Canara Bank Loan Against Property

Canara bank loan against property or Can mortgage is a scheme introduced by the bank in order to fulfill all your desires of life. At times, although a loan is available for all personal uses, you do not wish to avail a loan again.

At such times, Canara bank loan against property comes very handy. The bank gives loans against the house owned by you. It can either be an apartment or a flat occupied by you or rented out to a tenant. Canara bank does not set

any limitations or restrictions on the usage of the loan finance provided. It is up to the loan borrower to use if for whichever purpose he/she wants to.

The bank sets certain eligibility criteria which the applicant must follow before applying for the Can mortgage program. If the borrower does not meet these requirements then the bank can reject the loan application. The bank has all the right to reject applications if it feels that the borrower is not meeting the required qualifications. The borrower must be a professional or a businessman. He/She can be self employed or a salaried individual. Bank would provide loans only to customers who have not had a bad credit history. New customers also must prove their credit history and the banks must be satisfied by the same.

Canara bank loan against property finances around 50% of the market value of the entire property. The rate of interest varies on the amount of loan applied. The maximum repayment time given is 60 months which is around 5 years. The bank charges a processing fee of 0.5% on the loan amount which has to be paid at the time of sanctioning the loan. The borrower will also have to submit three passport size photographs and two copies of all the documents required by the bank.

The documents include:

1. Copy of lease deed
2. Income proof and the exact gross and net income of salaried individuals
3. Income tax statements for the past 3 years
4. Legal scrutiny report,
5. Annual financial statements of the past 3 years in case of self employed individuals.

For more details on Canara bank loan against property, you can log on to the link given below:
http://www.canarabank.com/english/Scripts/pblCanMORTGAGE.aspx .