Personal loan balance transfer comes at a cost such as processing fees etc. Make sure you understand these extra charges from your bank’s executives. Also find out if your existing lender has any transfer charges.
Situations where you need debt consolidation or are paying higher interest rates are ideal to opt for a balance transfer. A personal loan balance transfer can help you reduce your overall debt.
A personal loan balance transfer is an easy, hassle-free and quick process. If you meet the eligibility criteria and submit all the required documents, then it can be processed and disbursed swiftly.
Individuals with an ongoing personal or home loan can opt for the loan balance transfer facility. Applicants need to fulfill the required eligibility criteria such as minimum education, income etc. to avail the same.
When you transfer your existing personal loan balance to another lender, you are able to avail a fresh set of terms and conditions. So, depending upon various loan-related factors and your eligibility, your repayment tenure too can change.
Balance transfer facility will impact your EMI as the interest rate and tenure may change. A reduced interest rate in turn decreases your EMI amount as well. You can check for your EMI amount through Kotak’s personal loan EMI calculator
Yes, while opting for a personal loan balance transfer you get a chance to avail a top-up loan upto 100% of the amount of your personal loan. For such deals, make sure you have a good credit record.
Kotak Bank provides personal loan top-up facility to borrowers after a period of 9 months post the loan sanction. Considering various factors like credit history and EMI repayment history, your top-up loan can be approved in 2 days’ period.
When you apply for a personal loan balance transfer, your lender pays off your existing loans and adds the total amount to your new loan. However, you have to remember that you may incur some prepayment charges if applicable.
Kotak Mahindra Bank’s personal loan interest rate starts from 10.75% per annum. It can go up depending on your financial history. Therefore, it is advisable to plan wisely before opting for a personal loan balance transfer.