A Loan against Property or LAP as it is popularly known is an excellent way to finance some unforeseen expenditure which can be a medical emergency or even a renovation of your house or sending your child for higher education. A LAP can also be utilised to expand your business. Unlike a Home Loan a LAP gives you the flexibility to use the loan the way you wish to except for speculative activities.

Loan tenures are flexible and they range from 2 - 20 years. Some institutions also offer LAP in OD (Overdraft) format. This can immensely help businessmen who can use the LAP loan as a line of credit for making business payments as and when required.

Property should be freehold in nature and applicants need to have a clear title of the property against which loan is required. LAP can be availed against residential as well as commercial premises like shop, office etc. LAP can be availed by both salaried as well as self employed people. Adding a woman as a co-borrower can give some benefit in interest rates.