LAP Most Important Terms & Conditions (MITC)

Interest Rate: Rates are subject to change based on RBI guidelines and Paul Merchants Finance's internal policies. Floating rate loans may see rate revisions during the loan tenure.

Loan Tenure: Maximum tenure of 20 years or until borrower reaches 70 years of age, whichever is earlier.

Loan-to-Value Ratio: Maximum 60-75% of property market value as determined by Paul Merchants Finance's approved valuers. Final LTV depends on property type, location, and borrower profile.

Property Insurance: Mandatory throughout the loan tenure. Paul Merchants Finance must be marked as beneficiary in the insurance policy. Failure to maintain insurance may result in additional charges.

Foreclosure: Allowed after 6 months from disbursal. Foreclosure charges as per loan agreement apply. Minimum notice period of 30 days required.

Default Consequences: Non-payment may result in property auction, legal action, and negative impact on credit score. All recovery costs including legal fees will be borne by the borrower.

Documentation: All property documents must be submitted to Paul Merchants Finance and will be released only after full loan repayment including all applicable charges.

Grievance Redressal: For complaints or queries, contact our customer service within 30 days of the issue arising. Escalation process details will be provided in the loan agreement.

Credit Information: Borrower's credit information will be shared with credit bureaus and other financial institutions as per RBI guidelines.

Right to Set-off: Paul Merchants Finance reserves the right to set-off any outstanding dues against deposits or other funds of the borrower held with the company.

This document contains the Most Important Terms and Conditions (MITC) that every borrower must understand before availing a Loan Against Property. Please read carefully and seek clarification on any points before signing the loan agreement.