Home Loan Par Interest Kaise Lagta Hai| How Home Loan EMI system Work скачать в хорошем качестве

Home Loan Par Interest Kaise Lagta Hai| How Home Loan EMI system Work

Interest on a home loan is typically charged on a reducing balance method. This means that interest is calculated each month on the outstanding principal amount, not on the original total loan amount. The equated monthly installment (EMI) you pay consists of both principal and interest components. Here is how the reducing balance method works: Initial EMI: In the early stages of your loan repayment, a larger portion of your EMI goes toward paying off the interest, with a smaller amount going toward the principal. Decreasing principal: With each EMI payment, your outstanding principal balance is reduced. Decreasing interest: Since the interest is calculated on the remaining principal, the amount of interest you pay each month also decreases over time. As a result, a larger and larger portion of your EMI is allocated to paying down the principal. Types of interest rates There are two main types of interest rates for home loans: Fixed interest rate: The interest rate remains constant throughout the entire loan tenure. This provides predictability for your monthly EMI payments, making it easier to budget. Fixed rates are generally higher than floating rates to compensate the lender for the risk of future rate hikes. Floating interest rate: This rate is variable and fluctuates according to changes in a benchmark rate set by the central bank (like the RBI in India). If the benchmark rate decreases, your EMI may go down, reducing your overall interest cost. Conversely, if the benchmark rate increases, your EMI could also rise. Factors that influence the interest rate Several factors determine the specific interest rate a lender offers you: Credit score: A higher credit score indicates strong financial discipline and can help you secure a lower interest rate. Market conditions: The overall economic climate, including inflation and central bank policies, directly influences interest rates. Loan amount and tenure: The size of your loan and the length of the repayment period can also affect the rate. Applicant's income: A stable and high income suggests a lower risk to the lender, which can lead to better rates. Down payment: Making a larger down payment reduces the principal amount you need to borrow, which can result in a more favorable interest rate. #homeloanprocess , #homeloan #homeloaninterestrate #emicalculator Important Loan video Link: 1-Home loan Kitna Milega-    • Home Loan kitna mil sakta hai|Home loan Pr...   2-Home Loan Fees and Hidden Charges-    • Home Loan Processing Fees and Other Hidden...   3-PMAY Home subsidy Scheme Detail -    • Pradhan Mantri Awas Yojana Details in Hind...   4- Home Loan Transfer From one Bank to Other Bank-    • Home loan transfer process in Hindi|Home L...   5- Home Loan Full Process in Hindi-    • How to Get a Home Loan in India #homeloan    6-CAR loan process and Document-   • Car Loan Process & Documents in Hindi #car...   7-Mudra Loan Scheme-   • Mudra Loan kaise milta hai?|Apply Mudra Lo...   8-credit card bill pay cashback offer phone pe app-   • Видео   9-Mobikwik app credit card bill pay offer-   • Видео   10- Paytm credit card bill pay offer-   • Видео   Follow Me On Instagram: Instagram-  / vishnu_1190   Our Channel Best Video Playlist: Loan Videos:    • Loan Schemes Videos   Govt Scheme Investment Video:    • Govt Schemes Videos   Credit Card Videos:    • Плейлист   Mutual Fund Videos:    • Mutual Fund & ETF Videos   Income tax Help Video:    • Income Tax Rules Videos   Disclaimer: Fin Plus Tech is not a registered Investment, legal or tax advisor or a broker/dealer. All Investment/ Financial Opinions expressed by Fin Plus Tech are from the personal research and are intended as educational material. Although Best efforts are made to ensure that all information is accurate and up to date, occasionally unintended errors may occur. All Information in this video for educational purpose only. Please Do your Own research before making any investment based on your personal circumstances. Our content is intended to be used and must be used for information purpose only. Please seek the advice of your financial, legal, tax or professional advisor before taking any decision. Copyright Disclaimer under section 107 of the copyright act 1976, allowance is made for " fair use" for purposes such as criticism, comment, news reporting, teaching, scholarship, education and research.