Don’t use credit cards like this!
Do you pay only the minimum amount due on your credit card? How can your debt burden increase just by paying the minimum amount due? Watch this video to know
The demand for home loans in the March quarter continued to remain strong due to low-interest rates, softer property prices, concessional stamp duty rates in certain status amid continued fiscal incentives on home loans, according to HDFC.
While announcing its financial results for March quarter, the country’s biggest mortgage lender said that individual loan disbursements grew by 60% year-on-year. “Growth in home loans was seen in both, the affordable housing segment as well as high-end properties,” HDFC said.
After falling 35% YoY in the first half of FY22, individual disbursements witnessed a rise of 42% YoY in the second of the previous financial year. “The pandemic has given a strong fillip to various digital initiatives offered by the Corporation. Approximately 81% of new borrowers opted for the digital mode,” HDFC said in a release.
HDFC added that 33% of home loans approved in FY 21 in volume terms and 16% in value terms were to customers from the economically weaker section (EWS) and low income groups (LIG). The average home loan to the EWS and LIG segment stood at Rs 10.8 lakh and Rs 18.6 lakh, respectively.
HDFC also has 2.30 lakh customers who have availed benefits under the Credit Linked Subsidy Scheme (CLSS). As on March 31, 2021, cumulative loans disbursed by the lender under CLSS stood at Rs 39,333 crore and the cumulative subsidy amount stood at Rs 5,211 crore.
Financial results
Meanwhile, the mortgage lender reported a 31% rise in consolidated net profit at Rs 5,669 crore for the last quarter of the financial year ended March 2021. It had posted a net profit of Rs 4,342 crore in the same quarter of the fiscal year 2019-20.
Total income on the consolidated basis more than doubled to Rs 35,754 crore in January-March period of 2020-21, as against Rs 16,632 crore in the same period of 2019-20, HDFC said in a regulatory filing.
The interest income during the reported quarter fell to Rs 10,879 crore, from Rs 11,391 crore in the year-ago period. Shares of HDFC closed 2.70% higher at Rs 2496.25, while the benchmark BSE Sensex settled 256.71 points, or 0.52%, higher at 49,206.
Dividend
HDFC also recommended a dividend of Rs 23 per equity share for the financial year ended March 31 against Rs 21 per equity in the previous year.