Karnataka Bank Loan Against Property Interest Rate Calculator - Feb 2017

Karnataka Bank Loan Against Property Interest Rates

Last Updated 22nd Feb 2017
8th Feb 2017 – RBI keeps repo rate and other policy interest rates unchanged
Interest Rate 13.20% - 13.20%
Check Special Offers
Lowest EMI Rs. 1,278 per lakh
Max Tenure 15 years
Prepayment, Foreclosure Charges Allowed with nil charges for floating rate loans to individuals
Age Min 21 and Max 60 years for Salaried
Min 21 and Max 60 years for Self Employed
Apply Loan Against Property Online @9.50%*
 Salaried   Self Employed - Professional   Self Employed - Business 

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Karnataka Bank Loan Against Property

Karnataka Bank offers Loan Against Property to the customers if they need to expand their business or want money for personal use. The loan is given upto 50% of the market’s value for tenure of 18 years.

Loan Against Property Karnataka Bank

Loan Against Property interest rates offered by Karnataka Bank depends upon MCLR
  • Floating rates changes with a single change in Karnataka Bank MCLR rate in your loan tenure. You should go for floating rates if you can take the risk of hike in interest rates
Karnataka Bank offers Property Loan based on 1 Year MCLR which is currently 9.15%
Karnataka Bank mortgage loan interest rate depends upon
  • Loan amount: Karnataka Bank mortgage loan rate depends upon the loan amount you apply for. Higher the loan amount, lesser will be the interest rate
  • Company where you work: Karnataka Bank has a list of companies to which they lend Loan Against Property. Interest rate will be less if your company is listed
  • Your Salary: Income helps you in identifying your rate of interest. Karnataka Bank interest rate varies with your monthly income. Higher the income, less will the rate of interest

Loan Against Property Charges

Foreclosure Charges - These charges are to be paid in case you want to repay your entire loan amount before the end of tenure period. Karnataka Bank allows prepayment of loan against property with Nil prepayment charges

Karnataka Bank Loan Against Property EMI Calculator

Loan Against Property EMI of Karnataka Bank is a fixed amount that you pay each month towards the repayment of your Loan till the end of tenure
  • Karnataka Bank Property Loan EMI calculator helps you to calculate your monthly EMI at different rate of interest and also check lowest EMI per lakh on Loan Against Property
  • You can plan your loan amount according to your monthly repayment capacity because higher the loan amount, higher will be the EMI
  • Rate of interest is an important factor which affects your EMI. Higher the interest rate, higher will be the EMI
  • Loan tenure matters equally as higher tenure reduces your EMI
What are the benefits of calculating Karnataka Bank Loan Against Property EMI?
  • Karnataka Bank Property Loan EMI calculator helps you to calculate your monthly EMI at different rate of interest
  • Karnataka Bank EMI calculator for Loan Against Property helps you to know your capacity to repay the loan after maintaining your standard of living
  • You get a rough idea about your monthly EMI and can plan your monthly budget accordingly

Karnataka Bank Loan Against Property Eligibility Calculator

Loan Against Property eligibility criteria Karnataka Bank
Eligibility of Loan Against Property in Karnataka Bank relies upon different factors but the most important factor is your ability to repay the loan. The main factors on which the eligibility of an applicant depends are
  • Age: Karnataka Bank offers loan against property for a maximum tenure of 18 years if the borrower’s age does not exceed above 60 years for salaried and 60 years if you are self employed. Apply for loan at smaller age, higher will be the chances of loan approval
  • Value of the property: Karnataka Bank decides your loan amount based on the market value of the property which you place as your collateral for the loan. Karnataka Bank lends less than the market value of the property. As per RBI guidelines, the borrower also has to show some contribution. Ratio of loan amount to value of home is called Loan to Value (LTV) ratio. Karnataka Bank gives maximum LTV of 50% for property loans depending upon market value of the property
  • Repayment capacity of the borrower: Your eligibility to take loan against property depends upon the maximum EMI that you can pay. Karnataka Bank checks your past CIBIL history, repayment record of credit cards and existing loans that can impact your loan against property eligibility. If you have any other loan running whose EMI you are paying currently, then you are supposed to close your loan to get higher loan against property eligibility. Karnataka Bank does not specify any particular CIBIL score for being eligible for a property loan. However, it is observed that a score of 700 and above is desirable
    To reduce your burden of higher EMIs, Karnataka Bank gives you a maximum tenure of 18 years for a maximum loan amount of Rs.10,000,000 with a minimum spread of % over 1 Year MCLR. Opt for a loan tenure that suits you and higher the loan tenure, higher will be loan amount eligibility
  • Income: Loan against property are mostly taken by the people who are self employed in order to expand their business. However, in order to increase the loan amount you may club the income of family members like your spouse, parents, children and siblings
Estimated eligibility online by using Eligibility Calculator.

Karnataka Bank Floating Rate Loan Against Property

Karnataka Bank Loan Against Property Floating
Upto Rs. 2,000,000 - 13.20%
Rs. 2,000,001 - 5,000,000 - 13.20%
Rs. 5,000,001 - 7,500,000 - 13.20%
Above Rs. 7,500,000 - 13.20% linked to 1 Year MCLR

Karnataka Bank Loan Against Property Top up, Transfer

Transfer of Loan Against Property from another bank to Karnataka Bank?
Karnataka Bank offers loan against property balance transfer from another bank. This is subject to your meeting other eligibility criteria of Karnataka Bank
You can avail additional top-up loan against property from SBI, subject to your eligibility

Loan Against Property Karnataka Bank documents required

Loan Against Property for Salaried employee Karnataka Bank documents required

  • Filled up loan application form
  • 2 Passport Size Photo
  • Identity Proof - Passport/ Driving Licence/ Voter ID/ PAN
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Income Documents – 6 months payslip, 2 years Form 16, 6 months bank statement showing salary credit and any EMI debit

Loan Against Property for Self-Employed Karnataka Bank documents required

  • Filled up loan application form
  • 2 Passport Size Photo
  • Identity Proof - Passport/ Driving License/ Voter ID/ PAN
  • Residential Address Proof - Leave and License/ Registered Rent Agreement/ Utility Bill (upto 3 months old), Passport
  • Business proof such as VAT/ service tax registration, incorporation details in case of companies, business address proof, profit and loss account and balance sheets certified by CA, copy of partnership deed and proof of business existence and business profile

Property documents for Loan Against Property from Karnataka Bank

  • Registered Sale Deed/ Conveyance/ Lease Deed
  • Past Sale Deeds Chain (each transaction in respect of this property since first allotment
  • Latest House Tax Return/ Receipt
  • Approved Building Plan from Municipal Corporation
Past trends of MCLR of Karnataka Bank
04th Oct 16: 0.25% repo cut by RBI
05th Apr 16: 0.25% repo cut by RBI
05th Oct 15 10.25% decreased by 0.25%
29th Sep 15: 0.5% repo cut by RBI
02nd Jun 15: 0.25% repo cut by RBI
01st Jun 15 10.50% decreased by 0.25%
04th Mar 15: 0.25% repo cut by RBI
15th Jan 15: 0.25% repo cut by RBI
28th Jan 14: 0.25% repo hike by RBI
18th Dec 13: 0% repo none by RBI
29th Oct 13: 0.25% repo hike by RBI
20th Sep 13: 0.25% repo hike by RBI
03rd May 13: 0.25% repo cut by RBI
19th Mar 13: 0.25% repo cut by RBI
29th Jan 13: 0.25% repo cut by RBI
10th Nov 12 10.75% decreased by 0.25%
17th Apr 12: 0.5% repo cut by RBI
25th Oct 11: 0.25% repo hike by RBI
16th Sep 11: 0.25% repo hike by RBI
03rd Aug 11 11.00% increased by 0.5%
26th Jul 11: 0.5% repo hike by RBI
04th Jul 11 10.50% increased by 0.25%
16th Jun 11: 0.25% repo hike by RBI
23rd May 11 10.25% increased by 0.5%
03rd May 11: 0.5% repo hike by RBI
17th Mar 11: 0.25% repo hike by RBI
14th Feb 11 9.75% increased by 0.75%
25th Jan 11: 0.25% repo hike by RBI
02nd Nov 10: 0.25% repo hike by RBI
01st Nov 10 9.00% increased by 0.25%
16th Sep 10: 0.25% repo hike by RBI
27th Jul 10: 0.25% repo hike by RBI
02nd Jul 10: 0.25% repo hike by RBI
01st Jul 10 8.75%

Karnataka Bank MCLR Vs. RBI Repo Rate Trend

Frequently Asked Questions

What are the five things to check before applying for loan against property in Karnataka Bank ?

  • Property on which you intend to take loan is not a vacant land, has an approved map plan and is in municipal area. You must attach the entire chain of title documents of the property and its approved building plan with the loan application.
  • Your existing EMI’s on all loans and credit cards (from Karnataka Bank and other banks) are no more than 60 - 70% of your net monthly income
  • You have not defaulted on loans or credit card dues to Karnataka Bank and other banks and all EMI's have been paid. Note that Karnataka Bank can see record or status of your EMI defaults to all banks and NBFC’s in India and not just to Karnataka Bank in your CIBIL report. Estimate your CIBIL score for free by using CIBIL score estimate calculator
  • If you are salaried, ensure that you attach your recent salary slips, bank statements and last 3 years' Form 16 with the loan applicantion
  • If you are self employed in your own business or practice, your business must have been in existence for at least three years and last three income tax returns with audited financials must be available

Will Karnataka Bank mortgage loan interest rate remain fixed or will it change in future?

  • Floating interest rate on Karnataka Bank property loan is linked to its 1 Year MCLR, which is currently 9.15%. So, when Karnataka Bank offers a loan against property at 13.20%, it applies a 4.05% premium to its MCLR to arrive at this rate
  • When market interest rates go up, the bank increases its base rate and the applicable rate for all existing loans goes up. When interest rates trend downwards, the bank has to reduce the base rate as it is not allowed to lend below the base rate. Thus, any benefit of lower rates will have to be passed to both old borrowers and new borrowers
  • Base rate benchmarked loans provide a better and more transparent interest rate transmission for the borrower compare to PLR benchmarked loans
  • Current MCLR of Karnataka Bank, its past trend and comparison with RBI repo rate are given here for your reference

Are prepayment or foreclosure charges applicable on Karnataka Bank loan against property?

    You can prepay loan against property (LAP) without any penalty or charges in case:
  • Your loan is at a floating rate of interest and not at a fixed rate. Almost all loans against property are at floating rates and it is unlikely that yours is at a fixed rate of interest
  • The loan is in the name of one or more individual borrowers and none of the applicants and co-applicants is a business entity like a company or a firm or partnership or AOP

For loans from Housing Finance Companies, refer to NHB circulars NHB(ND)-DRS-Policy-Circular-63-14-15 dated Aug 14, 2014 and NHB-ND-DRS-Policy-Circular-No-66-2014-15 dated Sep 03, 2014 for more details.

Please contact myloancare at 0124 426 4004 or care@myloancare.in in case you need any assistance or clarification on this subject.

Karnataka Bank Loan Against Property in India

Karnataka Bank Loan Against Property Customer Care Number, Email, Application Status, Branches

City Customer Care Number
Agra 0824-2228154
Ahmedabad 0824-2228154
Ambala 0824-2228154
Anand 0824-2228154
Aurangabad 0824-2228154
Bangalore 0824-2228154
Bhilai 0824-2228154
Bhilwara 0824-2228154
Bhiwadi 0824-2228154
Bhopal 0824-2228154
Bhubaneswar Cuttack 0824-2228154
Bikaner 0824-2228154
Chandigarh 0824-2228154
Chennai 0824-2228154
Cochin 0824-2228154
Coimbatore 0824-2228154
Dehradun 0824-2228154
Delhi 0824-2228154
Durg 0824-2228154
Faridabad 0824-2228154
Gandhinagar 0824-2228154
Ghaziabad 0824-2228154
Goa 0824-2228154
Greater Noida 0824-2228154
Gurgaon 0824-2228154
Guwahati 0824-2228154
Gwalior 0824-2228154
Hyderabad 0824-2228154
Indore 0824-2228154
Jabalpur 0824-2228154
Jaipur 0824-2228154
Jalandhar 0824-2228154
Jodhpur 0824-2228154
Kanpur 0824-2228154
Karnal 0824-2228154
Kolhapur 0824-2228154
Kolkata 0824-2228154
Kota 0824-2228154
Kozhikode 0824-2228154
Lucknow 0824-2228154
Ludhiana 0824-2228154
Madurai 0824-2228154
Meerut 0824-2228154
Mehsana 0824-2228154
Mohali Sas Nagar 0824-2228154
Mumbai 0824-2228154
Mussoorie 0824-2228154
Nagpur 0824-2228154
Nashik 0824-2228154
Noida 0824-2228154
Noida Extn. 0824-2228154
Panipat 0824-2228154
Patna 0824-2228154
Pondicherry 0824-2228154
Pune 0824-2228154
Raipur 0824-2228154
Rajkot 0824-2228154
Ranchi 0824-2228154
Rohtak 0824-2228154
Roorkee 0824-2228154
Salem 0824-2228154
Shimla 0824-2228154
Sonepat 0824-2228154
Surat 0824-2228154
Trichy 0824-2228154
Udaipur 0824-2228154
Vadodara 0824-2228154
Varanasi 0824-2228154
Vijaywada 0824-2228154
Vizag 0824-2228154
Karnataka Bank Loan Against Property News - Feb 2017
17th Sep 16 Karnataka Bank launches retail loan portal
Karnataka Bank has launched an online retail loan web portal named KBL-Loan Junction. This will facilitate the customers to check their retail loan eligibility and submit their loan application online. The bank also offers credit proposal tracking system as part of the initiative.
06th Aug 16 Karnataka Bank launched a mobile app for POS merchants
Karnataka Bank launched KBL POS Manager mobile app to its POS merchants to enable ease and convenience to the merchants KBL POS Manager is an Android based mobile application launched to manage the activities around the POS installation like monitoring daily reports, to know latest settlement report value, to request statements from the app etc. With this initiative, merchants can manage their store sales through smart phone. Bank has taken this initiative to improve client satisfaction and support merchants to do more transactions.
28th Jul 16 Karnataka Bank Q1FY17 Net Profit increases by 11%
As per the results for Q1FY17, Karnataka Bank Ltd. has reported a 11.2 percent increase in Net Profit to Rs 121.5 crore, from Rs 109.3 crore in the same quarter last year. Net Interest Income(NII) increased by 10.1 percent to Rs 364.7 crore and other income increased by 46 percent to Rs 174.4 crore in the June quarter . The asset quality showed signs of weakening as Gross NPAs as a percentage of total advances, increased to 3.92 percent from 3.44 percent and Net NPA also increased to 2.61 percent from 2.35 percent in March quarter. The provision against bad debt also increased by 21.2 to Rs 136.3 crore from Rs 112.5 when compared on qoq basis.
22nd Jan 16 Karnataka Bank standalone net profit declines 9 per cent for third quarter ending Dec 2015
Karnataka bank net profit declined by 9.37% due to a decrease in spread and an increase in Net Interest Income (NII)
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