Processing fees and the costs nobody mentions
The headline rate is one of at least eight numbers that determine what a loan costs.
4 min read
What you need to know
Compare offers on total cost, not rate alone. On a ₹50 lakh LAP, the difference between two lenders can be ₹1.5 lakh in one-time charges even at an identical rate.
Continue your research
Use this guide alongside our product details and eligibility criteria before choosing a lender.
Key points and practical checks
- Processing fee, typically 0.5-2% plus GST
- Legal and technical valuation charges
- Stamp duty and franking on the mortgage deed
- CERSAI registration and documentation charges
- Insurance premium, where bundled
- Annual maintenance or renewal fee on limits
Frequently asked questions
What is the main takeaway from “Processing fees and the costs nobody mentions”?
The headline rate is one of at least eight numbers that determine what a loan costs.
What should I check before acting on this loan basics guide?
Start with these checks: Processing fee, typically 0.5-2% plus GST; Legal and technical valuation charges; Stamp duty and franking on the mortgage deed. Your final eligibility, pricing and approval still depend on the lender’s assessment.
Can the information in this guide guarantee loan approval?
No. It is general educational information. A bank or NBFC makes the final decision after checking your credit profile, repayment capacity, documents and the applicable product policy.
How can iFINTRUST help after I read this guide?
An iFINTRUST advisor can review your requirement, explain the documents normally requested and help you compare suitable lending options before you apply.