Loan Basics Articles
9 articles — rates, eligibility, EMI tips and strategy for Indian borrowers.
Advance EMI vs Arrears EMI — The Car Loan Trick That Quietly Raises Your Rate
Paying two or three EMIs upfront sounds like a discount. It is the opposite: on a ₹8 lakh car loan at 8.85%, three advance EMIs push your effective rate to 9.88% — and the shorter your tenure, the worse the damage.
Loan Against FD, Mutual Funds & Shares 2026 — The New RBI Limits Explained
From 1 July 2026 the RBI raised the per-borrower cap on loans against shares from ₹20 lakh to ₹1 crore and lifted equity LTV to 60%. Here is what you can now borrow, at what rate, and the margin-call risk nobody warns you about.
Loan Foreclosure & Prepayment Charges — The New RBI Rules From January 2026
From 1 January 2026 lenders cannot charge prepayment fees on floating-rate loans to individuals, and lock-in periods are banned outright. Here is exactly which loans qualify, which still carry a penalty, and when paying the penalty is still worth it.
Standing Guarantor for a Loan in India — What You Are Actually Signing
A guarantor is not a character reference. Under the Indian Contract Act your liability is identical to the borrower, the loan sits on your credit report, and guaranteeing a ₹20 lakh loan can cut your own home loan eligibility by ₹23 lakh.
Business Loan for Small Business India 2026 — Rates, Eligibility, and Government Schemes
A complete guide to business loans for MSMEs — from MUDRA loans at 8.5% to collateral-free CGTMSE loans up to ₹5 crore. Rates, eligibility, documents, and how to choose the right product.
How Much Loan EMI Can You Afford? The FOIR Framework Explained
Banks use FOIR (Fixed Obligation to Income Ratio) to decide your maximum EMI. Here's exactly how it works, what your lender's limit is, and how to maximize your loan eligibility without overextending.
Flat Rate vs Reducing Balance Interest — Why Your Lender's "10%" is Really 18%
A personal loan at "10% flat rate" costs you almost the same as one at 18% reducing balance. Here's the exact maths, a conversion formula, and how to never get fooled again.
What Happens If You Miss an EMI? Consequences, Fees, and Recovery Steps
Missing one EMI triggers a cascade — penalty fees, CIBIL damage, and eventually legal action. Here's exactly what happens at each stage and how to stop the cascade before it starts.
Loan Amortization Explained — How Every EMI Is Split Between Interest and Principal
In the first year of a ₹50 lakh home loan, 86% of your EMI goes to the bank as interest, not equity. Here's how amortization works, why it matters, and how to use it to pay less.