5 Things to Know if You’re Interested in a Reverse Mortgage

 Old age couple

Photo courtesy: prakhar

What is a reverse mortgage?

A reverse mortgage, as the name suggests is opposite of normal housing loan (mortgage) and is available only to senior citizens.

How does it work?

Once you pledge your house for reverse mortgage, the bank after carrying out its due diligence will arrive at the value of the house. After creating the room for interest cost and price fluctuations, the bank will disburse the balance amount to you depending on the payment amount you choose. Continue reading “5 Things to Know if You’re Interested in a Reverse Mortgage” »

Author: Austin Comments: 2 comments Date: 30 Jan 2010 More: Read more
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Pay your credit card bills online

Pay your credit card bill online

Paying your credit card bill is now easy and convenient. You can now pay your bill online from the comfort of your home / office using any bank account of your choice.

Just pay in 3 simple steps:

1. Enter details of the Card number and the amount you wish to pay.

2. Choose the bank account you wish to debit.

3. Login to this account, verify details and confirm payment.

You can follow the links below depending on the credit card for which you wish to make a payment. Please note this is only for cards issued in India. Continue reading “Pay your credit card bills online” »

Author: Austin Comments: 0 comments Date: 23 Jan 2010 More: Read more
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Home Loans: Joint ownership

Joint Ownership

Photo by:  kevindooley

Tax benefits on home loans have turned out to be an important aspect of home buying . Here is how you can benefit from the same.

Tax breaks

For self-occupied house property, the annual value of the house property is considered to be nil. Further, an individual could claim a deduction for the interest paid on the home loan (for purchase or construction) up to Rs 1.5 lakh, subject to certain conditions. This would result in a loss under the head house property of up to Rs 1.5 lakh, which could be set off against other income. If the property is let out, the actual amount of housing loan interest, without limit, could be claimed as deduction. Also, an individual can claim a deduction up to Rs 100,000 for re-payment of the principal amount U/S 80C of the Income Tax Act, 1961. Continue reading “Home Loans: Joint ownership” »

Author: Austin Comments: 4 comments Date: 17 Jan 2010 More: Read more
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Access to Your Own Credit Report

Did you apply for a loan but the bank turned it down without giving you sufficient details on why they turned down your application?

The Reserve Bank of India has been receiving a number of complaints, including under the Right to Information (RTI) Act, 2005, that customers are unable to get their own credit report from the banks. Continue reading “Access to Your Own Credit Report” »

Author: Austin Comments: 0 comments Date: 8 Nov 2009 More: Read more
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14 tax-free incomes for FY 2009-10

In a few months’ time the taxman will coming knocking on your door. However, he cannot tax you on the following 14 important items of income and receipts, as they are fully exempt from income tax and which a resident individual Indian assessee can use with profit for the purpose of tax planning.

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Author: Austin Comments: 0 comments Date: 7 Nov 2009 More: Read more
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Pay for withdrawals at other Bank ATMs

Barely six months since the usage of other bank ATM’s was allowed for free — the rules have now changed.

Effective 15th October, 2009 customers will be allowed to withdraw a maximum of Rs. 10,000 per transaction from non Bank ATMs. What this means is, savings Account customers will be allowed 5 free cash withdrawals per month on non Bank ATMs. A charge of Rs. 20 per transaction will be levied for additional ATM cash withdrawal on non Bank ATMs beyond the first 5 transactions.

So its clear that as long as the end customer was paying the per transaction charges earlier the banks were happy — but once they had to start paying the fee from their own pocket to the other bank (whose ATM was used to withdraw cash) it had begun to pinch them hard.

Author: Austin Comments: 0 comments Date: 17 Oct 2009 More: Read more
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Save entry load on SIPs

Beginning August 1, 2009, the Securities and Exchange Board of India (Sebi) has said, there will be no entry load for any mutual fund scheme and the upfront commission to distributors will be paid directly by the investor.

Did you know you could be still paying an entry load even after Aug 1, 2009?

Here’s how — if you started investing via systematic investment planning (SIP) before Aug 1, 2009 then you will be paying the entry load on each SIP amount every month even AFTER Aug 1, 2009 till the term end of your SIP. Most funds deduct an entry load of 2.25% on each SIP installment. Continue reading “Save entry load on SIPs” »

Author: Austin Comments: 0 comments Date: 15 Aug 2009 More: Read more
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ICICI Bank to recover credit card dues from salary account

In their constant pursuit of recovering dues from credit card customers, banks are empowering themselves with a tool that allows them to ask employers to deduct the outstanding amount from the salary. Employees who may have defaulted on payment, however, cannot object to this deduction of dues at source, according to the new clause introduced in the ‘terms and conditions’ by the country’s largest private sector lender ICICI Bank and expected to be adopted by others as well. Such deductions will be remitted to the bank and will continue till the entire dues are recovered. The deductions shall be of such amounts, and to such extent, as ICICI Bank may communicate to (and instruct) the card holder’s/card member’s employers,” says the revised terms and conditions of the bank.

Author: Austin Comments: 0 comments Date: 2 Aug 2009 More: Read more
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