Overview
PAL stands for ‘Pre Approved Loan’.
Once the bank has checked your credibility, you can get a loan from them even before you have decided on the property. This way, you can negotiate boldly with the builders or sellers for the cost of the property.
rate trends:
- Min Loan Amount – 20 Lacs
- Max Loan Amount – No upper limit
- Interest Rate – Floating 9.55%
Key Features
Since the grant of the loan does not depend on the property to be bought, you can freely decide on the property you want.
- Pre-approved loan arrangement letter (PLAL) will be valid for a period of 3 months. If Property papers are submitted by the borrower within the validity of PLAL, processing fees will not be levied again.
- If not submitted, 50% of the processing fees will have to be paid again.
Eligibility
Eligibility will be decided by SBI by taking into account your repayment capacity, CIBIL score.
Processing
Fees
For all applicants:
For loan amount Up to 25lacs- 0.25% of loan amount. Minimum Rs1000
Between 25lacs and 75Lacs - Rs 6500
Above Rs 75lacs - Rs 10,000
Document Required
List of papers/ documents required:
- Completed loan application available on the site
- Identity proof (photo copies of Voters ID card/ Passport/ Driving License/ IT PAN card)
- Residence proof (photo copies of recent Telephone Bills/ Electricity Bill/Property tax receipt/ Passport/ Voters ID card)
- 3 Passport size photographs
- Last 6 months-Bank Account statement or Pass Book
- Signature identification from present bankers
- Statement of Personal Assets and Liabilities
- Property documents
Additional documents required for salaried persons:
- Original Salary Certificate from employer.
- TDS certificate on Form 16 or copy of Income Tax returns for last two financial years, duly acknowledged by IT Dept.
- Additional documents required for Professionals/self- employed/ other IT assesses:
- Acknowledged copies of I.T. returns/ Assessment Orders from the last three years.
- Photocopies of receipts proving payment of Advance Income Tax.
Note: All documents listed above are only indicative of the general list of documents requested by the bank, these may vary depending on your location and financial history. Do check with your bank while applying for the loan.
State Bank of India (SBI)
Introduction:
State Bank of India is the largest banking and financial services company in India. It has around 16,000 branches including 190 foreign branches and assets worth INR 2.46 lac crore.
It is regulated by the RBI.
Spread across all states, it has subsidiaries like
- State Bank of Bikaner & Jaipur
- State Bank of Hyderabad
- State Bank of Mysore
- State Bank of Patiala
- State Bank of Travancore
It also has branches at Moscow, Colombo, Dhaka, Frankfurt, Hong Kong, Tehran, Johannesburg, London, Los Angeles, and Male in the Maldives, Muscat, Dubai, New York, Osaka, Sydney, and Tokyo and offshore banking units in the Bahamas, Bahrain, and Singapore, and representative offices in Bhutan and Cape Town.
they are a good option for the ?
Their most popular home loan products are:
- Maxgain
- NRI
- Yuva
- Realty
- PAL
- Her Ghar
Advantages of borrowing from this bank:
Being a government owned bank, they are trustworthy and have the lowest interest rates in the market. They also charge the lowest processing charges.
Disadvantages of borrowing from this bank:
Documentation is heavy
- Time taking process
- They levy an extra charge for advocate advice and valuation in cases where legal advice is required.
More Schemes
Check how much you can save
