How to Do Prepayment of SBI Home Loan?

For loans under Rs. 25,000, there would be no SBI home loan pre closure charges. For loans over Rs. 25000, penal interest of 2% per year (above the relevant interest rate) will be levied on the overdue amount for the duration of the default if the irregularity exceeds the EMI or Installment amount for a period of one month. Penal interest should not be assessed when only a portion of an EMI or installment is overdue. Other Charges (if any) will be as per actual.

The State Bank of India offers the home loan product known as SBI Maxgain, which is authorised as an "overdraft" loan. The USP of this sort of mortgage loan is that you can take advantage of prepayment without compromising liquidity. There are no such specific rules, to prepay the SBI Maxgain loan you will need to, 

• Contact SBI

• Provide Details

• Submit Documents

• Payment Confirmation

How to prepay SBI home loan?

• Log in to the

  SBI's online banking site

• Then choose "Prepayment" under the "Home Loan" option.

• Enter the amount you'd like to prepay, then choose the account you want to use to make the payment.

• Review the details and confirm the transaction.

• When the transaction is done, a confirmation message will appear.

SBI home loan prepayment penalty:

If the sum is repaid within two years of the date of disbursement, a quarterly pre-payment penalty of 1% + GST will be charged.

SBI home loan foreclosure charges:

If the sale is completed within two years of the loan's disbursement, foreclosure fees of 3% + GST will be assessed on the remaining balance.

How many times prepayment can be done for SBI home loan?

There is no particular SBI home loan prepayment limit. You can simply contact the bank regarding prepayment and just do it. A partial prepayment can be made in one of two ways: by making a lump sum repayment of the loan balance, or by making monthly payments of the lump sum amounts, perhaps once every couple of months. 

I hope this helps you to understand the SBI home loan pre closure charges, along with the process to make prepayments.

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Hello there. I wanted to make a home loan prepayment SBI after I got to know about the facility through a friend. He helped me with the entire process as well. It is quick and easy. There are multiple benefits of making a prepayment. I will share all the important information through this answer.

Sunaina, Sunny and Shrishti have already mentioned the ways for you to learn how to pay SBI home loan prepayment online. However, let me share a method with you. Also, let me tell you the other necessary information you must know before making the decision to do a prepayment.

What are the benefits of making a prepayment?

1. The amount of principal outstanding is lowered to a great level.

2. The leftover reduced principal amount also leads to a reduction in EMI and lowers the interest liabilities.

3. With prepayment, a borrower’s credit score improves significantly.

4. Principal repayment becomes smooth.

What should you keep in mind before making a prepayment?

1. Never withdraw your existing investments to achieve any future financial goal.

2. You must be careful when making a choice between loan tenure and EMI reduction.

3. You should avoid using your emergency fund to make your home loan prepayment.

Procedure for SBI home loan prepayment

You can simply

this website to gain all the information.

I hope my answer helps you to learn how to make prepayment of SBI home loan.

Hey,

Availing a loan can be a complicated process. There are documents to be submitted and forms to be filled. When you fill out the form, as a borrower you are committing to the payment module, interest rate, closing charges, and other additional charges that will be incurred during the loan tenure. I will share details about SBI home loan prepayment rules. 

SBI home loan prepayment rules :

From what I've read online, SBI or the State Bank of India does not have an upper limit on the loan amount, The amount given to the borrower is dependent on their repaying capacity and the value of property to be financed. 

I also read that SBI offers the longest loan tenors (up to 33 years)to their customers. 

There is the flexibility of prepaying the loan as well, the borrower will not be charged any additional cost.

There is an option of partial prepayment in a home loan as well. There are many advantages to prepayment. It allows the browser to reduce the total tenure of your existing loan, EMI, or both of these.

If you get a bonus or have financial liquidity, you should try to pay off your home loan. It will decrease your stress and your financial liabilities. 

SBI home loan prepayment online?

From what I know, you can pay your loan amount as monthly EMI or prepay the amount. You can do so on the SBI website, www.statebankofIndia.com. 

You can always use the SBI Home Loan Prepayment calculator on their website. Many independent sites have loan calculators. I have used the NoBroker one. I highly recommend you check it out. 

This is all from my end on SBI home loan part prepayment rules

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To reduce the tenure as well as the EMI you can approach a bank for partial payment. If you receive a big bonus or retirement benefits you should definitely try to foreclose your home loan as soon as possible by prepayment home loan method. In SBI you can make the partial payment in two different ways. You need to repay a lump sum amount in one go or you need to repay a lump sum amount in periodic intervals.

Let me share with you the prepayment of home loan SBI in a simple way.

How to do prepayment of SBI home loan?

• For SBI home loan prepayment online you will need to have an SBI account so that you can access net banking. 

• You need to add your home loan account to continue the transaction.

• After adding the home loan account you can check your loan account ledger.

• For prepayment, you need to transfer the home loan amount to this account.

And this is how you can simply make a prepayment to close your loan.

Your home loan account is just like normal savings or current bank account. It has an account number and IFSC Code.

If you are not comfortable with net banking you can approach your bank branch for prepayment. The loan officer will help you out. All you need to do is issue a cheque for prepayment and you should have your loan account number with you. And you will be able to complete your partial payment in this way as well.

SBI can attract upto 3%

SBI home loan prepayment charges if you want to pay off your loan early. But you don’t need to pay any charges if you are opting for other schemes from SBI to pay off your home loan. But there are no penalty charges for prepayment. You can pay off your loan just by paying the prepayment charges.

I hope you know the SBI prepayment home loan method now.

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