How to Transfer Your Home Loan to Another Bank

Step-by-Step Guide and Required Documents for a Smooth Balance Transfer

Transferring your home loan to another bank can help you reduce interest rates or get better terms. Here’s a complete guide on how to initiate a home loan balance transfer and the documents you'll need for the process.

After the Reserve Bank reduces the policy rate repo rate, all banks reduce their home loan within three months. If your bank does not make the expected reduction in home loan and you are getting a loan from another bank at a lower interest rate, then you can transfer your home loan balance.

For this, first of all you have to visit the website of all the banks or any aggregator and see the rate of home loan. You can apply online by visiting the website of the bank where you are getting the loan of your choice, after which the bank representative will contact you himself.

If you are not comfortable online, then you can go to the nearest branch of that bank and talk about home loan transfer. In today's time, all government and private banks deal with home loan customers on priority.

You may have to pay a processing fee in home loan transfer. However, you can negotiate with the bank regarding this. At the same time, some banks also waive the processing fee as an offer. The processing fee in government banks is slightly less than in private banks.