Sir/ madam , i am a private employee, working in private organisation. i purchased flat four years back. i took loan from idbi bank.
at that time interest rates are low. now interest rates are sky touching. my incom per month is twenty seven thousands per month.
i want to increase my EMI so that tenure can be reduced? so shall go for inreasing EMI or contunuing with old one please give me suzzestion sir
venkat r reddy
dont increase the emi, it may hit you later, when you dont have enough money or you want that money for some thing else.
instead i have a suggesstion if you are paying x amount as emi, every month if you can afford same amount or what ever you can deposit against the principal separately.
so that your principal is coming down and automatically interest also.
if you make this practice the money is with you for any emergency or you paying the principal.
think on this and do regularly religiously.
as long as you are trying to reduce your principal is better as emi the principal portion get reduced less in the beginning and more towards the end, you will end up paying interest only.
after carefully going thru this any doubt come back to me.