Homeowners who are repaying their mortgage incur the danger of failure to make loan repayments. In this case, a home loan statement can be beneficial because it gives a full breakdown of the entire amount of the loan that has been repaid and the remaining balance.
What is a statement for a mortgage?
When the borrower has fully repaid the loan, the drawn-out house loan process is over. A detailed breakdown of a borrower’s loan repayments made over the course of a fiscal year is provided in a home loan statement. Another name for this document is a preliminary certificate for a loan.
This declaration offers a detailed account of the entire payback period. This statement will include details about any prepayments, late payments, or partial payments made by the borrower. The borrower may use this document to apply for tax breaks on their EMI payments.
The following story on a home loan in India statement will give borrowers a clearer sense of their loan repayment plan.
Amount of each EMI that the borrower has made
when the money was received
Date on which the money were credited to the borrower’s mortgage account
It allows borrowers to keep track of their payments and avoid hassles. This paper also serves as proof of payment. Due to this, terminating the loan at the end of the tenor is made simple.
What details are included in the account statement for a mortgage?
The following details on a borrower’s home loan repayment are also included in the account statement.
- The whole EMI payment for the loan
- The start and finish dates of debt payment
- Interest rates can either be fixed or variable.
- prevailing interest rate
- The outstanding loan repayment balance
- The loan’s effective principal
How do tax deductions benefit from a home loan statement?
These statements serve as proof of loan payments, which is required to qualify for a mortgage tax deduction.
- According to Section 80C of the Income Tax Act, borrowers may deduct up to Rs. 1.5 lakh of the principal amount of a home loan from their taxable income.
- According to Section 24 of the Income Tax Act, borrowers may deduct up to Rs. 2 lakh in taxes from the amount of house loan interest that is owing.
- The amount that a borrower pays in registration and stamp duty payments may be deducted from their taxable income.
- Many consumers prefer under-construction homes to ready-to-move flats because of their lower prices. Because a house loan statement also applies in this situation, it is essential for them to appreciate the tax savings of home loans for properties that were under construction.
How can borrowers get a statement for their home loans online?
After a financial year has ended, obtaining a home loan statement is rather simple and may be done both offline and online. These days, the lender will send the borrower a digital copy of their home loan statements via email.
Borrowers can plan their remaining EMIs and put plans in place to reduce the cost of interest using the home loan statement and home loan EMI calculator.
By visiting the lender’s website and logging into their account, borrowers can also acquire a home loan summary online. The dashboard or the lender’s app both offer download options for the certificate and any further documents required.
In addition, borrowers can go to a lending institution location and submit the correct documentation to get a printed copy of the certificate.
Before applying for a house loan, borrowers should also review their pre-approved offers. These promotions, which are offered on a variety of secured and unsecured products, speed up the home loan process. Borrowers can submit their names and contact details in the website’s pre-approved section to view their pre-approved offers.
Finally, it is important for borrowers to keep in mind that a house loan statement is an essential record they require to comprehend their loan repayment history. It is also necessary paperwork when seeking tax advantages. It goes without saying that they should read it thoroughly when they receive it. Any anomalies should be notified immediately by visiting or calling the loan institution.
