HDFC is one the leading banks in the country that offers great financial products and services. Like the other banks in India, HDFC has also revised its MCLR (marginal cost of fund based lending rate) which makes home loans cheaper for the customers.
Give a written request to your bank so that they link your HDFC Home Loan that you borrowed to MCLR or marginal cost of funds based lending rate.
Step – 2:
After the MCLR is linked to your loan, send a request to your bank asking them to bring down the quantum of spread. The processing fee will be required to carry out this step, after which your home loan interest rate will be revised as per the marginal cost of funds based lending rate.
What Should Existing Borrowers Do?
The benefit of marginal cost of funds based lending rate will not reflect immediately on the current regime. Most home loan contracts associated with MCLR reset only after twelve months. The existing borrowers will have to wait till the time the interest rate is reset. In case of an existing borrower, the marginal cost of funds based lending rate cuts in the last six or twelve months matter as it will be determining the new rate on the date of reset.
HDFC Home Loan Rate and MCLR Base Rate:
All the floating rates sanctioned by HDFC to the marginal cost of funds based lending rate for a specific tenure.
Loans with shorter durations (overnight loans, cash credit, etc.) are linked to shorter duration marginal cost of funds based lending rate whereas loans with longer durations (vehicle loans, loan against property, etc.) are linked to longer duration marginal cost of funds based lending rate.
Applicable interest rate on floating rate home loans will have two parts – the margin on spread above benchmark and the applicable benchmark rate.
HDFC bank, one of the private lenders in the country has cut its MCLR with effect from April 8. The decision to cut the MCLR comes after the country’s central bank i.e., Reserve Bank of India cut the repo rate. The reduction of the MCLR will ensure that home loan, auto loan and personal loan become cheaper
The Bank has reduced the MCLR for loans availed up to a period of one month, three months, six months and 1 year. Following the reduction, the MCLR for the above-mentioned tenures were 8.30%, 8.35%, 8.45%, and 8.65% respectively.
It needs to be mentioned here ICICI bank, another private sector lender had slashed its MCLR last week. The rates were slashed by 0.05% for all loan tenures. The new rates for the overnight and one-month tenure stood at 8.5%, for the three-month, six-month, and one-year tenure the rates were 8.55%, 8.70%, and 8.75% respectively.
26 April 2019
HDFC and Bank of Baroda decrease lending rates
HDFC bank and Bank of Baroda have decreased the lending rates for a term of two to three years. The decrease is by 5 basis points which has brought down the rates to 8.85% and 9% respectively. The decrease by HDFC in the lending rates comes after back to back hikes in December and January. In the hike that took place in December, the MCLR for the term period for one, two and three years was recorded at 8.75%. 8.90% and 9.05% respectively. For the hike in January, the MCLR rates for the term periods one month, three months and six months were increased by 5 basis points.
Bank of Baroda has also decreased the lending rates by 10 basis points for the term periods of one month, three months and six months and one year to 8.25%, 8.30%, 8.40% and respectively. The rates have been in effect from March 7. Some of the other banks to have decreased the MCLR rates are Punjab National Bank, Allahabad Bank, ICIC Bank and Kotak Mahindra Bank. With so many major banks reducing the MCLR rates, the time to apply for a home loan now is ideal.
11 March 2019
HDFC announces interest rate hikes on its housing loans, EMIs to cost more
HDFC Bank has announced an increase in interest rates on its home loans ahead of the Reserve Bank of India’s (RBI) fourth bi-monthly monetary policy review on 03 October 2018. In a statement released by HDFC, the Retail Prime Lending Rate (RPLR) on which the bank’s adjustable interest rate housing loans are benchmarked has been raised by 0.10% or 10 basis points (bps). The revised rates will be effective from 01 October 2018. The RBI is expected to increase its key repo rate by 0.25% or 25 basis points (bps) for the third consecutive time in its bi-monthly monetary policy review with rising crude prices and weakening rupee accelerating the inflation. Earlier, the RBI had hiked its repo rate by 0.25% or 25 bps to 6.50% in the month of August. Repo rate is the rate at which the central bank lends money to commercial banks against the pledge of government securities.
4 October 2018
HDFC Bank and IndusInd Bank hikes MCLR
HDFC Bank, one of the largest private lender in the country has increased its marginal cost of funds based lending rate by 20 basis points (bps) or 0.20%. The new base rates will be effective from 12 September 2018. The MCLR for overnight and one month tenures stands at 8.25%. For three month tenures, the MCLR is hiked to 8.30%. The one year MCLR on which most retail loans are benchmarked now stands at 8.60%. For three-year tenures, the MCLR has been hiked to 8.90%.In the same line, IndusInd Bank has also raised its MCLR by 5 basis points or 0.05%. The overnight MCLR has been hiked to 9.00% while the MCLR for one month tenures stands at 9.05%. The MCLR for one year tenure is at 9.65% while the three year MCLR rates are at 9.75%.
28 September 2018
HDFC raises home loan rates soon after the RBI policy review
A day after RBI revised its key rates in its bi-monthly monetary policy review, HDFC has increased its home loan interest rates by 0.20% or 20 basis points. The RBI had raised its repo rate by 25 basis points on Wednesday. HDFC announced that the corporation’s benchmark retail prime lending rate (PLR) has been increase by 20 basis points with effect from 01 August 2018. All floating rates are now linked to retail PLR. Subsequently, for women borrowers, loans upto Rs.30 lakh will now be available at 8.7% whereas, loans above Rs.30 lakh will be at 8.8%. For customers of other categories, the interest rates will go up by another 5 bps. HDFC CEO Keki Mistry said that, he expects all banks and financial institutions to pass the RBI rate hike to customer with the rise in lending rates resulting in increasing cost of funds.
8 August 2018
HDFC Bank Increases Home Loan Rates By 10 Basis Points
HDFC Bank has increased their lending rate by 10 basis points across all tenors after the nation’s largest lender, SBI raised their lending rates by 25 basis points. The lending rate of HDFC is currently 8.40%. They had already raised their MCLR too, effective last week. Home loan rates have also been increased by 0.10%
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HDFC is a hassle free and quick loan services. Everything was done through online so no paper work required. I had applied the loan amount of Rs. 30 lakhs. They have sanctioned the loan in 5 days. Its floating interest rates and there was no hidden charges. I have chosen the tenure period of 15 years. If the RBI is reducing the interest rate but they decreased the same after 1 year but increment is happening immediately.
I had applied for home loan with HDFC limited on few months before, they have sanctioned a loan for 22 lakhs but due to some problem of my builder from my end I kept on hold for the loan process. They have detected for the processing fee of 11 thousands but they refunded 9 thousands rupees. The tenure of 15 years. Interest rate was nominal of 8.55%.
With HDFC limited I have taken home loan on 8 months before which was processed through them directly. They have approved for 8 lakhs but as of now I have taken only for 5 lakhs remaining 3 lakhs I will get later from their end. Due to shop will come in commercial loan so I have split the loan amount to get it. For the tenure of 15 years. The processing fee for 5000 rupees. The rate of interest 8.8%, they have sanctioned the loan within one month.
I have balance transfer for a home loan with existing finance to HDFC LIMITED. One month before only I have a transfer of a loan. They have outstanding amount of 10 lakhs for the tenure period of 10 years. The rate of interest is 8.6% only for mortgage charges for 8 thousands need to pay for it.
HDFC was the only bank which is offering for the home loan in the area where i have purchased the house so i opted with HDFC LIMITED. I had applied the loan amount of Rs. 28 lakhs and the given interest rate is 8.5% and they charged me a processing fee of nominal one. I took the loan 3 years ago and they took 40 to 50 days to sanctioned the loan.
I have completed my home loan with HDFC BANK before 3 years ago. I did foreclosure and that time the interest rate is not much. I bought a residential property and the loan procedure is very easy because my papers are strong and clear to proceed faster.
Took my home loan from HDFC and i got it 5 years back. My sister has referred me about the loan once i had applied, i got it immediately. I bought a loan amount of Rs. 8 lakhs for the tenure period of 15 years. Monthly i'm paying the EMI of Rs. 8200. They have sanctioned the loan in 1 week.
I have taken a home loan with HDFC BANK because the branch is very near to my place and the responsiveness was good. The rate of interest is okay and they have charged me a processing fee. The loan tenure is 240 months and its ongoing. The documents are submitted to the executive.
Its very quick service and processing time is minimal so i have taken the home loan from HDFC and the interest rate also nominal and charges are also. They have approved the loan in 10 days. I have chosen the tenure period of 10 years for the loan amount of Rs. 40 lakhs. The website should be improved in HDFC.
As per the demonstration policy HDFC limited is charging 9.20% of interest but SBI have already decreased the floating interest rate for housing loan. My principal amount is Rs. 16 lakhs for the duration of 20 years, there was no processing fee or insurance fee taken from the loan. But only concern about the interest, they should provide the best rate as per the market, and the process should happen proactively.
I got my home loan from HDFC LIMITED because the builder has processed the loan. I have purchased a residential property before 4 years. The rate of interest is nominal and they have scheduled for floater plan. The processing fee is charged. The loan duration is 15years. The customer service is good.
I arranged the money from other source hence I didn't take the home loan from HDFC Ltd but the drawback is they have higher rate of interest. However my expectation is upto 8 of interest hence I didn't go head for further procedure. It would be great if they reduce the rate of interest, that would be more convenient for the customer.
My home loan process was hassle free, I took Rs. 30 lakhs for the duration of 30 years. I submitted general documents like KYC, property documents, form 16 within a weeks time the amount credited in my account. At the time Hdfc branch manager was my friend they took care of everything.
HDFC Home loan service is not that much good. Comparing to Government sector, interest rates are in a higher part. At the time of process, HDFC people helped me a lot and they came to my place and they have collected all my documents hence i don't need to bother about the process. Whenever I'm sending mails, they are giving reply immediately.
The loan process was easier for getting home loan from HDFC Limited, within expected time they sanctioned the amount. I submitted the KYC documents, property papers to them I took the loan around Rs. 35 lakhs with 10 years of loan period. They gave higher interest rate its far when compared to market.
From HDFC limited I took the home loan, the documentation was simpler with required documents. More over they supported well to get it on time. The follow up was prompt, the field executive gave me door step service multiple times. Only one or two time I went to the bank. I took the loan amount Rs. 17 lakhs for the duration of 15 years. They taken processing fee around Rs. 9000 from the disbursement.
I have applied for HDFC Ltd Home loan through Online and got all the required information about the loan process through the agent .I am unable to avail this loan since my Mother passed away due to this reason cancelled the plan.I have submitted required documents as well.I have received proper follow up and response form HDFC Ltd.
My salary account belongs to HDFC, when I applied for the housing loan the process was smooth. My dedicated relationship manager from the bank, they done the entire process, I applied for the loan amount of Rs.40 lakhs, overall I am fine with them.
I have taken a home loan from HDFC LIMITED on 4 years before which was processed directly to bank. The loan amount which was given for a sufficient amount for the tenure period of 20 years. But I have done down payment at earlier and now decreased to tenure of 10 years. The interest charges for this loan of 8.55%.
Chosen my home loan from HDFC its because of the easy accessibility and there is no lengthy process. I bought the loan amount of Rs. 12 lakhs for the tenure period of 15 years. They took 2 months to sanctioned the loan. There was some documents which i need to submit from my end thats the reason it got delayed. They have offered me a interest rate of 8.35%.