A Home Loan process continues till the loan amount is entirely repaid. As you start repaying your loan and the tenure progresses, you may lose track of your loan repayment. That is when a Home Loan statement helps you map your repayment journey. It gives you a clear understanding of the amount of loan you have repaid and the outstanding loan amount you are yet to cover. Helping you plan and take care of your loan EMIs seamlessly. This article will help you understand the concept of a loan statement and explain its integral part in tax rebates. Read on to know more.
What is a Home Loan Statement?
A Home Loan Statement is a detailed summary of your loan repayment in a financial year. This loan statement is also popularly known as the Home Loan provisional certificate. The statement comes in handy to claim tax exemption on your loan EMIs.
The housing loan statement offers a detailed track record of your repayment right from the start to the end date of the tenor. Whether you have pre-paid a part of the loan amount or missed an instalment, all of it reflects in your loan statement.
The loan statement gives you a clear idea about your loan repayment structure. It shows:
The amount of each EMI paid.
The date of payment.
The date on which the amount is credited to your home loan account.
It helps you keep track of your loan repayment and preventing any hassles.
Moreover, the Home Loan statement acts as proof of payment, allowing you to close your loan at the end of the tenor easily.
What are the details included in a Home Loan account statement?
A home loan account statement includes the following details about your home loan repayment:
Total loan amount
Start and end date of the loan repayment
Interest rate applicable
Type of interest rate – floating or fixed
Loan amount repaid to date
EMI amount
Outstanding loan amount
What role does the Home Loan Statement in taxation?
Home Loan statement for income tax is very important. It is with the help of this statement you can claim a tax rebate on your Home Loan.
A Home Loan repayment is eligible for the following tax exemptions:
Claim tax deduction of INR 1.5 lakhs on your principal amount repayment – Under
Section 80 C of the Indian Income Tax Act.
Claim tax deduction of INR 2 lakhs on the interest paid on your loan – under Section 24 (b) of the Indian Income Tax Act.
You can now send in your application for Home Loan Statement online using the HDFC Bank internet banking portal. Log on to the HDFC Bank internet bank, enter your Home Loan account number and apply for an e- loan statement in just a few clicks. The bank will then mail you a detailed summary of your loan statement to your respective email address.
Realise your dream of buying a house with the HDFC Bank. Click here to apply for a Home Loan today!
Read more about fixed and floating Home Loan interest rates here.
*Terms and conditions apply. Home Loan at the sole discretion of HDFC Bank limited. Loan disbursal is subject to documentation and verification as per Banks requirement.
