03 March 2011
suppose i took a loan of200000/- for 5 yrs and EMI4055 per month (interest +principal) in flat interest rate of 8% . After 2 yrs i want to give more amount as EMI. say6000/- . Is it possible? If yes, How every thing will be recalculated.
04 March 2011
You will have a reschedule of the loan account once you pay higher. Previously with the conditions fixed ( term and interest rates )you had an EMI of Rs 4055/- now you want to pay higher. The period for repayment shall get reduced and if there is prepayment penal interest then you shall be asked to pay the same.
CAclubindia
