How to convert personal loan to home loan in HDFC?

A well-known bank that provides top-notch financial services and products is HDFC Bank. I have two accounts here and all of my family members have their accounts in HDFC Bank. This is because every product that the bank offers has a variety of appealing features that are highly advantageous to us. One day my sister came up to me asking me about personal loan transfer to home loan. I had no idea regarding this, so we went to the HDFC bank branch to enquire about it.

Can we convert personal loan to home loan?

This was the first question that my sister asked the bank branch manager. He explained to us that personal loan can be transferred but not to home loans. Personal loan transfers can be done separately and home loan transfers can be done separately. But if you wish to know can personal loan be transferred to home loan and get your personal loan transferred to home loan, then it is quite impossible. So, he further explained to us about both personal loan transfer and home loan transfer.

Personal loan transfer

The personal loan provided by HDFC Bank has various benefits and is quite reasonably priced. We are free to use the loan for whatever needs. The bank offers competitive interest rates that are both appealing. We can benefit from some additional benefits and fees with our personal loan agreement whether we are an existing or new customer of HDFC.

HDFC Personal Loan Transfer Features

• Once you convert your current personal loan balance to an HDFC Personal Loan, your EMIs will be reduced.

• If you transfer the remaining balance on your current personal loan to an HDFC Personal Loan, your interest rates would begin at 11.49% per year.

• An HDFC Personal Loan balance transfer has a fixed processing cost of just Rs. 999.

• By going to the HDFC Bank's official website, you can submit an online application for this facility. Only your basic personal information, contact information, and income information will be required. If your application for the balance transfer service has been accepted or not, you will be notified after submitting the form online.

• After transferring your previous loan balance, you can effortlessly repay the remaining balance through EMIs.

HDFC Personal Loan Transfer Eligibility

If you are between the ages of 21 and 60, you may transfer the balance of a personal loan to an HDFC Personal Loan account. You have the option of being a self-employed person or a salaried employee. For detailed information on HDFC Personal Loan Balance Transfer Eligibility, contact any HDFC Bank representative.

Home Loan Transfer

Home Loan Transfer Features

• Transfer your outstanding home loan to HDFC and receive a top-up loan of up to 50 lacs in addition to your current loan from another bank or financial institution.

• Attractive interest rates that reduce the cost of and ease the burden of your mortgage

• Options for repayment that are tailored to your needs

Balance Transfer Loan Details

Home loans may be applied for either singly or jointly. Co-applicants must represent all potential property owners.

Who can Apply?

I hope this explains to you about personal loan transfer to home loan.

Last month I went to the HDFC bank and asked them about the charges of home loan transfer to HDFC and got to know that it is up to 0.50% of the loan amount or Rs 3,000 whichever is higher and they also charge the applicable charges. HDFC is considered to be the best bank for home loan transfer whose transfer rate is 6.75% p.a and current RLLR is 16.05%(RPLR). I also got to know how to convert personal loan to home loan when a lady was discussing it with the officials and since many of you might be having the same query, let me share with you what I got to know there.

The lady enquired: can personal loan be converted to home loan or not and the officials clearly stated that personal loan cannot be transferred or merged in home loan. It is a financial product that is meant to fulfil individual needs. 

She convinced them to look after the matter and even had a talk with the manager but to no use. You can avail another loan and have two loans but converting isn’t going to happen.

I hope this information has answered your question about whether the home loan transfer to HDFC is happening or not.

Read More:

Hi there,

I have had the same query as you so I asked my bank manager can I transfer my personal loan to home loan. Unfortunately he said I can’t. These are two separate loans and can’t be merged together. He said that a personal loan is an unsecured loan whereas a home loan is a secured loan. 

However, he suggested that if I am struggling to make a downpayment with the available finances I can apply for a personal loan for the same. I also asked him about the existing home loan. My home loan interest rate is very high and I was thinking about transferring it so he said that yes banks actually give attractive interest rates for home loan balance transfer.

I then budged him with another query, how to convert personal loan to home loan in HDFC. He said politely though firmly that it can’t. I can transfer personal loan from one bank to another, I can transfer home loan from one bank to another but not what I had in mind.

So my friend, if you want to really transfer personal loan to home loan, that ain’t happening.