HDFC HOME LOAN CALCULATOR FULL

This will highlight the new amortization table that would clearly help you in understanding the saving that you can manage to make by opting for a prepayment. You can also compare different loan options and apply online with HDFC Bank Ltd. The HDFC Ltd Home Loan Prepayment calculator helps you in knowing the amount that you can save by reducing the tenure. Use this tool to estimate your home loan eligibility and amount based on your income, property cost, down payment and interest rate. A partial prepayment can easily be done by paying off a lump sum in one go or in periodic intervals. This can be done as per your financial requirements.Īt times when you have good liquidity of funds from some other source or if you have a way out to pay off your home loan partially, you can opt to repay that in order to reduce your existing financial liabilities. HDFC’s partial prepayment will help you in reducing the total tenure of your existing home loan, EMI or both of these together. You can check the relevant section for your queries.HDFC Ltd Home Loan Prepayment Calculator helps you in calculating the amount that you save by making a prepayment on your home loan from HDFC. For customers with sanctioned but undisbursed loans. For existing borrowers with full/partial disbursements. The FAQ page seeks to answer many of the operational queries that HDFC borrowers or loan applicants may have. Note : I have focused only on the interest rate and the EMI part. With an external benchmark, the home loan interest rate will move in tandem with the RBI Repo rate. Now that all the HDFC home loans are moving to HDFC Bank (which can only offer external benchmark linked loans), your HDFC home loan must also be linked to an external benchmark.

However, housing finance companies such as HDFC could still use an internal benchmark. For instance, say you want a loan of 10 Lakhs with a 6.70 rate of interest. Starting late 2019, all new floating rate home loans by banks must be linked to an external benchmark. Knowing the EMI amount beforehand can help you plan your finances better. Common external benchmarks are RBI Repo rate and Treasury bill yields. This was the reason the home loan benchmarks have evolved from Prime Lending Rate (PLR) → Base Rate → Marginal Cost of Funds Based Lending Rate → External benchmarks. Note: The EMI sum remains the same for home loans with a fixed interest rate.

HDFC HOME LOAN CALCULATOR FULL

Hence, the borrowers do not get the full benefit of rate cuts and would feel short-changed. E 70,00,000 x 6.5(1+6.5)240 (1+6.5) 240-1, which equates to Rs. A common issue with such benchmarks is that the lenders revise internal benchmarks quickly when the interest rates go up, but are not keen to adjust these downwards when the rates go down. RPLR was an internal benchmark and internal benchmarks are never that transparent.

Your home loan interest is now way more transparent than it was with HDFC. As you can see, the loan spread adjusts to keep the interest rate unchanged. Subsequently, your home loan interest rate will change as the Reserve Bank revises Repo rate.Īlternatively, if your current interest rate with HDFC is 8.5%, the spread will be 2% (8.5% – 6.5%). Hence, the spread for your loan with HDFC Bank will be 2.5%. Let’s say your current rate of interest with HDFC is 9% p.a.Ĭurrently, the RBI repo rate and the HDFC Bank EBLR is 6.5%. Can’t do much about RBI Repo rate but the spread will be adjusted such that your home loan interest does not change. Hence, your loan interest rate will be EBLR + Spread. RPLR + Spread.Īs your loan gets transferred to HDFC bank, your home loan interest will be linked to External Benchmark Lending rate (which is RBI repo rate for HDFC Bank). With HDFC, your home loan was linked to RPLR (Retail Prime Lending Rate). Does that change the home loan interest? Will the Home Loan Interest Change? Clearly, the loan interest rate benchmark must change. What about the rate of interest? HDFC used to benchmark loans against Retail Prime Lending Rate (RPLR) while HDFC Bank must use an external benchmark. Access to the portal shall also continue with current credentials. The loan account number and the contractual terms remain unchanged. Only the loan will be transferred to HDFC Bank. Nothing changes for the existing borrowers and loan applicants. You can find the complete list of FAQs on HDFC bank website. HDFC Bank has released FAQs for the existing HDFC home loan borrowers and loan applicants. What Happens to the Existing Home Loan Borrowers with HDFC? Does that affect the home loan borrowers from HDFC? merged with HDFC Bank effective July 1, 2023, and thus HDFC Ltd.

Hdfc home loan calculator