Hi ,
I am having a Approved Home loan of 20L for a Duplex in May-2009 , Repayment period = 15yr , EMI = 20598 , ROI =9.25%
So far Bank has disbursed 13.3L , 1St disbursement was on June-2009 by the Bank , Property is under construction & no visibility of getting possession before June-2011 . Till now i was paying only interest on borrowing amount & this month bank has now charged me with EMI = 20598 from Now onwards , since the Loan is 1year old .
Bank says that it's good for me as i am also paying the princpal amount , however the Tenure & EMI will remain fixed.
My question is am paying the whole EMI for 20L ( though i borrowed only 13.3L ) , since Tenure & EMI remain fixed , How it's in favour of me. Plz guide
Br//rashmi