If my parents do not finance my higher studies, can I get a loan for myself from any bank? What would be the time period for the repayment of such of a loan?
Vishal Menon
New Delhi

Firstly, your course should be recognised by the appropriate regulatory authority. Secondly, if the loan requirement is less than Rs 4 lakh then need not provide any collateral security though the bank will still insist that you provide somebody else to be co-borrowers/guarantor (normally parents) even though the income of parents need not be enough to justify the loan.

I am sure your parents will not mind being co-borrowers for the loan. If the total family income is less than Rs 4.50 lakh per annum as certified by the relevant authority then the interest during the course period will be met by the government and you will only need to pay back the principal and interest after the course is over and you get a job.

* For the last five months I have been trying for a personal loan of Rs 1-Rs 1.5 lakh, but no bank is willing as my monthly salary is below Rs 15,000. Which bank/financier could provide me with a loan?
Prabjot Singh
Chennai

A personal loan should not be difficult if your net monthly salary is Rs 14,000 and it is being paid by cheque/direct deposit in a bank account regularly for the last three years and your track record of payment on existing loans or credit cards, if any, is good. You can apply for personal loan through price compare engines like Apnapaisa to get competitive offers from lenders.

* Can you throw some light on claim-settlement ratios of health insurance companies? Also, what are the factors one needs to consider while purchasing a health insurance plan?
Vishnu Prasad Sharma
Mumbai

Unfortunately such data unavailable. However, as long as you disclose all facts, including your full medical history, to the insurer, your claim is most unlikely to be rejected. While purchasing a mediclaim policy, please ensure there are no co-payments (part of the claim payment made by the policyholder), sub-limits on room rent, disease-specific sub-limits (expenses limits on some disease), permanent exclusion list.

Also be aware of the period fo which pre-existing diseases are devoid of cover, increase in premiums after any claim and lifetime renew ability.

* My goal is to create a corpus of Rs 3 crore in 10 years. I currently have Rs 10 lakh in fixed deposits that offer an interest rate of 9.5 per cent as also a monthly investment of Rs 15,000 in an SIP. I would like your advice on an additional Rs 10,000 that I intend to invest every month. Besides, I possess a Ulip policy from Max New York Life that has an annual premium of Rs 49,900 a year. I am the sole earning member of a family of six.
Abishai James
Hyderabad

A Rs 3 crore fund in a 10-year time frame is unrealistic if the amo-unt you can invest is Rs 25,000 a month. You should invest an additional Rs 10,000 in a large cap fund since your goal is long-term and you already have a substantial debt exposure. Assuming an annual rate of return of 14.30 per cent, you will be able to accumulate Rs 26.50 lakh in 10 years. To accumulate Rs 3 crore in 10 years, again assuming a 14.30 per cent return, you will need to a monthly SIP of Rs 1,13,700. We advise you re allocate 80-90 per cent of your fixed deposit investment to equities and mut-ual funds for around 24 months, and if possible, for a full periopd of 10 years. The details of your existing SIP investment is not available.

You are also advised to review your Ulip as you are incurring a high premium with unrecoverable charges. Franklin Blue Chip, DSP BR Top 100, HDFC top 200 are possible investment options.
As you have 5 dependents, your priority should be to have adequate life insurance cover. In addition to life, a medical insurance for yourself and your family members is advised.

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