivables?

The tenure ranges from 12 to 108 months.

What Documents are required for Loan Against Rent receivables?

• KYC Documents (Identity & Address Proof)
• Property documents
• Leave and License agreement copy
• 12 months’ bank statement to which rentals are credited

Charges associated with LARR

Rate of Interest: Interest to be charged at 9% to 12% Repayment Period Loan to be repaid in Equated Monthly Instalments (EMI) with a maximum period of 10 years or unexpired period of lease, whichever is less. Repayment to commence one month after disbursement. Processing Fee One time processing fee @ 0.50% of the loan amount with Minimum of Rs.1000/- Insurance Insurance for full market value of properties in the name of borrower(s) to be mortgaged to Bank with Bank clause. Insurance to cover risks such as fire, riot, earthquake etc.

How is LARR repaid?

• Post Dated Cheques for the tenure given.
• By way of ECS
• SI from the borrower's a/c with the Bank Loan against Rent Receivables is a loan product designed by lenders especially for addressing the financial requirement of applicants having a self-owned property given on rent. This product enables them to get liquidity against expected future rentals of the property.

Purpose of availing Loan Against Rent Receivables

These kinds of loans can be used instead of personal loans. Since your property is used by the bank as security against which you are given the loan, the interest rates tend to be lower than the rates for other types of loans, helping you save money in the long run. Whatever your requirement may be – be it a medical emergency, wedding expenses, home remodeling, or even for debt consolidation, a loan against rent receivables could help you.