Our company is planning to introduce a housing loan policy. Can some one give me the draft housing loan policy, agreement and the procedure to be followed, documents to be collected from the employee etc.
From India, Madras
From India, Madras
Hi there,
I worked in an organisation that gave housing loan (which were intrest free) so here is what you need to do
-You need to make market recearch (check with the banks) the housing loans they give is against how much of the salaries
-Try to tie your funds to your salary structure as to what is the minimum & maximum loan your going to give to your employees
-what is the repayment scheme, what is the intrest rate your going to give against the loans are you going with the market or your going to have your own scheme
-what is the retirement age in your organsiation due to the loan your employees need to finsih their loan before they retire
-You need to consider what is the organisation going to do incase an employee resigned while having a loan what is the debt repaiment scheme
-how will the organisation recover the loan incase the employee dies
-You need to insure your loans
-You need to ensure that the documents of the housing loan of the employee stays in the custody of the organisation until the payment is fullfilled
-You need to ensure that you have the budget for giving employees loans
-You need to have criteria to who is entitled to the loan i.e. employees who have been in the organisation for 3 continuous years) or have the certain grade
-You need to have a ceiling to what is the total amount of deductions made against employees salary (dont forget the organisations deduct Pension fund from employees basic salary)-check your government law on this
-You need to decide how many employees are going to be given loans in a year are you going to have batches & there will be a gap between them.
From Oman, Muscat
103I worked in an organisation that gave housing loan (which were intrest free) so here is what you need to do
-You need to make market recearch (check with the banks) the housing loans they give is against how much of the salaries
-Try to tie your funds to your salary structure as to what is the minimum & maximum loan your going to give to your employees
-what is the repayment scheme, what is the intrest rate your going to give against the loans are you going with the market or your going to have your own scheme
-what is the retirement age in your organsiation due to the loan your employees need to finsih their loan before they retire
-You need to consider what is the organisation going to do incase an employee resigned while having a loan what is the debt repaiment scheme
-how will the organisation recover the loan incase the employee dies
-You need to insure your loans
-You need to ensure that the documents of the housing loan of the employee stays in the custody of the organisation until the payment is fullfilled
-You need to ensure that you have the budget for giving employees loans
-You need to have criteria to who is entitled to the loan i.e. employees who have been in the organisation for 3 continuous years) or have the certain grade
-You need to have a ceiling to what is the total amount of deductions made against employees salary (dont forget the organisations deduct Pension fund from employees basic salary)-check your government law on this
-You need to decide how many employees are going to be given loans in a year are you going to have batches & there will be a gap between them.
From Oman, Muscat
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Employee reference policy.doc