Urban Money

Kotak Bank Loan Against Property

Kotak Bank
4.5

Kotak Mahindra Bank Ltd. is headquartered in Mumbai, Maharashtra and is one of the largest private sector banks in India in terms of market capitalisation. Because of its competitive interest rates and other perks, Kotak Mahindra Bank is a one stop source for all of your lending requirements. Apply for a loan against property with Kotak Mahindra Bank and take advantage of its remarkable features and perks with an attractive Kotak Mahindra Bank Loan Against Property interest rate.

  • Kotak Bank
  • Loan Against Property
Loan Amount:₹10L
Interest Rate:7.25% - 11.5%
Processing Fee: Up to 2%
Tenure:12 Years
Details
BanksInterest RateProcessing FeeLoan Amount/Tenure
Kotak Bank

7.25% - 11.5%

Up to 2%

₹10L

Tenure(Up to 12 Years)

Details

Features & Benefits of Kotak Mahindra Bank Loan Against Property

  • Flexibility on LAP eligibility.
  • Loan amount from ₹10 lakhs up to ₹5 crores.
  • Loan against industrial, residential, and commercial property.
  • LAP for both personal and business needs.
  • Flexible loan offers with overdraft facilities and EMI-based LAP.
  • Easy options for loan repayment.

Kotak Bank Loan Against Property Overview

A loan against property is a loan secured by one's owned land. This loan can be used for both corporate and personal purposes. It may be used for a variety of things, including expanding one's business, taking a trip, paying one's children's education and other minor needs. Both paid and self-employed professionals can apply for a loan against property.

Kotak Mahindra Bank Ltd. is headquartered in Mumbai, Maharashtra and is one of the largest private sector banks in India in terms of market capitalisation. Because of its competitive interest rates and other perks, Kotak Mahindra Bank is a one-stop source for all of your lending requirements. Apply for a loan against property with Kotak Mahindra Bank and take advantage of its remarkable features and perks with an attractive Kotak Mahindra Bank Loan Against Property interest rate.

Kotak Mahindra Bank Loan Against Property Eligibility Criteria

Like every other financial institution, Kotak also has some Kotak Mahindra Bank Loan Against Property eligibility criteria. If you want to take out a LAP, it is important to fulfil these criteria to get your application accepted by the bank. These Kotak Mahindra Bank Loan Against Property eligibility requirements are divided into two categories:

  • Kotak Mahindra Bank Loan Against Property Eligibility for Salaried Individuals
  • Kotak Mahindra Bank Loan Against Property Eligibility for Firm/Proprietor/Company

Kotak Mahindra Bank Loan Against Property Requirements for Salaried Professionals

  • The minimum age of the applicant must be 21 years at the time of application.
  • The maximum age of the applicant should be 65 years during the period of loan maturity.
  • Minimum income of 40,000 per month.
  • The minimum working span should be between 2 and 3 years.
  • Must be holding a graduation certificate if working in a private Ltd. Co. or Partnership firm. 
  • But a graduate degree is not required in case the applicant is working for a public limited company. 

Kotak Mahindra Bank Loan Against Property Requirements for Firm/Proprietor/Company

  • The minimum age of the applicant must be 21 years at the time of application.
  • The maximum age of the applicant should be 65 years during the period of loan maturity.
  • The minimum income of the applicant should be ₹1.8 Lakhs per annum.
  • Should have been in their respective business for the past 3 years.
  • Business should be making a profit for last year.

Miscellaneous Fees and Other Charges for Kotak Mahindra LAP

Stage of LAP Description of Fees/Charges  Stage Payable at Amount in ₹
Pre-disbursement Stage Processing fee (PF) Sanction 1%, plus GST and other statutory fees. (This is a non-refundable deposit.)
Charges for Documentation  Application a total of ₹10,000, plus GST and other statutory fees
Post-disbursement Stage Copy of the Documents
Certificate of Interest/ Account Statement/ Amortisation Schedule Event Self-service mode on Mobile Banking, Net Banking, and WhatsApp Banking is available: Free Request a physical or digital copy through Customer Service/Branch: ₹ 250 (plus taxes and any other applicable statutory dues)
Charges for a copy of any documents (Duplicate NOC, Copy of property documents, No dues, etc.) Event ₹ 500 (plus applicable taxes and any applicable statutory charges)
Repayment mode Changes 
Account swap charges/Repayment mode Change in Repayment mode  ₹ 500 (plus applicable taxes and any applicable statutory charges)
Fee for Conversion 
Switching Fees On conversion Switch to a lower floating rate (with or without a change in the benchmark): 0.5 percent of the outstanding principal and undisbursed amount (if any) at the time of conversion, with a ceiling of ₹10,000 (plus taxes and any other applicable statutory dues)
Charges for Prepayment
Charges for Prepayment/Foreclosure  (For floating interest rate loans) Foreclosure/Prepayment NIL for individual borrowers who take out term loans for non-business purposes. For Micro and Small Businesses (MSE): Borrowers certified by MSE if the loan is foreclosed from own source of funds: Loan closed from borrowed cash for NIL MSE certified borrowers: 3 percent of the prepayment/foreclosure amount (plus taxes and any other relevant statutory dues) Others (individual borrowers for commercial purposes and non-person borrowers): • No prepayments or foreclosures are permitted until a 6-month lock-in period after the start of the EMI. • After the lock-in period, a minimum of ₹25,000 and a maximum of up to 25% of the outstanding loan amount can be made without incurring any prepayment costs every 6 months. • Any two prepayments must be separated by at least six months. • In any Part Prepayments in excess of 25% of the outstanding loan amount are subject to a 3% penalty (plus taxes and any other relevant statutory dues). • For Full Prepayment at any time after the Lock-in Period: 3% (plus taxes and any other applicable statutory dues) of the Foreclosure Loan amount plus sums prepaid in the previous 12 months.
Penal Charges
Dishonour of Instrument (Cheque/ECS/Mandate) Charges  Instrument dishonour ₹500 (plus all relevant taxes and statutory fees)
Substitute Interest (Penal Interest) Late payment 2 percent per month (plus taxes and any other applicable statutory dues) on the outstanding EMI amount for the postponed period
Charges for Collection (In case of default) Late payment 30 percent of cheque/instrument dishonour charges plus punitive interest (plus taxes and any other relevant statutory dues) For example, the EMI amount owed for 30 days (a month) is ₹ 1,00,000, and the penal interest (I) is ₹ 2000. Dishonouring an instrument (II) – ₹ 500 Total (I)+(II) – ₹2500 The collection fee, excluding taxes, is ₹ 750. (30 percent of ₹ 2500)
Other charges
Penalty interest is levied for non-compliance with sanction conditions, which includes, but is not limited to, an increase in credit risk such as non-submission of title documents, non-commencement of construction as per undertaking, unfavourable repayment behaviour, and other breaches of agreement terms. Event Pricing increases by 2% over the previous margin (plus taxes and any other applicable statutory dues)
Loan cancellation fees apply if the client chooses to cancel the loan after it has been disbursed without paying the Disbursement Cheque. (If encashed, it will be classified as a preclosure/foreclosure.) Event This is in addition to the PF payable. 0.10 percent of the loan amount or ₹25,000, whichever is greater (plus taxes and any other relevant statutory dues).
Charges specific to OD (Overdraft) facility
Post-disbursement Stage Charges for Annual Renewal  Renewal On the due date of renewal, 0.25 per cent (plus taxes and any other relevant statutory dues) of the OD limit (dropped limit after a decrease of yearly drop) shall be collected. This offer is not valid for the Smart Home Loan OD product.
Charges for Non-utilization  Event 0.25 per cent of the non-utilized OD limit, whichever is greater, or 1250 (plus taxes and any other applicable statutory dues). The quarterly minimum OD Limit use criterion is 50%. For example, OD Limit: 50,00,000 Utilisation OD barrier (50 per cent of OD Limit): ₹25,00,000 ₹10,00,000 was the OD limit that was used. ₹15,00,000 in differential Charges: ₹3750, (0.25 per cent of a total of ₹15,00,000)
Overline rate/Penal interest in case of overline accounts Over Withdrawal Over and above the standard OD rate, add 3% (plus taxes and any other relevant statutory dues) every month. This would be levied on any quantity that exceeded the aforementioned OD limit.

Kotak Mahindra Bank: Loan Against Property Interest Rate

Kotak Mahindra Bank Loan Against Property interest rates vary for both salaried and Firm/Proprietor/Company. Here is the different interest rate offered by Kotak:

  • For Salaried: 9.25% per annum to 11.50% per annum
  • For Firm/Proprietor/Company: 9.25% per annum to 11.50% per annum

Factors Affecting Kotak Mahindra Bank Loan Against Property Interest Rate

A few factors that affect the Kotak Mahindra Bank Loan Against Property Interest Rate are the following:

  • CIBIL/Credit Score
  • Age of the Applicant
  • Type, Condition, Location, etc of the property that will be mortgaged
  • Profile of the applicant
  • Loan Amount, Repayment Tenure, and Kotak Mahindra Bank Loan Against Property Interest Rate

Documents Required for Kotak Mahindra Bank Loan Against Property

To apply for a LAP in the bank, you need to submit a few documents for availing the loan. The documents required for Kotak Mahindra Bank Loan Against Property are as follows:

Documents Required for Kotak Mahindra Bank Loan Against Property – Firm/Proprietor/Company

  • Duly filled LAP Application Form
  • PAN Card
  • Proof of Identity (Passport/Driving Licence/ Voter’s ID Card/Aadhaar Card)
  • Proof of Address – required for both home and business (Utility Bill/Voter’s ID Card/Driving Licence/Passport/Bank Statement/Bank Passbook (minimum 3 months old with updated details)/Aadhaar Card)
  • Proof of Business Ownership (Electricity Bill/Municipal Tax Bill/Agreement Copy/Maintenance Bill along with Share Certificate/Share Certificate)
  • Proof of Business Continuity (Tax Registrations -- VAT/GST Registrations/Shop Certificate/Establishment Certificate/Service Tax)
  • Firm Constitution (AOA/MOA/Certificate of GST Registration/Partnership Deed/Form 32 to know about the latest directors of the business)
  • Bank Statement of last 1 year
  • Other documents are required as per the different LAP programs for Firm/Proprietor/Company asked by Kotak

Documents Required for Kotak Mahindra Bank Loan Against Property – Salaried Individuals

  • Duly filled LAP application form
  • PAN Card
  • Proof of Identity (Aadhaar Card/Voter’s ID Card/Passport/Driving Licence)
  • Proof of Residence (Driving Licence/Aadhaar Card/Utility Bill/Voter’s ID Card/Passport/Bank Statement/Bank Passbook)
  • Bank Statement of last six months (should reflect the salary of the applicant)
  • Salary Slips for the last 3 months
  • Other documents are required as per the different LAP programs for Salaried Individuals asked by Kotak

How Does the EMI Calculation Work for Kotak Mahindra Bank Loan Against Property?

To calculate the EMI, Kotak uses the loan amount, loan tenure, Kotak Mahindra Bank loan against property interest rate. As a result, the EMI will be higher if the loan amount and interest rate are high and tenure is short. 

To find the accurate calculation of EMI, you can use the EMI calculator by filling up the details, such as the principal amount, loan amount, repayment tenure, and Kotak Mahindra Bank loan against property interest rate.

Kotak Mahindra Bank Loan Against Property Customer Care Number

You can contact Kotak Bank Customer care with your queries on 1860 266 2666. You can also message them via the official portal with your related personal loan query. 

FAQs

From refinancing to reducing your interest, we have the answers right here.

Is there an application fee for Loan Against Property?

Yes, there is a one-time non-refundable fee that needs to be paid at the time of LAP application submission in Kotak.

Can I get a loan against the plot?

Yes, you can get a loan against the plot, but you need to check the Kotak Mahindra Bank Loan Against Property requirements.

How to check loan against property status in Kotak Mahindra Bank?

You can either call the customer care service, visit their official website, or visit the nearest branch with your LAP loan application number to check the status.

Does Kotak Mahindra Bank check for CIBIL Score for loan against property?

Yes, Kotak Mahindra checks the CIBIL score before lending a loan against property to the applicant.

What is the maximum and minimum loan against property amount I can get from Kotak Mahindra Bank?

The minimum amount is 10 lakhs and the maximum amount is 5 crores. 

Get your latest Credit Score, FREE

Related Articles

Get in-depth knowledge about all things related to loans and your finances

Home Loan Interest Rates Spiked After RBI's Repo Hike
Shiv Kumar GuptaMay 12, 2022

Home Loan Interest Rates Spiked After RBI's Repo Hike

The Reserve Bank of India regulates the home loan criteria, which are constantly changing owing to numerous economic circumstances. Read the blog to learn more about the RBI and how its latest home loan guidelines wil

Read More
The Collateral World of Mortgaging Property
Satish PrajapatiJan 21, 2022

The Collateral World of Mortgaging Property

A mortgage is any immovable property that is given as a security or collateral against a loan for building a property. The party lending the money

Read More
The Definitive Guide: Acquire Home Loan From The Best Financial Banks
Satish PrajapatiJan 21, 2022

The Definitive Guide: Acquire Home Loan From The Best Financial Banks

The present year 2021 has been identified as a good year to invest in homes due to the lower interest rate on home loans as well as the reducti

Read More