is the Home Loan from LIC is similar to taking home loan form Nationalize bank?



is the Home Loan from LIC is similar to taking home loan form Nationalize bank?
is the Home Loan from LIC is similar to taking home loan form Nationalize bank, can I take home loan from a Jeevan Ananad Policy-against the premium paid my be. will this be cheaper than the home loan taken from Loan.
or
Not against the policy, if LIC give the home loan-how the formalities are, easier than the bank or similar to the bank. do they give weightage to the policy holder?

is the Home Loan from LIC is similar to taking home loan form Nationalize bank?
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2 Replies to “is the Home Loan from LIC is similar to taking home loan form Nationalize bank?”

  1. Formalities are same.Just check the prevailing interest from both i.e. LIC & Bank & compare EMI of similar period before availing loan from any one.Do not forget to check about charging of pre-payment penalty now waived by banks.


  2. First of all, L.I.C. Housing Finance Company is not a Bank but an N.B.F.C. (Non-Banking Finance Corporation) and hence is not same as a Nationalized Bank.

    A Nationalized Bank comes under the purview of the Government / R.B.I. whereas an N.B.F.C. is regulated by the N.H.B. (National Housing Board) which in simple words means that the E.M.I. in case of both the institutions for a same Interest Rate would not change but the Interest rate on the Loan will fluctuate over the tenure based on the guidelines of their respective regulatory boards as mentioned above, which makes a Nationalized Bank a clear choice.

    As for your other question whether your Loan against L.I.C. policy would be cheaper or no, you can visit http://www.thinkplaninvest.com/2009/09/loan-against-lic-policy/

    Apart from this, if you would be interested to compare the classic home loan offers of various private banks in India, you can visit http://www.moneyleo.com/home-loan.php





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