I availed a housing loan on a constructed property from Andhra Bank, Bangalore in April 2008.
The loan amount was for 20 lakhs. We occupied the property within a month after the loan was approved.
We’re paying Rs 20000/- per month as EMI.
Recently I had visited the branch to deposit an EMI I had missed. I also wanted to collect the Interest paid statement for investment proof to be submitted for my IT Returns. I was shocked to see that since April 2008 to February 2013 only 1, 000/- has been deducted towards principal amount.
When I questioned the branch manager and requested for details they had no answer for the same.
I have approximately paid Rs 12, 00, 000/- (twelve lakhs) in Emi’s till date. I was told that whatever I have paid has gone only towards interest and nothing has gone toward principal. How can that happen? Not even 50, 000 has gone towards principal? This is bizarre, they’re taking our hard earned money and have no answers. The manager said all I can do is give you a statement from April 2008 till date and you can go through yourself.
One of them said, Interest rates have changed, your emi amount might have changed, you’re paying only 20000 per month as EMI, never paid more.
I was never notified by any of them whether if it was related to interest rates or regarding emi increment.
With a lot of hard work and effort, ups and downs in life we pay the emi’s towards the loan and its sad to see that bank has not deducted anything towards principal.
Loan Amount is 20, 00, 000/-
Paid Till Date: 20, 000 x 58 Months.
Deducted towards principal: 1, 000/-
Any suggestions on what can be done about this?