The ICICI Home Loan Balance Transfer Calculator is an essential tool for anyone looking to streamline their home loan process. This guide offers a comprehensive overview of how to utilize this calculator effectively.
Paying too much on your Home Loan? Discover potential savings with ICICI
Home Loan Balance Transfer
Home Loan Balance Transfer allows borrowers to shift their existing loan to a new lender for better interest rates. ICICI’s option is ideal for those who have seen improvements in their credit scores and are now eligible for lower rates.
Exploring the ICICI Home Loan Balance Transfer Calculator
The ICICI Home Loan Balance Transfer Calculator is a user-friendly online tool designed to help borrowers evaluate the benefits of transferring their home loan. Input your current loan details and compare them with ICICI’s proposed rates to see the financial benefits.
How to Use the ICICI Calculator
- Current Loan Information: Enter details like your existing loan amount, interest rate, and remaining loan tenure.
- New Loan Terms with ICICI: Provide the interest rate offered by ICICI and your desired loan tenure.
- Results Interpretation: The calculator displays the new EMI, total interest payment, and potential savings.
Credit Dharma ICICI Home Loan Balance Transfer Calculator Formula
The Calculator takes input as shown below to calculate the Balance Transfer benefits.
| Outstanding Principal | P |
| Yearly ROI | ROI |
| Tenure | T |
| New Tenure | NT |
| New ROI | NROI |
Outputs that we will get from the calculator will be
| Total Savings | S |
| Existing EMI | E |
| New EMI | NE |
| Monthly EMI Savings | ES ( E – NE ‘) |
| New ROI | NROI |
For example, assume that a person took a home loan of which Rs. 92 Lakhs Outstanding Principal is yet to be paid for a tenure of 18 years at an agreed-upon interest rate of 10.5%. and now wants to transfer the home loan to ICICI with new interest rate of 9.45% and without changing the tenure of 18 years So, according to the formula –
- P = 92,00,000
- ROI = 10.5%
- T = 18 Years
- NT = 18
- NROI = 9.45
Now using the Balance Transfer Formula:
R = ROI/100
E = [P x R x (1+R) ^T] / [((1+R) ^T)-1]
Current Amount = A = E*T*12
NR = NROI/100
NE = [P x R x (1+R) ^NT] / [((1+R) ^NT)-1]
New Amount = NA = NE*NT*12
ES = A – NA
A home loan balance transfer calculator will swiftly provide you with precise calculations, specifically in this scenario.
EMI Comparison
| Description | Amount (INR) |
|---|---|
| Existing EMI | 94,965 |
| New EMI with ICICI | 88,756 |
| Monthly Savings | 6,209 |
| Total Savings | 13,41,045 |
ICICI Home Loan Balance Transfer Rates
Salaried Borrower
| Slab | Floating Interest rates |
| Up to Rs.35 lacs | RR + 2.70% (8.95%) – RR + 3.45% (9.70%) |
| Rs.35 lacs to Rs.75 lacs | RR + 2.70% (8.85%) – RR + 3.45% (9.70%) |
| Above Rs.75 lacs | RR + 2.70% (8.85%) – RR + 3.55% (9.70%) |
Self – Employed
| Slab | Floating Interest rates |
| Up to Rs.35 lacs | RR + 2.80% (9.05%) – RR + 3.60% (9.85%) |
| Rs.35 lacs to Rs.75 lacs | RR + 2.80% (9.05%) – RR + 3.60% (9.85%) |
| Above Rs.75 lacs | RR + 2.80% (9.05%) – RR + 3.70% (9.85%) |
Benefits of ICICI Home Loan Balance Transfer
- Reduced Interest Rates: Lower interest rates lead to a reduced overall interest burden.
- Top-up Loan Facility: Options for additional top-up loans for further financial needs.
- No Prepayment Penalties: No charges for prepayments or foreclosures on floating rate loans.
Visit the ICICI official website for more details.
Conclusion
The ICICI Home Loan Balance Transfer Calculator is a crucial tool for efficiently managing your home loan expenses. It provides clear insights into potential savings and assists in making informed decisions about transferring your home loan to ICICI.
Get expert advices to get the most out of your balance transfer to ICICI
Comparison
You can also compare the home loan rates of different banks here. For detailed comparison between top banks you can visit our compare banks page.
| Bank | Up to Rs. 30 Lakh | Above Rs. 30 Lakh to Rs. 75 Lakh | Above Rs. 75 Lakh |
|---|---|---|---|
| SBI Bank | 9.15%-11.55% p.a. | 9.15%-11.55% p.a. | 9.15%-11.55% p.a. |
| HDFC Bank | 8.75% p.a. onwards | 8.75% p.a. onwards | 8.75% p.a. onwards |
| LIC Bank | 8.50% – 10.35% p.a. | 8.50% – 10.55% p.a. | 8.50% – 10.75% p.a. |
| ICICI Bank | 8.85% p.a. onwards | 8.85% p.a. onwards | 8.85% p.a. onwards |
| Kotak Mahindra Bank | 8.70% p.a. onwards | 8.70% p.a. onwards | 8.70% p.a. onwards |
| Punjab National Bank | 8.40% – 12.10% p.a. | 8.40% – 12.10% p.a. | 8.40% – 12.10% p.a. |
| Bank Of Baroda | 8.40% – 10.65% p.a. | 8.40% – 10.65% p.a. | 8.40% – 10.90% p.a. |
| Bajaj Housing Finance | 8.50% p.a. onwards | 8.50% p.a. onwards | 8.50% p.a. onwards |
| Axis Bank | 8.75%-13.30% p.a. | 8.75%-13.30% p.a. | 8.75%-9.65% p.a. |
| Bank of India | 8.4% p.a onwards | 8.4% p.a onwards | 8.4% p.a onwards |
Frequently Asked Questions
Transferring your home loan balance typically takes between 5 to 20 days. This duration can vary based on the processing speed of your current bank and the time needed for documentation and approval processes at the new bank.
Initiating a balance transfer for your home loan does not directly impact your credit score. In fact, it may have positive effects, such as reducing the number of active loan accounts and decreasing your overall credit utilisation.
Consider transferring your home loan balance if you find yourself subject to an interest rate that exceeds the current market average. Some Banks are known for offering attractive rates for these kinds of balance transfers.
Absolutely. Under the Income Tax Act of 1961, you qualify for tax deductions on both the principal and interest amounts of your balance transfer loan. Since these tax advantages can change from year to year, it’s advisable to consult with banks for up-to-date information on the tax benefits available for your loan.
HDFC Home Loan
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