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Frequently Asked Questions
Home Loans Asset
Step 1:Submit your loan application along with required set of documents.
Step 2: Your application would be assessed on the basis of various eligibility and funding norms.
Step 3: A property valuation and title check may be carried out by the company representative to determine the property value and legal clearance of the property to arrive at the loan amount.
Step 4: Based on the internal and regulatory guidelines, PNB Housing may approve or reject the loan application.
Step 5: Submission of the original property documents are required along with signing of agreements, handing over of registered property papers and submission of post-dated cheques/ECS.
Step 6: Upon finding all the documents in order, PNB Housing will disburse the loan amount to the developer/contractor based on the progress of construction. The EMI/Pre-EMI will commence after the disbursement.
You are eligible for a loan if you are an Indian citizen or a person of Indian Origin and are a salaried/ self- employed professional/ a businessman. Your loan eligibility will be determined by PNB HFL on the basis of professional income, age, qualifications, number of dependents, co-applicant’s income, assets, liabilities, stability and continuity of occupation, savings and prior credit history. Further, the loan eligibility will also be dependent on the value of property selected by you.
We can fund up to 90% of the property value in case of Home Loan and up to 60% in case of Loan Against Property. However, PNB HFL funding norms may change from time to time and from property to property or based on the loan amount.
Yes, you can avail re-finance at applicable Home Loan rate within 6 months from the date of property purchase.
Your loan is repaid through Equated Monthly Instalments (EMI), which includes principal and interest component. EMI repayment starts from the month subsequent to the month of final disbursement. Pre-EMI Interest is the simple interest, payable every month till the time loan amount is not fully disbursed.
Keeping the borrower’s convenience in consideration, EMI is kept constant and residual loan tenure is adjusted. Under exceptional situations, the EMI is changed to support the principal repayment, within a time frame.
The prime security for the loan is by way of deposit of title deeds and/or such other collateral security as may be decided by PNB HFL. The title of the property should be clear, marketable and free from any encumbrances.
Yes, home loan can be prepaid. Part payment is to be made vide a cheque at any of your nearest PNB Housing branches. The cheque should be in favour of “PNB Housing Finance Limited ”, from any of the loan applicants bank account only. Part prepayments are to be made between Monday to Friday, from 6th till 24th of the month. For applicable loan pre-payment fee, kindly refer to the Schedule of Charges under “ Fair Practice Code” section on our website www.pnbhousing.com
PNB Housing offers a pure fixed rate of interest from the day of first disbursement for a specified period as per the extant loan scheme, prevailing at the time of availing the loan. Thereafter, for the residual loan tenure, the outstanding principal loan amount automatically moves to a floating rate of interest at the then prevailing rates of interest.
Customer’s loan will be disbursed after he has selected the property, applied for his Home Loan, submitted the requisite income and property documents, the property is technically and legally sound and customer has paid his own Contribution towards the purchase of the property. The disbursement would be in Indian Rupees and made at the PNB Housing branch in India, as specified by him.
The cheque for the loan amount is drawn in favour of the Developer or the Seller (in case of a resale property) as the case may be. In case of an under-construction project, PNB Housing disburses the loan amounts proportionate to the stage of construction.
Customer’s loan will be disbursed after he has selected the property, applied for his Home Loan, submitted the requisite income and property documents, the property is technically and legally sound and customer has paid his own Contribution towards the purchase of the property. The disbursement would be in Indian Rupees and made at the PNB Housing branch in India, as specified by him.
The cheque for the loan amount is drawn in favour of the Developer or the Seller (in case of a resale property) as the case may be. In case of an under-construction project, PNB Housing disburses the loan amounts proportionate to the stage of construction.
Income Tax certificates can be availed from:
1. Our IVR Services by calling at 1800 120 8800
2. Our Mobile Application
3. Our website https://customerservice.pnbhousing.com/myportal/pnbhfllogin
1. Kindly submit the Post Dated Cheques to your nearest PNB HFL branch before the EMI due date to avoid any late payment charges.
2. Repayment of loan is preferred through ECS.
As per the regulatory guidelines, a loan account is classified as Non Performing Asset if the interest/EMI due to be repaid is not paid for 90 days.
Recovery proceedings under SARFAESI Act 2002 will/can get initiated by PNBHFL for NPA accounts. Proceedings include taking possession of the underlying collateral/security ,for disposal to recover dues.
As per the RBI circular RBI/2021-2022/125 DOR.STR.REC.68/21.04.048/2021-22 of 12th November 2021, customer will need to pay the complete/entire overdue amount (all unpaid EMI+ interest) for the account to be reclassified as ‘standard’. Partial payment will not regularise the account.
Home Loan Asset – NRI
NRI definitions under FEMA:
The most relevant definition concerning an NRIs various bank accounts and investments in movable and immovable properties in India is the one provided under FEMA, which has replaced the Foreign Exchange Regulation Act , 1973-(FERA) with effect from 1st June,2000. Person Residing outside India is the term used for an NRI, being a person who has gone out of India or who stays outside India for the purpose of employment or carrying on business or vocation outside India or any other circumstances which indicate his intention to stay outside India for an uncertain period.
PNB Housing offers various modes for repayment of the loan. Customer may either issue post-dated cheques or standing instructions to his banker to pay the instalments through ECS (Electronic Clearing System) from your Non-Resident (External) Account / Non-Resident (Ordinary) Account in India. Cash payments will not be accepted.
In the event of customer getting re-located back to India, PNB Housing reassesses the repayment capacity of the applicant(s) based on Resident status and a revised repayment schedule is worked out. The new rate of interest will be as per the prevailing applicable rate of Resident Indian loans (for that specific loan product). This revised rate of interest would be applicable on the outstanding balance being converted. A letter is given to the customer confirming the change of status.
Customer need not be present in India to avail of your Home Loan. In case customer is posted abroad at the time of submission of the loan application and disbursement of the loan, he/she can avail the loan by appointing a Power of Attorney as per PNB Housing’s format. The Power of Attorney holder can apply and carry out the formalities on his behalf.
A power of attorney is a resident Indian appointed to act on behalf of all the applicants through an execution of the Specific Power of Attorney (SPOA) deed. It is mandatory for both the applicant and co-applicant execute the SPOA in favour of the person concerned. If the co-applicant is a resident Indian, he / she can also be the SPOA through the execution of the SPOA by the applicant.
Fixed Deposits
Fixed Deposit will be accepted from Resident Individual/ HUFs /Public/Private companies /Non-Resident Indians/ Co-operative Societies / Co-operative Banks/ Trust / Association of person, PF Trust etc.
A prospective depositor has to fill prescribed “Deposit Application Form” along with all KYC documents and an accounts payee cheque/ Demand Draft/ NEFT/ RTGS in favour of PNB Housing Finance Limited. Deposit applications are available at all PNB Housing branches and with its authorized brokers. Deposit forms could be downloaded from company’s website – www.pnbhousing.com.
Property insurance is mandatory in order to protect your property against uncertainties like earthquake, fire or any damage and destruction due to natural and man-made calamities, during the tenure of the loan.
Cumulative Deposit – INR 10000
Non-Cumulative Deposit –
Monthly Income Plan – INR 100000
Quarterly Income Plan – INR 50000
Half yearly Income Plan– INR 20000
Annual Income Plan – INR 20000
If a customer is a resident Indian individual/entity/trust the minimum tenure is 1 year and maximum tenure is 10 years.
Yes, PNB Housing will issue FD receipt of the money deposited by a customer with us.
Yes.
In terms of the Prevention of Money Laundering Act, 2002, the rules notified there under and KYC guidelines issued by the Reserve Bank of India (RBI), every depositor is required to comply with the KYC requirements by submitting the following document:
- Latest photograph.
- Certified copy of proof of identity such as Pancard, Aadhar Card, Passport etc.
- Certified copy of proof of address, for Corporate it is certificate of incorporation, Pancard Registration no. / trust deed.
Yes, loan facility is available at the discretion of PNB Housing, which can be availed only after three months from the date of deposits and up to 75% of the deposit amount subject to certain terms and conditions. Interest rate on such loans will be 2% higher than the rate of interest on the deposit being paid to depositor.
Yes, FD amount can be withdrawn before the original term (pre-mature withdrawal) of the FD. In accordance with the provisions of the Housing Finance Companies (NHB) Directions 2010, and on request being made by a depositor, premature withdrawal of the deposit may be allowed subject to the following conditions:
| Period completed from date of deposit | Individuals | Non – Individuals |
|---|---|---|
| (a) Minimum lock in period | 3 Months | 3 Months |
| (b) After three months but before six months | 4% p.a. | No Interest |
| (c) After six months but before the date of Maturity | For Individuals and Non – Individuals the interest payable shall be 1% percent lower than the interest rate applicable to a public deposit for the period for which the deposit has run. | |
In case a deposit is made through an authorized deposit broker – the excess brokerage paid will be recovered from the deposit amount. Excess brokerage is the difference between brokerage for original contract period minus brokerage for the period for which deposit has run.
If the aggregate interest income a customer is likely to earn for all deposits is greater than Rs.5,000/- in a financial year, depositor becomes liable for TDS. A customer can submit Form 15G (For Individuals and HUF) /15H (For Senior Citizen who is of the age of 60 years or more) or a certificate for lower/nil deduction of TDS issued by Income Tax Authorities u/s 197 of the Income Tax Act, 1961.
In case of NRIs, any amount of interest paid/credited during the financial year shall attract TDS.
Yes, Non Resident Individuals can open a fixed deposit with PNB Housing and provide funds from their NRO accounts only. Minimum tenure is 1 year and maximum tenure is 3 years.
Yes, but for the purpose of computation of tax liability all the accounts will be clubbed.
Yes, Deposit with PNB HFL are eligible investments under Sec 11(5) (vii) and 11 (5) (ix) of the Income Tax Act, 1961.
Yes, unless a trust produces a certificate of exemption issued by a competent authority.
Yes, nomination facility is available with PNB Housing FD.
Yes, a minor can apply under a guardian.
Yes, as per the directions of National Housing Bank, depositor has to provide a duly discharged deposit receipt along with an application form at the time of renewal.
Change in demographic details can be informed to PNB Housing branch office through an e-mail from the registered e-mail id or placing a request on the Company’s website, under Customer Care> Write to Us section.
In case a deposit receipt is lost/ mutilated a depositor has to give an application and an indemnity form for issue of duplicate deposit receipt.
- In case of death of depositor, the proceeds will be paid to nominee or joint holder, if the repayment option is either or survivor.
- In other cases, the legal heir(s) have to produce either a succession certificate/ probate of a will and an indemnity bond (in a prescribed format). Claim will be settled by PNB Housing, if the Company is otherwise satisfied.
Yes, Company’s deposit programme has been rated by CRISIL. The rating is FAA+/Negative.
Interest will be payable on the fixed deposit from the date of realization of cheque or fund transfer to PNB HFL’s bank account. Interest on deposit is paid as per the FD plan selected by a customer.
Non-Cumulative Deposit:
| Scheme | Interest Payment Date |
|---|---|
Monthly Income Plan |
Last day of each month |
Quarterly Income Plan |
June 30, September 30, December 31st and March 31st |
Half Yearly Plan |
September 30th and March 31st |
Annual |
March 31st |
Cumulative Deposit: Interest will be compounded annually on 31st March of every year after deducting the tax, wherever applicable. The principal along with interest will be paid on maturity once the discharged deposit receipt is received by us.
Loan Against Deposits
Loan against Fixed Deposit is a loan, wherein you can pledge your FD as a collateral, in return for
the loan amount. PNB Housing offers easy Loan against Fixed Deposits at fixed interest rates, with quick
processing, flexible repayment options and minimal documentation.
Loans may be granted against public deposits upto 75% of the principal deposit amount carrying @2% per
annum above the deposit interest rate and other additional charges applicable on such deposit, provided
the deposit has run for a minimum period of 3 months.
On maturity, the outstanding loan together with interest shall be settled in one lump sum by the depositor
or shall be adjusted on maturity of the deposit.
The rate of interest applicable on Loan against Fixed Deposit is 2% more than the effective FD rate
of interest.
You require to submit the following set of documents at your base branch:
a. Application form
b. Original signed and revenue stamped FDR.
No, the CIBIL score is not checked the loan is given on the basis of existing Fixed Deposit
There is no processing fee applicable for a case of Loan against FD.
No, there are no foreclosure or pre-payment charges applicable on your Loan against Fixed
Deposit.
You can avail loan amount up to 75% of the fixed deposit amount.
Below mentioned are eligible to avail loan against Fixed Deposit :
- Resident citizens of India
- Hindu Undivided Family (HUF)
- Sole Proprietorships, Partnership Firms,
- Associations
- Trusts
You can take Loan against FD after completion of 90 days from the effective date of deposit.
The loan amount can be re-paid either in part or in full at any time before the date of maturity of
deposit.
It takes T + 1 working day to process, the loan after the application and FDR is submitted / e
mailed.
In such a scenario, the entire due loan amount will be recovered either by the way of interest or
principal or TDS will be recovered from the deposit amount payable at maturity.
Yes, It can be pre-closed.
FAQs on Refund of Interest on Interest – V1.0.0
Supreme Court has pronounced a judgement in March 2021 wherein it has directed that compound / penal interest charged on loans during the moratorium period be refunded. Accordingly RBI directed financial institutions to refund difference between compound and simple interest charged on loan accounts which availed moratorium period of March 2020 to August 2020. Indian Banks Association (IBA) laid down the detailed guidelines in April 21 which are to be followed by institutions.
As part of the COVID-19 package announced by RBI in March 2020 (and extended in May
2020), customers who had a loan outstanding as on 29th February 2020 which was less than 90 DPD as on 29th February 2020 were given a relief of one time moratorium of repayment for a cumulative period of6 months i.e. from March 2020 to August 2020. During the moratorium period, the customers were exempt from making any payment to the lender. During moratorium, the lenders compounded the interest due on a monthly basis. Thus, the loan outstanding at the end of moratorium period included the outstanding principal at the beginning of the moratorium and the compound interest thereon for the months for which moratorium was availed, termed as “Interest on Interest”- difference between the simple interest and the compound interest charged during moratorium period.
PNBHFL had also compounded the interest for the moratorium period for the customers who availed the moratorium. Accordingly the Interest on interest will be refunded.
All “standard accounts” have to be given the benefit of relief. The determination date for this purpose is 29th Feb., 2020. That is, the days past due (DPD) status should be less than 90 DPD as on 29.02.2020 (“Eligible Accounts”).
Accounts not eligible for Relief under RBI Circular:
- Accounts classified as NPA as on 29 February 2020 ;
- Loan facilities which were charged with simple interest ;
- Accounts already refunded interest on interest under ex-gratia scheme of Nov’20* ;
Thus,
- Refund will now be given in those loan accounts (standard as on 29.02.2020) which were left out in the Ex-Gratia 1 scheme of Oct-Nov 2020. This will include ;
- All Loans* (standard as on 29.02.2020) where the exposure (disbursement) was > INR 2 crore.
- All Loans* (standard as on 29.02.2020) where the exposure (disbursement) was<= INR 2 crore but the market exposure (basis CIBIL) was > INR 2crores.
* Both retail and corporate finance loans will be eligible
- Loans irrespective of whether they availed the moratorium or not will be eligible. However, interest on interest is to be refunded only if it was charged. Not applicable on PNBHFL since no interest on interest was charged in such cases.
Yes, As loan was standard (not a NPA) on 29/02/2020 and had availed the moratorium, it will be eligible for refund of interest on interest irrespective of the fact that it became a NPA later on.
The refund of interest on interest is available to the Borrower under RBI Circular, irrespective whether the moratorium has been availed or not by such Customer. However, as per the detailed guidelines of IBA, the interest on interest is to be refunded only if it has been charged.
PNBHFL does not charge compound interest on normal loans. Thus, no interest on interest was charged on loans which did not avail the moratorium. Hence, no refund is due on such accounts.
During moratorium period, charging of penal interest was suspended in all PNBHFL loan accounts for the moratorium period. Accordingly, no refund /waiver will be processed.
- The calculation of interest on interest has been done on daily balance. Any subsequent disbursement/ prepayment made during the moratorium period has been considered for calculation.
- Actual interest rate prevailing as on a specific date has been considered for calculating interest on interest. Any change of rate taken place during moratorium period has been considered.
- The interest on interest will be refunded only to the extent that it has been charged. For partial moratorium cases (customers who took moratorium for less than 6 months) and for the foreclosed cases (paid off during moratorium period), the interest on interest will be refunded only for the period of moratorium when the compound interest was charged and the loan was live.
In case of Live loan account, the benefit amount will be given in the form of pre-payment by adjusting the differential amount with the future payables by the borrower.
In case of Closed loan account, the benefit amount shall be refunded in the form of remittance to the borrower’s repayment account as updated in our records.
Part A. Resolution framework for Individual and Small Businesses
a) Individuals who have availed of personal loans, and which include loans given for creation/enhancement of immovable assets (e.g., housing, etc.).
b) Individuals who have availed of loans and advances for business purposes and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
c) Small businesses, including those engaged in retail and wholesale trade, other than those classified as micro, small and medium enterprises as on March 31, 2021, and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
Provided further that the credit facilities / investment exposure to the borrower was classified as standard as on March 31, 2021.
No, the borrower accounts which were restructured earlier will not be covered under the resolution 2.0. However, if the restructuring plan implemented under resolution 1.0 for personal loans, permitted no moratorium/moratorium of less than 2 years, the said account can be restructured under this scheme provided the overall moratorium allowed/tenor extended shall not be more than 2 years.
The overall caps on moratorium and / or extension of residual tenor granted under Resolution Framework – 1.0 and this framework combined, shall be two years.
The resolution plans may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium, based on an assessment of income streams of the borrower, subject to a maximum of two year term.
FAQ’s on Resolution Framework 2.0
The purpose of this framework announced on May 5, 2021 vide respective RBI circulars, is to provide relief to individuals, small businesses and entities registered as MSME whose operations have been adversely affected by the second wave of Covid-19 pandemic followed by lockdown in most of the states.
Part A. Resolution framework for Individual and Small Businesses
a) Individuals who have availed of personal loans, and which include loans given for creation/enhancement of immovable assets (e.g., housing, etc.).
b) Individuals who have availed of loans and advances for business purposes and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
c) Small businesses, including those engaged in retail and wholesale trade, other than those classified as micro, small and medium enterprises as on March 31, 2021, and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
Provided further that the credit facilities / investment exposure to the borrower was classified as standard as on March 31, 2021.
No, the borrower accounts which were restructured earlier will not be covered under the resolution 2.0. However, if the restructuring plan implemented under resolution 1.0 for personal loans, permitted no moratorium/moratorium of less than 2 years, the said account can be restructured under this scheme provided the overall moratorium allowed/tenor extended shall not be more than 2 years.
The overall caps on moratorium and / or extension of residual tenor granted under Resolution Framework – 1.0 and this framework combined, shall be two years.
The resolution plans may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium, based on an assessment of income streams of the borrower, subject to a maximum of two year term.
Part B. Resolution framework for Micro, Small and Medium Enterprises (MSME)
a. Micro, Small or Medium Enterprise as on March 31, 2021 in terms of the Gazette Notification S.O. 2119 (E) dated June 26, 2020.
b. The borrowing entity is GST-registered on the date of implementation of the restructuring. However, this condition will not apply to MSMEs that are exempt from GST-registration to be determined on the basis of exemption limit obtaining as on March 31, 2021.
c. The aggregate exposure, including non-fund based facilities, of all lending institutions such borrowers does not exceed INR 50 crore as on March 31, 2021.
d. The borrower’s account was a ‘standard asset’ as on March 31, 2021. The borrower’s account was not restructured in terms of the circulars DOR.No.BP.BC/4/21.04.048/2020-21 dated August 6, 2020; DOR.No.BP.BC.34/21. 04.048/2019-20 dated February 11, 2020; or DBR.No.BP.BC.18/21.04.048/2018-19 dated January 1, 2019 (collectively referred to as MSME restructuring circulars) or the circular DOR.No.BP.BC/3/21.04.048/2020-21 dated August 6, 2020 on “Resolution Framework for COVID-19-related Stress.”
The resolution plans may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium, based on an assessment of income streams of the borrower via ITRs, GST returns bank statements and any other document submitted by the customer.
Part C. Common Points applicable on both the frameworks (A & B)
The request under this scheme shall be invoked by 30th September, 2021 and the same should implemented within 90 days of invocation.
As per regulatory guidelines, loan/credit facility will be reported to the credit bureau as “Restructured due to COVID-19”.
Please note that as per regulatory guidelines, restructuring has to be reported at a Borrower level to the credit bureaus and hence all the facilities / loans of the borrower with the bank will be classified and reported as “Restructured” even if the borrower has taken restructuring for only one loan.
As clarified in Question #6 above restructuring may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium each of which has additional cost implication.
No, A single application form will suffice the restructuring request depending upon single / all linked loan accounts selected by the Customer. The assessment of the application will be done basis the regulatory guidelines on the COVID-19 impact and the viability of the repayment plan before arriving at any decision.
The decision taken by the Company shall be communicated to the customer within 30 days of receipt of application.
As per regulatory and legal requirements, all Borrowers/Co-borrowers of the original loan need to agree and sign on any changes in the loan structure including the restructuring agreement.
FAQs on Refund of Interest on Interest – V1.0.0
Supreme Court has pronounced a judgement in March 2021 wherein it has directed that compound / penal interest charged on loans during the moratorium period be refunded. Accordingly RBI directed financial institutions to refund difference between compound and simple interest charged on loan accounts which availed moratorium period of March 2020 to August 2020. Indian Banks Association (IBA) laid down the detailed guidelines in April 21 which are to be followed by institutions.
As part of the COVID-19 package announced by RBI in March 2020 (and extended in May
2020), customers who had a loan outstanding as on 29th February 2020 which was less than 90 DPD as on 29th February 2020 were given a relief of one time moratorium of repayment for a cumulative period of6 months i.e. from March 2020 to August 2020. During the moratorium period, the customers were exempt from making any payment to the lender. During moratorium, the lenders compounded the interest due on a monthly basis. Thus, the loan outstanding at the end of moratorium period included the outstanding principal at the beginning of the moratorium and the compound interest thereon for the months for which moratorium was availed, termed as “Interest on Interest”- difference between the simple interest and the compound interest charged during moratorium period.
PNBHFL had also compounded the interest for the moratorium period for the customers who availed the moratorium. Accordingly the Interest on interest will be refunded.
All “standard accounts” have to be given the benefit of relief. The determination date for this purpose is 29th Feb., 2020. That is, the days past due (DPD) status should be less than 90 DPD as on 29.02.2020 (“Eligible Accounts”).
Accounts not eligible for Relief under RBI Circular:
- Accounts classified as NPA as on 29 February 2020 ;
- Loan facilities which were charged with simple interest ;
- Accounts already refunded interest on interest under ex-gratia scheme of Nov’20* ;
Thus,
- Refund will now be given in those loan accounts (standard as on 29.02.2020) which were left out in the Ex-Gratia 1 scheme of Oct-Nov 2020. This will include ;
- All Loans* (standard as on 29.02.2020) where the exposure (disbursement) was > INR 2 crore.
- All Loans* (standard as on 29.02.2020) where the exposure (disbursement) was<= INR 2 crore but the market exposure (basis CIBIL) was > INR 2crores.
* Both retail and corporate finance loans will be eligible
- Loans irrespective of whether they availed the moratorium or not will be eligible. However, interest on interest is to be refunded only if it was charged. Not applicable on PNBHFL since no interest on interest was charged in such cases.
Yes, As loan was standard (not a NPA) on 29/02/2020 and had availed the moratorium, it will be eligible for refund of interest on interest irrespective of the fact that it became a NPA later on.
The refund of interest on interest is available to the Borrower under RBI Circular, irrespective whether the moratorium has been availed or not by such Customer. However, as per the detailed guidelines of IBA, the interest on interest is to be refunded only if it has been charged.
PNBHFL does not charge compound interest on normal loans. Thus, no interest on interest was charged on loans which did not avail the moratorium. Hence, no refund is due on such accounts.
During moratorium period, charging of penal interest was suspended in all PNBHFL loan accounts for the moratorium period. Accordingly, no refund /waiver will be processed.
- The calculation of interest on interest has been done on daily balance. Any subsequent disbursement/ prepayment made during the moratorium period has been considered for calculation.
- Actual interest rate prevailing as on a specific date has been considered for calculating interest on interest. Any change of rate taken place during moratorium period has been considered.
- The interest on interest will be refunded only to the extent that it has been charged. For partial moratorium cases (customers who took moratorium for less than 6 months) and for the foreclosed cases (paid off during moratorium period), the interest on interest will be refunded only for the period of moratorium when the compound interest was charged and the loan was live.
In case of Live loan account, the benefit amount will be given in the form of pre-payment by adjusting the differential amount with the future payables by the borrower.
In case of Closed loan account, the benefit amount shall be refunded in the form of remittance to the borrower’s repayment account as updated in our records.
Part A. Resolution framework for Individual and Small Businesses
a) Individuals who have availed of personal loans, and which include loans given for creation/enhancement of immovable assets (e.g., housing, etc.).
b) Individuals who have availed of loans and advances for business purposes and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
c) Small businesses, including those engaged in retail and wholesale trade, other than those classified as micro, small and medium enterprises as on March 31, 2021, and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
Provided further that the credit facilities / investment exposure to the borrower was classified as standard as on March 31, 2021.
No, the borrower accounts which were restructured earlier will not be covered under the resolution 2.0. However, if the restructuring plan implemented under resolution 1.0 for personal loans, permitted no moratorium/moratorium of less than 2 years, the said account can be restructured under this scheme provided the overall moratorium allowed/tenor extended shall not be more than 2 years.
The overall caps on moratorium and / or extension of residual tenor granted under Resolution Framework – 1.0 and this framework combined, shall be two years.
The resolution plans may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium, based on an assessment of income streams of the borrower, subject to a maximum of two year term.
FAQ’s on Resolution Framework 2.0
The purpose of this framework announced on May 5, 2021 vide respective RBI circulars, is to provide relief to individuals, small businesses and entities registered as MSME whose operations have been adversely affected by the second wave of Covid-19 pandemic followed by lockdown in most of the states.
Part A. Resolution framework for Individual and Small Businesses
a) Individuals who have availed of personal loans, and which include loans given for creation/enhancement of immovable assets (e.g., housing, etc.).
b) Individuals who have availed of loans and advances for business purposes and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
c) Small businesses, including those engaged in retail and wholesale trade, other than those classified as micro, small and medium enterprises as on March 31, 2021, and to whom the lending institutions have aggregate exposure of not more than Rs.50 crore as on March 31, 2021.
Provided further that the credit facilities / investment exposure to the borrower was classified as standard as on March 31, 2021.
No, the borrower accounts which were restructured earlier will not be covered under the resolution 2.0. However, if the restructuring plan implemented under resolution 1.0 for personal loans, permitted no moratorium/moratorium of less than 2 years, the said account can be restructured under this scheme provided the overall moratorium allowed/tenor extended shall not be more than 2 years.
The overall caps on moratorium and / or extension of residual tenor granted under Resolution Framework – 1.0 and this framework combined, shall be two years.
The resolution plans may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium, based on an assessment of income streams of the borrower, subject to a maximum of two year term.
Part B. Resolution framework for Micro, Small and Medium Enterprises (MSME)
a. Micro, Small or Medium Enterprise as on March 31, 2021 in terms of the Gazette Notification S.O. 2119 (E) dated June 26, 2020.
b. The borrowing entity is GST-registered on the date of implementation of the restructuring. However, this condition will not apply to MSMEs that are exempt from GST-registration to be determined on the basis of exemption limit obtaining as on March 31, 2021.
c. The aggregate exposure, including non-fund based facilities, of all lending institutions such borrowers does not exceed INR 50 crore as on March 31, 2021.
d. The borrower’s account was a ‘standard asset’ as on March 31, 2021. The borrower’s account was not restructured in terms of the circulars DOR.No.BP.BC/4/21.04.048/2020-21 dated August 6, 2020; DOR.No.BP.BC.34/21. 04.048/2019-20 dated February 11, 2020; or DBR.No.BP.BC.18/21.04.048/2018-19 dated January 1, 2019 (collectively referred to as MSME restructuring circulars) or the circular DOR.No.BP.BC/3/21.04.048/2020-21 dated August 6, 2020 on “Resolution Framework for COVID-19-related Stress.”
The resolution plans may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium, based on an assessment of income streams of the borrower via ITRs, GST returns bank statements and any other document submitted by the customer.
Part C. Common Points applicable on both the frameworks (A & B)
The request under this scheme shall be invoked by 30th September, 2021 and the same should implemented within 90 days of invocation.
As per regulatory guidelines, loan/credit facility will be reported to the credit bureau as “Restructured due to COVID-19”.
Please note that as per regulatory guidelines, restructuring has to be reported at a Borrower level to the credit bureaus and hence all the facilities / loans of the borrower with the bank will be classified and reported as “Restructured” even if the borrower has taken restructuring for only one loan.
As clarified in Question #6 above restructuring may include rescheduling of payments, conversion of any interest accrued, or to be accrued, into another credit facility, additional term facility or, granting of moratorium each of which has additional cost implication.
No, A single application form will suffice the restructuring request depending upon single / all linked loan accounts selected by the Customer. The assessment of the application will be done basis the regulatory guidelines on the COVID-19 impact and the viability of the repayment plan before arriving at any decision.
The decision taken by the Company shall be communicated to the customer within 30 days of receipt of application.
As per regulatory and legal requirements, all Borrowers/Co-borrowers of the original loan need to agree and sign on any changes in the loan structure including the restructuring agreement.
FAQs on Waiver of interest on interest V1.2.0
It has been decided by the Government of India to waive “interest on interest” charged on consumer loans for the period 1st March 2020 to 31st August 2020. This will give a big relief to retail and MSME borrowers. A scheme for grant of ex-gratia payment of the difference between compound interest and simple interest for six months of loans up to Rs 2 crore has been rolled out by Department of Financial Services through its notification dated 23rd October 2020
Borrowers who availed the moratorium will be compensated for the compound interest they would be charged by the banks while those who paid on time will get as cashback the notional interest on the interest that they paid.
a) Borrowers who have loan accounts having sanctioned limits and outstanding amount of not exceeding Rs 2 crore (aggregate of all facilities with lending institutions) as on February 29 shall be eligible for the scheme
b) Housing loan, education loans, credit card dues, auto loans, MSME loans, consumer durable loans and consumption loans are covered under the scheme
c) The loan account should be standard account as on February 29, 2020. By Standard Asset, it means that the loan should be less than 90DPD as on 29/02/2020
d) The payment will be made to the borrower’s loan account irrespective of whether the borrower has fully availed, partially availed or not availed the moratorium. Thus, even if you have not opted for the moratorium, then also you are eligible under the scheme.
The loan outstanding will be arrived at by checking the Bureau data i.e CIBIL data. If the CIBIL score shows total outstanding > 2 crores then benefit of ex gratia will not be available.
As per the scheme, the lending institutions shall credit the difference between compound interest and simple interest with regard to the eligible borrowers in respective accounts for the said period irrespective of whether the borrower fully or partially availed the moratorium on repayment of loan announced by the RBI on March 27, 2020.
Under the scheme, the difference between the compound interest and simple interest will be credited to the borrower’s loan account for the period between March 1, 2020 and August 31, 2020 (Six months/ 184 days).
If you have opted for the six-month moratorium, then the interest portion of your EMI will be added to the outstanding principal component and the new EMI is calculated for the remaining loan tenure. Normally, the interest is calculated using a compounding formula, which means you pay interest on accrued interest as well. However, under the waiver scheme, a borrower is required to pay simple interest instead of compound interest on the outstanding loan amount during the moratorium period which means a lower interest burden on the borrower. The difference between the simple interest (which is offered under the scheme) and compound interest (a normal banking practice) will be borne by the government irrespective of whether the borrower has availed moratorium or not. This essentially also benefits the borrower who were able to service their EMIs diligently even during the moratorium period.
Example:
Suppose the Loan outstanding as on 29/02/2020 : Rs 50,00,000
Rate : 9% p.a
Simple interest for 1 month : 50,00,000 x 9% / 12 = Rs 37,500
Simple interest for 6 months : 37,500 x 6 = Rs 2,25,000
Compound interest for 6 month :{5000000 x (1 + (9%/12)) ^ 6} – 5000000
= Rs 2,29,262
Difference (B-C) = Rs 2,29,262 – Rs 2,25,000
= Rs 4,262
The guidelines from government of India have made the scheme very simple. The amount on which the ex gratia benefit will be calculated is the principal outstanding as on 29th February 2020. Any part payment / subsequent disbursement done in the account post 29th Feb 2020 will not be considered in the base amount used for calculations.
Those who have foreclosed/ preclosed/closed their loan dues during the moratorium between March and August 2020 will also be eligible for the benefit. The period for which the interest benefit will be calculated will be restricted to time between 01st March 2020 till the date of closure of loan.
The interest rate on which the computation (differential between Simple interest and compound interest) would be worked out (as shown in example in answer to Question no 4) will be the rate which was prevailing as on February 29, 2020.
The amount will be credited to the borrower’s loan account by November 5, 2020. In case the loan account is closed, the amount will be credited to the borrower’s savings bank account by November 05, 2020.
For the Live loan accounts, the ex gratia payment will be credited as a prepayment into the loan account of the customer.
For the loans which have been closed, the payment will be credited as NEFT/Cheque into the repayment bank account of the customer
The EMI of the loan will remain unchanged to the existing (Post August 2020) EMI. The credit of ex gratia payment to the loan account will lead to reduction in balance tenor.
Customer Portal & Mobile Application
Deposits and Loan account details are available online on Customer Portal and on Mobile Application. The web version can be accessed through the website by clicking “Customer Login” and mobile application can be downloaded from Google Play store (for Android) and App Store (for iOS). Users can create their user id and password to enjoy hassle free online services. It is a single window interface to provide important information at a click of a button, like IT Certificates, EMI payment status etc.”
Link Customer login to https://customerservice.pnbhousing.com/myportal/pnbhfllogin
Customers can anytime anywhere access the following:
1. Download Statement of account
2. Download IT Certificates
3. View Transaction history
4. Update email address
5. Raise & Track Service Requests
6. Apply for subsequent disbursements
Customers can anytime anywhere access the following:
1. Download Statement of account
2. Download Interest Certificates
3. Submit Form 15G/H online
4. Update email address
5. Raise & Track Service Requests
Frequently Asked Questions :: Pradhan Mantri Awas Yojna (PMAY)
- A beneficiary family not owning a house in any part of the India is eligible for this subsidy subject to income criteria as defined for the family under various schemes for EWS/LIG/MIG-1 and MIG-2.
- Through this scheme, the beneficiary is eligible to avail interest subsidy on the purchase/construction of a house/enhancement of a dwelling unit.
- For more details please refer to the section on PMAY.
Customers may track the status of their PMAY application through the link https://pmayuclap.gov.in/ by using their Application id.
Frequently Asked Questions :: Customer Service
Yes, home loan can be prepaid. Part payment is to be made vide a cheque at any of your nearest PNB Housing branches. The cheque should be in favour of “PNB Housing Finance Limited ”, from any of the loan applicants bank account only. Part prepayments are to be made between 6th till 24th of the month. For applicable loan pre-payment fee, kindly refer to the Schedule of Charges under “Fair Practice Code” section on our website www.pnbhousing.com
Yes, loan outstanding can be pre-paid before the completion of the actual tenure. As a process you will need to submit a written application at the branch. Please note that the application is to be submitted by the borrower himself along with a service fee (refer schedule of charges). Full prepayments are to be made only between 6th till 24th of the month. For applicable loan pre-closure fee, kindly refer to the Schedule of Charges under “Fair Practice Code” section on our website www.pnbhousing.com.
Income Tax certificates can be availed from: 1. Our IVR Services by calling at 1800 120 8800 2. Our Mobile Application 3. Our website https://customerservice.pnbhousing.com/myportal/pnbhfllogin. The certificate from the above is not chargeable. If certificate is availed from any other source, a nominal service fee will be applicable. Kindly refer to the Schedule of Charges under “Fair Practice Code” section on our website www.pnbhousing.com
Statement of Accounts can be availed from: 1. Our IVR Services by calling at 1800 120 8800 2. Our Mobile Application 3. Our website https://customerservice.pnbhousing.com/myportal/pnbhfllogin. The certificate from the above is not chargeable. If certificate is availed from any other source, a nominal service fee will be applicable. Kindly refer to the Schedule of Charges under “Fair Practice Code” section on our website www.pnbhousing.com
Repayment Schedule can be availed from: 1. Our Mobile Application 2. Our website https://customerservice.pnbhousing.com/myportal/pnbhfllogin. The certificate from the above is not chargeable. If certificate is availed from any other source, a nominal service fee will be applicable. Kindly refer to the Schedule of Charges under “Fair Practice Code” section on our website www.pnbhousing.com
You may visit our branches from Monday to Saturday (except for 1st & 2nd Saturday) between 10:am to 2pm. Please ensure to book an appointment before visiting our branch through https://www.pnbhousing.com/book-an-appointment/.
1. Repayment of the loan is preferred through NACH. Forms for which are available at our branches. A cancelled cheque along with 2 PDCs will be required to be submitted at any of the PNB HFL branches for NACH registration. The registration usually takes 45 days.
2. Alternatively, if PDCs are to be replenished, then kindly submit the Post Dated Cheques to your nearest PNB HFL branch before the EMI due date to avoid any late payment charges
Once we receive your request for disbursement, we will disburse the loan in full or in instalments, which usually do not exceed three in number. In case of an under construction property, we will disburse your loan in installments based on the progress of construction, as assessed by us and not necessarily according to the developer’s agreement.
Yes, FD amount can be withdrawn before the original term (pre-mature withdrawal) of the FD. In accordance with the provisions of the Housing Finance Companies (NHB) Directions 2010, and on request being made by a depositor, premature withdrawal of the deposit may be allowed subject to the following conditions:
| Period completed from date of deposit | Individuals | Non – Individuals |
|---|---|---|
| (a) Minimum lock in period | 3 Months | 3 Months |
| (b) After three months but before six months | 4% p.a. | No Interest |
| (c) After six months but before the date of Maturity | For Individuals and Non – Individuals the interest payable shall be 1% percent lower than the interest rate applicable to a public deposit for the period for which the deposit has run.
|
|
In case a deposit is made through an authorized deposit broker – the excess brokerage paid will be recovered from the deposit amount. Excess brokerage is the difference between brokerage for original contract period minus brokerage for the period for which deposit has run.
If the aggregate interest income a customer is likely to earn for all deposits is greater than Rs. 5,000/- in a financial year, depositor becomes liable for TDS. A customer can submit Form 15G (For Individuals and HUF) /15H (For Senior Citizen who is of the age of 60 years or more) or a certificate for lower/nil deduction of TDS issued by Income Tax Authorities u/s 197 of the Income Tax Act, 1961. In case of NRIs, any amount of interest paid/credited during the financial year shall attract TDS.
However if the PAN status is non-compliant at Income Tax website, then TDS will be deducted at double the rate of TDS, under the section 206AB of IT ACT, with no exemption.
Yes, nomination facility is available with PNB Housing FD.
Yes, as per the directions of National Housing Bank, depositor has to provide a duly discharged deposit receipt along with an application form at the time of renewal.
However, auto renewal is available for one-time renewal. For any further renewals, a fresh application is required.
Change in demographic details can be informed to PNB Housing branch office through an e-mail from the registered e-mail id or placing a request on the Company’s website, under Customer Care Write to Us section.
In case a deposit receipt is lost/ mutilated a depositor has to give an application and an indemnity form for issue of duplicate deposit receipt.
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In case of death of depositor, the proceeds will be paid to nominee/joint holder, if the repayment option is either or survivor.
In terms of the Prevention of Money Laundering Act, 2002, the rules notified there under and KYC guidelines issued by the Reserve Bank of India (RBI), every depositor is required to comply with the KYC requirements by submitting the following document:
