The State Bank of India (SBI) is a public sector bank with over 100 branches across India. It’s a significant financial institution that provides loans to individuals and businesses. In this article, we will discuss the reasons for rejecting the SBI home loan application and how you can increase your chances of getting approved by providing the correct information.
Home Loan Criteria
- Minimum age: 21 years
- Maximum age: 65 years
- Minimum education qualification: 10th pass or equivalent in any stream (passed out from an institute with minimum qualifying marks).
- Maximum education qualification: Post Graduate Degree (PGD) or equivalent.
- Maximum income limit: Rs.1.5 lakh per month for individuals applying for SBI Home Loan and Rs 75000 per month for those under the self-employed category; however, this is subject to change depending on your business activities and financial status at present.
Credit Score
If you want to apply for SBI Home Loan and have not used one before, it is vital to understand your credit score. SBI can’t approve your home loan form if someone’s credit score is not up to the requirement/low.
Age Requirement
To apply for an SBI home loan, the age required is between 21 to 65. You may apply for the loan up to 70 years of age if you are an SC/ST, OBC or female applicant.
The maximum age limit is 70 years for all classes except for SCs and STs, who can only avail this benefit till 60 years.
Income
Income should be more than the EMI. A borrower’s income should be stable and sufficient to cover the EMIs, other expenses and the monthly loan amount. The Borrower must have an active bank account with at least two major financial institutions that are not closed or suspended by any bank.
Job Stability
The next factor to consider is job stability. Before you can approve your application, we need to know that you’re in a position where you can repay the loan and keep your job. It looks at how long an applicant has been working and their current employment status (i.e., full-time or part-time).
In addition, They want to know about any gaps in their employment history. Suppose someone has taken time off before receiving a mortgage loan because they were laid off or had another reason for leaving work temporarily. In that case, our underwriters may not consider this good enough for approval purposes.
Co-applicant’s Income
Co-applicant’s income is not taken into account for eligibility. However, it will be considered for the amount of loan you get.
If there are two co-applicants in a loan application, one of them has an income of more than Rs 25 lakh per annum. That person will be offering any amount of money but only up to Rs 20 lakhs while they can apply for another loan after completing this first one successfully or failing it.
- Repayment ability of the applicant
The applicant should have a good repayment ability and credit score. They should be able to repay the loan on time without any defaults.
- The property has a legal problem
When you apply for an SBI home loan, We must submit all the original documents about the property to the State Bank of India (SBI). If there is no proper documentation at that time, SBI rejects your home loan form. You must verify all the documents and property details before submitting the loan form.
SBI Home Loan Calculator
SBI Home Loan Calculator is a valuable tool that can help you calculate your monthly EMI. This calculator shows the interest you will have to pay monthly and the down payment amount required for your home loan.
SBI Home Loan Calculator Benefits
Firstly, this calculator helps with any home loan from the State Bank of India. Secondly, the calculator shows how much interest you will have to pay monthly and the total amount paid over the loan period.
How To Calculate SBI Home Loan EMI?
The process of calculating SBI Home Loan EMI is straightforward and quick. Use the calculator to put the details, such as Loan Amount (Principal) and Interest Rate (%), you will get the final amount.
Conclusion
SBI Home Loan rejection is common, but you can avoid it by following the above steps. If you feel that your application is rejected for any of the reasons mentioned above, then it would be wise to contact SBI’s customer care representatives, who will guide you through the process and help you get approved.
