Step-By-Step Guide To Help You Transfer Your Home Loan

After you decide to transfer your home loan based on different parameters listed in this PropGuide post, we bring to you a step-by-step guide to transfer the home loan from the existing bank to the new one.

Here are the steps involved:

Submit all property documents, credit scores and other details of your net-worth to the new lender. The new bank will undertake appraisals and will follow a legal verification process before approving the loan, a process, similar to that of a fresh loan.

After the bank approves the documents submitted and the loan, submit an application to your current lender requesting a transfer.

Your current bank will then give you a consent letter or a no-objection certificate (NOC) with details of your loan like the amount and outstanding.

Submit these documents to the bank that you want your loan to be transferred to.

After the approvals are received, the new bank will clear your loan amount with the old lender.

The old lender will then hand over your property papers to the new lender. The former will also cancel any post-dated cheques that it has issued to you or your developer. Your loan is officially transferred after this step.