We had a housing loan with Canara Bank. Normally it was the most clear case of housing loan, until my wife paid a lump sum to repay part of the loan.

At the time of repayment, she was advised that since she had paid a bulk amount she need not have to pay EMI for a few months!. Based on this remark from the official, she had stopped a standing instruction to deduct EMI from our SB account for 6 months, when I found that no EMI was being deducted for six months.

The office did not advise that the interest on balance amount will compound every month when she is not paying the EMI.

This resulted in a false sense of comfort and we had to end up paying compound interest for the six months when EMI was not deducted.

Hence when any one makes you feel something is relieving, especially when payments are due from you, ask them to explain fully all implications and what benefits and liabilities you accumulate in the process!

How long have you been with this Bank?

More than 12 years