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Home loan review: what to check

Home loans run for decades, so the rate, benchmark and prepayment options matter more than anywhere else.

Know your benchmark

Floating-rate home loans are linked to a benchmark — an external benchmark such as the repo rate for newer loans, or older internal ones like MCLR or base rate.

When the benchmark changes, lenders usually change the tenure rather than the EMI unless you ask.

Watch the tenure

Rate rises with an unchanged EMI can quietly stretch your loan by years. Check your remaining instalments on each statement.

Prepayments

Even occasional part-prepayments early in a home loan can cut years off it. RBI guidelines generally don't permit prepayment charges on floating-rate loans taken by individuals for non-business purposes — confirm your own terms.

Try the prepayment calculator

DeciLoan provides informational, analytical and planning assistance. It does not guarantee lender decisions, loan approvals, interest-rate reductions or financial outcomes. Please verify important decisions with your lender or a qualified professional.