A loan against property, sometimes called a loan against mortgage of immovable property, lets an owner raise funds by pledging a residential, commercial or industrial property they already hold, without selling it. Because it is backed by real estate, it is a secured loan that typically carries lower interest than unsecured borrowing and can run over a long repayment period. Borrowers use it for a wide range of personal and business needs such as home repairs and renovation, a wedding, children's education, medical treatment, a family trip, purchase of an asset, or working capital and expansion for a business.
Punjab National Bank, a public sector bank established in 1894 and headquartered in New Delhi, extends this facility to individual owners and joint owners who own an unencumbered property and can demonstrate repayment income. The property offered as security must be a self-occupied and non-encumbered residential, commercial or industrial property held under an equitable or registered mortgage, and it must have adequate residual life.
PNB allows the loan to be taken either as a term loan repaid in instalments or as an overdraft that can be drawn and repaid flexibly. The bank restricts the end use to lawful, non-speculative purposes: proceeds cannot be used for real estate investment as a business or for speculation in shares, stocks, commodities, bullion or securities. The sanctioned amount and eligibility depend on the property's assessed value and the borrower's income, and approval is not assured.
At 9%, Punjab National Bank has one of the lowest starting rates of the 18 lenders we track for loans against property.
As published by Punjab National Bank. Your branch may ask for more.
LAP is secured against property, so the rate is lower and the tenure longer than an unsecured personal loan — better when the need is large and long-term. The trade-off is a legal/valuation process and your property as collateral.
Every row is date-stamped with the day we last checked it, and links to the lender’s published material so you can confirm it yourself. A row we confirmed against the source reads “Verified”; one we could only sight reads “as of”, and is not presented as confirmed. Anything we have not re-checked in 60 days is marked “rate under review” rather than left to look current. We do not claim a fixed re-checking cycle — the date on each row is the honest answer.
No. Viewing rates is not a credit enquiry and has no score impact. A hard enquiry happens only when you formally apply to a lender.