WHERE CAN YOU GET LOANS

1. From your Group Insurance Funds as follows:

(a) Army Group Insurance Fund (AGIF) gives loans to Army Personnel upto Rs 25 Lakhs at 9.5% rate of Interest. It takes about six months for PBOR and about one to two months for officers to get loans from AGIF. Army Personnel can benefit from Down Payment Scheme of reduced prices from private builders only if they register their homes within 30 days of loan disbursal. Loan is to be repaid before you retire and so calculate your loan eligibility based on your balance service.

(b) Air Force Group Insurance Society gives loans to Air Warriors upto Rs 15 Lakhs maximum at 8% rate of Interest. Air Warriors who wake up late and want to take a home late in their service are lucky and must know that AFGIS gives loan for repayment upto 10 years after retirement, which is not the case with Army or Navy schemes.

(c) Naval Group Insurance Fund gives loans upto 12 lakhs to Sailors and upto 25 Lakhs to Officers at 9% rate of Interest. Procesing takes just about one month to release the loan. Naval personnel can benefit from reduced pricing offered by private builders on DOWN PAYMENT SCHEME immaterial of the time of completion provided the same is from reputed and performing builders. Loan is to be repaid before you retire and so calculate your loan eligibility based on your balance service.

2. From Commercial Banks - Banks generally gives loans based on EMI not being greater than 45% to 60% of your Net Pay. You may write to us to seek advice on which bank offers the best rates as banks keep revising their rates and methods periodically. Generally based on builder reputation, Banks also give Down Payment Option for availing special pricing policy even if house completion is in the future.

3. House Building Advance from the Government - This is a very special advance and many loan desirees are not aware of this interesting scheme. In this scheme, you get very little amount to buy a home (just Rs 2.1 Lakhs) and so most people dont even look at this option. Also this Advance attracts 11% rate of interest. It is important to note that you must avail this loan first before you apply for AGIF / NGIF / AFGIS loans as the President of India becomes first mortgagee and these funds become second mortgagee. If you take the Group Insurance Fund loan first, then you automatically become ineligible for this loan. However some interesting facets of this loan is given below and all must avail it to enjoy its benefits:-

(a) Repayment is in 180 installments of which 120 months is for repayment of Principal and balance 60 months is for repayment of interest.

(b) You can get this loan till the last year of your service as the same is deducted from your terminal benefits. The advantage is that you can determine the EMI that you'd like to pay as per your cash crunch situation.

(c) The interest can be reduced down to 8% if you insure the house against natural calamities (2.5% less) and if you follow small family norms (sterilization), you get an additional rebate of 0.5%.

(d) This loan gets sanctioned within 30 days and so you dont have to wait for long.

4. Mortgage of Other Assets Sometimes you may be able to mortgage your other assets such as Fixed Deposits, other homes, landed property, etc to get loans from private funders / banks.

5. Special case Loans - For Critial cases, where an urgency can be proven and source of funds to repay the same is indicated, it may be possible for our Trust to put you through to Philanthropists who can give you interest free short term soft loans to meet your critical requirement. This is only for special cases and you must have a case at hand.