Choosing the right bank and housing loan package is as important as choosing the right property to buy. Your first instinct may be to choose the bank that offers the best rates, but don’t neglect to evaluate the type of services and packages offered. Not all banks are similar as each bank will have slightly different terms with different levels of customer service. You will be liaising with the bank over the course of your loan tenure, which lasts up to 35 years, so choose wisely to ensure a smooth and hassle-free journey.
Here are some of the key factors to consider when deciding on a financial institution:
A good financial institution would be able to offer innovative loan packages catered to your needs, so don’t be afraid to make comparisons before you sign on the dotted line.
Processing and disbursal speed
Upon submitting all relevant documentation, it usually takes about one to two weeks for the approval of your loan application. Ensure that the bank processes your loan application without any delays.
Loan eligibility varies from bank to bank, where the criteria include a minimum age, income profile and financial standing. Understanding the requirements help you to save time and effort in sourcing for the best option.
Are you an existing customer of the bank? If you are, it should give you a good indication if the bank is reliable and trustworthy.
How professional and efficient is the level of service provided? The home loan consultant at the bank should be welcoming and proactive in helping you secure a package that best suits you.
Find out about any frees or hidden charges involved in your loan package beforehand and compare the costs with the other banks.
Having an existing savings or current account with the bank, or having a local branch available near your home and workplace will make it more convenient for you to make transactions and payments on a regular basis.