Dutch Bangla Bank Home Loan | 2 Crore Loan at 6 Percent Interest from Dutch Bangla Bank to build a house
Having a flat of your own is a big dream for middle-class people. The country's banks and financial institutions are now calling for their fulfillment of this dream. It is as if they have reduced interest rates on a competitive basis to provide long-term housing loans to customers. Some institutions are approving the loan within 48 hours of receiving the customer's application. Again no one is settling the loan application at the specified time.
After the interest rate became effective at 9 percent from April 2020, a kind of competition started among the banks to reduce the interest rate. Banks and financial institutions, in particular, have become more interested in providing real estate loans. As a result, the interest rate on loans given by most banks is between 8 and 9 percent.
In the meantime, the private sector Dutch-Bangla Bank has shown a big surprise. The bank is now financing customers of other banks and financial institutions with housing loans at 6 percent interest. However, new loans are being given at 6 percent interest. The bank has decided to reduce the interest rate by another 50 percent soon. The bank has launched a separate loan scheme called 'Address'.
Dutch-Bangla Bank Managing Director Abul Kashem. Shirin said, ‘Now there is a good demand for loans. We are also lending. He added, "The interest rate on DBBL's housing loan will be reduced by another 50 percent." As a result, we will take a housing loan from another bank at 6 percent interest. The interest on the new loan will be 6 percent.
Not only Dutch-Bangla, now all the banks are giving importance to housing loans. As a result, many people of different classes and professions are able to own new flats with loans. IFIC Bank, a private sector bank, is the first major player in the country to reduce interest rates on housing loans. In early 2015, the bank reduced the interest rate on home loans from 11.95 percent to 9.99 percent in December of that year.
At that time the interest rate in the banking sector was above 15 percent. This results in success in disbursing low-interest loans. Most of the customers take housing loans from IFIC Bank. The bank has a separate product called 'My Home'. The bank provided loans of up to Tk 2 crore for the construction of houses and up to Tk 35 lakh for the construction of semi-finished buildings.
After seeing IFIC Bank, other banks and financial institutions also started following this path. Bank officials say loans to buy flats are more secure than other loans. This is because the defaulter is less and the flat is under the control of the bank till the loan is repaid. And no one wants to lose ownership of a flat unless they are in crisis. So the banks are paying attention to this loan day by day.
Earlier, banks could lend up to Tk 1.20 crore. Bangladesh Bank has allowed loans up to Tk 2 crore due to increasing demand. However, non-bank financial institutions (leasing companies) are already able to provide loans as per the demand of the customers. Bangladesh House Building Finance Corporation (BHBFC), a government agency, has also increased its loan to buy flats and build houses.
As a result, a person will get a loan of up to Tk 2 crore from BHBFC for building a house. And if you take a loan in a group or in groups, everyone will get 1 crore 20 lakh rupees. Apart from this, in case of buying a flat, a customer will also get a loan of Tk 1 crore 20 lakh from this company. Banks and financial institutions have made the process of disbursement of loans much easier than before.
Institutions are rushing to give loans to customers. If you want to buy a house or buy a flat with a loan from a bank or BHBFC, you have to own 30 percent of the total price. In other words, the companies give loans of up to Tk 60 lakh to buy flats worth Tk 1 crore. The remaining 30 lakh rupees have to be owned by the buyer. However, financial institutions can lend the entire price of the flat as a loan.
According to the research, IFIC, Dutch-Bangla, Prime, BRAC, The City, Bank Asia, Mutual Trust, Standard Chartered Bank, etc. are among the top banks in disbursing loans in the housing sector. Among the financial institutions, Delta BRAC Housing (DBH), IDLC, IPDC, National Housing, LankaBangla are ahead. The loan interest rate of these institutions is 8 to 9 percent.
Nasimul Baten, managing director of financial institution DBH, said loan disbursements were completely stopped for the first three months of the corona transition. But the last four months of last year have been good loans. Housing companies have done good business. And as the interest rate is lower than before, the interest of the customers has also increased. All in all, housing loans are going higher than ever before. Meanwhile, state-owned banks are also focusing on the housing sector. Sonali Bank is giving a loan of up to Tk 5 lakh in the name of 'Sonali Neer' for the construction of houses in rural areas.
Documents to be required: First of all, you need a certified photocopy of the design approved by the appropriate authority, original documents, Namjari ledger, attested photocopy of rent receipts for a home construction loan. In addition, an attested copy of the CS, SA, RS, BS ledger is required. Certificate of Merit (NEC) with 12 years search from District or Sub-Registrar's Office. In the case of land allotted by the government, an original allotment letter and transfer deed will also be required.
However, it takes less paperwork to get a loan to buy a flat. For this, an attested photocopy of the flat purchase agreement registered with the flat buyer and developer has to be given. Apart from this, an attested photocopy of the agreement executed between the landowner and the developer, an attested photocopy of the approved design and approval letter, and an original copy of the registered advance deposit agreement for allotment of flat and allotment are required. References: Prothom Alo.