Do you have an existing home loan? Transfer the balance today to another bank and Save Big. You can reduce the amount of your monthly EMIs or you can also pay off the loan faster and be debt-free.
Home Loan Balance Transfer Bank Wise
"Home loan balance transfer is also known as refinance home loan. It is a process where a housing loan is paid off using another loan. Generally, borrowers transfer the balance of an existing loan to another bank by applying for a home loan with them. This is done to enjoy lower rates of interest.
In case of a home loan balance transfer, you will have to request for all the refinance loan documents that you had already submitted to your present lender. Once you get the consent letter, submit all documents along with the consent letter to the new lender. Henceforth, all loan repayments will have to be settled with your new lender and the old account will be closed."
In order to transfer home loan balance, follow the steps mentioned below:
Step.1: Request your current lender for the documents required to refinance the loan.
Step.2: After the lender provides you with a consenting letter with the outstanding loan amount, these documents will have to be provided to the new lender you wish to refinance your loan with.
Step.3: The new lender will then transfer the outstanding amount to the old lender.
Step.4: The old loan account will now be closed, and all future payments will go towards the loan you have availed with the new lender.
Step.5: The old lender will then hand over all the property documents to the new lender, officially completing the refinancing process.
|Bank||Lowest EMI||Home loan transfer rates|
|SBI Home Loan||Rs.755 for 30 Years||8.30%|
|Bank of Baroda||Rs.755 for 30 Years||8.30%|
|Union Bank of India||Rs.755 for 30 Years||8.30%|
|HDFC Home Loan||Rs.758 for 30 Years||8.35%|
|Axis Bank||Rs.758 for 30 Years||8.35%|
|Indiabulls||Rs.758 for 30 Years||8.35%|
|PNB||Rs.758 for 30 Years||8.35%|
|OBC||Rs.802 for 25 Years||8.45%|
|Central Bank of India||Rs.769 for 30 Years||8.50%|
|LIC Housing Finance||Rs.769 for 30 Years||8.50%|
|Bank||Lowest EMI||Home loan transfer rates|
|Citibank||Rs.805 for 25 Years||8.50%|
|IIFL||Rs.769 for 30 Years||8.50%|
|Indian Bank||Rs.868 for 20 Years||8.50%|
|Standard Chartered Bank||Rs.871 for 20 Years||8.55%|
|Dena Bank||Rs.809 for 25 Years||8.55%|
|United Bank of India||Rs.772 for 30 Years||8.55%|
|IDFC Bank||Rs.772 for 30 Years||8.55%|
|PNB Housing Finance||Rs.776 for 30 Years||8.60%|
|DBS Bank||Rs.874 for 20 Years||8.60%|
|DHFL||Rs.776 for 30 Years||8.60%|
|Kotak Bank||Rs.874 for 20 Years||8.60%|
|Vijaya Bank||Rs.780 for 30 Years||8.65%|
|Jammu And Kashmir Bank||Rs.994 for 15 Years||8.65%|
|Indian Overseas Bank||Rs.780 for 30 Years||8.65%|
|HSBC Bank||Rs.815 for 25 Years||8.65%|
|Canara Bank||Rs.780 for 30 Years||8.65%|
|Bank of Maharashtra||Rs.783 for 30 Years||8.70%|
|Punjab and Sind Bank||Rs.787 for 30 Years||8.75%|
|Corporation Bank||Rs.794 for 30 Years||8.85%|
|Federal Bank||Rs.805 for 30 Years||9.00%|
|Karur Vysya Bank||Rs.846 for 25 Years||9.10%|
|South Indian Bank||Rs.812 for 30 Years||9.10%|
|Yes Bank||Rs.863 for 25 Years||9.35%|
|Deutsche Bank||Rs.929 for 20 Years||9.45%|
|Karnataka Bank||Rs.841 for 30 Years||9.50%|
|Lakshmi Vilas Bank||Rs.935 for 20 Years||9.55%|
|LT Housing Finance||Rs.870 for 30 Years||9.90%|
|City Union Bank||Rs.1,069 for 15 Years||9.90%|
|Reliance Capital||Rs.878 for 30 Years||10.00%|
|Dhanlaxmi Bank||Rs.972 for 20 Years||10.10%|
|GIC Housing Finance||Rs.982 for 20 Years||10.25%|
|RBL Bank||Rs.930 for 25 Years||10.30%|
|DCB Bank||Rs.997 for 20 Years||10.48%|
|Edelweiss||Rs.944 for 25 Years||10.50%|
Home loan balance transfer is a process of transferring your home loan amount from one bank to another. This is done mainly to lower the rates of interest or avail better service from the bank willing to takeover the home loan. This process is also known as refinancing and home loan take over.
When choosing to move your existing home loan to another bank, take care of the following requirements:
Kindly carry along the following documents when you approach your prospective lender with regards to the home loan balance transfer.
The amount of money you can save will depend on the following factors:
For example, if the outstanding principal amount is Rs.40,00,000, the current EMI paid per month is Rs.40,000, the tenure of the current loan is 240 months (20 years), the interest rate offered by the new lender for balance transfer loan is 8.85% and, if the required tenure for the new loan is 240 months (20 years), you will save an amount of Rs.10,55,040. Your monthly EMI will reduce from Rs.40,000 to Rs.35,604.
The total amount to be paid will reduce from Rs.96,00,000 to Rs.85,44,960. If you opt for a shorter tenure, you may not save a lot of money but you can pay off the loan faster with while paying a similar amount of EMI as your existing loan.
Although the process of refinancing you Housing Loan is a simple process in this day and age, one must be mindful about the process. An impetuous move to transfer the loan may cause more harm than good. Keep the following points in mind before transferring your home loan balance.
With technology inculcated into finance, one can effortlessly estimate the details and benefits he/she would receive from transferring a home loan to another bank. One simply needs to enter the basic details of the existing loan like outstanding loan amount, interest rate, tenure, etc. By entering these details, the calculator would be able to estimate the savings you would incur by transferring your balance to another bank. Some websites also provide you with a detailed list of the banks that refinance a home loan along with the interest rates, processing fee, EMI, savings, etc.
Your home loan can be refinanced by following the steps mentioned below:
When refinancing a home loan, one must always take into consideration the processing charges and balance transfer fees. If the new bank’s interest rate plus these additional charges still prove to be cheaper than the current loan, only then should a customer choose to refinance the loan.
Transferring the balance from your home loan, although beneficial, is time consuming and has a lot of procedure associated with it. Not to mention that you will be breaking off a relationship with a bank that may have served you well. Resetting your balance with the same bank, on the other hand, is a simpler process. Not many people do this because they are oblivious to the fact that one can simply rest the interest rate of a loan by simply writing to the bank. This is an easier process to follow in order to reduce the interest rate on a housing loan.
Therefore, the first choice should always be to rest the interest rate on a loan. In case the bank declines this request, you can always opt for refinancing afterwards.
Home loan – A home loan is a loan availed from a bank or other financial institutions in order to purchase a house, land, construct a property or simply to renovate an existing property. A lot of documentation and verification is required to avail a home loan. It also is considerably harder to get a housing loan application approved.
Home loan balance transfer – This is when you transfer an existing home loan from one bank to another. Also known as refinancing, this also helps an applicant avail lower interest rates and better services. There is lesser documentation involved in home loan balance transfer and it easier to attain when compared to a home loan.
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