There is a process to be followed for availing the Home Loan Balance Transfer facility. The details of the process are as illustrated below:

• A loan closure request has to be given to the existing lender with the reasons for pre-closure of the loan. You can place a request in the form of a letter if there is no specified form for a request for loan pre-closure. In case there is a specified application form, then ensure filling the form accurately.
• The existing lender will issue a No Objection Letter or will give a consent letter for taking over of the loan if the reasons given for pre-closure of the loan is convincing. The NOC or Consent Letter forms a part of the documents that have to be submitted to the new lender along with the request for a Home Loan Balance Transfer.
• The next process is to approach the new lender of your choice and apply for the Home Loan balance transfer. You will have to submit the relevant application form along with the documents required by the new lender. The documents could be Photo ID proof, Proof of Address, Income Proof, Bank Account Statement, Photographs and the NOC from the existing lender along with the outstanding principal balance in the existing account. Income proof for other than the salaried class will be the financial reports like the balance sheet, Profit and Loss Account Statement and Income Tax Returns.
• The existing lender will give a confirmation of the closure of the account on completing the process.
• The regular loan processing and appraisal will be done by the new lender and on approval of the loan.
• The next step will be the execution of the loan documents with the new lender. The outstanding balance will be taken over by the new lender and the equated monthly instalment (EMI) towards the loan should be paid to the new lender henceforth.