You can buy a new house by taking financial help from ICICI Bank home loans. The lowest home loan interest rate of ICICI Bank ensures EMIs come to your budget easily. Additionally, you can save tax by claiming deductions on principal and interest repayments on your home loan. Read the article and know how the ICICI home loan interest rate can help you buy your dream home in your budget as well as enjoy tax benefits.
How is the lowest home loan interest rate charged?
ICICI Bank charges the interest rate to your borrowed amount on the following factors mentioned below.
Repo rate: ICICI Bank base lending rate that is 5.15% currently helped the customer to get the lowest interest rate. The interest rate is based on the user’s credibility and starts from the 8.25% per annum. ICICI home loan interest rate is floating and changes with the lending rate. So your EMI is based on your interest rate.
Credit score: Your credit score helps you increase the credibility for the loan. Using which you can borrow the desired amount at the lowest home loan interest rate from ICICI Bank. Your credit score of 700 and above shows your good payment record.
Income: The income of the borrower has a major impact on the interest rate. So if your income is suitable for the EMI payment, you can get a low interest rate. The user can add a co-borrower for ICICI home loan to meet the income criteria.
Calculate your EMI with online tools!
Another way by which you can make the payment of your ICICI home loan easily manageable is the online tool. Using the ICICI home loan calculator, you can generate the approximate EMI. To do so enter your loan, interest rate and the repayment duration in the calculator. You can also find out the EMI schedule of your ICICI home loan using the calculator. But, it was just a mere probability. The actual amortization sheet of your loan payment is sent to the customer after the loan sanction.
The main idea of using the tool is to manage the payment schedule. You can do the payment of your ICICI home loan via ECS, PDCS or Standing Instruction service. ICICI Bank offers you a loan tenure of 30 years for hassle-free payment.
How tax saving is beneficial for the lowest home loan interest rate?
To claim tax on your ICICI home loan, you must be levied with tax on your annual income. Because the income tax act of 80C and 24b saves your annual taxable income up to INR 3.5 lakh. Tax is levied on the user income whose annual income is above INR 5 lakh. So, if your income comes under the tax range, you can save up to INR 2.5 lakh on your loan principal payment and INR 1 lakh on interest rate. It means a total of INR 3.5 lakh a person can save from their EMI payment.
But, you need to make sure that you will not make a prepayment of the loan afterward otherwise, the tax saving is reversed. To get the ICICI home loan, you can apply for it online or offline using the bank services. And call to 1860 120 7777 from your mobile phone to get the assistance for your ICICI home loan. Making a dream home is now easy and quick with benefits of ICICI home loan interest rates.