We all know that paying off a mortgage is a lengthy process that takes patience and forethought. You pay down a portion of the house loan debt as well as the interest component each year of your stay. But how can you figure out how much of the loan you’ve paid off so far, how much you still owe, and other details?
A home loan statement is the solution
As you might expect, it’s a crucial document that the lender sends you every year with information about your loan repayment. A loan statement can be used to determine how long it will take to pay off your mortgage. It also indicates how much you’ve paid off and how much you still owe on your mortgage. As a result, it’s an essential tool for planning and managing your funds ahead of time.
Let’s take a closer look at it.
What is the purpose of a home loan statement?
A home loan statement is essentially a thorough account of your house loan repayments over the course of a financial year. It shows you how much interest and money you owe on your loan, as well as whether you’ve missed any EMIs or whether you’ve made any or before.
As a result, it’s a simple way to keep track of your home loan debts. As a result, a house loan statement contains the following sections:
- The total loan amount, interest rate, tenure, start and end dates of the repayment period, EMI, and so on are all terms of a home loan.
- Information on the Home Loans Account: These contain the opening and ending balances, as well as any credits and debits made during the fiscal year.
- Due Amount: This number shows how many dollars you still owe on the mortgage.
- Statement Period: This indicates how lengthy a loan is about and when lengthy the EMI transactions mentioned were done.
- Transaction Activity: This section displays any penalties or costs charged during the loan’s term.
- Unpaid Principal Balance: The unpaid principal balance on a home mortgage is also listed on the loan statement.
What Is the Importance of a Housing Loan Statement?
The importance of a house loan certificate can be explained as follows:
It allows you to keep track of your home loan rates. You can use the housing loan statement to figure out how much money you owe, when your next payment is due, and other information. You’ll have complete clarity on the payment structure and timetable this way.
- It makes getting a loan easier because it demonstrates that you’ve paid the money you took out of a lending account.
- It’s documentation of a house loan’s payment.
- If you get tax savings on your house loan, the loan reports are crucial.
How can I get a Provisional Certificate for a Home Loan?
Your lender’s app or website will provide a provisional authorization for a house loan. To get a home loan report, you’ll need an username and login-id from the bank.
Some Tips for Keeping a Home Loan Account Organized
Make sure you understand how interest is calculated on your home loan and how it is applied to your account.
Whatever the case may be, always pay your credit card bill before or on the due date. If you are going to miss an EMI, notify your lenders or bank as soon as possible.
Set up an auto-pay or direct debit payment for your bills to deduct money from your chosen bank on a regular basis. You didn’t have to worry about late fees this way. Make sure to shop in your accounts if you put up an auto-pay. If you don’t, you may be charged a fee for your inability to pay.
If you pay more than the minimal amount due each month, you may be likely to save years on your debt. Make sure you understand and read your loan account’s terms and conditions so there are no surprises when you receive your home loan.
A home loan statement, as we’ve seen, is a crucial document that verifies your payments history and can help you save money on taxes. All home loan borrowers typically receive their loan statements by email to their registered email. However, if you want to apply for a home loan account online, you can now do so using PNB Housing’s customer portal or reach out to us representatives at any time.