Date: 2008-08-08 15:20:41
Query : Hi,
I have 3 personal loans the total of this is approx 300000 (3 lakhs). Total outstanding on my credit card is 98000/-.
I also have a home loan tenure 20 yrs (amt - 600000)6 lakhs. But i do not have any concern about the home loan.
I want to close my 3 personal loans and want to pahy off my credit card debt.
Awaiting your reply.
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Date: 2008-08-08 17:25:27
Message:
To help me prepare a personalised debt consolidation plan for you, I need the following information from your end.
Initial Loan Amt |Tenure|Rate Of Interest|EMI|No of EMI Paid
Loan 1:
Loan 2:
You will also need to list your Credit Card outstanding and Net Income.
Looking forward to your response on this.
Please revert with any clarifications on the above answer.
Regards,
Amitoj Sethi
www.deal4loans.com
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Date: 2008-08-11 11:45:48
Message:
Loan1: CITIBANK
Initial Loan Amt: 120000
Tenure: 48mnths
Rate Of Interest: 19%
EMI: 3588
No of EMI Paid: 14
Loan2: CITIBANK (Against Credit Card)
Initial Loan Amt: 160000
Tenure: 48mnths
Rate Of Interest: 24%
EMI: 5216
No of EMI Paid: 10
Loan3: HOME LOAN (ICICI BANK)
Initial Loan Amt: 608505
Tenure: 384mnths
Rate Of Interest: 11.25%
EMI: 5772
No of EMI Paid: 15
Loan4: CITIBANK
Initial Loan Amt: 266000
Tenure: 48mnths
Rate Of Interest: 16.19%
EMI: 7677
No of EMI Paid: 5
Total Of All Credit Cards Outstanding: 97192
Net Income: 25000
*I am not concerned of my Home Loan. But i want to get rid of all my Personal Loans and credit card debt.
Can i combine my 3 personal loans into 1 to save on the total EMI?
What would you suggest?
Waiting for your detailed reply.
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Date: 2008-08-11 12:46:14
Message:
There's a slight change in the above posting.
Loan 4 mentioned is of ICICI BANK not CITIBANK.
AND there's one more addition.
Loan5: CITIBANK
Initial Loan Amt: 60000
Tenure: 48mnths
Rate Of Interest: 16-20% (not sure)
EMI: 2700
No of EMI Paid: more than 12
ALSO CAN I GET A DEBT CONSOLIDATION LOAN TO CLEAR ALL MY PERSONAL LOANS & CREDIT CARD DEBT?
WHICH BANK DOES OFFER A DEBT CONSOLIDATION LOAN?
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Date: 2008-08-12 14:51:18
Message:
Your monthly net take home is Rs. 25,000 (including quarterly allowances)
Your monthly EMI commitments is Rs. 29,815 (assuming 5 % payment on credit card balance)
Based on the data provided, your eligibility for top-ups is as listed below
Principal Tenure Rate of Interest EMI EMIs Paid Principal Balance Top-up Available
Loan 1 120000 48 19.00% 3588.014186 14 93774.6938 26225.3062
Loan 2 160000 48 24.00% 5216.293688 10 137922.1467 22077.85333
Loan 3 608505 384 11.05% 5774.262742 15 605768.7475 2736.252494
Loan 4 266000 48 17.01% 7676.817514 5 245907.0443 20092.95566
Loan 5 60000 48 44.66% 2700.405246 12 53087.95444 6912.045565
My recommendation to you is as follows
a. Opt for a top-up on loan 1, 2 & 4. This should generate liquid cash to the extent of Rs.68,000 without any change in your monthly outgo, but your tenure will increase.
b. If the loan provider is able to offer a top-up with an enhancement, please take up the offer. There will be an increase in the EMI in this case.
c. Use the Rs. 68,000 to pay off card debts as these are typically at 36 %.
d. This should bring down your monthly EMI commitments by about Rs. 26,415
e. Use your cards sensibly and pay the full amount due at the end of every billing cycle.
f. Banks do not have a product where they give a consolidation loan & take over debts
You should ensure that all additional income is ploughed back to ensure that your debt is reduced. Please regulate your expenses and get into a habit of saving a portion of your salary every month. Prudence in expenses is the only trick to stay out of debt traps.
Do get back to me for any clarifications on your personalised debt consolidation plan.
Please revert with any clarifications on the above answer.
Regards,
Amitoj Sethi
www.deal4loans.com
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Date: 2008-08-12 15:00:06
Message:
Thanks for your advice.
Just one clarification. What does top-up with an enhancement mean?
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Date: 2008-08-13 13:53:07
Message:
A top-up loan with enhancement is when you get an additional increase in the on going loan due to increase either in the your property value you have mortgaged or cause of increase in your financial position.
Please revert with any clarifications on the above answer.
Regards,
Amitoj Sethi
www.deal4loans.com
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City : Pune
Employment Status : Salaried
Annual Income : 300000
Type of Loan Running : Yes
Loan Running :
EMI Amount :
Tenure :
ROI Loan : Yes
EMI Paid :
Credit Card Holder : Yes
Amount Due :
Loan Running on Credit Card : No
Residential Status : owned
Vehicle Owned : 4 Wheeler