The objective of this article is to highlight the use, effectiveness, and limitation of a Bad Bank. For the shareholders of banking stocks, especially government banks, it is interesting to know why the concept of Bad bank was introduced in India. If this Bank will function well, it has the potential to wash out the…
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…
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 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…
