Hi,
found your site with really helpfull information,i have one doubt.
I have availed a housing loan of 40 lakh for 20 years but possession is from july/aug 2013.i have been given 12 months of morotorium period and 19 years of loan as the disburment is construction based.i wanted to know how
1.Banks calculate the interest rate in the morotorium perios (simple/cumulative) -for eg if i have a disbusrment of 20 lakh in 1st month what will be the interest i have to pay next month 2000(assuming 10 % interser rate simple calculation or ~18000( assuming only interest payment for 20 years loan ).

In education loan Morotorium period is quite common and bank calculte interest rate in simple interest not cumulative but i am not sure about the Home loan.