r/IndianbankHomeLoans

FirstTime Home buyer Series : Ask Me Anything on Home Loans or LAP

Hi all. Your home loan advisor (CredWise) is back again with Q&A series related to your home loan. This Q&A is basically to answer your queries about Home Loan offer not only in terms of ROI but also on fees, prepayment & other terms and conditions.

This is a FREE ADVISORY.

You know how difficult it is to not know about latest info about home loan offer for you and regret later.

A professional second opinion whether the loan offer you are choosing is great or you can save more.

Post your Loan related queries details, and I'll give you an honest assessment:

✅ Is the rate GOOD as per your CIBIL?

✅ Which banks might give you better terms?

✅ Red flags, on certain NBFCs or lower lower amount queries.

✅ Insurance or Processing Fees, if any.

#Why I'm doing this publicly:

Paying LAKHS in unnecessary interest without knowing that they could have got better offer. Getting locked into prepayment penalties they don't understand.

This thread is about giving you the tools to make better decisions.

TAG WITH A FRIEND WHO IS HOME HUNTING!!

My home loan experience with HDFC Bank was extremely disappointing. Despite submitting all documents on time and repeatedly following up, my application kept getting delayed with no clear ownership or communication from the bank. Documents were requested in parts over several weeks, and at one stage insurance was informally pushed as a requirement after most formalities were already completed.

What was most frustrating was that even after escalating the matter to senior management, grievance teams, and the MD's office, there was no meaningful resolution. The case was eventually closed after refunding the processing fee, as if that alone addressed the issue. No one seemed accountable for the delays, stress, and financial uncertainty caused during a critical property transaction.

If you're considering a home loan with HDFC, be very careful about timelines and always keep backup funding arrangements. My takeaway: don't assume escalations will help or that senior management will intervene when things go wrong.

Recently took sbi home loan . Please find the below charges.

Processing fees- 17700

Cersai -118

Estamp -500

Property insurance - 15k

Legal and valuation waived.

ROI -7.7 with 779 cibil.

I know many banks are offering lower ROI but still choose SBI due to smooth prepay as I want to prepay aggressively.

​

Looks like recently they have increased processing fees.

Hi all. Your home loan advisor (CredWise) is back again with Q&A series related to your home loan. This Q&A is basically to answer your queries about Home Loan offer not only in terms of ROI but also on fees, prepayment & other terms and conditions.

This is a FREE ADVISORY.

You know how difficult it is to not know about latest info about home loan offer for you and regret later.

For example, to get lowest roi, it is believed that you need to have perfect 800+ score which is incorrect. If you apply at right bank even at 770+ score, you can get lowest 7.10%. This is how correct information can help. Also, we will cover basic anything to home loans from sanction to eligibility etc.

A professional second opinion whether the loan offer you are choosing is great or you can save more.

Post your Loan sanction details, and I'll give you an honest assessment:

✅ Is the rate GOOD as per your CIBIL?

✅ Which banks might give you better terms?

✅ Red flags, on certain NBFCs or lower lower amount queries.

✅ Insurance or Processing Fees, if any.

#Why I'm doing this publicly:

Had couple of interactions with people here.I see the same mistakes repeatedly. People accepting the builder suggested bank offer they get.

Paying LAKHS in unnecessary interest without knowing that they could have got better offer. Getting locked into prepayment penalties they don't understand.

This thread is about giving you the tools to make better decisions.

TAG WITH A FRIEND WHO IS HOME HUNTING!!

Anyone transfer home loan from SBI to other bank ?

I have a good ROI from Indian Bank and thinking to transfer my home loan..

Please suggest is it good idea to transfers..

RoI 0.60 less than current, principal amt around 1cr

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20/06/2026 FINAL UPDATE: They finally give me 7.40% ROI after 20 days Hassle

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If you have taken a Home Loan Takeover from Bank of Baroda, please read this carefully before your first annual review. This could save you from paying higher interest than what was promised to you.

What happened to me

I took a BOB home loan takeover in Feb 2025 at 8.30% p.a. (BRLLR-linked). As RBI cut rates, my rate correctly fell to 7.30%. So far, so good.

At my annual review, the bank revised my rate to 8.05% — even though BRLLR itself had only moved to 7.90%. This made no sense until I looked closely.

The trick they pulled

MY SANCTION LETTER SAID

BRLLR: 5.25%

Credit Spread: −0.65%

Risk Premium: +0.05%

Rate: 7.30%

WHAT BANK APPLIED AT REVIEW

BRLLR: 7.90%

CIBIL Loading: +0.10% (credit spread removed!)

Risk Premium: +0.05%

Rate: 8.05%

They silently removed the −0.65% Credit Spread that was in my sanction letter and replaced it with a +0.10% CIBIL band loading — a swing of 0.75% in their favour. My CIBIL score actually improved from 787 → 800 between sanction and review, so the loading makes even less sense.

When I asked, the branch cited an "internal document". No written notice was ever sent to me about this change.

Why this matters

• Your sanction letter is a binding contract. The bank cannot unilaterally remove a credit spread mentioned in it.
• RBI mandates written communication for any interest rate change. No notice = procedural violation.
• An internal circular cannot override your sanction letter without your written consent.
• Even 0.75% extra on a ₹27.5 lakh loan adds up to thousands of rupees per year in excess interest.

TL;DR: BOB may quietly drop your Credit Spread at annual review and replace it with a CIBIL band loading — even if your score improved. Check your sanction letter terms carefully and demand a written breakup of your revised rate.