All home loan applications are subject to Risk Rating Model Table. Total maximum marks a person can get is 168 and the cutoff is set at 96.
‘Rating Parameters and Risk Rating Model Table’
Sr.
No.
|
Variable
|
Score
|
Max
|
Min
|
1
|
Borrower Age (in Year)
(a)0–8
(b)Above 18–upto 25
(c)Above 25–upto 40
(d)Above 40–upto 50
(e)More than 50
| 0 1 4 5 0 |
5
|
0
|
2
|
Education Qualifications
(a)Doctorate/Post Graduate
(b)Graduate
(c)Diploma
(d)Higher Secondary
(e)Less than Higher Secondar
| 5 3 2 1 0 |
5
|
0
|
3
|
Marital Status
(a)Married
(b)Single
| 12 3 |
12
|
3
|
4
|
Mobility of Individual-Location
(a)Has not changed location in past 3 years
(b)Changed location once in past 3 years
(c)Changed location more than once in past 3 years
| 10 3 0 |
10
|
0
|
5
|
Number of dependents
(a)Zero
(b)One
(c)Two
(d)More than two
| 8 5 2 0 |
8
|
0
|
6
|
Number of join applicants
(a)0
(b)1
(c)2 or more
| 0 5 9 |
9
|
0
|
7
|
Relationship with bank
(a)All banking done through bank
(b)Good track record of banking with bank
(c)Short term relationship
(d)No existing relationship
| 14 12 3 -4 |
14
|
-4
|
8
|
Employer type
(a)Govt./Public sector
(b)MNC
(c)Listed private sector companies
(d)Professional
(e)Unlisted private companies
(f)Own business
(g)Self Employed
(h)Pensioner drawing pension through Bank of Baroda
(i)Pensioner drawing pension from others
(j)Others
| 9 9 9 4 8 2 2 0 0 0 |
9
|
0
|
9
|
Designation
(a)Senior Management
(b)Middle Management or Self employed
(c)Junior/Clerical/Pensioner
| 5 3 0 |
5
|
0
|
10
|
Stability of Income
(a)Income has been steadily increasing over the last 3
years
(b)Income has been almost the same over the last 3
years
(c)Income has beenunstable over the last 3 years
(d)Income has been steadily decreasing over the last 3years
| 12 7 0 -5 |
12
|
-5
|
11
|
Proof of Income of borrower
(a)Income tax returns
(b)Salary slip
(c)Letterhead
(d)No proof
| 3 3 1 0 |
3
|
0
|
12
|
Marketability of property (Marketability will increase if
significant developments are happening in nearby areas,also it will depend on the condition of the property etc.)
(a)Very good
(b)Good
(c)Fair
(d)Poor
| 15 10 5 -8 |
15
|
-8
|
13
|
Housing loan purpose category
(a)Construction (New)
(b)Purchase (Old construction)
(c)Improvement
(d)Foreclosure (for borrowers who borrow in order to
repay a previous housing loan)
(e)Loan given under the rural housing scheme
| 4 0 8 8 2 |
8
|
0
|
14
|
Loan to value ratio
(a)Less than 0.5
(b)0.5–0.7
(c)Above 0.7–upto 0.9
(d)More than 0.9
| 18 12 7 0 |
18
|
0
|
15
|
Net worth to loan ratio
(a)0–0.5
(b)Above 0.5–upto 0.75
(c)Above 0.75–upto 1.0
(d)Above 1.0–upto 1.5
(e)Above 1.5–upto 2.5
(f)More than 2.5
| 0 1 2 3 4
5
|
5
|
0
|
16
|
Net annual income of the borrower (in)
(a)Lessthan 1,00,000
(b)1,00,000–2,00,000
(c)Above 2.00,000-upto 3,50,000
(d)Above 3,50,000–upto 6,00,000
(e)More than 6,00,000
| -5 2 4 6 10 |
10
|
-5
|
17
|
Fixed obligations to income ratio
(a)0-0.3
(b)Above 0.3–upto 0.5
(c)Above 0.5–upto 0.7
(d)More than 0.7
| 12 8 4 0 |
12
|
0
|
18
|
Guarantor’s net worth to loan ratio
(a)0–0.5
(b)Above 0.5–upto 1
(c)More than 1
| -4 4 8 |
8
|
-4
|
Sum
| 168 | -23 |
So,
Did you calculate your Risk Rating Points?
Where do you stand?
