How a Flexi Hybrid home loan works

You are sure to have considered buying your own home at some point in your life. Fortunately, using a good home loan, in addition to your savings, is an excellent way to realise this goal. And, to enhance the ease with which you can buy your own home, you can now choose a Flexi Hybrid Home Loan.

Bajaj Finserv offers you a Flexi Hybrid Home Loan for added convenience and a suite of benefits. You can enjoy the online application, a high loan amount up to Rs. 15 crore*, easy eligibility, and online loan management.

But first, take a look at how a Flexi Hybrid home loan works.

It has easy application criteria

To apply for a Flexi Hybrid Home Loan, you only have to fulfill two conditions. First, you must be less than 50 years of age with a regular income, and the property for which you are seeking a home loan must not be under construction.

Once you match these criteria, you can access funds via the Flexi Hybrid Home Loan by submitting a few documents along with your completed application.

It allows you to pay interest-only EMIs first

The unique aspect of a Flexi Hybrid home loan is the EMIs you pay towards the borrowed sum. Unlike a term loan where each EMI consists of payment towards the principal and the interest throughout the tenor, a Flexi Hybrid Home Loan’s EMIs are different. For the first 4 years of the tenor, the EMIs are low in value and comprise only interest.

From the 5th year onwards, each EMI consists of payment towards the principal and interest. Therefore, it allows you to organise your finances for future repayment during the initial period when you only pay affordable, interest-only EMIs. As a result, you can ease the repayment process.

It allows you to prepay and avail another loan with ease

A Flexi Hybrid Home Loan enjoys a tenor of up to 40 years*, and you can make part-prepayments towards it anytime you wish to, as many times as you wish to, without paying any extra charge. Besides this, you can also access an additional benefit when you do so. Unlike a term loan, when you make a prepayment towards the Flexi Hybrid Home Loan, the principal doesn’t decrease immediately. Instead, the lender sets this amount aside and your EMI stays constant. You can then avail this amount as a loan if you need finances later and pay only interest on it.

Then, once your Flexi Hybrid Home Loan’s outstanding amount is equal to the amount you have prepaid and taken as a loan, the lender will use it to close your loan prematurely. This gives you double the benefits. In addition, you can get a low-interest sanction and clear your total loan amount quickly.

In case you don’t withdraw the amount, then when the outstanding balance on your loan is equal to the part-prepayment amount and the interest that you have been paying, the lender will use both these amounts and close your loan ahead of the lapse of the tenor.

It allows you to access your account conveniently

Apart from the ease of repayment and usage, Bajaj Finserv Flexi Hybrid Home Loan gives you access to an online account. It allows you to track your loan details at your convenience. With just a click, you can log on to the customer portal and access information about your loan, such as loan statements, payment details, part prepayment ledger, etc. Besides, to use this loan option, you only have to pay a nominal annual fee.

So, apply for this loan from Bajaj Finserv and enjoy maximum benefits and flexibility. Moreover, you can share basic details and check your pre-approved offer immediately. This way, you can further simplify the application process and get more benefits along with your loan sanction.