Punjab National Bank Home Loan

Last Updated: September 24, 2021

One of the most reputed banks of India, Punjab National Bank offers home loans of up to ₹1 crore with the PNB home loan interest rate starting at 6.55%. The bank offers the borrowers multiple PNB housing loan schemes to suit the diverse needs of the individuals. Additionally, the bank offers faster approvals, longer loan tenures, and a concession of 0.05% for women applicants.

Table of Contents

  • A range of housing finance schemes to cater to the different needs of the borrower
  • Zero prepayment charges for loans with floating rates of interest
  • The facility of top-up loan and overdraft for every borrower
  • A wide range of repayment options to suit the needs of the borrower

The present repo rate in association with the PNB home loan interest rate is 6.80%, which accounts for one of the lowest home rates of interest in India.

Punjab National Bank Home Loan Interest Rate Depending on Various Schemes

 

Schemes

Repo Rate associated with PNB Home loan interest rate

For amount upto ₹30 lakhs

For amount over ₹30 lakhs and upto ₹75 lakhs

For amount over ₹75 lakhs

PNB Home Loan

6.55%-7.05%

6.95%-7.30%

6.95%-7.40%

PNB Pride

6.55%

7.05%

7.05%

PNB Max Saver

Starting from 6.55%

PNB Gen-Next

Starting from 6.55%

Home Loan Overdraft

8.20%

Along with the PNB home loan interest rates, the bank also levies certain other charges on the borrowers which are mentioned below:

Name of Charges and Fees Amount and Particulars
Processing Fees Offering full waiver from 1/9/21 to 31/12/21
Charges of Documentation Can be upto ₹2,500
Verification Charges ₹250+GST

Usually, home loans cost a major portion of your income and are a long-form commitment reaching nearly 30 years. If the home loans do not have proper management, it leads to financial stress and in the long run increases the chances of loan defaults. The best way to manage your home loans is by calculating your EMIs beforehand using an EMI calculator. It helps in planning the budget of the borrower for the complete loan repayment tenure and ensures timely repayments through EMIs. Plus, the calculator can be used easily and gives correct results. Here is a table that will give you an idea of how the EMIs change when the amount and tenure change. The interest rate is kept at 7.10% for all the sections mentioned in the table.

Amount

 

EMIs as per the tenure

15 years

20 years

30 years

₹40 lakhs

₹38,1113

₹33,333

₹29,211

₹60 lakhs

₹57,166

₹50,000

₹43,817

₹80 lakhs

₹76,221

₹66,666

₹58,423

₹1 crore

₹95,277

₹83,333

₹73,028

The table illustrated above shows that the amount of EMI increases with the increase in the loan amount and the EMI amount decreases with the increase in loan tenure. However, the amount might decrease with extended loan tenure, the rates of interest might increase which will lead to a higher payout in totality.

PNB offers multiple options to avail the financial assistance and every option has its own eligibility criteria. People who are planning to take up the PNB home loan should always check the eligibility to avoid any future rejections. Here are the general eligibility criteria to avail of the PNB housing loan:

Borrower PIOs/Indian Residents/NRIs
Type of Employment Self Employed or Salaried
Age Minimum -18 years, Maximum- 70 years and 50 years for availing PNB Flexible Housing Loan
Credit Score 750 and above
Income A consistent source of income

Required Documents for Salaried Individuals:

  • Home loan application form filled correctly along with a photograph
  • Driver’s license, Adhaar card, PAN card, or any other proof of identity
  • Voter’s ID, Driving Licence, Adhaar card, PAN card, or any other proof of address
  • Voter’s ID, Driving Licence, Adhaar card, Birth Certificate, or any other proof of age
  • An educational qualification proof
  • Salary certificate given by the employer as proof of income
  • Bank statements of the last 6 months of the salary account

Required Documents for Self-Employed Individuals

  • Home loan application form filled correctly along with a photograph
  • Driver’s license, Adhaar card, PAN card, or any other proof of identity
  • Voter’s ID, Driving Licence, Adhaar card, PAN card, or any other proof of address
  • Voter’s ID, Driving Licence, Adhaar card, Birth Certificate, or any other proof of age
  • An educational qualification proof
  • For agriculturalists, like proof of income the record of cropping pattern of landholding
  • For other self-employed, ITR of last three years as a proof of income
  • Bank statements of the last 6 months of the salary account

Extra Documents

  • Proof of income of children or spouse if applicable
  • Documents stating the detail of the property

PNB Max Saver- Housing Finance Scheme for Public

With this scheme, the borrower gets the benefit of saving the interest because the bank provides the facility to keep the extra funds in an overdraft account and they can withdraw the money as and when they need it. If you are an existing loan borrower of PNB and want to avail of the loan under this scheme then the loan account should be regular without any discrepancy, the disbursement should be done completely, and the repayment should have begun. And, for any other borrower, the eligibility criteria are the same as their housing scheme. Note that if you fall under the Commercial Real Estate category, you will not be eligible for this scheme.

This scheme can be used for particulars mentioned in the Housing Finance scheme except for buying a plot of land only and it is an overdraft facility withdrawing power being reduced monthly. The margin for this scheme is decided as per the Housing Finance scheme and the repayment is also done as per the Housing Finance scheme.

PNB Pride Housing Loan for Government Employees

The objective of this scheme is to provide Housing Finance at a competitive interest rate and ensuring that every government employee gets access to a home. Every permanent employee of State Government, Defence Personnel, Central Government, or Paramilitary forces is eligible to apply for a home loan under this scheme.

PNB Housing Loan for Public

Under this scheme, the borrower can avail financial assistance for buying a flat, construction of a house, renovation of a flat or house, and buying a plot of land. The maximum amount which can be disbursed as a loan under this scheme is ₹1 crore at an interest rate of 6.55%-7.40%.

PNB Gen-Next Housing Finance Scheme for Public

This scheme is made for salaried individuals or the ones working for PSUs or the government and the assistance can be taken for the construction or buying of a house. For this, the PNB housing loan borrowers should take up term insurance of the loan amount at least and the premium costs can be financed depending on the borrower. The amount which can be disbursed under this scheme is a minimum of ₹20 lakhs. The interest rate for this scheme starts at 6.55% and the loan can be availed for 30 years at max.

PNB Pradhan Mantri Awas Yojna (PMAY-CLSS)

Under the government’s Pradhan Mantri Awas Yojna, the borrowers receive a subsidy on the interest. People falling under the Middle Income Group, Lower Income Group, or Economically Weaker Section can avail the subsidiary of upto ₹2.67 lakhs.

You can visit the official website of PNB bank and select the option of Home Loan Purchase and click on ‘Instant loan in 3 minutes- Apply Now.’ You will be redirected to a fresh page where you need to fill in the detailed information and follow the steps mentioned and the process will be completed. You can also use the website for tracking the status of your application.

A borrower can find loan schemes that suit their need with Punjab National Bank and their multiple repayment options also ease the task of handling and managing the financial budget. All in all PNB housing loan will be a good choice for first-time homebuyers because the bank will facilitate the task for you.

FAQ

  • Q: Can Punjab National Bank Housing Finance be found all across India?
    A:

    Yes, Punjab National Bank has a vast network that is spread all across India. You can avail the home loan from any of the PNB branches.

  • Q: Does PNB offer the lowest rate of interest?
    A:

    Yes, Punjab National Bank Home Loan Interest Rate is one of the lowest in India.

  • Q: What is the maximum amount of PNB home loan that a person can borrow?
    A:

    PNB home loan offers financial assistance of upto ₹1 crore.

  • Q: What is the maximum number of years for which one can take up the PNB housing finance?
    A:

    PNB offers home loans for a maximum of 30 years.

  • Q: How can one increase the eligibility for a PNB home loan?
    A:

    You can increase your eligibility for a home loan by adding a co-applicant, but he/she should have a source of income.

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