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Home Loan Starting 6.65%*


Home Loan from NBFCs in India

About Non-Banking Financial Companies in India

When you opt for a home loan, it is necessary to consider factors such as convenience, easy access to the loan account, customer support, and other value-added features before choosing a lender. All of these services add immense value to your experience as a borrower. In recent times, NBFCs have transformed their processes digitally, adapting them to the changing needs of customers. Today, you can approach an NBFC for a home loan and get your loan processed quite easily.

For a better understanding of the advantages of an NBFC home loan and all the other benefits you can get, read on.

What Should Borrowers Know About Non-Banking Financial Companies?

A non-banking financial company, also called NBFC, operates on the guidelines of the Indian Companies Act. One of the primary roles of such entities is to offer advances and loans to individuals. NBFCs are primarily categorised on the basis of:

  • Size
  • Liabilities in deposit and non-deposit accepting NBFCs
  • Type of work undertaken by the entity

Some of the NBFC categories include

  • Investment company
  • Loan company
  • Asset company
  • Infrastructure finance company
  • nfrastructure debt fund
  • Microfinance entity
  • Non-operative financial holding company
  • Mortgage company

What are the Advantages of an NBFC Home Loan?

There are several benefits to opting for an NBFC housing loan, namely:

  • Quicker approval processes
  • Minimal documentation
  • Simpler eligibility conditions

Keep these points when deciding on a lender for a home loan. NBFCs in India have proven to be reliable lenders and some even offer better service in comparison to others in the home financing market.

How Do Banks and NBFCs Differ?

A key difference most commonly observed is that the NBFC home loan interest rate is a bit higher than that offered by a bank. The other differences to note are as follows:

NBFCs Banks
For a home loan, NBFC offerings are linked to the prime lending rate Bank home loans are linked to the external benchmark
NBFCs can provide borrowers with a larger sanction by considering stamp duty and registration costs as part of the property’s market value Banks may not fund the cost of stamp duty or registration costs with a home loan

Another point to note is that NBFCs have lenient home loan eligibility criteria and are able to offer a loan based on the applicant’s financial profile. For instance, the income requirements of an NBFC in Delhi for a home loan will differ from that of the same NBFC in another city.

It is clear that both lenders have their advantages but NBFCs may have an edge when it comes to overall convenience. In this regard, consider the Bajaj Housing Finance Home Loan. You can use an online tool, such as the Home Loan EMI Calculator, beforehand to know your EMIs in advance for better financial planning. With this offering, you can easily qualify for the loan, get substantial funds to purchase your dream home and repay comfortably over a tenor of up to 30 years.

To start your journey today, apply online and avail of these benefits for a hassle-free experience.

*Terms and conditions apply