ICICI home loan balance transfer allows you to transfer your money from your existing bank accounts and NBFCs to your ICICI bank account without any hassle. The main objective is to transfer your home loan while reducing your interest rates, and EMI is on a monthly basis with the help of the home loan balance transfer facility offered by the ICICI bank.
The interest rates offered by them differ from time to time. It is not a fixed rate that remains the same throughout the year. The interest rates decrease and increase on the basis of several factors. In general, the interest rate remains around 6.95% to 8.05%.
The ICICI bank home loan balance transfer allows you to repay your existing loan amount from one single account at a relatively lower interest percentage. You can also apply for a top-up loan if you want. The principal loan amount differs from one bank to another. As far as the ICICI bank is concerned, the loan amount can go up to 5 Crore. The higher amount you choose, the bigger the interest rates will be as far as loans are concerned.
The interest rate for the ICICI bank home loan balance transfer does not remain the same throughout the year. Several factors affect the shift in interest rates in the economy of the country.
If you are wondering what is the current interest rate that is offered by the ICICI bank for the ICICI bank home loan balance transfer, take a look at the chart for reference.
|Loan Amount||Self-employed borrowers||Salaried borrowers|
|Above 75 lakh||7.45%||7.30%|
|35 lakh- 75 lakh||7.35%||7.20%|
|Up to 35 lakh||7.20%||6.96%|
This chart shows how the usual ICICI home loan balance transfer interest rate differs on the basis of your source of income.
Some additional charges such as the CIBIL report charges, prepayment charges, and administrative charges are also added to the entire amount. For the CIBIL report, Rs.50 is charged. Administrative charges of Rs.5000 and above can be added. Prepayment charges up to 2% and applicable taxes are also added to the entire amount when it comes to the home loan balance transfer scheme of ICICI bank.
Taking a home loan from any lender can be intimidating at times. It is a huge amount that you need to repay, along with an extra interest rate added to it.
Before you apply for a home loan, make sure you make a solid strategy as to how you will manage your expenses during the repayment period after you take the loan.
If your interest rates certainly increase or you face financial issues during the repayment period, consider opting for a balance transfer home loan to reduce the entire repayable amount.
The major benefits of ICICI home loan balance transfer include:
Before choosing a home loan balance transfer loan, make sure you use the ICICI home loan balance transfer calculator to determine whether or not you are choosing the right plan that fits your budget and suits your demands.
The major features that you need to know before going for a balance transfer home loan ICICI include:
Your age and your source of income become the most prominent factors that influence your interest rates regarding ICICI home loan eligibility.
There are several documents that you need to present as proof in order to get the home loan bank transfer facilities from the ICICI bank. The main documents you need to note are included in the following chart:
|For self-employed applicants||For salaried applicants|
|Identity proof||Identity proof|
|Residential address||Residential address|
|Address of office||Passport size photographs|
|Last 3 years’ income tax returns and income computation||Last six months bank statements|
|Bank statements from the last 6 months||Last 3 months’ bank slips|
|Profit and loss account statements and proof from last 3 years||All documents related to the existing loan|
Your ICICI home loan balance transfer charges depend on your past repayment records, processing fees, and ICICI home loan transfer fees that are added afterwards.
In general, a processing fee of around 0.50% and a minimum of 3000/- is charged.
In addition to that, around 6.75% of home loan transfer charges are also added.
Prepayment charges may also be added in this case. However, in the case of floating rates, no amount is charged in this section.
When you have a good credit score and a high-interest rate that you were already paying, you may receive several home loan tax benefits after you choose the ICICI home loan balance transfer facilities.
Also Check - Tax Benefits on Second Home Loan
When it comes to home loan balance transfer facilities, different banks offer different schemes to the customers.
Interest rates differ from one bank to the other depending on several factors.
Also Read - Why Plan Home Loan Balance Transfer In Advance?
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Kotak Mahindra bank has announced a special festival bonanza for fresh and balance transfer home loan customers. Both salaried as well as self-employed borrowers can apply for home loan refinancing at 6.50% p.a onwards. Kotak’s balance transfer festival scheme is open for all loan amounts for customers with good credit history. The last date to apply is Nov 8, 2021.
For instance, you take a 25 lakh home loan EMI from the State Bank for a tenure of 20 years. In the middle of your tenure, you decide to change your lender and apply for the ICICI home loan balance transfer for a lower interest rate.
If you change your lender in the middle of your repayment procedure for a comparatively better deal and lower interest rates, that facility is called the home loan balance transfer.
First, you need to visit your preferred bank’s official website and apply for a home loan balance transfer facility.
After putting all your personal and financial details properly, you can view your loan offer. Pay the necessary fees and wait for your approval.
In the meantime, the bank reviews your application, checks your credit report and personal details. If they think you are a responsible borrower, your loan application gets approved.
The ICICI Bank offers pre-approved balance transfer facilities to those who are repaying home loans to any other bank or financial institution based on their credit history.
In order to check your ICICI Bank home loan balance transfer status, open the loan application page by entering your mobile number. Your status will be shown to you, and you can analyse your current status from there.
All you need to do is visit the ICICI Bank’s official website online. Put all your details such as the principal amount, current tenure, ICICI Bank’s interest rate, required tenure, and current EMI to calculate your monthly instalments. After applying online, wait for a few days for the approval.
ICICI Bank offers comparatively lower interest rates compared to other banks.
This is the reason why transferring a home loan to ICICI can be a good idea based on your credit report and other details.
To transfer your ICICI home loan from one branch to another, simply send a request stating the same through your net banking or mobile banking.
You can also call ICICI Bank’s customer care to get the facility.