Do you also want to close your Home Loan earlier?
It makes a lot of sense to make part payments in between. So if you have received the sum of money then you should invest some money and at the same time reduce your liability through the part payment of the loan by lowering down the tenure of the loan.
The best way is to make it a process like:-
A. If you pay 13 EMIs instead of 12 in a year then your tenure would reduce to 19 yrs 3 months from 25 years(Initial loan tenure)
B. If you hike your EMI by 5% every year then your tenure would reduce to 13 years 3 month from 25 years.
C. If you hike your EMI by 10% every year then your tenure would come down to 10 years 2 months.
Isn't this great that home loan could be closed earlier without paying any extra charges.
You only need to increase your EMI per year as per your strategy to save lacs of rupees on Intrest.
1 Comments
I especially like the focus on practical steps such as making additional payments and planning finances more carefully. Comparing different loan options can also make a big difference, particularly when interest rates or financial circumstances change. For homeowners considering alternatives, exploring options such as UOB home loan refinance may also be worth researching to see whether refinancing could offer better terms. Overall, the article explains the topic in a simple and easy-to-understand way, making it useful for borrowers who want to become debt-free sooner.
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