All you need to know about hdfc top up loan

All you need to know About HDFC Top-Up Loan A top up loan is an additional loan which an existing customer of a financial institution can avail. Top-up loans can be taken over a home loan, loan against property or a personal loan. The top-up loan must be applied to the same lender with whom you are already servicing a credit account.

HDFC top-up loan HDFC, one of the renowned banks provides the facility of a top-up loan to its existing customers both on home loan and personal loans. HDFC offers a top-up loan up to 50 lakhs at an attractive interest rate. The top-up loan facility is available for existing customers as well as the customers with a balance transfer. With the facility of easy repayment through EMIs. HDFC top-up loans are the best if you want a loan of big amount. Top-up loans are multipurpose loans. One can use the loan amount for any personal use such as marriage, travel, paying medical bills and so on. Top-up loans are slightly costlier than the base loan. There will always be a difference of 0.25% to 1% between the base loan and the top-up loan.

HDFC Top-Up Home Loan HDFC bank provides top-up on home loans which can be as high as 50 lakhs. A borrower can apply for a home loan after completion of 12 EMIs. One must be regular in paying EMIs which will make the credit score go high. A good credit score is an essential element to get a top-up loan. The facility is available to the customers with a balance transfer too. The interest rate on HDFC Home Loan Top Up is 8.35% to 8.40%.

HDFC Top-Up Personal Loans HDFC top-up personal loancan be taken if your existing personal loan is from HDFC. A top up loan can also be availed by a person who wants to transfer his existing loan to HDFC bank. The loan tenure is up to 60 months. HDFC top-up loan interest rate starts from 10.99% onwards.

Features and Benefits Of A Top-Up Loan A top up loan is beneficial for a borrower in many aspects. A top-up loan comes with a FASTER PROCESS. The verification for a top-up loan can be done faster as the applicant is not a new customer to the bank. With a MINIMAL DOCUMENTS, one can apply for a top-up loan. Most of the basic documents are already submitted to the lender while applying for the base loan. So for this second loan, only a few documents are required. A top-up loan comes at a COMPETITIVE INTEREST RATE. If a person is taking a top-up on a home loan, then he can get a multipurpose loan almost at the rate of a home loan. Another advantage of a top-up loan is being an UNSECURED LOAN. None of the valuables of the loan applicant will be pledged for getting the loan. The LONGER TENURE of a top-up loan makes is much affordable. A long tenure makes the EMI smaller which will be easy to pocket. One can repay the loan with EASY EMIs. Repaying the loan in EMIs never let the financial burden come to the life of the borrower.

One can even enjoy TAX BENEFITS if the top up loan is taken for home renovation and education purpose.

HDFC Top-Up Loan Eligibility 

Can Be Availed After 12 EMIs-one can avail a top-up loan only after servicing the base loan for at least a year. A lender takes a time of minimum one year or 12 EMIs to check your repayment habit. If you are regular with your previous EMI than the lender becomes assured of paying the upcoming EMIs on time.

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There Must Not Be Any EMI Due- Any EMI due in the base loan can lead to rejection of the top-up loan. EMI dues prove that you are not stable with your finance, so in such scenarios, a top-up loan application can be rejected.

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No Records Of Cheque Bounced- While sanctioning any kind of credit, all the lenders check the credit history of the applicant. If there is any record of cheque bounce on your credit report, you may consider ineligible for a top-up loan.

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Job Stability- Job stability or the employer is always checked by the lender before sanctioning any kind of credit. Job stability is checked to understand your loan repayment capacity.

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FOIR Not More Than 50%. — Fixed-Obligation-to-Income ratio( FOIR) is a parameter which banks check to evaluate your total financial liabilities as compared to your net income. If the total of all EMIs is more than 50% of your net income than, banks will not grant you a loan.

A top-up loan with HDFC is the best option if you are already servicing any kind of credit account with this bank. You can avail a multipurpose loan without any hassles and the within a minimum time. The only limitation of such loans is that the applicant must be an existing customer. If a person is servicing a personal loan at any other bank, he/she can transfer the loan account to HDFC bank to avail a top-up loan on their existing loan.