HDFC home loan conversion

[creditcardfetish]

Hello Community,


I have a home loan with HDFC Bank with current Rate of Interest 9.25%.

Recently I had a call with HDFC home loan customer care and they offered me a interest rate of 8.35% with a conversion fee of rupees 5900.

Some folks suggested that the fee can also be waived off, if it is possible how may I do it? The branch is in a different city and I don't have any interaction with the branch manager.

 

[praveensudhakaran]

Just received update from saraswat bank on their offerings
- Rate of interest 8.6%
- We are having daily reducing balance
- No prepayment charges
- Shareholding will be there with dividend declared 15-20% every year.
- No processing fees for loans upto 35 lakhs
- No hidden charges
- And last but not least is our customer service.

2-3 things i want to understand that
- benefit of daily reducing balance
- what shareholding means
- and the dividend

8.6% is decent but HDFC may give you counter offer with 8.5%.

Dividend for Homeloan?
Haven't heard this till date!

 

[percolate]

Just received update from saraswat bank on their offerings
- Rate of interest 8.6%
- We are having daily reducing balance
- No prepayment charges
- Shareholding will be there with dividend declared 15-20% every year.
- No processing fees for loans upto 35 lakhs
- No hidden charges
- And last but not least is our customer service.

2-3 things i want to understand that
- benefit of daily reducing balance
- what shareholding means
- and the dividend

Regarding Daily reducing balance, for example If the EMI is paid on 5th, the paid amount will be reduced from the principal amount and interest will be charged only on the remaining principal amount from 6th day. It applies to the pre-payment as well.
HDFC bank doesn't do Daily reducing balance for EMI payments.
If anyone have HDFC loan, it's best to set the EMI date to Month end.