Can I close loan after PMAY subsidy?

Yes, the PMAY subsidy availed is subject to keeping the loan alive for the entire period. This happens because the upfront subsidy is credited to the account keeping the loan period for the calculations. In case the loan is prepaid the subsidy amount is reversed and you will lose part of the benefit.

How do I know if my PMAY has transferred?

Visit http://pmaymis.gov.in/, the official website of PMAY scheme.

1. Go the option titled ‘Citizen Assessment’ on the task bar.
2. Select the option ‘Track your Assessment status’ form the drop down menu under Citizen Assessment.

Will PMAY be extended?

As of now, there is no news of further extension. An alternative to the PMAY subsidy is also not currently available. The central government may come up with another scheme in place of PMAY to address the growing need for housing amongst the EWS/LIG and MIG category.

What if I close my loan off early?

However, some lenders may charge a prepayment penalty fee for paying the loan off early. The prepayment penalty might be calculated as a percentage of your loan balance, or as an amount that reflects how much the lender would lose in interest if you repay the balance before the end of the loan term.

Can I preclose my SBI home loan under the PMAY scheme?

Yes, you can preclose your SBI home loan under PMAY interest subsidy scheme. Be it about foreclosure of a normal home loan or PMAY, the process is same. You have to complete the minimum time period for a home loan which is 12 months at SBI. After that, you can contact nearest SBI branch about the foreclosure.

Can I do prepayment of PMAY subsidy?

The PMAY subsidy that you have availed of, is applicable only if the loan is active for the entire period and hence, if you prepay some amount, the subsidy amount will be reversed and you will miss out on some part of the benefit. So your principal amount may increase if the tenure of the loan is shortened. Yes, you can do prepayment.

What is the maximum tenure of home loan in India?

However, the Banks can sanction Home Loans more than Rs.9 lakhs but the subsidy will be restricted to Rs. 9 lakhs only. Loan tenure is 20 years. However, Banks can sanction loans for a maximum tenor of 30 years but the loan has to be repaid before the borrower attains the age of 70 years.

How to foreclose on a home loan at SBI?

Be it about foreclosure of a normal home loan or PMAY, the process is same. You have to complete the minimum time period for a home loan which is 12 months at SBI. After that, you can contact nearest SBI branch about the foreclosure. For home loans linked to floating rate of interest, there is no foreclosure fee.