Tag: rate

  • Despite highest literacy charge, Keralites maintain falling prey to fly-by-night operators

    Thiruvananthapuram, Jan 14: Even although Kerala has the very best literacy charge within the nation, individuals of the state maintain falling prey to fly-by-night operators.

    In the previous 5 years, Keraliites have misplaced over Rs 6,000 crore to fly-by-night corporations.

    Praveen Rana, who was the star within the state for previous one yr when he was heading an funding and advertising firm at Thrissur, is presently behind bars since Thursday as his firm has gone bust leaving anxious buyers who had invested round Rs 200 crore.

    Rana’s modus operandi was to be seen within the presence of the be all and finish the entire states politics, movie trade and media personnel, and thus took “literate” Keralite’s right into a excessive.

    Among those that had been seen honouring him embrace none apart from celebrity Mammootty, high flight state Ministers like Ok.N. Balagopal, Antony Raju, State Congress president Ok. Sudhakaran, former Chief Minister Oommen Chandy and John Brittas, Rajya Sabha member and one who heads the CPI-M backed TV channel.

    Other media homes like Reporter TV and Media one additionally had honoured him.

    Popular media critic Roy Mathew mentioned it is most unlucky that on the one hand Kerala speaks about highest literacy charge and alternatively falls into such individuals’s fingers.

    “This is nothing but greed as frauds like Rana was offering a staggering 48 per cent return on investments. Also none should forget that Kerala is one state where commercial banks have deep network and branches are there practically everywhere. I personally feel there needs be no sympathy to people who have lost money as knowingly they have walked into traps set by people like Rana,” mentioned Mathew.

    He mentioned “The media is also a major culprit as it gives all the support to these fly-by-night operators.”

    Former high Kerala Police officer Subhas Babu mentioned one purpose why that is occurring at frequent intervals is due to the “flaws” in registering circumstances and additional observe up actions.

    “You just look into the number of financial frauds that have taken place in the state. One classic case that took place long back was with regards to investment taken for rearing goats. The person was arrested and the next we hear that the very same person was engaged in recruiting people to Germany and UK by taking money. A proper registration of cases and a correct follow up to a major extent can bring down the frequency of such frauds happening,” mentioned Babu, who in his official profession, had probed a couple of such circumstances.

    Despite highest literacy charge, Keralites maintain falling prey to fly-by-night operators IANS 14 January 2023 Post Your Comments

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  • Is it higher to now shift your property mortgage to a different financial institution?

    However, the query dealing with most prospects is, must you accomplish that now? And, what elements must you think about earlier than you go down this path? Do be aware that some banks are already offering house loans at decrease charges, regardless of the particular affords, and the EMIs may very well be decrease than what you pay now.

    View Full Image

    Graphic: Mint

    Vishal Dhawan, founder & CEO of Plan Ahead Wealth Advisors, says, “Very usually, new mortgage prospects get higher offers than present ones. So, it (house mortgage switch) is one thing completely value taking a look at.”

    But as always, remember to read the fine print.

    Terms and conditions apply

    First of all, not all home loan applicants—whether taking a fresh loan or transferring an existing loan from another lender—are likely to get the best interest rate offered by a bank. As with your existing bank, the rate offered by the new lender is also governed by several factors such as your credit score, and whether you are a salaried or a self-employed person, etc.

    For example, under an ongoing offer, SBI is offering an interest rate of 8.75% to home loan transfer applicants with a credit score of 750 or higher. The interest rate on loans for those with a credit score of 700-749 will be 8.90%. The bank has waived off the processing fee. ICICI Bank’s offer covers only those with a credit score of 750 and above, as per its website. For instance, those with a credit score of 750 to 800 will be charged a rate of 8.75% (salaried) and 8.85% (self-employed). These offers are on until January 31.

    What to consider?

    There are several factors for you to consider, the obvious one being the interest rate differential. You can get a rough figure on your cost savings from a balance transfer calculator (see graphic). These go by the name of takeover EMI or refinance calculator. However, this figure doesn’t account for future changes in your home loan rate. You can compare this cost saving with the one-time expenses that you will incur at the time of transfer.

    What are these one-time costs? One, you will have to pay a processing fee (usually up to 0.5% of your loan amount subject to an upper limit, but can be higher) to the bank to which the loan is being transferred. This may be waived off in some cases. Two, there is an MOD (memorandum of deposit) charge that has to be paid to the bank. This is typically around 0.25% of your loan amount, and ensures that the bank has rights over the property in case of a loan default.

    What about expenses to be paid to your original lender? There are none in case of a floating rate loan. “Whether you refinance with a new bank or your existing bank, it’s like a pre-payment. You are moving from one loan contract, pre-paying it, and moving to a fresh contract. And, as per RBI regulations, there can be no pre-payment charge on a floating rate loan,” explains Shetty.

    That aside, there are different elements. Mint reached out to some individuals who have both opted for a house mortgage switch or evaluated its risk. Take the case of Garima Bhatnagar, an assistant vice-president at a multinational financial institution. She has determined in opposition to transferring her house mortgage regardless of a 50-60 foundation level rate of interest discount. She has a house mortgage insurance coverage coverage together with her present lender and switching to a different lender would have meant two issues: one, paying round ₹1.25 lakh as premium (50% of it will be refunded later) for the switch to be accepted, and two, dropping the present insurance coverage cowl she had. For Chennai-based Babu Sathyanarayanan, liquidity threat supervisor at HSBC, switching banks would have entailed fee of MOD expenses as soon as once more. Given this, and the truth that he supposed to shut his mortgage a lot earlier than its precise tenure made him keep put. The flexibility of extra frequent pre-payments at his present lender was yet one more deciding issue.

    Dhawan feels that other than the prices concerned, one should issue within the time dedication within the course of. “A house mortgage is finally a secured mortgage. So, the due diligence across the property and most different issues that you just went by once you first took the mortgage will nonetheless need to be repeated.” Shetty concurs with this. “When you apply to a new bank, it is almost as if you are a new borrower. The new lender will run a complete new set of underwriting checks before approving your loan, and this can take up to three weeks depending on that bank’s processes” (see graphic). He provides additional, “One must get a no objection certificates from the present lender and have interaction with them to have the ability to furnish paperwork required by the brand new lender.”

    According to Suresh Sadagopan, principal officer, Ladder7 Wealth Planners, if you plan to pre-pay your loan on an accelerated basis, then switching to another bank may be less relevant. He suggests an easier alternative: exploring the option of a lower rate with your current lender.

    Stay with the current lender

    “Your credit score can play a very important role when it comes to negotiating a lower rate with your existing lender,” says Shetty. The course of itself could be faster, and also you don’t need to pay MOD expenses once more. “You have to use for refinance, and pay a small processing price. But there isn’t any verification of land paperwork and different authorized checks as these have already been executed,” adds Shetty.

    You may be charged say, 0.25% or 0.50% of the outstanding loan amount, which may be subject to an upper limit for moving to a lower rate at your existing bank itself. However, most bank websites do not provide details on the extent of rate cut, and whether there are any limits to the number of times you can opt for this. Further, not every bank may facilitate a shift to a lower rate (where both are floating rate loans), and may only permit a shift from a fixed rate to a floating rate regime.

    When asked whether refinancing with the existing bank is likely to fetch you only a small reduction in rate compared to when you shift to another bank, Shetty says it could work either way. “Personally, I found that my existing lender was offering me the best deal. But in certain cases, I have seen people transfer to a new bank.” There are others who, nonetheless, really feel that your present lender might present solely a small lower.

    Should you turn right this moment?

    According to Dhawan, one essential level to consider is whether or not one is near the height of an rate of interest cycle on the time of switch. That’s as a result of, if charges proceed to rise additional, then a number of months down the road, the debtors might really feel that they aren’t getting the most effective deal out there. “During the course of this quarter, we may probably see rates of interest coming someplace near the height. So, right this moment might be a very good time to go forward with this,” says Dhawan. Shetty says, “We tell people to make their assessment based on what they know today. All else being equal, if refinancing at the prevailing rates will help you save a significant amount of money, then consider going for it.”

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  • Kerala turns into first state to introduce uniform gold value based mostly on financial institution charge

    Kozhikode, November 5: Kerala turns into the primary state in India to launch uniform gold value based mostly on the financial institution charge.

    The determination to introduce uniform value on 916 purity 22 carat gold has been taken at a gathering between officers of Malabar Gold and Diamonds, one of many largest gold and diamond retail chains within the nation and key members of All Kerala Gold and Silver Merchants Association which units the board charge for gold.

    Commenting on the event, MP Ahammed, Chairman, Malabar Group mentioned, “We are extremely happy to be a part of this momentous occasion. We would like to thank all members of the jewellery trade in Kerala for coming together and launching a standardized gold rate across the state to safeguard the interest of the consumers and bring in price transparency to the trade. At Malabar Gold and Diamonds, we have shown the way by launching uniform gold price across all our stores in the country with our ‘One India One Gold Rate’ policy. Being a top gold consuming state in the country, Kerala can set the stage for a countrywide roll-out of uniform gold price.” MP Ahammed additionally demanded that the promoting value of gold needs to be unified in all places within the nation.

    The gold charge needs to be uniform throughout the nation based mostly on financial institution charge. However, in most states, gold is priced Rs 150-300 per gram further over the financial institution charge. In Kerala, gold was once offered at completely different costs on a selected day. Uniform gold value based mostly on financial institution charge presents a possibility to the customers to buy gold at an affordable and clear value.

    According to Ahammed, there needs to be a system to find out the value of gold based mostly on the financial institution charge on a selected day within the nation. Bank charge on gold, GST and different taxes together with import obligation are the identical throughout India. For instance, on November 4, 2022, the financial institution spot charge of 916 (22 carat) gold was Rs. 1,640 per ounce, the financial institution premium was Rs. 3.50, the import obligation was Rs. 6,67,467 per kg and the financial institution value per gram of gold was Rs. 5,008. Adding all these, the financial institution charge of November 4, 2022, quantities to Rs. 4610 per gram of 916 gold. Thanks to the value standardization, jewellers in Kerala now cost the identical value because the financial institution charge for gold.

    This story has been offered by NewsVoir. ANI is not going to be accountable in any approach for the content material on this article.

    Kerala turns into first state to introduce uniform gold value based mostly on financial institution charge ANI 05 November 2022 Post Your Comments Shared Recently! Europian Union Film Festival kickstarts in New Delhi; Check out thrilling lineup
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  • Petrol and diesel costs decreased, know immediately’s price

    The public has been troubled by the rising costs of petrol and diesel. Things of frequent wants have additionally grow to be costly. In such a state of affairs, the Central Government has not taken any powerful choice so that individuals can get reduction. After the rise of their value on Thursday, the worth has decreased barely on Friday. After an increase of 26 paise and 25 paise in diesel on Thursday, a decline of 26 paise and 25 paise in diesel has been registered on Friday. This signifies that the extra the worth has elevated, the extra it has decreased. With this, petrol has been priced at Rs 89.39 and diesel Rs 88.08 per liter on Friday.