What fees apply to RBL personal loan pre-closure?

Complete Repayment: The bank imposes a fee equal to 5% of your outstanding balance if you choose to foreclose or prepay up to the first 18 EMIs. A fee equal to 3% of your outstanding principal must be paid to the bank if the payment is made after 18 EMIs.

How may RBL EMI be foreclosed?

You will be required to pay a foreclosure fee equal to 5% of the remaining principal on the day of closure if you pre-close your loan before the 18 EMIs. You will be required to pay a charge equal to 3% of the principal amount owed as of the closing date if you decide to pay off your loan early after 18 EMIs.

How is the amount of preclosure determined?

The outstanding principal, unpaid interest, and any other fees or charges are all included in the foreclosure sum. Determine the Outstanding Principal: Outstanding refers to the amount of the debt that has not yet been repaid. It is equal to the original loan balance less the principal amount paid in equal installments until the foreclosure date.

Is preclosing a personal loan a wise idea?

In many situations, loan pre-closure is a wise choice because it has several advantages, such as the following: Reduce the Cost of Interest Significantly: Pre-closing a personal loan reduces the overall interest expense by a significant amount.

Is credit score impacted by loan preclosure?

A borrower's credit score may be impacted by loan foreclosure in both good and bad ways. Paying loan EMIs regularly helps build a good credit score . The market offers a large variety of loans to meet the various needs of clients in various categories.

RBL Bank Personal Loan Preclosure

To pre-close your RBL personal loan, contact the bank to find out when it’s possible. Then, visit a nearby branch with all the required documents and pay off the remaining balance. Note that the process must be done in person, as online foreclosure is not available. Be sure to have the full amount ready but avoid using all your savings.

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RBL Bank Personal Loan Pre-Closure or Pre-Payment Fees and Charges

If you pre-close your loan before 18 EMIs, you will have to pay a foreclosure fee of 5% of the outstanding principal as on the date of closure.
If you prepay your loan after 18 EMIs, you will have to pay a fee of 3% of the principal outstanding as on the date of closure.
There will be no pre-closure charges if:
1. You pre-terminate the loan using your own funds, and
2. If you have paid at least 12 EMIs without bounce.

No. Of Months From Loan Disbursement	Pre-Closure Charges
Less than 18 months	5% of the outstanding balance
After 18 months	3% of the outstanding balance

RBL Bank Personal Loan Pre-Closure Criteria

Prepayments are allowed only after you have paid 12 EMIs on your loan.
You must foreclose the loan using your own funds.
Balance transfer to another bank is not considered as using your own funds.
You can foreclose the loan by paying the remaining amount via cheque or demand draft.

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Points to Note While Pre-Closing Your RBL Bank Personal Loan

Keep your account number ready in hand. You have to quote this to initiate the process.
Remember to carry your chequebook with you. Also carry your ID proofs when you visit the bank.
Collect your loan pre-closure acknowledgement and keep it safe.

Also know about RBL Personal Loan

How to Pre-Close or Foreclose Your RBL Bank Personal Loan

Follow the instructions given below to foreclose your personal loan at RBL Bank:

Step 1: Visit the Branch. Go to the nearest bank branch to initiate the foreclosure process. Use the ‘Locate Us’ feature on the bank’s website to find the closest one.

Step 2: Get Outstanding Balance. Ask the bank for the total amount due on your loan account.

Step 3: Make the Payment. Pay the outstanding amount using a cheque or demand draft.

Step 4: Complete Formalities. Submit any required documents and ensure all procedures are completed. Request written confirmation.

Step 5: Follow Up. Ask how many days it will take to close your account and follow up to confirm successful closure.

Steps to Locate the Nearest RBL Bank Loan Centre for Pre-Closure

The bank does not offer the facility to pre-close your loan online. You need to visit one of the bank's branches to do this. Here's how you can find a branch close to you:

Visit the bank's official website.
Next, scroll down to the bottom where you will see the "Locate Us" option.
Select the "Branch" option. Make sure the other options are unselected.
After this, type in the name of your city in the search bar provided and choose the appropriate option from the drop-down suggestions.
The various branches in your city/town will be shown right away.

The process is designed to help customers pre-close their loans in the easiest possible manner. But before you close your account, make sure it is beneficial to you. Try and manage your payments in such a way so that you qualify for zero prepayment charges. This will help you save quite a bit of money.

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What Does Pre-Closure or Prepayment of Personal Loan Mean?

Pre-closure allows you to repay your loan in full before the scheduled end of its tenure. For example, you can close a 5-year loan in 2 years if you have enough funds, which helps reduce your overall interest cost.

Before choosing pre-closure:

Request a statement from your bank with the outstanding balance
Ensure the repayment will not exhaust your savings or impact your financial stability
Compare pre-closure charges with the interest you save to make sure it is worth it

About RBL Bank

RBL Bank is a private sector bank in India and is growing at a rapid rate. It offers both personal banking options as well as corporate and business banking options. Through its 324 branches and 341 ATMs spread all throughout the country, it reaches more than 65 lakh customers in 21 states. The bank is listed on both the Bombay Stock Exchange (BSE) as well as the National Stock Exchange (NSE).

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A good credit score can help you secure lower interest rates on loans and credit cards.

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FAQs on RBL Bank Personal Loan Pre-closure

What fees apply to RBL personal loan pre-closure?
Complete Repayment: The bank imposes a fee equal to 5% of your outstanding balance if you choose to foreclose or prepay up to the first 18 EMIs. A fee equal to 3% of your outstanding principal must be paid to the bank if the payment is made after 18 EMIs.
How may RBL EMI be foreclosed?
You will be required to pay a foreclosure fee equal to 5% of the remaining principal on the day of closure if you pre-close your loan before the 18 EMIs. You will be required to pay a charge equal to 3% of the principal amount owed as of the closing date if you decide to pay off your loan early after 18 EMIs.
How is the amount of preclosure determined?
The outstanding principal, unpaid interest, and any other fees or charges are all included in the foreclosure sum. Determine the Outstanding Principal: Outstanding refers to the amount of the debt that has not yet been repaid. It is equal to the original loan balance less the principal amount paid in equal installments until the foreclosure date.
Is preclosing a personal loan a wise idea?
In many situations, loan pre-closure is a wise choice because it has several advantages, such as the following: Reduce the Cost of Interest Significantly: Pre-closing a personal loan reduces the overall interest expense by a significant amount.
Is credit score impacted by loan preclosure?
A borrower's credit score may be impacted by loan foreclosure in both good and bad ways. Paying loan EMIs regularly helps build a good credit score. The market offers a large variety of loans to meet the various needs of clients in various categories.

Important Personal Loan Pages

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Personal Loan EMI Calculator by Bank

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Personal Loan Status Track by Bank

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