Dear Ashal
i have sbi maxgain loan rs. 1753000 with roi 10.25% and 18 months moratorium period. Loan disbursement started in oct 2013. My full emi will rs. 18000/-
I have two questions.
1. As all of us know initially major portion goes to interest part and small portion goes to principal part. Suppose my int portion is 15000/- and principal portion is 3000/- and if park rs. 200000/- in maxgain then naturally my 200000/- will be consider as principal payment and hence int outgo will be same even though emi is same, Then what is division of rs. 18000/- towards int payment and principal payment. ?
2) If after 4-5 years my parked amount = outstanding amount, then also my emi will be same but int will be zero being parked amount=outstanding amount . Then as per my understanding whole emi of rs. 18000/- should be adjusted towards principal payment and tenure will be reduced , kindly elaborate the same.
regards
milind
pune