[Resolved] Lichfl — increased interest rates

Life Insurance Corporation of India [LIC]

[Resolved] Lichfl — increased interest rates

R ravinder nathn pandey from Mumbai, Maharashtra

I TOOK A LOAN OF 6LAKHS FROM LICHFL(acct no[protected] IN YEAR 2006 WITH FLOATING INTEREST RATE OF 7.50%. ONLY FOR 3MONTHS I WAS GIVEN THIS INTEREST RATE, AFTER THAT EVERY 3MONTHS IT KEPT INCREASING AND I PAID A INTEREST RATE OF 11.50% FOR MAR09 NOW. ITS VERY SURPRISING/FATEFULL TO SEE THAT HOUSING LOAN COMPANIES GET THERE CUSTOMER SHOWING A VERY LOW INTEREST RATES AND AFTER THAT WHEN THEY GET A CUSTOMER THEY KEEP ON INCREASING THE INTEREST RATES. ALSO THE PROCEDURE OF CALCULATION OF EMI IS VERY HARD I.E THEY TAKE ALMOST ALL THE EMI TOWARDS INTEREST AND ONLY 2% TOWARDS PREMIUM AMOUNT, WHICH IS VERY UNFAIR. IF I AM PAYING EMI OF 5, 600 THEN THE INTEREST IS 5200 AND 400 IS MY PRINCIPAL DEDUCTION. IF WE CALCULATE THIS SAME THING FOR YEAR IT COMES 62400 AND PRINCIPAL DEDUCTION COMES TO 4800. ISN'T THIS UNFAIR? AT PRESENT I AM THINKING TO SETTLE MY LOAN IMMEDIATLY AT ANY COST, BECAUSE I HAVE MY OWN FAMILY EXPENSES ETC. IS THERE ANY OPTION WHERE IF I CAN BE CONSIDERED FOR SOME CONCESSION/RELAXSATION ON MY PRINCIPAL AMOUNT IF I AM WILLING TO CLEAR MY HOME LOAN IMMEDIATLY. Was this information helpful? No (0) Yes (0)
Aug 14, 2020 Complaint marked as Resolved
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Comments

Shameer

from Mangalore, Karnataka

Dear Friends,

We trusted LIC and they are betraying us. I have a loan relation with LICHFL and they are deducting more money than the announced interest rate. When I enquired about it officials are asking me to come down to their office to have an explanation that is merely impossible as I am out of station. I believe they are in blank. They dont respond properly to E-mails. I am totally worried and feel betrayed.

yogiraj

I TOOK A LOAN OF 22 LAKHS FROM LICHFL(acct no-) IN YEAR 2006 WITH FLOATING INTEREST RATE OF 8.25%. ONLY FOR 3MONTHS I WAS GIVEN THIS INTEREST RATE, AFTER THAT EVERY 3MONTHS IT KEPT INCREASING AND I PAID A INTEREST RATE OF 11.50% FOR MAR09 NOW. ITS VERY SURPRISING/FATEFULL TO SEE THAT HOUSING LOAN COMPANIES GET THERE CUSTOMER SHOWING A VERY LOW INTEREST RATES AND AFTER THAT WHEN THEY GET A CUSTOMER THEY KEEP ON INCREASING THE INTEREST RATES.

ALSO THE PROCEDURE OF CALCULATION OF EMI IS VERY HARD I.E THEY TAKE ALMOST ALL THE EMI TOWARDS INTEREST AND ONLY 2% TOWARDS PREMIUM AMOUNT, WHICH IS VERY UNFAIR.

AT PRESENT I AM THINKING TO SETTLE MY LOAN IMMEDIATLY AT ANY COST, BECAUSE I HAVE MY OWN FAMILY EXPENSES ETC. IS THERE ANY OPTION WHERE IF I CAN BE CONSIDERED FOR SOME CONCESSION/RELAXSATION ON MY PRINCIPAL AMOUNT IF I AM WILLING TO CLEAR MY HOME LOAN IMMEDIATLY.

Subhash Goher

No they cannot do like this if your loan is on monthly reducing balance and this is how it must be. If they are doing wrong then you must file case against them. I had taken loan in past and I never experienced the same but ignorance is the big problem. I have taken loan again this year and I think I must re-check.