Home loan

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2013 Sir,

I am seeking an advice. I work in Co. (a Govt of India Enterprise). My company is under BIFR ( Board for Industrial & Financial Reconstruction). Is it not possible for me to get home loan from banks/FI's ??

Aalok Chhaperwal

Aalok Chhaperwal (Expert)
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04 September 2013 U CAN APPROACH TO PRIVATELY HELD HOME FINANCE COMPANIES SUCH AS FULLERTON, INDIABULLS, DEWAN HOUSING ETC, BANK AND GOVT. FINANCE COMPANIES WILL NOT ENTERTAIN YOUR CASE.

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2013 is it so..? But in my co. people are grtting car loans & all....

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Aalok Chhaperwal

Aalok Chhaperwal (Expert)
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04 September 2013 from where...???

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2013 From SBI & different other private and public banks

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2013 From SBI & different other private and public banks

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2013 From SBI & different other private and public banks

Querist : Anonymous

Querist : Anonymous (Querist)

04 September 2013 SBI and other private banks

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Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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28 July 2024 Obtaining a home loan while working in a company under the Board for Industrial & Financial Reconstruction (BIFR) can be challenging but not necessarily impossible. Here’s a detailed guide on how to approach this situation:

### **1. Understanding the Situation:**

**BIFR Status of the Company:**
- A company under BIFR is undergoing financial reconstruction or revival due to financial difficulties.
- This status can impact the financial stability and creditworthiness of employees working in the company, which lenders may consider when assessing loan applications.

### **2. Key Considerations for Home Loan Approval:**

**1. **Employment Stability:**
- Banks and financial institutions assess the stability of your employment. Working for a company under BIFR may raise concerns about job security and future income.
- However, if you have a stable job and a good track record with your employer, this can mitigate some concerns.

**2. **Creditworthiness:**
- Your credit score, income level, and financial stability are crucial factors. A strong credit score and stable income can improve your chances of loan approval.
- Ensure that you have a good credit history and demonstrate your ability to repay the loan.

**3. **Down Payment:**
- A higher down payment can improve your chances of getting a loan. Lenders may view a significant down payment as a sign of commitment and financial stability.
- Aim to save and offer a substantial down payment to offset the perceived risks.

**4. **Co-Applicant:**
- Consider applying for the loan with a co-applicant who has a stable financial background. This can help in strengthening your application.
- A co-applicant with a good credit score and stable income can provide additional security for the lender.

**5. **Loan Amount and Terms:**
- Be realistic about the loan amount and tenure you apply for. Opt for a loan amount and repayment term that fits comfortably within your budget.
- Ensure that the EMI (Equated Monthly Installment) does not exceed your financial capacity.

### **3. Steps to Take:**

**1. **Assess Your Financial Situation:**
- Review your income, expenses, and credit score. Ensure you are in a strong financial position before applying.

**2. **Prepare Documentation:**
- Gather all necessary documents, including proof of income, employment status, and financial statements.
- Include a letter from your employer confirming your employment status and income.

**3. **Research Lenders:**
- Approach multiple banks and financial institutions to explore their loan products and terms.
- Some lenders may have specific policies for employees of BIFR companies, so it’s important to inquire about their requirements.

**4. **Submit Applications:**
- Submit loan applications to the banks or financial institutions of your choice.
- Be transparent about your employment status and provide all required information.

**5. **Seek Professional Advice:**
- Consult with financial advisors or loan consultants who can provide guidance on improving your loan application and navigating the approval process.

### **4. Alternative Options:**

**1. **Personal Loans:**
- If securing a home loan is challenging, consider exploring personal loans or other financing options.

**2. **Loan Against Property:**
- If you own other property, you might be able to get a loan against that property.

**3. **Government Schemes:**
- Check for any government schemes or subsidies that might be available to you.

### **Summary:**

While working for a company under BIFR presents additional challenges, it does not automatically disqualify you from obtaining a home loan. Focus on demonstrating financial stability, preparing thorough documentation, and exploring multiple lenders to increase your chances of approval. If needed, seek professional advice to navigate the process effectively.