If you’ve been eyeing a new home and thinking about taking out a loan from Axis Bank, you’re likely wondering about the costs involved. It’s not just about the interest rate—processing fees and other charges can make a real difference. A clear idea of these expenses can help you budget wisely and avoid any last-minute surprises.
Axis Bank Home Loan Processing Fee Structure
When considering a home loan from Axis Bank, it’s important to understand the associated processing fees.
| Loan Type | Processing Fee |
|---|---|
| Axis Bank Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Asha Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Quick Pay Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Power Advantage Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Fast Forward Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Shubh Aarambh Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Super Saver Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Empower Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
| Axis Bank Top-Up Home Loan | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
Suggested Read: CIBIL Score for Axis Bank Home Loans
Axis Bank Home Loan Other Fees and Charges
Apart from the standard processing fee, Axis Bank home loans come with various additional charges you might need to pay.
| Charge Type | Amount |
|---|---|
| Penal Interest on Overdue EMI | 24% per annum on the overdue amount |
| Cheque Bounce Charges | Rs. 500 per instance |
| Instrument Return Charges | Rs. 339 per instance |
| Duplicate Statement Issuance | Rs. 250 per instance |
| Document Handling Charges | Rs. 500 per set of documents |
| Prepayment Charges for Fixed Rate Loans | 2% of the outstanding principal amount |
| Switching Fees (Floating to Fixed Rate) | 1% of the outstanding principal, minimum Rs. 10,000 |
| Switching Fees (Fixed to Floating Rate) | 2% on the outstanding principal amount |
| CERSAI Charges | Rs. 50 for loans up to Rs. 5 lakh, Rs. 100 for higher loans |
| Stamp Duty and Other Statutory Charges | As per the applicable laws of the state |
Suggested Read: Axis Bank Home Loan Eligibility Criteria Checklist
Compare Home Loan Processing Fees of Top Banks and HFCs
| Banks/ NBFCs | Processing Fees |
|---|---|
| SBI | 0.35% of the loan amount + GST Minimum: ₹2,000 + GST Maximum: ₹10,000 + GST |
| HDFC | Up to 0.50% of the loan amount or ₹3300 (whichever is higher) |
| LIC Housing Finance | 0.25% of the loan amount Minimum: ₹ 5,000 Maximum: ₹50,000 |
| ICICI Bank | Up to 2% of the loan amount |
| Bank of Baroda | Up to 0.40% of the home loan |
| Bank of India | 0.25% of loan amount (Min ₹2,500 – Max ₹20,000) |
| Canara Bank | 0.50% (Min Rs.1500/-+GST and Max. Rs.10,000/-) |
| Bajaj Housing Finance | Up to 4% of the loan amount |
| PNB Housing Finance | 0.35% of the loan amount Min: Rs. 2,500/Max: Rs. 15,000/ |
| IDBI Bank | 0.50% of loan amount |
| Axis Bank | 1% of the loan amount, minimum Rs. 10,000; Rs. 5,000 +GST upfront |
Suggested Read: Axis Bank Home Loan Prepayment Charges
Why Does Axis Bank Take Processing Fees?
- Administrative Costs: Covers application processing, documentation, and verification efforts.
- Legal & Technical Checks: Funds property valuation, legal due diligence, and technical assessments.
- Risk Assessment: Supports credit checks, eligibility evaluations, and loan structuring.
- Compliance & Regulation: Ensures adherence to banking norms and regulatory requirements.
Suggested Read: Axis Bank Home Loan Customer Care
Is Axis Bank Home Loan Processing Fees Refunded?
Axis Bank’s home loan processing fees are generally non-refundable and are retained by the lender regardless of whether the loan is closed early, rejected post-approval, or repaid prematurely.
These fees cover administrative expenses, including documentation, verification, legal due diligence, and technical assessments conducted during the loan setup.
Refunds are rare and apply only under specific conditions explicitly outlined in the loan agreement or mandated by regulatory guidelines.
Suggested Read: How to Check Axis Bank Home Loan Application Status?
When Does Axis Bank Collect Home Loan Processing Fees?
Axis Bank collects a one-time, non-refundable processing fee when you submit your home loan application. This fee covers the cost of evaluating your application, including verifying your eligibility and assessing your financial profile.
Am I Still Liable to Pay The Processing Fees if My Home Loan is Sanctioned But I Don’t Avail It?
Yes, you are typically liable to pay the processing fee regardless of whether your loan is approved or rejected.
Processing fees are charged for the administrative work involved in evaluating your application, verifying documents, and approving your loan—regardless of whether you eventually use the funds.
What Happens if Axis Bank Home Loan Processing Fees Cheque Gets Bounced?
If your cheque for Axis Bank’s home loan processing fee bounces, here’s what you need to know:
Immediate Consequences:
- Your application may be delayed or rejected until the payment issue is resolved.
- Axis Bank (and your bank) may impose a cheque bounce penalty fee (as per their policy and RBI guidelines).
Steps to Resolve:
- Inform Axis Bank about the bounced cheque and request an alternative payment method (e.g., NEFT/RTGS, demand draft, or online transfer).
- Clear the processing fee along with any additional charges levied due to the bounce.
- Ensure the original cheque is replaced or canceled to avoid further complications.
Suggested Read: Axis Bank Home Loan Login Portal
Is it Possible to Get a Home Loan with Zero Processing Fees?
Yes, it is possible to get a home loan with zero processing fees in India, though it depends on specific conditions, lenders, and timing. Here’s a detailed breakdown:
- Periodic Waivers: Many lenders (e.g., SBI, HDFC, LIC Housing Finance, PNB Housing Finance) occasionally waive processing fees as part of promotional campaigns to attract borrowers. These offers are often time-bound (e.g., festive seasons or year-end schemes).
- Targeted Schemes: Some lenders offer fee waivers to specific borrower segments, such as women applicants, government employees, or first-time homebuyers.
- Pradhan Mantri Awas Yojana (PMAY): Under this scheme, eligible first-time homebuyers (especially in EWS/LIG/MIG categories) may receive subsidies and fee concessions, including reduced or waived processing fees.
- State-Level Schemes: Some state governments or housing boards (e.g., MHADA in Maharashtra) collaborate with lenders to offer subsidized loans with minimal fees.
Suggested Read: Axis Bank Home Loan Statement Download
How is Home Loan Processing Fees Calculated?
Processing fees are typically calculated as a percentage of the loan amount , though some lenders charge a flat fee. The common range is 0.25% to 2% of the loan principal , depending on the lender and borrower profile.
For a ₹50 lakh loan with a 1% processing fee:
₹50,00,000 × 1% = ₹50,000 (processing fee).
Some lenders may cap the fee (e.g., maximum ₹75,000, even for larger loans).
Suggested Read: Inheritance Rights on Ancestral Property
Factors Affecting Axis Bank Home Loan Processing Fees
- Loan amount – higher principal means a larger percentage‑based fee (until it hits the cap).
- Lender’s pricing policy – flat fee, tiered slabs, or percentage rate decide the base charge.
- Borrower segment – women, government staff, or first‑time buyers often get concessional rates.
- Credit score – stronger scores give borrowers bargaining power for a lower fee.
- Property profile – under‑construction or non‑standard properties need extra due‑diligence, pushing costs up.
- Loan type – balance transfer or top‑up loans may carry higher or separate processing fees.
- Documentation load – multiple co‑applicants or complex income proofs increase verification expenses.
- Promotional window – festive or year‑end campaigns can drop the fee to zero.
- Government schemes – PMAY or state housing tie‑ups cap or waive processing charges.
Conclusion
Buying a home is a big step. Getting a home loan can be hard, but we make it easy. Choosing Credit Dharma for your home loan simplifies this process. We offer expert advice and personalized assistance to make everything hassle-free. You’ll receive timely updates on your loan application and disbursement progress.
From the initial application to the final disbursement, we provide comprehensive support. Enjoy clear and honest communication at every stage, with no hidden surprises.
Frequently Asked Questions
Axis Bank’s home loan processing fee may reach 1% of the loan amount, with a minimum charge of ₹10,000 plus GST, paid upfront.
Axis Bank charges a 1.5% processing fee, with a minimum of Rs. 150, on credit card EMIs. This is in addition to a 14% annual interest rate and applicable taxes.
Axis Bank charges include a monthly service fee of Rs. 150, cash deposit fees ranging from Rs. 4 per thousand for 2-3 lakhs to Rs. 5 per thousand above 3 lakhs, and a Rs. 250 annual fee for a Business Classic Debit Card.
Axis Bank does not charge a convenience fee for cash deposits at machines. However, a fee of Rs. 50 applies per transaction for all savings accounts.
To lower your Axis Bank EMI, try making a part-prepayment, choosing a step-down EMI plan, or transferring your balance. Also, ensuring timely EMI payments and selecting the appropriate loan tenure can help manage your monthly outgo effectively.
Axis Bank provides personal loans at rates between 11.1% and 22% annually. Home loan rates begin at 8.75% per annum.
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