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Confused in the Home Loan jargon? Our glossary
will help you in understanding the basic loan related terms.
Browse through the glossary or serach for a term through the
menu to resolve any doubts.
Glossary of Home Loan terms
E
Early Repayment Charge
The charge that may apply when a fixed interest rate is repaid
before the end of it's fixed term.
Equity
The difference between the market value of a property used
as security for a loan and the amount of the loan.
Establishment Charge
A fee paid by a Borrower, usually to a lender, to cover
the costs of processing a loan application.
EMI
EMI or Equated Monthly Installment is the installment amount
the borrower has to make towards repayment of his loan.
The EMI comprises of both the principal and interest.
Encumbrance
Encumbrance is the document to ward off property litigation.
It records details of transfer of ownership of a property
in succession right to the current owner; which includes
the date, the names of the parties involving the amount
of consideration, the extent and schedule of the property.
This certificate can be obtained from the sub registrar's
office for a payment of fee from any previous year till
date. This certificate is also helpful in establishing the
events as to how and when the present owner came into possession
of the property.
Exposure/Extent of loan
This is the exposure or declaration of asset/product against
the value of which the loan amount is decided.
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