Education Loan Transfer at 8.5%

[Walter White]

Currently a friend of mine has an education loan with HDFC Credila at 9.75%. BoB is offering 8.5% in case of loan transfer as well as for any new education loan requirement at the same rate without any processing fees. Is it sensible to switch to BoB from Credila?

 

[amitr29]

Currently a friend of mine has an education loan with HDFC Credila at 9.75%. BoB is offering 8.5% in case of loan transfer as well as for any new education loan requirement at the same rate without any processing fees. Is it sensible to switch to BoB from Credila?

Hi, Please check on pre-closure charges. Although, any individual loan will not have any pre-closure charges.

Difference in EMI would be Rs. 54/lacs assuming it is a 10 year old loan. Also, how long he wants to continue loan for? Calculate total transfer cost including PF and stamp duty and then see the merit

 

[Deleted member 11974]

Currently a friend of mine has an education loan with HDFC Credila at 9.75%. BoB is offering 8.5% in case of loan transfer as well as for any new education loan requirement at the same rate without any processing fees. Is it sensible to switch to BoB from Credila?

The more sensible thing to do here is get a sanctio letter from bob for 8.5 then negotiate with credila for 8.5 otherwise change because there will be charge like stamp duty and processing fee which would have to be incurred

 

[Walter White]

Hi, Please check on pre-closure charges. Although, any individual loan will not have any pre-closure charges.

Difference in EMI would be Rs. 54/lacs assuming it is a 10 year old loan. Also, how long he wants to continue loan for? Calculate total transfer cost including PF and stamp duty and then see the merit

At max till 2027-28