Allahabad Bank, now part of the Indian Bank, can assist many people in achieving their goal of house ownership. Allahabad Bank’s home loan interest rate and various repayment alternatives relieve financial burdens with reasonable rates. Allahabad Bank offers house loans for young professionals, developing families, and retirees planning their futures. Read on to learn more about Allahabad Bank home loans, interest rates, repayment plans, and much more.
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The home loan rate of interest in Allahabad Bank has reasonable and unique features to fulfill various demands. Borrowers may choose from the regular Allahabad Home Loan, the flexible Flexi Home Loan, or the NRI Home Loan. These programs seek to make homeownership cheaper and accessible for everyone with low-interest rates and flexible payback options.
Here is the current home loan interest rate of Allahabad Bank and schemes for Indian bank home loans
| Scheme / Product | Interest Rate Range (Minimum – Maximum) |
| IB Home Loan (Individual) | 8.30% – 8.40% |
| IB Home Loan (CRE) | 8.50% – 8.95% |
| IB Home Loan Premium | 9.00% – 9.20% |
| IB Home Improve | 9.00% – 9.45% |
| IB Home Loan to NRI | 8.30% – 8.40% |
| PMAY (Subsidised Scheme) | 6.50% – 9% (depending on income category) |
| Defence Pensioners Loan Scheme | 7.75% – 8.25% |
Different Types of Home Loans Offered by Allahabad Bank
Allahabad Bank and Indian Bank amalgamated in 2020, providing various home loans for borrowers. The following categories are listed, taking into account existing Indian Bank schemes:
Types of Home Loans:
Individual Home Loan:
- Applicant Type: Salaried individuals, self-employed professionals, businessmen.
- Eligibility: Age: 21-60 years, Minimum CIBIL score: 700, Stable employment or business.
- Loan Tenure: Up to 30 years.
- Loan Amount: Rs. 5 lakhs – Rs. 5 Crores.
- Interest Rate: 8.30% – 8.40% (base rate), varies with profile.
- Processing Fees: 0.24% – 0.40% of the loan amount.
Home Loan CRE:
- Applicant Type: Professionals and businessmen for purchasing or constructing commercial property.
- Eligibility: Similar to an Individual Loan, with business stability requirements.
- Loan Tenure: Up to 15 years.
- Loan Amount: Rs. 50 lakhs – Rs. 5 Crores.
- Interest Rate: 8.50% – 8.95% (base rate), varies with profile.
- Processing Fees: 0.50% – 1.00% of the loan amount.
Home Loan Premium:
- Applicant Type: High-net-worth individuals for exclusive benefits.
- Eligibility: Stringent income and credit score requirements.
- Loan Tenure: Up to 20 years.
- Loan Amount: Rs. 50 lakhs – Rs. 5 Crores.
- Interest Rate: 9.00% – 9.20% (base rate), varies with profile.
- Processing Fees: Negotiable based on the loan amount.
Home Improve:
- Applicant Type: Existing homeowners for renovation or expansion.
- Eligibility: Similar to Individual Loan, with property ownership proof.
- Loan Tenure: Up to 10 years.
- Loan Amount: Rs. 2 lakhs – Rs. 2 Crores.
- Interest Rate: 9.00% – 9.45% (base rate), varies with profile.
- Processing Fees: 0.24% – 0.40% of the loan amount.
NRI Home Loan:
- Applicant Type: Non-resident Indians for property purchase in India.
- Eligibility: Specific income and residency requirements.
- Loan Tenure: Up to 10 years.
- Loan Amount: Rs. 5 lakhs – Rs. 5 Crores.
- Interest Rate: 8.30% – 8.40% (base rate), varies with profile.
- Processing Fees: 0.24% – 0.40% of the loan amount.
Allahabad Bank Home Loan Interest Rates for Women and Benefits
The Allahabad bank rate of interest for home loans for Women (as of October 26, 2023)
Read: Understand What a Composite Loan is and How it Can Help You
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Benefits:
- Reduced interest rates: Women borrowers get a 0.05% reduction on base rates, making loans more affordable.
- Some lenders may have less severe income or employment requirements for women candidates.
- Special programs for women, such as single moms or self-employed individuals, may be provided.
Interest Rates and CIBIL Score:
| CIBIL Score Range | Interest Rate Range |
| 750+ | 8.25% – 8.35% |
| 700 – 749 | 8.30% – 8.40% |
| 650 – 699 | 8.35% – 8.45% |
| Below 650 | Loan approval unlikely |
Allahabad Bank Home Loan Interest Rates for Self-Employed
After merging with Indian Bank in 2020, Allahabad Bank still offers self-employed borrowers excellent possibilities. Due to the increased risk, self-employed people have higher interest rates than salaried people.
Here are approximate Allahabad bank housing loan interests for self-employed candidates under Indian Bank home loan plans depending on CIBIL scores:
| CIBIL Score Range | Interest Rate Range |
| 750+ | 8.50% – 8.90% |
| 700 – 749 | 8.60% – 9.00% |
| 650 – 699 | 8.70% – 9.10% |
| Below 650 | Loan approval is unlikely or subject to higher rates |
Allahabad Bank Home Loan Interest Rates for Salaried
Here is a table of Allahabad Bank Home Loan Interest Rates for Salaried Applicants based on CIBIL Score:
Read: 35 Lakh Home Loan EMI With Calculator and Interest Rates 2024
CIBIL Score Interest Rate 750+ 8.50% – 8.95% 700 – 749 8.75% – 9.20% 650 – 699 9.00% – 9.45% 600 – 649 9.25% – 9.70% Below 600 9.50% – 9.90%
Allahabad Bank Home Loan Interest Rates for NRI
This Allahabad Bank NRI Home Loan allows foreigners to own a piece of India. This plan meets your demands with reasonable interest rates and flexible periods. Let’s examine the eligibility of this tempting opportunity, loan details, and costs.
| Feature | Details |
| Eligibility | Indian passport holder residing outside India with a valid work visa/residence permit and stable income. |
| Loan Tenure | Up to 10 years for purchase/construction and 30 years for takeover/balance transfer. |
| Loan Amount | Rs. 5 lakhs to Rs. 5 Crores. |
| Interest Rate | 8.30% – 8.40% floating rate. |
| Processing Fees | 0.24% – 0.40% of the loan amount (minimum Rs. 10,000). |
Feature and Benefits of Allahabad Bank Home Loan
Allahabad Bank acknowledges the importance of homeownership and provides a comprehensive home loan program with helpful features to make your journey easy and enjoyable. Major highlights:
- Competitive interest rates: Creditworthy borrowers may choose between competitive and fixed rates.
- Flexible repayment options: Select a plan that fits your budget, with tenures up to 30 years.
- Minimum processing fees: Reduce upfront expenses with straightforward and reasonable processing fees.
- Diverse loan purposes: Meet varied demands with buying, building, renovation, and plot financing.
- No prepayment fees: You may prepay your debt without penalty.
- Easy balance transfer: Switch your home loan to Allahabad Bank for better rates and conditions.
- Easy online application: Using the bank’s site to apply for a home loan saves time and effort.
- Expert customer service: Receive individualized guidance from the bank’s personnel throughout the procedure.
These benefits and Allahabad Bank’s reputation and branch network make it a good home loan option.
Read: Home Loan for Resale Flats in India
How to Apply for Allahabad Bank Home Loan
To apply for an Allahabad Bank Home Loan, collect papers and complete the form. Submit it with relevant documentation to the closest branch or online portal.
- Gather required documentation, including identification, residence, income, and property proofs.
- Complete the Allahabad Bank home loan application form. Correct and complete all information.
- Submit the application form and relevant papers to the closest Allahabad Bank branch or online portal.
- Verification: Banks analyze papers and evaluate eligibility based on income, creditworthiness, and property value.
- Processing: The bank will evaluate the property and check legal factors after processing the application.
- Approval: After verification, the bank will grant the house loan and provide a sanction letter with terms and conditions.
- After obtaining the sanction letter and meeting any further prerequisites, the loan amount will be issued according to the agreed terms.
- Repayment: Follow the bank’s repayment plan to repay the loan in equal monthly payments (EMIs).
Allahabad Bank Home Loan Eligibility
You must meet their qualifying standards before applying for an Allahabad Bank home loan. Briefly, it would help if you satisfied these criteria:
Read: Pre-Approved Home Loans in India
- For residency in India, you must be a citizen.
- You must be between 21 and 65 at the loan maturity date.
- Eligible occupation: Salaried personnel from reputable firms or government entities. Under certain conditions, self-employed and professional applicants may apply.
- Minimum income: Must have consistent and adequate income for loan repayment. Income criteria vary by loan amount and occupation type.
- A strong credit score (over 700) is crucial for obtaining a loan with favorable interest rates.
- Property requirements: Ensure legal permissions and permits are in place for the intended acquisition or construction.
Allahabad Bank may have a lending program or profile-specific qualifying conditions. For the latest eligibility information, contact the bank or visit their website.
Document Required of Allahabad Bank Home Loan
Planning is needed to buy your ideal house. Gathering papers for your Allahabad Bank home loan application is vital. Checklist to ensure everything is in order:
- Personal documents:
- Completed application form with passport-sized photographs.
- Proof of identity (Passport, PAN Card, Voter ID).
- Proof of residence (Utilitybills, rental agreement).
- Income documents:
- Salaried individuals: Salary slips for the past 6 months, Form 16 for the last 2 years.
- Self-employed individuals: Business registration documents, bank statements, income tax returns for the last 3 years.
- Property documents:
- Agreement to Sale/Purchase
- Allotment letter/property papers
- Approved building plans (for construction)
- NOCs from relevant authorities (society, municipality)
- Financial documents:
- Bank statements for the past 6 months.
- Proof of investments, if any.
- Details of existing loans and liabilities.
Additional documents:
- Guarantor documents (if applicable)
- Processing fee payment challan
Allahabad Bank Home Loan Comparison With Other Banks
As of February 3, 2024, this table compares Allahabad Bank’s home loan interest rates to 20 other central Indian banks. These indicative rates may change based on individual circumstances and market conditions.
| Bank | Home Loan Interest Rate (Salaried) |
| Allahabad Bank | 8.50% – 8.95% |
| HDFC Bank | 8.40% – 9.15% |
| ICICI Bank | 8.35% – 9.00% |
| Axis Bank | 8.45% – 9.20% |
| Kotak Mahindra Bank | 8.50% – 9.25% |
| State Bank of India (SBI) | 8.40% – 9.05% |
| Punjab National Bank (PNB) | 8.55% – 9.30% |
| Bank of Baroda | 8.60% – 9.35% |
| Canara Bank | 8.65% – 9.40% |
| Union Bank of India | 8.70% – 9.45% |
| IDBI Bank | 8.75% – 9.50% |
| Yes Bank | 8.80% – 9.55% |
| RBL Bank | 8.85% – 9.60% |
| IndusInd Bank | 8.90% – 9.65% |
| Federal Bank | 8.95% – 9.70% |
| South Indian Bank | 9.00% – 9.75% |
| Bank of Maharashtra | 9.05% – 9.80% |
| Karur Vysya Bank | 9.10% – 9.85% |
| IDFC First Bank | 9.15% – 9.90% |
| Bandhan Bank | 9.20% – 9.95% |
Allahabad Bank Home Loan EMI Calculator – How to Calculate Allahabad Bank Home Loan Home Loan EMI
Here’s a detailed explanation of how to calculate your EMI using Allahabad Bank home loan interest rate calculator with an example, along with the NoBroker EMI Calculator widget:
Understanding the Allahabad Bank Home Loan EMI:
Your Allahabad Bank Home Loan EMI (Equated Monthly Instalment) is the fixed monthly amount you pay towards your loan. It comprises two parts:
- Principal Amount: This portion of your EMI reduces your outstanding loan balance.
- Interest: This is the charge levied by the bank for lending you the money.
Calculating Your EMI:
There are two main ways to calculate your Allahabad Bank Home Loan EMI:
Method 1: Using the Formula:
The EMI can be calculated using the following formula:
EMI = [P x R x (1 + R)^N] / [(1 + R)^N – 1]
Where:
- P = Principal loan amount (in rupees)
- R = Monthly interest rate (interest rate divided by 12)
- N = Loan tenure (in months)
Example:
Let’s say you take a home loan of Rs. 20,00,000 from Allahabad Bank at an interest rate of 8.50% per annum for a tenure of 20 years (240 months).
- Monthly interest rate (R) = 8.50% / 12 = 0.7083%
- Loan tenure (N) = 240 months
Plugging these values into the formula:
EMI = [2000000 x 0.007083 x (1 + 0.007083)^240] / [(1 + 0.007083)^240 – 1]
EMI = Rs. 16,068.08 (approximately)
Therefore, your monthly EMI would be Rs. 16,068.08.
Method 2: Using the NoBroker EMI Calculator Widget:
For a quick and easy way to calculate your EMI, you can use the NoBroker EMI Calculator Widget below:
EMI Calculator
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Allahabad Bank Home Loan Interest Rates
We don’t have access to real-time data or historical records like bank interest rates for specific periods. However, We can provide a general template for the table:
| Year | Interest Rate Range |
| 2019 | 8.50% – 10.00% |
| 2018 | 8.75% – 10.25% |
| 2017 | 9.00% – 10.50% |
| 2016 | 9.25% – 10.75% |
| 2015 | 9.50% – 11.00% |
Please note that these interest rates are hypothetical and for demonstration purposes only. Actual interest rates may vary and should be obtained directly from Allahabad Bank or reliable financial sources.
Factors that affect the Allahabad bank Home Loan Interest Rate
Understanding Allahabad Bank’s interest rate components is critical to getting the right home loan. Explore this intricate web:
Your Wealth
• Credit Score: A passport to better rates. Credit scores over 700 indicate prudent credit conduct, which may cut interest rates. In contrast, a lower score may result in higher rates to offset risk.
• Income stability and employment: A constant income and job show you can repay the loan. This reduces bank risk, which may boost their rate offer.
Loan Details
• Loan Amount: Size matters! Due to lesser bank risk, smaller loans may have cheaper rates.
• Loan Purpose: Buying, building, or renovating? Use of the loan might affect the rate. Due to perceived risk, construction loans may have higher rates.
Repayment Type & Duration
• Loan Tenure: Longer repayment periods result in more outstanding interest payments. Shorter terms provide lower rates but larger monthly payments.
• Fixed vs. Floating: Fixed-rate loans provide stability with a fixed interest rate but often cost more than floating-rate loans, whose rates vary with market circumstances.
Outside Influences
• RBI Repo Rate: Set by the Reserve Bank of India, this benchmark rate guides lending rates in the market. Repo Rate increases frequently raise home loan rates, and vice versa.
• National economic factors such as inflation, growth, and stability significantly impact interest rates. A strong economy lowers loan rates.
Bank Internal Dynamics
• Funding Costs: Banks’ borrowing costs affect their lending rates. Higher finance costs may raise loan rates.
• In a competitive market, banks may modify rates to entice borrowers and provide better bargains based on industry trends.
These are essential variables, and Allahabad Bank may have additional considerations for your circumstances. Contacting them personally or using online comparison tools will help you acquire a customized quotation and manage the subtleties of getting your desired house loan.
Tips to Avail Allahabad Home Loan at Lower Interest
Finding your dream house shouldn’t be expensive. Strategically navigating Allahabad Bank’s home loan interest rate elements may increase affordability. Explore some crucial techniques.
Increase Borrowing Power
• Aim for a credit score over 700 to show responsible conduct and qualify for cheaper rates.
• Maintain stable income and employment: To demonstrate your capacity to repay, maintain a constant income and work.
Optimise Loan Applications
Choose a shorter tenure: Shorter loan terms may mean more outstanding monthly payments but less interest paid.
• Consider a lesser loan amount: This may make you a more desirable borrower and result in better rates.
• Investigate Co-Applicant Benefits: A financially stable co-applicant may boost your eligibility and cut your rates.
Negotiate and Consider
• Negotiate Interest Rate: Don’t be afraid to negotiate the given rate. Showing your devotion and strengths might get the bank to decrease your rate.
• Lender Comparison: Check online comparison tools or call other banks for comparable bids to use in your Allahabad Bank negotiation.
Maintain Good Relations
• Stay loyal to Allahabad Bank by keeping a solid connection and holding other financial products. This might enhance your application and favorably impact interest rates.
Every borrower is different. Thus, Allahabad Bank may examine other variables. Talking to them, getting specific quotations, and improving your application will help you find the cheapest way to your dream house.
Get Easy Home Loan Approval with Allahabad Bank
Now that you are aware of the Allahabad Bank home loan interest rates and the factors impacting them, let’s see how you can make the process of getting the loan easier. NoBroker, a leading online real estate platform, simplifies property search and financing. With an extensive property database and straightforward interfaces, users find homes quickly. NoBroker also provides insights on financial products, including home loans, streamlining the application process with major institutions like Allahabad Bank. It’s a one-stop shop for users, offering a user-friendly design and valuable resources for confident real estate and financial exploration.
Frequently Asked Questions
1. What variables influence my home loan eligibility?
A house loan’s eligibility depends on income, credit score, work stability, age, financial responsibilities, and property valuation.
2. How much house loan can I receive with my income?
Income, financial obligations, and lender rules determine your home loan amount. Most lenders give loans of 60–80% of the property’s value based on income.
3. What documents are needed for a home loan?
Applicants for house loans must provide evidence of identification, residence, income (salary slips, bank statements, income tax returns), property, and KYC papers.
4. What distinguishes fixed and variable interest rates?
Fixed interest rates provide predictable monthly payments during the loan term. However, floating interest rates change with the market, which may affect monthly payments.
5. Do lenders charge for prepayment or foreclosure of a home loan?
Most lenders allow partial or full prepayment or foreclosure of house loans. Some lenders demand prepayment fees, particularly if the loan is repaid within a specific time frame after disbursement. Be sure to ask the lender about prepayment terms and fees before making any payments.
