Applying for a home loan has long been tedious, but advances in FinTech are rapidly transforming the way we apply and use these loans. Of all the stages in the loan application process, obtaining the sanction letter is the most crucial as it finalizes the maximum loan amount and other key details. Technology has considerably shortened this stage; for example, Bajaj Housing Finance Limited is accelerating the early stages of e-mortgage acquisition process, allowing you to get an instant digital home loan sanction letter.
What is a digital sanction letter for a home loan?
As the name suggests, a digital sanction letter is the initial approval document provided in online home loan applications. It is issued before the final home loan agreement and includes the essential mortgage terms, such as loan amount, interest rate, and term, which are decided on the basis of your mortgage eligibility. The letter shortens the loan application process; for example, with the electronic mortgage Bajaj Housing Finance, you can instantly download your digital sanction letter. In addition, the letter is valid for 180 days.
What does the digital sanction letter contain?
The digital sanction letter contains the key parameters and conditions of the home loan, which helps speed up the home buying process. Bajaj Housing Finance Limited digital sanction letter contains basic information, such as application number, sanction date, applicant’s name and applicant’s mobile phone number.
The important details of the home loan are also listed there.
- Type of loan
- Amount of the penalty
- Mortgage interest rate Tenor of the loan
- Processing fee
- Original fees
- Validity of the sanction letter
Other notable features and benefits are also available in the letter.
- Easy online prepayment
- Payment of the complementary loan and mortgage with 1 EMI
You also have a list of documents required for loan processing.
- Pieces of identity
- Financial documents
- Ownership documents
Finally, the digital sanction letter lists the terms and conditions.
The digital sanction letter is system generated and no signature is required for authentication.
Why a digital sanction letter?
It is faster and easier to get a digital sanction letter compared to a regular sanction letter. You also get a range of other benefits; for example, you can:
- View essential parameters without delay: Quickly access key mortgage loan terms, such as loan amount, interest rate, and term
- Decide if you want a solidarity mortgage: Get a co-applicant on board in case you are not happy with the parameters of the home loan, for example, if you think the amount is insufficient
- Compare home loans: Compare your loan against other offers on the market in terms of cost and borrowing conditions
- Negotiate with your real estate agent: Start real estate discussions with the digital home loan sanction letter as proof of your eligibility
- Make real estate offers for early risers: Get an attractive deal with developers looking for early investment well in advance of project start
- Develop a reimbursement strategy: Make a repayment plan with all important mortgage terms available to you well in advance
- Focus on other home arrangements: Devote your time and energy to other projects, such as interiors, as you have some confidence in the financing.
Is the digital home loan sanction letter the final loan agreement?
Having a digital sanction letter is not the same as having the final loan agreement. The sanction letter indicates that your lender is ready to finance your needs, but it is not a 100% guarantee. You need to approach your lender with your digital sanction letter, provide documents, and take some legwork before taking advantage of the credit guarantee.
How do I get a digital home loan sanction letter?
Follow the steps below to get a digital home loan sanction letter from Bajaj Housing Finance Limited.
- Fill out the online mortgage application form providing personal, financial and real estate information
- Consult the loan offer generated after the validation of your request
- Pay a nominal fee and upload your digital home loan sanction letter
Once you have your digital sanction letter, you can use it to qualify for a home loan from Bajaj Housing Finance Limited within the next six months. Get mortgage financing at an attractive interest rate and benefit from a range of features, such as a flexible 30-year repayment term, PMAI grants (subject to eligibility standards being met), rapid disbursement. So go ahead and apply online to take the first step and make your housing dreams come true.
Disclaimer: This content is distributed by Bajaj Finance Ltd. No journalist from the TNIE group is involved in the creation of this content.