Step up EMI home loan

The Step-Up EMI Home Loan will offer better client advantage regarding line accessibility and obligation management. Under Step Up EMI offer, the loan construct will have a blend of Flexi and term loan.

Types of step up EMI home loans

To find out about the types of step up EMI home loans, read on.

  • Interest servicing construct
    Pay only interest as EMI for the first 2 years and enjoy a principal moratorium with no principal outstanding runoff during the period.
  • Term loan construct
    Pay regular EMIs (principal + interest) for a residual tenor, after the completion of a specified interest servicing period.

Step up EMI housing loan

The Step-Up EMI Home Loan offers you access to funds while providing a way for you to address your other financial obligations. Under the Step-Up EMI offer, the loan construct will have a blend of Flexi and term loans. By paying only interest for an initial period you can budget for a future increase in income and keep your repayment burden low, while not stalling your home purchase plans or giving up on interest tax benefits.

Young homebuyers can boost their eligibility with a Step-up EMI home loan, and you can opt for either, the interest servicing construct or the term loan construct.

How it works

Consider that a customer has been sanctioned a loan of Rs. 50 lakhs for 20 years and availed a step-up EMI home loan, specifically, the interest servicing construct for the initial 2 years.

  • For the first 2 years: Customer will pay only interest on Rs. 50 lakhs and will not be paying any principal component.
  • For the remaining 18 years: Customer will pay the interest along with principal component as EMI which will be applicable on Rs. 50 lakhs loan amount.

Loan amount: 50,00,000
Loan tenor: 20 years (2 years interest servicing + 18 years EMI period)
ROI: 8.00%
Normal loan: Rs. 41,822

Loan period

Step-up loan EMI

Difference (%)

1-24 months

Rs. 33,333

20.3% less

25-240 months

Rs. 43,748

4.6% more

How to apply

To apply for a step-up emi home loan:

  1. 1 Click on ‘Apply Online’ to access the online application form
  2. 2 Enter your basic personal details and verify your profile with an OTP
  3. 3 Use the eligibility calculator to pick the loan amount and tenor
  4. 4 Fill out your property, personal, employment, and financial details

Our representative will contact you with the next steps to complete your application. During the application process make sure to request for the Step-Up EMI option and pick from the interest servicing or term loan constructs.

*Conditions apply