Home Loan Transfer – After the Reserve Bank reduces the policy rate repo rate, all banks reduce their home loan within three months. If your bank does not reduce the expected home loan and you are getting a loan at a lower interest rate from another bank, then you can transfer your home loan balance.
For this, first of all you have to visit the website of all the banks or any aggregator and see the rate of home loan. You can apply online by visiting the website of the bank where you are getting the loan as per your choice, after which the bank representative will contact you himself.
If you are not comfortable online then you can go to the nearest branch of that bank and talk about home loan transfer. In today’s time, all government and private banks deal with home loan customers on priority basis.
What is the processing fee for home loan transfer?
You may have to pay a processing fee for home loan transfer. However, you can negotiate with the bank regarding this. At the same time, some banks also waive the processing fee as an offer. The processing fee in government banks is slightly less than in private banks.
What documents will be required for home loan transfer?
In case of home loan transfer, some additional documents are required as compared to a new loan. You will have to submit four types of documents to the new bank. Personal documents, income documents, property papers, documents from the existing bank. Let’s take a look at these-
Personal documents: PAN, Aadhaar, Photograph, Current Address Proof.
Income documents: Salary slip for last 3 months, Bank statement for last 6 months, Form 16 for last 2 years.
Property papers: Allotment letter, possession letter, sale deed.
Documents from existing bank: Sanction letter, Loan account statement, List of documents, Foreclosure letter.