Axis Bank: Launches Happy Ending Home Loans - Loans with the 12 months EMIs waived

Axis Bank launches "Happy Ending Home Loans": Loans with the last year’s EMIs waived Pay on time, and have your last 12 EMIs waived off

Axis Bank, India's 3rd largest private sector bank, recently announced the launch of "Happy Ending Home Loan" a unique housing loan product with a built-in EMI waiver scheme. 

As long as the customer pays his / her EMIs on time, the product would waive the last 12 EMIs automatically.

The product would be offered at the same rates as a regular loan, and would be applicable to new customers (Resident Indians) under Floating rate option.  

The EMI waiver would be offered to all loans with an initial tenure of 20 years or more that cross their 15th Year with Axis Bank.  Any customer who pays EMIs on time would be automatically eligible for the benefit. As with the standard Axis Bank home loan, Happy Ending home loans would come with zero prepayment penalties.

For a customer taking a home loan for Rs. 50 lac at 11% floating rate, the EMI per lac of loan size would be Rs.1,032. For such a customer taking a Happy Ending home loan, the EMI waiver would be worth upto Rs. 6.19 lac.

Mr. Jairam Sridharan, Head Consumer Lending and Payments, Axis Bank said, “Every customer wants to pay their loan EMIs on time.  When someone has been a loyal customer for a long time, &  has been very disciplined with their EMI payments, we would like to reward them for that behaviour and show our appreciation for their business.  Happy Ending home loans is our attempt to do that.”

When asked about the rationale of the scheme, Mr. Jairam Sridharan said customers are increasingly opting for longer-tenure home loans. Unlike in the past, today more and more housing loan borrowers are young & they are opting for 20 to 25 years tenure with closing the loan at the earliest not being a priority. This is partly due to the high interest rates & high housing prices & partly due to the age profile of the new home buyers".

 Mr. Jairam Sridharan  also added, "Any customer, who pays EMIs on time will be automatically eligible for the benefit. As with the standard Axis Bank housing loan, the new scheme will come with zero pre payment penalty."

Axis Bank, with 1,674 branches &  10,337 ATMs across 1,080 cities&  towns.

Axis Bank has doubled its housing loan book in the last 2 years. Its home loan book stood at above Rs. 30,000 crore at the end of the June quarter.

* Equated Monthly Instalment

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