BAJAJ FINSERV DIRECT LIMITED

Documents Required for Home Loan Balance Transfer

Get the full checklist of documents needed for a quick and easy home loan balance transfer at Bajaj Markets.

Max. Tenure

30 Years

Lending Partners

6+

Max. Amount

₹15 Crores

When planning a home loan balance transfer, having the right documents is crucial for a smooth transition. The documents required for home loan balance transfer not only verify your eligibility but also expedite the approval process with your new lender. To get started, it’s essential to be aware of the complete list of documents for home loan transfer, including your latest Account Statement, KYC documents, and all additional paperwork as of the current date. Keeping these documents organised and up to date ensures the home loan balance transfer is seamless and hassle-free.

List of Documents Required from Existing Lender

Before you apply for a balance transfer, here are some documents you need to acquire from your current lender:

  • Letter of consent

It is a document that allows the lender to proceed with specific activities like loan processing. The letter must be signed by you for it to be valid.

  • Foreclosure letter

It is a letter provided by the lender which states that the loan is fully repaid and that the account has been closed

  • No objection letter

A letter from your lender which states that they have no objection in transferring the loan after full repayment

  • Property documents

These are legal papers that act as proof of ownership for the property submitted as collateral

  • Home loan statements

A document provided by the lender which provides a detailed account of the loan’s balance, repayment history, and so forth

  • Post-dated cheques

These cheques, used for future EMI payments, need to be withdrawn once the loan is closed. This helps you avoid unnecessary deductions.

List of Documents to be Submitted to the New Lender

You need to submit the following documents to your new lender when applying for a balance transfer:

  • Proof of identity like PAN card or Aadhaar card, etc.

  • Proof of residence like utility bills, property tax receipts, etc.

  • Last 6 months’ bank account statements

  • Latest passport-size photographs

  • Property-related documents like sales deeds and so on

  • Documents related to your current home loan

  • Income proof:

    • For salaried individuals - The latest salary slip of the previous 3 months or Form 16 

    • For self-employed individuals - Audited profit and loss statements 

Your lender may ask you to submit some extra documents before approving the transfer. It is essential to get a complete list of the paperwork needed from your new lender prior to applying. This will help avoid any delays and hurdles during the application process.

Important Points to Remember While Submitting Documents

Providing complete and accurate documents is essential for a smooth home loan balance transfer. It helps speed up approval and reduces delays in processing your application. Understanding the documentation process in advance can save time and minimise follow-ups. 

Have a look at the key steps to follow while preparing your paperwork:

Check the Required Documents List from the New Lender

Go through the lender’s checklist carefully. Typically, it includes identity proof, address proof, income documents, property papers, and your current home loan statement. Make sure to gather every required item in one go. Submitting all documents upfront avoids unnecessary back-and-forth with the lender.

Collect Important Documents from Your Existing Lender

Obtain crucial papers like the No Objection Certificate (NOC), loan repayment statement, foreclosure letter, and original property documents. These documents confirm your loan status and property ownership. They play an important role in the approval decision of your new lender.

Provide Self-Attested Copies and Originals for Verification

Lenders usually ask for self-attested copies of all documents along with originals. Originals are used for in-person verification and returned afterwards. This standard practice builds trust and protects both you and the financial institution involved in the loan transfer.

Ensure Documents Are Recent and Valid

Make sure your income proof and bank statements are not outdated. Most lenders require financial documents dated within the last three months. This ensures that the lender has access to your latest income details and repayment capacity before approving the transfer.

Maintain Uniformity Across All Records

Verify that your name, address, and date of birth match across all submitted documents. Mismatched data may delay your application during verification. Consistency helps build confidence and ensures the lender can easily verify your identity and credentials.

Cancel or Retrieve Post-ated Cheques Issued Earlier

If you submitted post-dated cheques for EMIs to your current lender, cancel or collect the remaining ones after closing your old loan account. This avoids any chance of unauthorised EMI deductions once your home loan transfer is complete and the old account is closed.

Retain Copies of All Submitted Documents

Keep copies of everything you provide to the lender. This helps in case of disputes, clarifications, or if resubmission is requested later. Being organised with your paperwork gives you greater control and peace of mind during the entire transfer process.

Frequently Asked Questions

What is the maximum limit set for home loan balance transfer?

The maximum limit is equal to your outstanding home loan amount.

If my existing credit score is not good, will that affect the transfer process?

Yes, credit score plays a crucial role when transferring your loan to a new lender. Both the score and credit history have to be good to initiate the process.

How can I know the income criteria set by a specific lender?

You can contact your preferred lender to understand the minimum income criteria. For example, while some lenders insist on a minimum monthly income of ₹20,000, others insist on ₹25,000. Your city of residence also plays a crucial role when deciding the income parameters.

Do I need to submit the existing loan documents when opting for the home loan balance transfer?

Yes, along with other documents, you must submit all relevant documents related to your existing loan to the new lender. This helps the lender understand all the details related to your home loan.

Can I apply for a Home Loan Balance Transfer without income proof?

Some lenders may allow balance transfer without standard income proof if you have a strong repayment track record or can submit alternative documents. However, most institutions typically ask for financial proof to evaluate your repayment ability and confirm your eligibility for the transfer.

What is the minimum CIBIL score you require for a home loan balance transfer?

Most lenders look for a CIBIL score of at least 750 when reviewing home loan balance transfer applications. However, some may accept slightly lower scores based on factors like credit history, existing debts, and repayment behaviour. A higher score helps boost your chances of approval and better terms.

What is the verification process for home loan balance transfer documents?

Lenders begin by checking submitted documents and collecting processing fees. They then verify your financials, property details, and credit background. Once validation is complete and satisfactory, the loan is approved, terms confirmed, and disbursement follows, completing the transfer process with all necessary checks in place.

Are there any additional documents needed for a top-up loan with a balance transfer?

Yes, you may need to submit more documents, such as updated income proof, property ownership records, and business details if self-employed. These help the lender assess your eligibility for the additional amount sought through the top-up loan during the home loan balance transfer.

Do I need to submit property documents for a home loan balance transfer?

Yes, property documents are essential for the transfer. You’ll need to provide a list from your current lender, a photocopy of those documents, and relevant ownership papers. These help the new lender verify the property details and ensure a smooth transition of the home loan.

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