Claim I-T sops on home loan principal

Jul 29, 2012 - Harsh Roongta

Tags:

I had availed a loan against property from a financial institution. I want to make a part payment. Is there any penalty on part payment or on the pre-payment of loan?
- Mathew Zachariah, Thiruvananthapuram

The rules relating to pre-payment of penalty on “loan against property” vary from institution to institution.
The conditions with regard to penalty for prepayment must be contained in the documents executed by you.
In case you do not have a copy of the documents executed by you, you can approach your lender for providing the same, which they are bound to provide you with. The regulations banning prepayment penalty apply only to floating rate home loans and not to “loan against property”.

My annual salary is bet-ween Rs 6 lakh and Rs 7 lakh. How much tax could I save on a home loan of Rs 8lakh to Rs 10 lakh?
- Kulwant Singh, New Delhi

You can avail a deduction of the principal amount of loan under Section 80C up to a maximum limit of Rs 1 lakh and under Section 24 for the interest on loan to the extent of Rs 1,50,000 if the property is self-occupied. If the property is let out, you can claim whole of the interest payable against the rental income accrued from such property. However, the deduction under Section 80C can only be claimed up to Rs 1 lakh in aggregate with other items of investments like life insurance premium and contribution to provident funds etc.

I bought a mediclaim policy for Rs 4 lakh in 1996. In 2000, I underwent an an-giography. Though my doctor held me fit, I was prescribed medicines for my high blood pressure, which I am still having. In 2009, I also bought a super top-up policy from United India Insurance for Rs 7 lakh, with a threshold limit of Rs 2 lakh.
The sum insured was later reduced to Rs 5 lakh due to policy changes at the insurance provider that recommended agai-nst providing cover in excess of Rs 5 lakh to persons above the age of 60.
Can I buy another super top-up for Rs 5 lakh? Can I be able to use if the first super top up is fully utilised by any chance? Will exclusion clause be from the date of the fresh super top-up or will it be taken from the first top-up policy. Also, suggest better alte-rnatives to the policies that I have availed.
- Noufal Mohammed Basheer, Bengaluru

You cannot buy another super top up plan of Rs 5 lakh with the same company as there is an overall limit decided for one person. As you already have a Rs 4 lakh base plan plus a Rs 5 lakh super top up policy, that will meet your needs. But if you still want to go for an additional super top up, then you could consider a super top up plan of Rs 5 lakh through a different insurer.

You could consider Max Bupa’s heart beat silver plan (with a maximum allowed Rs 3 lakh with Rs 3 lakh deductible).

Harsh Roongta is the chief executive officer of Apnapaisa.com. You can send in your queries to movingmoney@deccanmail.com

Post new comment

<form action="/comment/reply/175792" accept-charset="UTF-8" method="post" id="comment-form"> <div><div class="form-item" id="edit-name-wrapper"> <label for="edit-name">Your name: <span class="form-required" title="This field is required.">*</span></label> <input type="text" maxlength="60" name="name" id="edit-name" size="30" value="Reader" class="form-text required" /> </div> <div class="form-item" id="edit-mail-wrapper"> <label for="edit-mail">E-Mail Address: <span class="form-required" title="This field is required.">*</span></label> <input type="text" maxlength="64" name="mail" id="edit-mail" size="30" value="" class="form-text required" /> <div class="description">The content of this field is kept private and will not be shown publicly.</div> </div> <div class="form-item" id="edit-comment-wrapper"> <label for="edit-comment">Comment: <span class="form-required" title="This field is required.">*</span></label> <textarea cols="60" rows="15" name="comment" id="edit-comment" class="form-textarea resizable required"></textarea> </div> <fieldset class=" collapsible collapsed"><legend>Input format</legend><div class="form-item" id="edit-format-1-wrapper"> <label class="option" for="edit-format-1"><input type="radio" id="edit-format-1" name="format" value="1" class="form-radio" /> Filtered HTML</label> <div class="description"><ul class="tips"><li>Web page addresses and e-mail addresses turn into links automatically.</li><li>Allowed HTML tags: <a> <em> <strong> <cite> <code> <ul> <ol> <li> <dl> <dt> <dd></li><li>Lines and paragraphs break automatically.</li></ul></div> </div> <div class="form-item" id="edit-format-2-wrapper"> <label class="option" for="edit-format-2"><input type="radio" id="edit-format-2" name="format" value="2" checked="checked" class="form-radio" /> Full HTML</label> <div class="description"><ul class="tips"><li>Web page addresses and e-mail addresses turn into links automatically.</li><li>Lines and paragraphs break automatically.</li></ul></div> </div> </fieldset> <input type="hidden" name="form_build_id" id="form-b0fea988a07d3a4af37b64021c81e9dd" value="form-b0fea988a07d3a4af37b64021c81e9dd" /> <input type="hidden" name="form_id" id="edit-comment-form" value="comment_form" /> <fieldset class="captcha"><legend>CAPTCHA</legend><div class="description">This question is for testing whether you are a human visitor and to prevent automated spam submissions.</div><input type="hidden" name="captcha_sid" id="edit-captcha-sid" value="85672943" /> <input type="hidden" name="captcha_response" id="edit-captcha-response" value="NLPCaptcha" /> <div class="form-item"> <div id="nlpcaptcha_ajax_api_container"><script type="text/javascript"> var NLPOptions = {key:'c4823cf77a2526b0fba265e2af75c1b5'};</script><script type="text/javascript" src="http://call.nlpcaptcha.in/js/captcha.js" ></script></div> </div> </fieldset> <span class="btn-left"><span class="btn-right"><input type="submit" name="op" id="edit-submit" value="Save" class="form-submit" /></span></span> </div></form>