An effective strategy to optimise your home loan is through a balance transfer. If you’re an HDFC Home Loan customer, understanding the nuances of an HDFC Home Loan Balance Transfer can lead to significant savings and more manageable monthly payments.
Switch to HDFC Home Loan Balance Transfer and Enjoy Lower Interest Rates!
How to Use HDFC Home Loan Balance Calculator
- Enter your current outstanding principal, the interest rate charged by your existing lender, and the total loan tenure.
- Input the new interest rate and tenure offered by HDFC Bank.
- The calculator will show your potential savings from transferring your loan to HDFC.
HDFC Home Loan Balance Transfer Interest Rates 2024
Discover HDFC’s Home Loan Balance Transfer Interest Rates for 2024, all benchmarked to the Policy Repo Rate of 6.50%. Take advantage of these competitive rates to optimize your home financing and achieve significant savings today!
| Loan Slabs | Rate of Interest |
|---|---|
| Standard Rates | Policy Repo Rate + 2.90% to 3.45% = 9.40% to 9.95% |
| Special Rates | Policy Repo Rate + 2.25% to 3.15% = 8.75% to 9.65% |
HDFC Home Loan Balance Transfer Eligibility Criteria
| Criteria | Requirement |
|---|---|
| Age | 18 – 70 years |
| Profession | Salaried/ Self employed |
| Tenure | Up to 30 years |
| Nationality | Indian |
Documents Required for HDFC Home Loan Balance Transfer
- Letter from Existing Lender: A letter on your current lender’s letterhead listing the property documents they hold.
- Outstanding Balance Statement: A letter from your current financial institution showing the latest outstanding balance, also on their letterhead.
- Property Document Photocopies: Copies of the property documents, including proof of your own contribution.
How to Transfer Your HDFC Home Loan?
Transferring your home loan to another bank can be a strategic move to secure better interest rates and improve your financial standing. Here’s a step-by-step guide to help you navigate the Home Loan Balance Transfer process smoothly:
1. Initiate the Transfer Request
Begin by notifying your current lender of your intention to transfer your home loan. This can typically be done by submitting a formal letter explaining your reasons for the transfer or by filling out an application form, depending on your bank’s requirements.
2. Obtain a No Objection Certificate (NOC) or Consent Letter
Once you’ve applied for the transfer, your existing lender will provide you with a No Objection Certificate (NOC) or a consent letter. This essential document confirms that your current lender has no objections to transferring your loan to a new financial institution.
3. Prepare and Submit Required Documentation
With the NOC in hand, gather all necessary documents required by the new lender. This usually includes:
- KYC Documents: Identity and address proofs such as Aadhaar Card, PAN Card, and utility bills.
- Property Documents: Title deed, sale agreement, and property valuation reports.
- Loan Details: Current loan statements, outstanding balance, and interest rate information.
- Financial Statements: Income proof like salary slips, tax returns, and bank statements.
Submit these documents along with the NOC to the new lender to initiate the balance transfer process.
4. Await Confirmation from Your Previous Lender
After submitting all required documents to the new lender, your current lender will process your request to close the existing loan account. You’ll need to wait for official confirmation from your old lender indicating that your loan has been settled.
5. Pay Transfer Fees and Finalize the New Loan Agreement
Upon receiving confirmation that your old loan is closed, proceed to pay any applicable transfer fees to the new lender. Once the fees are settled, you can finalize and sign the new loan agreement, effectively transferring your home loan to the new bank.
HDFC Home Loan Balance Transfer Calculation
The Credit Dharma HDFC Home Loan Balance Transfer Calculator helps you assess the financial benefits of transferring your existing home loan to HDFC.
Here’s streamlined explanation of the input parameters, calculation formulas, and an illustrative example.
Scenario:
Rajesh has an outstanding home loan of ₹65,00,000 with 13 years remaining at an interest rate of 10.5%. They consider transferring the loan to HDFC at a new interest rate of 9.45% without changing the tenure.
| Parameters | Details |
|---|---|
| P (Out standing Principal) | Rs. 65,00,000 |
| ROI (Current Interest Rate | 10.45% p.a. |
| T (Current Tenure) | 13 years |
| NT (New Tenure) | 13 years |
| NROI (New Interest Rate) | 9.45% p.a. |
Transfer Calculation Formula
Convert Interest Rates to Decimal:
R = ROI/ 100 = 10.5/ 100 = 0.105
NR = NROI/ 100 = 9.45/ 100 = 0.0945
Calculate Existing EMI (E):
E = [P x R x (1+R) ^T] / [((1+R) ^T)-1]
E = [65,00,000 x 0.105 x (1 + 0.105)^13] / [(1 + 0.105)^13] = Rs. 76,538
Calculate Total Amount Payable for Existing Loan (A):
Current Amount = A = E*T*12
A = 76,538 ×12 × 13 = ₹11,93,98,232
Calculate New EMI (NE):
NE = [P x R x (1+R) ^NT] / [((1+R) ^NT)-1]
NE = [65,00,000 × 0.0945 × (1+0.0945 ^ 13)] / [(1+0.0945 ^ 13)] = ₹72,518
Calculate Total Amount Payable for New Loan (NA):
New Amount = NA = NE*NT*12
NA=72,518 × 12 × 13 = ₹11,31,02,928
Calculate Total Savings (S):
ES = A – NA
S = 11,93,98,232 − 11,31,02,928 = ₹6,27,020
HDFC Customer Care Contact Details
| Mode of Contact | Contact Details |
|---|---|
| Toll Free Contact | 1800 210 0018 |
| SMS | HDFCHOME To 56767 |
| Home Loan Service Request | https://www.hdfc.com/write-to-us/service-request |
Lower Your Interest, Boost Your Savings – HDFC Home Loan Balance Transfer!
Conclusion
The HDFC Balance Transfer Calculator is a valuable tool to assess the financial benefits of transferring your home loan to HDFC. By carefully inputting your existing loan details and analyzing the results, you can make a well-informed decision that aligns with your financial goals.
Are unexpected increases in your home loan rates causing you stress? It’s time to take control and transfer your existing home loan to HDFC.
Don’t let rising rates eat into your finances. Book your FREE consultation call with Credit Dharma today and embark on a hassle-free, fully digital home loan balance transfer to HDFC.
Frequently Asked Questions
HDFC offers interest rates starting from 8.75% per annum for balance transfers, subject to your loan profile.
By transferring your loan, you can avail of lower interest rates, reduced EMIs, and flexible repayment options.
Yes, HDFC charges up to 0.50% of the loan amount or Rs. 3000/- whichever is higher.
The process usually takes about 7 to 10 working days, subject to documentation and approval.
HDFC Home Loan
SBI Home Loan
