Bad Bank: What Is It And How Does It Work?

The term “bad bank” is not about a bank gone bad. In fact, the work that is done by this bank is equally good. Someone might say, they do an even tougher job than orthodox banks. Why I’m writing about it? People who invest in the stock market have some portion of their portfolio invested […]

Home Construction Loan: What is The Process To Get Such Loans [India]

Before this incident I never heard of a home construction loan. One of our colleague was constructing a home for himself. In this age of rapid urbanisation, he decided to construct a home, all by himself. He had set a lavish plan for himself. He was planning to construct a really nice home. We were […]

Taking a Haircut, what it means for the banks?

Taking a Haircut - What it means for the banks -image

These days we often hear the phrase called “taking a haircut”. What does it mean, and how it effects a common man? In simple language, taking a haircut means “agreeing to settle a deal for a loss”.  Why banks would agree to accept a loss making deal? To understand this, one must first understand what […]

Buying Insurance Cover with Home Loan is Mandatory?

Buying insurance cover with home loan is not mandatory

Buying insurance cover with home loan is not mandatory. But still, banks “insist” the borrower to avail this facility. What one must do? If buying insurance cover with home loan is not mandatory, then why the lender (banks) insist on it? There are banks who may not even accept the home loan application without insurance […]