How To Transfer A Home Loan
Earlier we have learned the steps to get a home loan but you can even transfer the loan to a new lender. The process is called ‘Balance Transfer.' Home loan balance transfer is a five-step process:
Home loan top-up
The need for funds can appear anytime and for any purpose. Top-up loans come in really handy during this time. As the name suggests, you can apply for more loan on your home, after the loan has started to meet your fund requirements. This amount is given over and above the original home loan and to customers whose loan has already been running for some time.
Here are a few things you need to know about top-up loans:
- It is not necessary to use this fund for home-related needs only. You can use it for anything – children’s education, emergencies or planning a vacation.
- The top-up amount gets added to your original loan amount and runs till the end of the original home loan tenure.
- Each bank/NBFC has its own policies regarding granting top-up loans. Hence, it will be wise to check with the bank to know their terms and conditions.
- Top up loans may be granted at the same rate as the home loan, or maybe a few percentage points higher. It entirely depends on the bank’s policies.