SBI MaxGain Home Loan

The SBI MaxGain Home Loan allows borrowers to decrease the interest they have to pay on their home loans by using any extra money they have temporarily. For example, if a home loan customer has some funds that they cannot use to fully pay off the loan because they have other financial obligations coming up, they can deposit this money into the MaxGain Home Loan account. Using the MaxGain calculator, they can determine how much they will save compared to a regular home loan. The surplus amount is then subtracted from the total loan amount, resulting in a lower interest calculation. The customer can withdraw the surplus amount from the account whenever needed. This reduces the interest paid with each EMI and speeds up the loan repayment.

SBI MaxGain Home Loan Highlights

Here’s a summary of the SBI MaxGain Home Loan in tabular form, highlighting its key features and benefits:

SBI MaxGain Home Loan – Features and Benefits

SBI MaxGain Home Loan, offered by the State Bank of India, caters to individuals seeking financing for ready-to-move-in properties. Here’s a breakdown of its key features and benefits:

• This loan functions like an overdraft account. You receive a credit line, and interest is charged only on the amount withdrawn.
  
• You make fixed EMIs like a regular home loan. However, the overdraft limit’s drawing power reduces each month as you repay the principal amount.
  
• SBI MaxGain offers competitive interest rates that are potentially lower than standard home loan rates due to the reduced risk associated with already-built properties.
  
• You only pay interest on the used amount, potentially leading to significant interest savings compared to regular home loans, where interest is charged on the entire loan amount.
  
• Any surplus funds can be parked in the loan account, earning interest (around 4%) while reducing the outstanding balance and lowering future interest payments.
  
• Unlike standard home loans, SBI MaxGain does not have prepayment penalties, allowing you to close the loan without additional fees.

SBI MaxGain Home Loan Interest Rates

Please Note: SBI is currently offering a special deal for its customers during the festive season. Borrowers can now get home loans from SBI at a low interest rate of 6.70% p.a. Additionally, the processing fee for these loans will be waived. This offer is available to all borrowers, regardless of the loan amount. Even non-salaried borrowers can benefit from this offer. Women borrowers can also enjoy a special concession of 5bps if they choose the minimum EBR of 9.15%.

SBI MaxGain Home Loan Fees and Charges

Below is a summary of the fees and charges associated with the SBI MaxGain Home Loan.

SBI MaxGain Home Loan – Eligibility Criteria

The requirements for both SBI MaxGain and the regular SBI home loan are typically the same. The following list can give you a general understanding of the eligibility for a home loan overdraft:

• The applicant must be a resident of India.
  
• The minimum age requirement for loan approval is 18, while the maximum age for loan repayment is 70.
  
• The ability to repay the loan is also considered. Factors such as income, repaying capacity, assets and liabilities, and the proposed house or project cost will be considered.

SBI MaxGain Home Loan – Documents Required

To apply for SBI MaxGain, you will need to provide certain documents similar to those required for a regular SBI home loan. Below is a list of the documents you may need when applying for SBI MaxGain:

General Documents

• A completed application form with 3 passport-sized photographs
• KYC documents for identity proof and address proof
• Property papers

Construction Permission Documents

• Registered sale agreement (only for Maharashtra), allotment letter, and stamped sale agreement
• Occupancy certificate (if the property is ready to move in), maintenance bill, electricity bill, and property tax receipt
• Copy of the approved plan
• Registered development agreement from the builder
• Conveyance deed
• Bank account details or payment receipts for payments made to the builder

Account Statements

• Bank account statement for the past 6 months for all bank accounts
• Loan account statements for the previous year from other financial institutions
• Income proof for salaried applicants/ co-applicants/ guarantors
• The last 3 months’ salary slip/certificate
• Copy of the ITR/ Form 16, acknowledged by the IT Department
• Income proof for non-salaried applicants/ co-applicants/ guarantors
• ITR for the past 3 years
• Business address proof
• Profit and loss account and balance sheet for the past 3 years
• TDS certificate (Form 16)
• Qualification certificate for chartered accountants, doctors, and other professionals
• Business license details

SBI MaxGain Home Loan Closure Process

Closing an SBI MaxGain Home Loan is a detailed process that requires careful attention to meet all financial and legal obligations. It ensures the loan account is properly settled, and all legal documentation is correctly processed. The closure process can be initiated once you have paid off the loan amount, including the principal and any applicable interest. Here’s a step-by-step guide to the closure process:

• Calculate Outstanding Amount: Use your net banking account or contact SBI to know the exact outstanding balance of your loan. Make the final payment of the outstanding amount, if any.
  
• Visit your SBI Branch: Visit the SBI branch where your loan was sanctioned and inform them about your intention to close the loan account. Submit a written request to close the loan account.
  
• Submit Required Documents: Obtain a loan account statement that reflects all transactions and the final payment.
  
• Proof of Final Payment: Provide proof of the final payment for the loan closure.
  
• Collect Necessary Documents: Collect documents from SBI, such as a No Objection Certificate (NOC), stating that there is no outstanding amount in your name and all the loan obligations have been fulfilled.
  
• Original Documents: Collect all the original property documents submitted to the bank at the time of loan approval.
  
• Update CERSAI Records: Ensure that the bank updates the Central Registry of Securitisation Asset Reconstruction and Security Interest (CERSAI) records, indicating that the loan has been closed. The charge on the property has been removed.
  
• Score Update: After the loan is closed, check to ensure the loan account status is updated as “Closed” in your credit report. This might take 2-4 weeks.

MaxGain Home Loan Calculator

If you are looking for a tool to calculate your potential home loan costs, the MaxGain Home Loan Calculator might be what you need. This type of calculator typically helps users understand how a MaxGain home loan can benefit them. It offers insights into interest savings, loan tenure, and EMI adjustments based on the overdraft facility that such loans usually provide.