Home Loan Balance Transfer

Home loans are long time commitments. Hence an average Indian would spend almost half his working life repaying a home loan. Interest rates on home loans fluctuate with each year. So it is highly possible that you might have signed up for a home loan at higher interest rate and now the market rate has reduced.

Eg: Mr. X took a home loan at 11.50% in the year 2010 for a period of 20 years. Now in 2015, the rate of interest is 8.50%. So that means you are repaying your home loan at a higher rate of interest when you could have been paying lower EMI.

What can you do in such a situation?

Balance transfer. A home loan balance transfer allows you to switch your home loan from existing bank to a new bank. This means you can avail all benefits that the new bank is offering. Mostly customers would switch to a new bank only because they are being offered lower interest rates, better terms and conditions.

What are the features of a balance transfer?

A housing loan balance transfer has multiple features like:

Lower Interest rates – The first most important reason why a customer would move to another bank is due to the new bank offering lower interest rates.

Top-up to outstanding loan amount – The next best reason a customer would opt for a balance transfer is the new bank offers you a top up loan amount above the current home loan amount. This means you get extra funds at lower rates.

Reduced or zero hidden charges – New banks would offer better terms and conditions than your existing bank as they want a new customer. Hence they would reduce or exclude all your hidden charges.

Customized repayment options – New banks will also offer better repayment options and benefits like interest free holiday and many more exciting offers to ensure you apply for a home loan balance transfer from them.

Prepayment is allowed – In order to ensure that your EMI burden falls sooner than ever, Banks provide prepayment option to their customers if they choose to shift their home loan via balance transfer. Usually they would not charge any fees when you transfer your home loan balance to the new bank.

These features of balance transfer help you in saving a lot of money. Hence please read all loan offers carefully. Research on Banks that are providing better deals so you can transfer your existing home loan to their bank. Apply via Ruloans and compare loan options from more than 20+ Banks and NBFCs.

  • Bullet Point #1: Simple Documentation
  • Bullet Point #2: Fast Approval.
  • Bullet Point #3:Loans starting from Rs.5 Lakhs to 30 Lakhs
  • Bullet Point #4:SIMPLE PROCESS ! No complications .
  • Bullet Point #5:Home verification as per your timings
  • Bullet Point #6:Great service before and after sales

Home Loan Eligibility

  • 24 years of Age.
  • Minimum Salary 20K
  • Minimum Loan amount 1 Lakh Maximum 30 Lakhs
  • Minimum 2 Years Work Experience


  • Pan Card, Aadhar Card & 2 Photgraphs
  • 3 months latest salary slips
  • 90 days bank statement till date
  • Offer Letter if date of joining not mentione in salary slip
  • Current Address Proof

Home Loan Balance Transfer

Home loans are long tenure loans of up to 30 years and hence, you are bound to spend a large amount of your income in servicing it. Home loan interest rates matters as more than 50% of your home loan EMI component is loan interest amount you pay to the bank during the loan tenure. The current interest rates on home loan ranges from 6.95% to 12.15% with a lowest EMI of Rs. 655 per lakh. You should seriously consider transferring your home loan to another bank, if you feel that interest rate and EMI you are paying on your existing loan is higher than the lowest rate and lowest EMI offers in the market.


Ideally, the benefit of home loan transfer is in the initial 4 to 5 years of loan as you pay the highest interest component in the initial years. Loan transfer in the mid or end of the tenure can work against you financially as you had already paid the higher interest part to the lender. So, before you decide to opt for balance transfer, do a thorough analysis of all savings and costs associated with the transfer of loan


What are the benefits of transferring home loan?

Reduction in interest rate from high rate to as low as 6.95% per annum

Reduction in monthly EMI by upto 5% depending upon the rate difference, balance tenure and EMI

Option to avail top up loan at same rate as home loan rate (6.95% to 8.8%) subject to eligibility conditions and loan to value ratio

Lower interest rates and other discounts like nil processing fee offered by another lender

Option to opt for smart saver home credit facility or maxgain facility to save interest

Balance transfer options available at various banks like SBI, Bank of Baroda, HDFC, ICICI and others

Watch the video if you are paying more than the lowest interest rate of 6.95% on your home loan


Eligibility Criteria for Home Loan Balance transfer

You can opt for home loan balance transfer if you have outstanding home loan in one bank. Basic eligibility criteria are age, income, employment history and loan to value ratio. Other main eligibility factors which are important for refinance home loan -

Applicant must be running an existing home loan from another lender

Some lenders may require that an applicant should have paid at least 6 to 12 EMI’s on existing loan before opting for balance transfer. However, at times, this condition may be waived and home loan takeover may be possible even if the loan has not run for 6 – 12 months

There should not be any default in payment of EMI on existing loans

In the case of under-construction property, the project must be approved with the new lender. Note that balance transfer of home loan on new property whose possession has been handed over but registration has not been done may not be possible

In case of ready property, registration should have been completed

Home Loan Balance Transfer Process

Follow the below simple steps on how to transfer your loan from bank to another


Check your current rate and calculate interest savings

Calculate the estimated cost on account of various fees and charges as given above

Shortlist new bank that you wish to transfer your loan to; decide if you want top up loan or not Obtain list of property documents deposited with your existing bank (in case this is not available with you already) and foreclosure letter from existing bank

Apply for loan with new bank with photocopy of property documents as per list of property documents with existing bank

Obtain sanction letter and execute new loan agreement

Take disbursement from new bank by way of cheque/ demand draft in favor of existing bank and also deposit the same

Obtain property documents from old bank and deposit with new bank

Incidental charges such as SRO registration payable in Mumbai, Pune and other parts of Maharashtra

Home Loan Balance Transfer Calculator

With LoanATM Home Loan Balance Transfer Calculator, you can calculate your loan amount eligibility and also identify offers with lower home loan rates compared to your existing home loan rates. Do complete market research before you choose the bank to transfer your loan to and apply for a balance transfer in terms of current interest rates, processing fees offers, home loan top up schemes from various banks, movement in MCLR rates of the new bank in response to policy rate changes as well as customer reviews of the bank.


Common Questions

How much time does it take to get loan approved

Usually it take 4 to 5 days to get loan approved after documents are submitted

What are interest rate of Home loan ?

Interest rates start form 10.99 to 18 % depending on the company category you are working for also your cibil score matters for interest rate

how can I apply for Home loan?

Just call us or simply fill the enquiry form on the page. We will collect your documents from your place and get your loan approved in quick time.

Home loan can be availed by both salaried and self-employed individuals. The Home Loan Eligibility criteria.
You are eligible for a Home loan if you are at least 21 years old and your maximum age is not more than 58 years.
Salaried and self-employed individuals can avail Home loans
Your minimum incomes needs to be Rs.15,000/- per month.
Should have valid ID proof like passport, pan card, driving license, voter ID card and photo ration card.
Should have valid address proof like passport, telephone bill, electricity bill, driving license, life or medical insurance policy,
ration card, apartment allocation letter, and rental agreement.
Home loans to meet multiple contingencies, with the interest on these loans being extremely competitive. The final interest payable by
an individual is computed on the basis of standard slabs, with MCLR and Base Rate being the most commonly used ones. Changes in these slabs could have an impact
on the rate charged by the bank.
Marginal Cost of Funds Based Lending Rate (MCLR) (For new borrowers)
All borrowers who avail a Home loan from any Bank after 01/04/2016 will be charged an interest which is computed on the basis of MCLR. T
his follows a notification by the RBI, with the benchmark taking operating costs and current financial
trends into account while computing the interest
Applying through LoanATM enables you to enjoy many added benefits. LoanATM, being the largest online platform for your financial needs, helps you to compare and choose your financial products. You can enjoy the following extra benefits if you apply through LoanATM.
Instant Approval: You can get instant approval on your loan application if you apply through LoanATM.
Personalized quotes: You can Compare Home Loans offered by various banks on LoanATM and choose among them comparing their interest rates, processing fee and EMI amount.
Assured Confidentiality: LoanATM does not disclose your Home and financial information to anybody. Your application form directly goes to your chosen lender. There is no third party involved in the whole process.
Best interest rates assured: Having tie-ups with many major banks in India, LoanATM can offer you the best interest rate on your Home loan.
Online tracking: LoanATM keeps you updated about each and every step of your application form. You can track it online at LoanATM and get notification via Email and SMS.
Instead of contacting personally, you can apply for your Bank Home Loan at LoanATM.
Applying through LoanATM is easy, simple and hassle free. For that, you need to follow the following steps:
• First select your Home loan.
• Then check your eligibility by filling up the loan eligibility form wherein you need to fill your Home and financial details. Then you will receive instant and personalized quotes based on your eligibility.
• Once you get the quotes, select a Home loan based on your requirement, or choose any Home loan. LoanATM helps you can select among a variety of Home loans offered by various banks.
• After finalizing on the loan, click on the “submit” button. Your application will directly go to your lender who will contact you soon.
At LoanATM Calculating Home Loan EMI is very easy. It has a unique EMI calculator which enables you to get the accurate amount of your monthly EMI instantly. You can get your EMI amount by filling in the following information:
Chosen loan amount
Loan tenure
Processing fee ( if any)
The applicable rate of interest.
When you put this information in the Home Loan EMI Calculator, it will immediately display your monthly EMI liability for the loan.
Prsonal loan comes with many attractive features which make it the favourite bank of many customers. These features include: Home Loan is available for both salaried and non-salaried individuals.
You can enjoy flexible repayment tenures from 12 months to 60 months.
The bank does not ask for security or guarantor.
Documentation processes are easy and simple.
You can apply online and get instant approval.
Affordable interest rate starting from 12.% onwards.
Loan amounts up to Rs.80 lakhs.
Online applicants get a 50% discount on processing fee
Home loans up to Rs.30 lakhs to salaried employees and up to Rs.10 lakhs to the entrepreneurs.
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