{"id":12458,"date":"2021-07-06T05:58:25","date_gmt":"2021-07-06T00:28:25","guid":{"rendered":"https:\/\/www.apnaplan.com\/?p=12458"},"modified":"2021-07-06T05:58:27","modified_gmt":"2021-07-06T00:28:27","slug":"iifl-home-loan-ncd-july-2021","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/iifl-home-loan-ncd-july-2021\/","title":{"rendered":"10% IIFL Home Loan NCD \u2605 July\u201921 \u2605 Should you Invest?"},"content":{"rendered":"\n<p>IIFL Home Loan, the Housing Finance company from IIFL Group has come out with <strong>IIFL Home Loan NCD (Tranche 1) offering 10% and opens for subscription from July 6, 2021<\/strong>. It is technology driven HFC with focus on low &amp; middle income group in suburbs of Tier 1, Tier 2 and Tier 3 cities.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">IIFL Home Loan NCD \u2013 Significant Points:<\/h2>\n\n\n\n<ul><li><strong>Offer Period:<\/strong> July 6 to 28, 2021<\/li><li><strong>Annual Interest Rates<\/strong> for Retail Investors: 10% <\/li><li><strong>Price of each bond:<\/strong>\u00a0Rs 1,000<\/li><li><strong>Minimum Investment<\/strong>: 10 Bonds (Rs 10,000)<\/li><li><strong>Max Investment Limit<\/strong>\u00a0for Retail Investor: Rs 10 Lakhs<\/li><li><strong>Credit Rating:<\/strong> CRISIL AA\/ Outlook STABLE and Brickwork AA+\/ Outlook Negative<\/li><li><strong>NCD Size:<\/strong> Base issue size of \u20b9100 crore, with an option to retain oversubscription up to \u20b9900 crore aggregating up to \u20b91,000 crores<\/li><li><strong>Date of Allocation:<\/strong> August 4, 2021<\/li><li><strong>Allotment<\/strong>: First Come First Serve<\/li><li><strong>Listing:<\/strong> Bonds would be listed on BSE &amp; NSE and will entail capital gains tax on exit through secondary market<\/li><\/ul>\n\n\n\n<div class=\"wp-block-uagb-inline-notice uagb-inline_notice__outer-wrap uagb-inline_notice__align-left uagb-block-1971039e\"><h4 class=\"uagb-notice-title\"><strong>Learn All about NCDs<\/strong><\/h4><div class=\"uagb-notice-text\"><p>NCDs or non-convertible debentures or more popularly known as Bonds are a bit complex investment products. You must understand the product, risk involved, the taxation on interest received and when you sale it. We have done a separate post regarding this titled &#8211; <a class=\"rank-math-link\" href=\"https:\/\/www.apnaplan.com\/know-ncd-investment-tips-tds-and-taxation\/\">Know all about NCDs<\/a>.<\/p><p>Also you can <a class=\"rank-math-link\" href=\"https:\/\/www.apnaplan.com\/category\/fixed-income\/bonds\/ncds\/\">keep track of <strong>upcoming NCD issues<\/strong> here<\/a>.<\/p><\/div><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">IIFL Home Loan NCD \u2013 Investment Options:<\/h2>\n\n\n\n<p>There are 3 options of investment in IIFL Home Loan NCD.<\/p>\n\n\n\n<div class=\"wp-block-image size-large wp-image-11775 is-style-default\"><figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"464\" src=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-Investment-Options-July-2021-1024x464.png\" alt=\"IIFL Home Loan NCD - Investment Options - July 2021\" class=\"wp-image-12460\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-Investment-Options-July-2021-1024x464.png 1024w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-Investment-Options-July-2021-300x136.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-Investment-Options-July-2021-768x348.png 768w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-Investment-Options-July-2021-1536x696.png 1536w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-Investment-Options-July-2021-2048x928.png 2048w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><figcaption>IIFL Home Loan NCD &#8211; Investment Options &#8211; July 2021<\/figcaption><\/figure><\/div>\n\n\n\n<div class=\"wp-block-uagb-inline-notice uagb-inline_notice__outer-wrap uagb-inline_notice__align-left uagb-block-a21fc70f\"><h4 class=\"uagb-notice-title\"><strong>Best way to Double your Money<\/strong><\/h4><div class=\"uagb-notice-text\"><p>Who does not want more and wouldn&#8217;t you love to <strong>Double your money<\/strong>? For sure we all would &#8211; we have <a class=\"rank-math-link\" href=\"https:\/\/www.apnaplan.com\/best-ways-to-double-money\/\">listed 7 authentic investments which you can use to double your money<\/a>. The post talks not only about the returns but also the risks associated with each investment.<\/p><\/div><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">IIFL Home Loan NCD \u2013 Who can Apply?<\/h2>\n\n\n\n<p>This issue is open to all Indian residents, HUFs and Institutions.<\/p>\n\n\n\n<ol><li>Category I \u2013 Institutional Investors \u2013 10% of the issue is reserved<\/li><li>Category II \u2013 Non-Institutional Investors, Corporates \u2013 10% of the issue is reserved<\/li><li>Category III \u2013 HNIs \u2013 40% of the issue is reserved<\/li><li>Category IV \u2013 Retail Individual Investors \u2013 40% of the issue is reserved<\/li><\/ol>\n\n\n\n<p>However NRIs cannot apply for this NCD.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">IIFL Home Loan NCD Review<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">Why you should invest in IIFL Home Loan NCD?<\/h3>\n\n\n\n<ol><li>AA Credit rating means low likely hood of credit default<\/li><li>The\u00a0<a class=\"rank-math-link\" href=\"https:\/\/www.apnaplan.com\/highest-interest-rate-on-bank-fixed-deposits-fd\/\">interest rates are 4% &#8211; 5% higher than your regular Bank FDs<\/a><\/li><li>No TDS as it would be only issued in Demat Form<\/li><li>Increase profits and loan portfolio year over year<\/li><\/ol>\n\n\n\n<h3 class=\"wp-block-heading\">Why you should not invest in IIFL Home Loan NCD?<\/h3>\n\n\n\n<ol><li><span style=\"font-family: -apple-system, BlinkMacSystemFont, &quot;Segoe UI&quot;, Roboto, Oxygen-Sans, Ubuntu, Cantarell, &quot;Helvetica Neue&quot;, sans-serif; font-size: 1rem; font-weight: inherit;\">There have been issues with some well rated companies like DHFL, IL&amp;FS where rating agencies suddenly downgrade the rating. This risk always existed but it has come to forefront in last few months<\/span><\/li><li>The NCD is <strong>&#8220;subordinated unsecured debt<\/strong>&#8220;. This means that this is not backed by any asset of the company &amp; hence the higher interest rate to cover for higher risk. In case company goes to liquidation, there are going to be others in the queue that will have to be paid off in full before you get anything.<\/li><li>NPAs have increase in last 2 years, which may be a concern especially after COVID.<\/li><\/ol>\n\n\n\n<div class=\"wp-block-uagb-inline-notice uagb-inline_notice__outer-wrap uagb-inline_notice__align-left uagb-block-1f2bee4a\"><h4 class=\"uagb-notice-title\"><strong>Should you Invest in Gold?<\/strong><\/h4><div class=\"uagb-notice-text\"><p>We looked at more than 55 years history of gold to see if its a good idea to invest in Gold. We concluded that its more volatile than perceived but investing in long term may provide you with more stable returns. You can look at the complete analysis and our conclusion <a href=\"https:\/\/www.apnaplan.com\/gold-price-in-india-40-years-history\/\" class=\"rank-math-link\">here &#8211; Looking at Gold Price History in India \u2013 Should you Invest in Gold?<\/a><\/p><\/div><\/div>\n\n\n\n<div class=\"wp-block-image size-full wp-image-11776 is-style-default\"><figure class=\"aligncenter size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"533\" src=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-1024x533.png\" alt=\"IIFL Home Loan NCD - July 2021\" class=\"wp-image-12461\" title=\"\" srcset=\"https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-1024x533.png 1024w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-300x156.png 300w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-768x400.png 768w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-1536x799.png 1536w, https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021.png 1929w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><figcaption>IIFL Home Loan NCD &#8211; July 2021<\/figcaption><\/figure><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">How to Apply for IIFL Home Loan NCD?<\/h2>\n\n\n\n<p>You can apply online by ASBA facility provided by banks. It\u2019s the easiest way to apply and also avoids a lot of hassle in terms of KYC and paper work.<\/p>\n\n\n\n<div class=\"wp-block-uagb-inline-notice uagb-inline_notice__outer-wrap uagb-inline_notice__align-left uagb-block-a3f1f664\"><h4 class=\"uagb-notice-title\"><strong>How to apply for NCD through ASBA?<\/strong><\/h4><div class=\"uagb-notice-text\"><p>If you want to apply to NCDs, ASBA is the best way to do so. It&#8217;s easy, secure and the money leaves the account only when the bonds are allocated. We have covered <a href=\"https:\/\/www.apnaplan.com\/ipo-asba\/\" class=\"rank-math-link\">step by step process for ASBA in SBI <\/a>in the post. You have ASBA facility in most big banks. <\/p><\/div><\/div>\n\n\n\n<p>In case you don\u2019t want to do it online, you can download the application form from company site or Financial Institutions and submit to collection centers.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Recommendation:<\/h2>\n\n\n\n<ol><li>My recommendation is to <strong>keep away or\u00a0invest small part of your Fixed Income investment in IIFL Home Loan NCD Issue<\/strong> (only if you understand the risk)<\/li><li>You should always\u00a0<strong>have diversified portfolio<\/strong>\u00a0be it fixed deposit, NCD or equity investment<\/li><li>Its good idea to\u00a0<strong>remain invested till maturity<\/strong>\u00a0because liquidity on exchanges are low and hence you would get lower than market value<\/li><\/ol>\n\n\n\n<div class=\"wp-block-uagb-inline-notice uagb-inline_notice__outer-wrap uagb-inline_notice__align-left uagb-block-67405c8d\"><h4 class=\"uagb-notice-title\"><strong>How much Taxes you Need to Pay this Year? <\/strong>Download Our Income Tax Calculator to Know your Numbers<\/h4><div class=\"uagb-notice-text\"><p>Do you know how much tax you need to pay for the year? Have you taken benefit of all tax saving rules and investments? Should you use the &#8220;NEW&#8221; tax regime or continue with the old one? In case you have all these questions just <a href=\"https:\/\/www.apnaplan.com\/income-tax-calculator-india\/\" class=\"rank-math-link\">Download the Free Excel Income Tax Calculator for FY 2021-22 (AY 2022-23)<\/a> and get your answers.<\/p><\/div><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">IIFL Home Loan NCD FAQs<\/h2>\n\n\n<div id=\"rank-math-faq\" class=\"rank-math-block\">\n<div class=\"rank-math-list \">\n<div id=\"faq-question-1617551604607\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">\u2705 How to apply for IIFL Home Loan NCD?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>You can apply online by <a href=\"https:\/\/www.apnaplan.com\/ipo-asba\/\" class=\"rank-math-link\">ASBA facility provided by most banks<\/a>. It\u2019s the easiest way to apply and also avoids a lot of hassle in terms of KYC and paper work. In case you don\u2019t want to do it online, you can download the application form from company site or Financial Institutions and submit to collection centers.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1617551688957\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">\u2705 Is IIFL Home Loan NCD Secure?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>No <a href=\"https:\/\/www.iifl.com\/home-loans\" target=\"_blank\" rel=\"noreferrer noopener\">IIFL Home Loan<\/a> NCD is un-secured.<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1617551690554\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">\u2705 What is tax on IIFL Home Loan NCD?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>For Tax Purpose NCDs are treated similar to Fixed Deposits. <strong>The interest earned is added to your income as \u201cincome from other sources\u201d and taxed accordingly.<\/strong><\/p>\n<p>In case the NCD is sold before maturity on stock exchanges, it would lead to <strong>Capital Gains<\/strong> and taxed according to the holding period.<br \/>   -If the NCD was sold within 12 months of allotment, it leads to <strong>Short Term Capital Gains<\/strong> and<br \/>   -if the selling period is more than 12 months its <strong>Long Term Capital Gains<\/strong><br \/>   -Short Term Capital Gains would be added to income and taxed accordingly<br \/>   -Long term capital Gains would be taxed at the flat rate of 10% (u\/s 112 of IT Act)<\/p>\n\n<\/div>\n<\/div>\n<div id=\"faq-question-1617551691396\" class=\"rank-math-list-item\">\n<h3 class=\"rank-math-question \">\u2705 Is IIFL Home Loan NCD safe to invest?<\/h3>\n<div class=\"rank-math-answer \">\n\n<p>The credit rating for IIFL Home Loan NCD is AA+. This is investment grade and less likely to default on principal or interest payment. Do remember that these ratings are as of today and these may change depending on company&#8217;s performance and external situations. So investors need to track the company closely.<\/p>\n\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>IIFL Home Loan, the Housing Finance company from IIFL Group has come out with IIFL Home Loan NCD (Tranche 1) offering 10% and opens for subscription from July 6, 2021. It is technology driven HFC with focus on low &amp; middle income group in suburbs of Tier 1, Tier 2 and Tier 3 cities. IIFL [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":12461,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"default","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[194,31,30],"tags":[],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021.png",1929,1004,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-300x156.png",300,156,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-768x400.png",768,400,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-1024x533.png",1024,533,true],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-1536x799.png",1536,799,true],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021.png",1929,1004,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2021\/07\/IIFL-Home-Loan-NCD-July-2021-120x120.png",120,120,true]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":0,"uagb_excerpt":"IIFL Home Loan, the Housing Finance company from IIFL Group has come out with IIFL Home Loan NCD (Tranche 1) offering 10% and opens for subscription from July 6, 2021. It is technology driven HFC with focus on low &amp; middle income group in suburbs of Tier 1, Tier 2 and Tier 3 cities. IIFL&hellip;","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/12458"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=12458"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/12458\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/12461"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=12458"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=12458"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=12458"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}