Although home loan interest rates are typically on the lower side compared with other kinds of loans, your financier may be charging interest rates that may be expensive for you. The home loan balance transfer facility from LIC Housing Finance Limited can be very useful in such a situation.
When you transfer your loan from your existing lender, which may be a bank or a financial institution, to LIC Housing Finance Limited, you get to enjoy many benefits. One of the key advantages of the balance transfer facility is that you can enjoy more affordable interest rates.
In this article, you’ll get a closer look at the LIC home loan balance transfer interest rates for salaried and self-employed individuals, get to know the processing fees and other balance transfer charges, and understand the eligibility criteria based on the value of the property. So, let’s get started.
The home loan balance transfer facility is available to both self-employed borrowers as well as salaried individuals. The rate of interest depends on many factors like the CIBIL score of the individual and the amount of loan balance being transferred.
The interest rate for balance transfer is 8.65% p.a., applicable to both salaried and self-employed applicants.
Aside from the LIC home loan balance transfer interest rates mentioned above, you also need to be aware of the home loan balance transfer eligibility based on the value of the property for which you have taken the loan. The maximum amount of the loan depends on the value of the property. Take a look at the loan to property cost as shown below, so you are aware of the eligibility criteria in this regard.
For loans up to Rs. 30 Lakhs, 90% of the value of the property
For loans above Rs. 30 Lakhs and below Rs. 75 Lakhs, 80% of the value of the property
For loans over Rs. 75 Lakhs, 75% of the value of the property
In addition to the LIC home loan balance transfer interest rates tabulated above, you also need to know the home loan balance transfer charges involved. When you transfer your existing loan from another lending institution to LIC Housing Finance Limited, these nominal charges are levied. Check out the LIC HFL home loan balance transfer charges you need to be aware of.
Interest rates: 8.65% per annum
Prepayment charges: Nil for borrowers who avail floating interest rates
If you are not satisfied with the terms and conditions of your present online home loan, or you feel the rate of interest is a bit on the higher side, you can easily transfer your existing housing loan to LIC Housing Finance. If you opt for balance transfer via Bajaj Markets, the process is simple and hassle-free and can be completed online. Moreover, you also get numerous additional benefits including an insurance plan to protect your liability and a Financial Health Report to keep your finances on track.
The higher your CIBIL score, the lower your LIC home loan balance transfer interest rate.
You can reduce your LIC home loan balance transfer interest rate by maintaining a good CIBIL score.
The LIC home loan balance transfer interest rate begins at 8.65% per annum.