Pick the right payment plan

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Home Loan Offers
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Pick the right payment plan
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• Construction-linked plans suit buyers who are not
  in a position to make a huge financial
  commitment.
• Banks usually give two kinds of loans for such
  plans. First, the loan is for the initial
  contributions and only pre-EMIs are charged.
• The loan increases with each installment to the
  builder and the pre-EMI amount goes up.

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• Regular EMIs start only after the final
  disbursement has been made.
• Since the pre-EMI Home Loan Offerspain is lesser
  in earlier years, this suits buyers who expect
  their income to rise in the next few years.
• They can also use the pre-EMI period to repay
  loans taken for the down payment.

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• In the second type, EMIs are based on the entire
  loan amount sanctioned even though only a portion
  is disbursed.
• The interest is very small in initial years and a
  bigger sum goes into repaying the principal.
• Source http//timesofindia.indiatimes.com/busines
  s/personal-finance/Pick-the-right-payment-plan/art
  icleshow/49622928.cms

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