Express Money: Ask Us

To get a loan for renovation of your house,you have options like a personal loan,house renovation loan or if you have already taken a home loan,you can go for a top-up loan. This is the best option in case you are already paying EMIs on your home loan. It is better to avoid personal loan because of the higher interest rates. Here,you need to choose a loan based on its interest rate and other charges. Lower the charges,better it is for you.

Is it important to have a savings account for applying for a credit card?

— Abhi Mukherjee,New Delhi

It depends on the policy of the bank you are applying to. Some banks do have this as a mandatory requirement. However,most of the banks do not require you to have a bank account with them when you are applying for a credit card. However,it is always easier to get a credit card from the bank where you hold a savings account as banks would be able to track your transactions through the account.

I had bought an ICICI super pension policy which I discontinued within a year. What is the procedure to withdraw the amount?

— Pallavi,Chandigarh

If you have not paid the premium for 3 years,you can only cancel the policy. Here,you will get a very little part of your invested money. Hence,it is advisable for you to carry on with the policy in case the premium of at least 3 years premium is not paid and you are not in a financial crunch.

To withdraw the money,you need to fill up a form for withdrawal and submit it with photo id proof and cancelled cheque of the bank account in which you want the amount. Submit the documents in the nearest branch and you should receive the amount within 15 days.

What will happen if I cannot repay my installments on time?

— Poonam Sharma,Pune

In such a case,the bank can levy additional charges and late fees. In addition,the track of EMI payment is reported to Cibil and is checked by other banks,while giving you loans. In worst cases,the loan can be restructured by the bank to help you pay the EMIs on time by reducing the amount and increasing the tenure. However,restructuring is a negative point and is also registered with CIBIL.

— Satkam Divya is CEO,Rupeetalk.com
For your personal finance queries mail us at,expressmoney@expressindia.com