ICICI Home Renovation Loan

ICICI Home Renovation Loan is a type of personal loan that can be used for various purposes related to home improvement, such as painting, tiling, flooring, waterproofing, plumbing, etc. You can apply for this loan if you are a homeowner, whether salaried or self-employed, and get an amount ranging from ₹ 50,000 to ₹ 50 lakh, depending on your eligibility and repayment capacity. The loan can be repaid in easy EMIs over a tenure of up to 60 months, and you can also avail of tax benefits under Section 24 of the Income Tax Act, 1961. 

Looking to apply? You can choose to apply for an ICICI Home Renovation Loan, by submitting some basic documents, such as identity proof, address proof, income proof, and property documents. You can apply online through the ICICI Bank website, visit the nearest ICICI HFC branch, or call or SMS to get a callback from the bank. 

For more details regarding its features, benefits, and additional charges, keep reading!

ICICI Bank Home Renovation Loan – Highlights And How Does This Work

Have a look at some of the key highlights of the ICICI Bank Home Renovation Loan:

ICICI Bank Home Renovation Loan Features & Benefits

Here are some salient features and benefits of the ICICI Bank Home Renovation Loan:

• ICICI Bank offers flexible loan amounts and tenures tailored to your renovation needs and financial capabilities.
• Choose between fixed or floating interest rates, allowing you to manage your repayment costs more effectively.
• Experience a swift application process, with the convenience of applying online for speedy approval and fund disbursal.
• Benefit from personalised loan solutions that align with your specific home renovation requirements.
• Enjoy competitive interest rates, and explore potential tax benefits on the interest paid, subject to local tax regulations.
• ICICI Bank ensures transparency in its processes, providing clear information on terms and conditions. Additionally, convenient repayment options, such as ECS and post-dated cheques, enhance the overall borrowing experience.

ICICI Bank Home Renovation Loan Interest Rates

ICICI Bank offers two types of home renovation loans: personal loans for home renovation and home improvement loans from ICICI HFC. The interest rates for these loans vary depending on the loan amount, tenure, credit score, and type of borrower (salaried or self-employed). Here are some of the interest rates for these loans as of January 2024:

• Personal Loan for Home Renovation: This loan is available for salaried individuals who want to renovate their existing home. The interest rate ranges from 9.00% to 9.90% p.a., depending on the credit score and loan slab. The loan amount can be from ₹ 50,000 to ₹ 50 lakhs, and the tenure can be from 12 to 72 months.
• Home Improvement Loan from ICICI HFC: This loan is available for self-employed individuals who want to upgrade their home. The interest rate ranges from 10.85% to 12.00% p.a., depending on the loan slab. The loan amount can be from ₹ 3 lakh to ₹ 5 crore, and the tenure can be up to 30 years. This loan also offers tax benefits under Section 24 of the Income Tax Act, 1961.

You can apply for either of these loans online through the ICICI Bank or ICICI HFC website, visit the nearest branch, or SMS PL to 5676766.

ICICI Bank Home Renovation Loan Eligibility Criteria

To apply for a home renovation loan from ICICI Bank, you need to meet the following eligibility criteria:

• You must be a resident of India and over 23 years old.
• You must have a regular monthly income of at least ₹ 30,000.
• You must have a good credit history and score.
• You must have a valid identity proof, address proof, income proof, and bank statements.

Depending on the type of loan you choose, you may also need to provide additional documents or information. For example, if you opt for a home improvement loan from ICICI HFC, you may need to submit the property documents and valuation report.

ICICI Bank Home Renovation Loan Documents Required

The documents required for a home renovation loan from ICICI Bank depend on the type of loan and the type of borrower (salaried or self-employed). Here are the common documents required for both types of loans:

• Fully filled and signed loan application form
• Identity and residence proof (KYC), such as Aadhaar, PAN card, Voter ID card, etc.
• Income proof, such as salary slips, ITR, bank statements, etc.
• Property documents, such as sale deed, title deed, approved building plan, etc.

ICICI Bank Home Renovation Loan Processing Fees And Other Charges

The processing fees and other charges for these loans are as follows:

• Personal Loan for Home Renovation: This loan is available for salaried individuals who want to renovate their existing home. The processing fee is 0.50% – 2.00% of the loan amount or ₹ 3000/- whichever is higher, plus applicable taxes and other statutory levies, if any. There are no prepayment charges for this loan if the interest rate is adjustable. Prepayment penalties apply to all amounts tendered by the borrower(s) towards loan prepayment within the last year following the date of the final prepayment, and they are 2% of the amount prepaid if the interest rate is fixed.
• Home Improvement Loan from ICICI HFC: This loan is available for self-employed individuals who want to upgrade their home. The processing fee is 0.75% of the loan amount, or ₹ 11,000 plus applicable taxes, whichever is higher. The prepayment charges are 4% of the amount prepaid and on all amounts tendered by the borrower(s) towards the prepayment of the loan during the last year from the date of final prepayment. This loan also offers tax benefits under Section 24 of the Income Tax Act, 1961.

ICICI Bank Home Renovation Loan For Salaried Person And Self-Employed

The interest rates for the home renovation loan vary depending on the customer profile, loan amount, tenure, and credit score. The current interest rates (as of January 2024) are as follows:

*Terms and conditions apply (Subject to bank’s internal policy)

ICICI Bank Home Renovation Loan – Terms And Conditions

The terms and conditions for the ICICI Bank Home Renovation Loan are as follows:

• The loan is subject to the eligibility and affordability criteria of the bank and the applicant’s credit score and profile.
• The loan can be used for various purposes related to home renovation, such as painting, tiling, flooring, waterproofing, plumbing, etc.
• The loan amount ranges from ₹ 50,000* to ₹ 50 lakhs, with a tenure of 12 to 72 months.
• The interest rate varies from 10.75% to 18.00% per annum, depending on the customer type (salaried or self-employed), loan amount, tenure, and credit score.
• The loan does not require any security or collateral, but the bank may ask for a co-applicant or a guarantor in some cases.
• The loan processing fee is up to 2.25% of the loan amount plus GST, which is deducted from the loan amount at the time of disbursal.
• The loan prepayment charges are 5% of the outstanding principal amount plus GST, if the loan is prepaid within 12 months from the date of the first EMI. After 12 months, the prepayment charges are nil.
• The loan late payment charges are 24% per annum on the overdue amount from the date of default to the date of actual payment.
• The loan statement charges are ₹ 200 plus GST per request.
• The loan foreclosure statement charges are ₹ 500 plus GST per request.
• The loan amortisation schedule charges are ₹ 200 plus GST per request.
• The loan cheque bounce charges are ₹ 400 per cheque bounce plus GST.
• The loan cheque swap charges are ₹ 500 per transaction plus GST.
• The loan duplicate NOC charges are ₹ 500 per NOC plus GST.

*Terms and conditions apply (Subject to bank’s internal policy)