Save Upto 50% on interest payments with smart Home from HSBS

Save with Smart Home

At HSBC, we understand that buying a home is a long-term financial commitment. Smart Home is a simple way to use your savings smartly, by letting you decide how much interest to pay. Repay your loan sooner. Smart Home offers competitive home loan interest rates and more.

Know more

• Features & Benefits
• Eligibility and Documents Required
• Calculate your Savings
• FAQs

Smart Home Features & Benefits

Save up to 50% on interest payments

With every Smart Home, you get a current account. All you need to do is put your usual savings, from other accounts, into the Smart Home Account. Depending on the savings you put into the Smart Home Account, you can reduce the quantum of interest paid by up to 50%.

Here's how Smart Home works to save you money

Your home loan interest is calculated, on the principal outstanding minus the savings deposited in your Smart Home Account every month, over and above your EMI. Calculate your savings:

The example below shows how much interest is reduced, with a monthly saving of just Rs. 6,000, over and above your EMI.

	Standard Home Loan	HSBC's Smart Home
Home Loan Amount (Rs.)	25 lakhs	25 lakhs
Interest Rate	8.50% p.a.*	9.00% p.a.*
Original Tenor	20 years	20 years
Actual EMI's	240	143 (40% less)
Total Interest (Rs.)	27,06,939	16,11,087
Saving in Interest (Rs.)		10,95,852 (40%)
Savings in Tenor (months)		97 (40%)

* Interest rates are merely indicative which can change from time to time depending on market conditions.

The shortened loan tenor and savings require monthly payments and the accumulation of monthly savings of Rs. 6,000 in the Smart Home account.

The interest rate on your Smart Home is linked to HSBC's Retail Lending Rate (RLR) and any revision in the RLR would impact your interest rate. The RLR is 13.75% effective from July 03, 2009.

Tax benefits

Smart Home customers are eligible for certain tax benefits on principal and interest components of a housing loan under the Income Tax Act, 1961*.

* Please consult your tax advisor/C.A. for specific details.

Exclusive Smart Home banking privileges for you

• You can even use the Smart Home Account as your main bank account for depositing and withdrawing money
• Along with your Smart Home, get access to an HSBC PowerVantage Account, with the following benefits:
  
  Free access to 15,000 VISA ATMs across India, with your PowerVantage debit card ⁺
  Free cheque payable at par facility
  Dedicated service desks and counters at branches
  Financial planning services to help you plan your financial goals

⁺ Not Applicable to NRO accounts.