Example Letter to the L.I.C. for availing Loan.

Letter to the L.I.C. for availing Loan.

Jan. 27, 2002

To,

The Divisional Manager

Life Insurance Corporation, Cuffe Parade, Mumbai.

Sir,

Ref.: Policy No. 28249601 dt. Oct. 10, 1999

This is to bring to your kind attention that I’m an insurance holder of the aforementioned policy, which is an endowment policy and whose quarterly amount of Rs. 1750/- (One thousand seven hundred and fifty only) has always being paid on time, for the last five years. As I’m now constructing a house, I would like to avail of a loan of Rs. 50,000 (Fifty Thousand only), in order to expedite the construction, possess.

Kindly send me the required forms to be filled up in order to avail the loan. Also, kindly intimate me of the documents required by your organisation.

Looking forward to an early reply in this regard.

Yours Sincerely,

Sachin Tendulkar

Andheri

Reply to the above letter

Jan. 31, 2002

To,

Mr. Sachin Tendulkar

Andheri, Mumbai.

Dear Sir,

Ref.: Policy No. 282499601 dt. Oct. 10, 1999

This is in reference to your letter dt. Jan. 27, 2002 regarding the availability of a loan, which as per our records can be given to you. Insurance policies are meant to offer security in hard times and it is a matter of honour for us if we are able to help you. As desired by you, we are stating relevant facts pertaining to such loans:

(i) Our usual terms of interest are – 12% per annum payable every half yearly.

(ii) The period of loans is for a maximum period of three years.

(iii) An absolute assignment of the Policy has to be executed in favour of the Corporation.

(iv) We enclose the following documents for completion by you.

(a) Form of application for loan

(b) Receipt for loan

(c) Declaration slip regarding fresh assignment.

As soon as we receive the policy duly assigned in our favour, complete documents mentioned in Para IV above and find them in order in all respects, a cheque for the loan amount will be remitted in your name in Canara Bank, Andheri. The policy hypothecated to us can be obtained when all the terms and conditions of the loan specified in the endorsement are carried out by you and the loan.is repaid with full interest.

Looking forward to an early dispatch of papers duly completed.