Balance Transfer

Balance transfer is a process by which a borrower transfers an outstanding principal of a personal loan from one lender to another in order to benefit from better terms such as a lower interest rate on the outstanding loan. Many NBFCs (non-banking financial companies) and banks now provide the option of a balance transfer on personal loans. However, one needs to carefully evaluate the balance transfer offer and choose the one that helps reduce the cost of borrowing.

Personal loan balance transfers do not require any collateral from the borrower. However, the current lender may charge some foreclosure charges, and the new lender would charge some processing fee along with stamp duty for the loan agreement, in case applicable. Include these costs too, while evaluating the best balance transfer offer.

Document Required for Home Loan are

Salaried Self Employed
Age 21 years to 65 years 21 years 70 years*
Income INR 10000 awards* ITR atleast Rs. 300000/- P.A and above*
Loan Amount Offered As per income & requrment As per income & requrment
Tenure Upto 30 years* Upto 30 years*
Work Experience >1year* >3year*
Processing Fee As per Bank norms As per Bank norms
Documentation* KYC KYC
2 Photograph(recent colour passport size) All registration (like GST,Pollution,Manufacturing etc) licence as per policy required*
6 months bank statement from salary account 2 Photograph(recent colored passport size)
Form 16 (current 2 years) 3 year ITR with computation of income balance sheet and profit and loss account Statement
Salary Slip(current 3 months) Copy of all Bank statement( current A/c & saving A/c) as shown in balance sheet.
Property papers with chain link All running loan,statement & sanction letter copy.
Higher Education Proof.
All running loan,statement & sanction letter copy.