Is it possible to transfer a 20 year loan @11.25% of >=40L taken in 2008 to PSU banks in Bangalore? Can any good samaritan suggest anything on previous and current experience please?
Dear Friends - the New Model Tax code being drawn up does away with all tax benefits on housing loan- try your best to buy on outright basis or less loan amount- even if the house is smaller.
Dear Friends, I do agree with all comments and personal experiance, but we are the same ppl. who knows, heart experiance about these banks before loan taking too, still we tried ( I am also one of them )now instead of blaming these banks best way is switchover to Nationalise banks.
First, this is nowhere mentioned in this article. Secondly, if you do so then what is the surety that bank will not increase its interest rate for next couple of years. If a person is having 8 lacs outstanding loan amount at 11.25% with EMI 11100/-. and if he goes to the bank and request to switch to new interest rate which is 9.25% then the bank ask to pay 1.94% processing fee. which is 15000/- near about. And then you decide that its good and u pay 15000/- and then after few months or in a year bank is back to 11.25% interest rate then your 15000/- is just a waste.. So for me its best to switch loan from PVT bank to PSU bank.
I have experience of availing housing loan from Private Bank as well as Public Sector Bank. I can distinguish them on the following basis:-
1. Time required PVT. BANK - 3 days to 15 days PSU BANKS - 30 days to 60 days 2. Interest Rates PVT. BANK - always Costly by 0.50% than Nationalised Banks PSU BANKS - always cheaper by 0.50% to 1.00% than Private banks 3. Change in rates PVT. BANK - changes once in 6-8 months PSU BANKS - Changes once in 5-10 months (more linked to RBI announcements) 4. Subsidized rate available PVT. BANK - No PSU BANKS - Yes (as announced by Government like present) 5. Response by Staff PVT. BANK - Personalized and quick PSU BANKS - Average and slow 6. Hidden Cost PVT. BANK - Very small element (earlier use to give credit of monthly repayment instalment only at the end of the year) PSU BANKS - NIL 6. Eligibility criteria PVT. BANK - Flexible PSU BANKS - Rigid 7. Loan Documents PVT. BANK - Fast and simple PSU BANKS - Slow and complicated 8. Property Documents PVT. BANK - Requires only major documents (can accommodate in some cases) PSU BANKS - Requires number of documents (do not accommodate on documents) 9. Second House PVT. BANK - Can get as many as you want provided eligible PSU BANKS - Generally not available (will put condition to sell 1st flat after possession)
One can therefore, taking above facts into consideration, chose a bank and should not cry after some time for the decision taken.
I am also victim of ICICI bank, in 2007 I have taken HOME loan for a period of 20years (240 months) after 1 year they increase period to more than 30 years (360 months) at the same time the other banks reducing their interest rates and EMI. Now, I am trying to move to smoe nationalized bank.
I hv taken hoem loan from ICICI 8 yr's back for a period of 20 yr;s but from last couple of year I fail to understand how do they calculate even after 8 yrs I still need to pay for another 231 month which is close to 20 yr's .They are simply succking blood of customer and more over ICICI banks CCE talks like any thing they are simply good for nothing they don't know how to talk to customer that shows the capability of ICICI who pretend to be the India's biggest bank and believe in relationship.
after all this treatment I have decided to shift my loan to some Nationalized bank where atleast they VALUE THERE CUSTOMER as compaired to SO CALLED PRIVATE BANKS
Hello, ICICI are big cheaters. They will try to spread this kind of news, so as to raise their interest rates. I am one of those unlucky guys to take a home loan from ICICI. I sat at my home, just had few telephonic conversations with ICICI bank people, one executive came to my home and collected my signatures on loan documents. That was it, my loan amount was disbursed to my account. So I was very happy to have a banking relation with ICICI. But that was the end of my happiness. If you want to know more details about the ways ICICI treats its home loan customers, just google out on net. You will get tons of bad experiences to read for few days. I am paying 12.25% interest on my floating loan which started at 7.25% 3 years back. So the decision is yours. If you want to get a loan very easily, and then cry for next 20 years approach private banks like ICICI or HDFC. If you want to suffer harrassment for few months to get a loan and then to relax for next 20years approach SBI. SBI employees may not get any incentives compared to private bank employees if they sanction a new loan. For the same reason they will never entertain any customer who comes in for a loan. So they might try to demoralise people approaching them. Even I am facing this now while trying for my home loan transfer. But I will go behind them, some how will convince them. So decide yourself:- 1. SBI - Suffer now and enjoy later. 2. Private banks - starts with honeymoon and then the whole life is spoiled :-)
Re: Stay away from ICICI
by KRISHNA MURTHY on Aug 21, 2009 09:42 AM
Anoop good observation.The people are cursing the ICICI & HDFC .Y dont you change the bank. I also suffered like anything in ICICI from 2004 to 2008.I swapped to LIC the rate of interest is only 10.25%.
Re: Re: Stay away from ICICI
by rajesh sharma on Aug 21, 2009 12:04 PM
hi ,, i dont know wot u people r saying.. i took home loan from ICICI in nov 2007 with an ROI @ 11.75%,,,then intersest rates increased upto 13.25%...but afterwards when it started decreasing,,i just went to their branch spend 30min or so discussing wid them,,,n today i am a happy customer repaying my home loan @8.75%,,,it cost me 30 min. & some 5000/- .... isnt it a good deal... MORAL... as a customer we need to take care of our money & spend some effort for getting value out of it,,,rather than wasting time creeping on such forums.. rajesh
Re: Re: Re: Stay away from ICICI
by Anoop Kumar on Aug 21, 2009 02:30 PM
HI Rajesh, I spoke to ICICI regarding this. What the guy told me over phone (he claims to be a relationship manager) is that ICICI has given lower interest rates to those customers who went into their HFC office and virutally fought with them. But even that has happened upto march09. Now we need to pay 1.75% of outstanding principal ( its service tax) as conversion fee to get lower interest rate. Better option is to find a PSU bank and pay 2% as preclosure charge
Re: Re: Re: Stay away from ICICI
by Anil Sharma on Nov 09, 2009 05:52 PM
U must be having gun in your hand insted of Pen otherwise ICICI will never do so.
Re: Re: Re: Stay away from ICICI
by vasu jose on Aug 21, 2009 12:15 PM
should a bank do this thing? a man goes for 30 minutes greases palms with 5000 and be happy and the man who doesnt go his interest exponentially increases. are u a nut? or an icici broker?
Re: Re: Re: Stay away from ICICI
by Atanu Chatterjee on Aug 21, 2009 06:44 PM
you pay 5000 & 30 mins..and the rate of interest become 8.75%, where as ICICI bank offers 9.75% to the new customers and maintain 12.75% to the old customers. Could u please give some rational to it?
