HDFC Bank offers a maximum tenure of five years to the borrower. You can repay the loan in equated monthly installments during the tenure. There are several payment options available to you, such as NEFT, ECS, post-dated cheques, etc. Choose the one you’re comfortable with. But don’t take it lightly as it is an important part of your HDFC Personal Loan. Because if you make any mistake while repaying the loan, it could result in a penalty or poor credit history. So, read this page and understand how to maintain HDFC Personal Loan Repayment.
Take Advantage of Available HDFC Personal Loan Tools
HDFC Bank allows you to use the EMI calculator. This is an online calculator by which one can get their possible EMIs. Using the calculator, you can decide on a tenure that can reduce your EMIs and interest payouts.
So to maintain your HDFC Personal Loan Repayment, do use this calculator. To use this online, follow these steps –
- Mention your loan amount, interest rate and tenure
- Click on the ‘Calculate’ button
- See the EMI result and graphical representation of your loan repayment
On the graph, you can see the total payable principal and interest during yearly intervals of your chosen tenure.
To know more about the calculation made by the EMI calculator, check out this example below –
Sunita is renovating her house and lacks INR 5 Lakh on her budget. So, she decides to borrow a personal loan. As Sunita’s an HDFC Bank customer, she looks for a pre-approved loan. Well, fortunately, she gets an offer of INR 6 Lakh which means she can meet her financial needs. But she hasn’t decided on her tenure yet. Sunita takes the help of the HDFC Personal Loan Calculator and enters the following –
- Borrowed Amount – INR 5 Lakh
- Interest Rate – 11.25% per annum
- Tenure – 36 months
The EMI shown is INR 16,429. Now, she alters the tenure to 48 months and gets an EMI of INR 12,984.
How to do HDFC Personal Loan Repayment Management When the Interest is High?
In such a case, you can get the advantage of the HDFC Personal Loan part and full prepayment facility. When you choose for part or full prepayment, you should start investing your money so that you can accumulate the loan outstanding amount when the right time arrives. There are several investment options available.
For a fixed benefit, you can put your money in FDs, RDs, etc. Whereas for market advantage, invest in equities, ULIPs, etc.
If you’re a salaried employee, this facility isn’t available to you until you’ve paid the first 12 EMIs. After that, you can partially or fully repay the loan outstanding. You can pay 25% of the loan balance once during a financial year and twice during the tenure. So, if you have a loan balance of INR 3 Lakh, you can pay INR 75,000 and do the next part payment after the end of the financial year.
HDFC Bank will charge the following fees for part or full prepayment –
- 4% in case of prepayment during 13th to 24th month
- 3% for prepayment during 25th to 36th month
- 2% after 36 continuous EMIs
In the case of part prepayment, the charge will apply to the part paid amount. Whereas, for full prepayment, the charge will apply to the loan balance.
What if You Already Have a Personal Loan?
In that case, you can request a balance transfer to HDFC Bank. And if it approves the same, your loan balance will move to HDFC Bank. And a new HDFC personal loan interest rate will apply. This way, you reduce your repayment burden and can take advantage of the HDFC Personal Loan Repayment facilities. To compare the benefits of a balance transfer, you can use the online calculator available on the bank’s official website.