Ans. The key reason for transferring a home loan from one lender to another is to benefit from a lower interest rate provided by the new lender.

Ans. Yes. The maximum balance transfer amount is equal to the outstanding amount of the home loan.

Ans. You must not consider shifting your home loan if one of the following is applicable in your situation: * You have been repaying the loan for a long time now * Your current bank has a prepayment penalty * You are planning to move out of the property in the near future

Ans. In case your credit score has dropped significantly since you applied for the initial home loan, it might affect the process. As the balance transfer process works similar to applying for a new home loan, your credit score and history would play a key role in determining your eligibility for the home loan balance transfer.

Ans. Most banks today wont have a prepayment penalty in the first place. But if your bank has it, then you can ask your new lending bank to take it into account. This will vary from bank to bank.

Ans. Transferring a home loan is treated like buying a home loan all over again by the bank, the loan is transferred to. Therefore, it might take 15-20 days for the home loan to be transferred to the new bank.

Ans. For instance, if the property value of your home climbs much higher from its original price at the time you took the home loan and you might require more finance for your home renovation. In this situation you can add to your loan. This is called a loan top up.

Ans. Yes, depending upon your eligibility, the loan issuer can offer you the option to top up on the home loan to be transferred to the new bank but there may be processing and legal charges applicable.

Ans. Processing fees on transfer of home loans range from 0.10% to 1% of the loan amount.

Ans. The precise reduction in EMI varies based upon: *Outstanding principal amount *Existing rate of interest charged by your bank *Rate of interest presently offered by the new bank *Your current EMI

Ans. The simple steps following below are involved in transfer of your loan: *Check the current rate to calculate interest savings *Estimate the cost based on the various fees and charges *Shortlist a new bank and decide if a top up loan is needed *Collect the property documents deposited in your existing bank, and the foreclosure letter as well *Apply for loan with the new bank along with the Xerox copies of property documents *Obtain sanction letter to execute new loan agreement *Get disbursement from the new bank by way of cheque or demand draft in favor of existing bank, and then deposit the same *Obtain and deposit property documents from old bank to new bank