Home Loan Balance Transfer

KYC Documents

Proof of Identity & Address

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Income Documents

Proof of Income

• For Salaried

  • Last 3 months salary slips
  • Form 16
  • Bank statements from the previous six months and pay stubs
  • Documentation of the collateralized property

• For Self Employed

  • ITR for the previous two years, with computation
  • CA audited financials wherever applicable
  • 6 months primary bank statement

Property Documents

Land & property related documents

• Property-Related Documents

  • Stamped agreement of the sale / Sales Deed or the letter of Allotment
  • NOC from the builder / housing society
  • Possession Certificate
  • Detailed Construction cost estimation
  • Bank Account Statement
  • In case of Constructed Apartment - Occupancy Certificate

Co-applicants

Co-applicant is mandatory. Additionally, Woman co-applicant is mandatory in certain cases

Co-applicant can be spouse or any first blood relative like parents, siblings, children who hav attained age of maturity (s.t income-ownership grid)

All co-owners of property should be on loan structure

Friends cannot be co-applicants (allowed only if they are coming in the capacity of Partners / Directors / Shareholder)

Passport Size photographs

What is a home loan balance transfer?

The process of transferring the existing principal loan amount on your new house to a new bank is called a home loan balance transfer. It is a way of reducing interest rate payments. Balance transfers are recommended during the early years of your home loan tenure if your lender’s interest rate is comparatively higher than others in the market. You can also do a balance transfer to shift between floating and fixed interest rates and get a higher amount with a loan top-up.

Who can opt for a Home Loan Bank Transfer?

If you have an existing home loan with another HFI, bank, or NBFC and have maintained a good repayment track record for at least one year, you can opt for a home loan balance transfer with Piramal Finance.

What are the advantages of a home loan balance transfer?

If you have been regular in your EMI payments and maintain good records with your lender, you stand a chance of resuming your EMI payments with a new bank at a lower interest rate. You also have the added advantage of taking a loan top-up, which is an additional loan amount the new bank will offer which can increase your tenure.

Home Loan Bank Transfer: Does It Avail of Tax Benefit?

Yes, under the Income Tax Act of 1961, the home loan transfer scheme entitles you to tax benefits on the interest and principal amounts. Since the benefits fluctuate and change every year, it’s essential to consult our loan counselor for details on the tax benefits that you can get from the home loan transfer.

Is it possible to merge more than two loans?

Yes, by transferring your home loan balance to a new lender, you can consolidate your other home loan instalments into one and benefit from a lower interest rate.

How long does a home loan balance transfer take?

A home loan balance transfer with Piramal Finance typically takes about 7 days to 3 weeks. This time is needed to reassess your eligibility and understand your current loan details, so we can offer you the right solution with complete clarity. Once your documents are in place, our team works closely with you to keep the process smooth, transparent, and hassle-free, so you can move forward with confidence.

What is the balance transfer process?

Here’s how a home loan balance transfer with Piramal Finance works, step by step:

• Request loan documents from your current lender - Start by asking your existing lender for the required documents to refinance your home loan.
• Share consent and documents with Piramal Finance - Once you receive the consent letter and loan papers, submit them to Piramal Finance so we can move ahead.
• Outstanding amount is transferred - The pending loan amount is paid to your current lender, and the balance transfer is initiated.
• Old loan account is closed - After payment, your existing loan account is closed. All future EMIs will now be paid to Piramal Finance.
• Property documents are handed over - Your previous lender transfers the property documents to Piramal Finance, marking the completion of the process.

We guide you at every step, so the transition feels clear, secure, and stress-free.

Can I transfer a home loan before full disbursement?

Yes, you can shift your home loan to Piramal Finance even if it is partially disbursed.

Here’s how it helps you:

• Convert a partially disbursed loan into a fully disbursed loan - When you switch, your ongoing loan can be completed as a fully disbursed home loan, bringing more clarity and stability to your repayments.
• Move from pre-EMI to regular EMI - If you are currently paying only pre-EMI interest, the balance transfer allows you to start regular EMIs, making monthly planning easier.
• Switch from a higher standard rate to MCLR-linked rates -Many borrowers end up paying higher interest because their loan is linked to a standard rate instead of MCLR (Marginal Cost of Funds Based Lending Rate). A balance transfer helps correct this.
• Benefit from a lower interest rate - If Piramal Finance offers a lower MCLR than your current lender, transferring the entire outstanding loan can reduce your interest burden and overall repayment cost.

In short, a home loan balance transfer can help you move to a fairer rate, lower interest outgo, and a clearer repayment structure, even if your loan is still in progress.

What are the charges to transfer a home loan to Piramal Finance?

You will have to bear a processing fee, a part-payment/ pre-closure charge, and other fees for transferring your home loan to Piramal Finance. You can obtain details about all the charges by clicking here.

Why You Need to Transfer Your Home Loan

Struggling to manage your existing EMI payments? Many people face a new challenge every month to make timely EMI payments, which affects their peace of mind and happiness levels. A balance transfer from your existing loan to one with Piramal Finance can ensure that you remain creditworthy throughout the tenure of your home loan. It can provide peace of mind by helping you navigate through challenging times at a more comfortable pace.

• Once you refinance your home loan, you can reduce the interest rate.
• This step will either keep the EMI the same while shortening the loan tenure or keep the loan tenure the same while reducing the EMI amount.
• Conclusively, the overall cost of your home loan will reduce by transferring it to another bank.

We at Piramal Finance always advise our customers in Bharat to consider the balance transfer fees and processing charges while refinancing their home loans. If you find the interest rate of the other bank, along with the extra charges, to be less and cheaper than your existing loan, it’s your go-to signal to refinance the loan.