This post will discuss steps / process / procedure to close your Home loan by pre-payment.
Note: If you are planning to make pre-payment (partial / full), please avoid going on Saturdays to HDFC home loan branch as they do not deal in pre-payments on Saturdays.
Steps:
1. Visit HDFC Home loan branch (Not necessarily has to be the Servicing branch from where your Home loan was issued).
2. Meet the Representative
3. (S)he will ask you to fill out the Disclosure form. You need to mention the source of income if you are planning to pre pay (partial / full) the loan. You don't need to mention the exact actual amount (approximate value will do) from each source while filling the form.
4. Once you submit the form, they calculate the amount to be paid.
5. Handover the cheque for pre-payment (made in favor of HDFC LTD)
6. Once they receive the cheque payment, your home loan gets closed. You get a final receipt for the cheque given immediately.
7. Ask for the Amortization sheet which details all the information for the EMIs paid from Starting till date. They will give you the amortization schedule immediately or ask them to send it in email. Make sure you get this done.
Note: This sheet will cover all the information of your loan till the date you gave final cheque (cheque details not mentioned in it).
Final amortization sheet (Schedule) which includes the final payment can be downloaded from your HDFC home loan login after a month of loan closure. Or you can visit the branch and get it from there after the month.
8. It takes 10-15 days to get the Property deed file couriered to the loan closing branch (if your servicing branch is different from the visiting branch) depending upon the release of payment for the submitted cheque.
9. Get a date from the Representative as to when you should come to collect the documents personally. Do not ask them to send it via courier because if you do so, tomorrow if some page is missing or torn or damaged, HDFC will not take responsibility as you have already signed the home loan closure documents.
Documents that you should receive on Home Loan Closure:
1. Property Deed: Get all the properyy related documents from HDFC. This should include - Original sale deed of property, Original conveyance deed, POA, Possession letter, payment receipts, Cancelled cheque's given.
Please make sure all pages are intact and not torn.
2. NOC (No Objection Certificate) / LCC (Loan Closure Certificate) / NDC (No Dues Certificate)
3. Ask for CIBIL Score Update - 28th of every month, HDFC sends information to CIBIL about the current status of each loan. So if you have closed your loan or applied for loan closure, HDFC will make sure your CIBIL score is updated in the records.
Note: It takes 3 months from loan closure date to get CIBIL score updated.
4. Memorandum of Deposit: They do not give you MOD at the time of Loan Closure. As per HDFC, you have already received your MOD at the time you start Home Loan with HDFC.
5. Promissory Note
About ECS (Electronic Clearing Service):
if you have initiated an ECS for home loan EMI payments every month, HDFC will make sure that no new ECS request goes to your saving bank account after the loan closure. You don't have to personally visit your bank to get the ECS removed.
HDFC Home Loan Branch Timings
Note: If you are planning to make pre-payment (partial / full), please avoid going on Saturdays to HDFC home loan branch as they do not deal in pre-payments on Saturdays.
Steps:
1. Visit HDFC Home loan branch (Not necessarily has to be the Servicing branch from where your Home loan was issued).
2. Meet the Representative
3. (S)he will ask you to fill out the Disclosure form. You need to mention the source of income if you are planning to pre pay (partial / full) the loan. You don't need to mention the exact actual amount (approximate value will do) from each source while filling the form.
4. Once you submit the form, they calculate the amount to be paid.
5. Handover the cheque for pre-payment (made in favor of HDFC LTD)
6. Once they receive the cheque payment, your home loan gets closed. You get a final receipt for the cheque given immediately.
7. Ask for the Amortization sheet which details all the information for the EMIs paid from Starting till date. They will give you the amortization schedule immediately or ask them to send it in email. Make sure you get this done.
Note: This sheet will cover all the information of your loan till the date you gave final cheque (cheque details not mentioned in it).
Final amortization sheet (Schedule) which includes the final payment can be downloaded from your HDFC home loan login after a month of loan closure. Or you can visit the branch and get it from there after the month.
8. It takes 10-15 days to get the Property deed file couriered to the loan closing branch (if your servicing branch is different from the visiting branch) depending upon the release of payment for the submitted cheque.
9. Get a date from the Representative as to when you should come to collect the documents personally. Do not ask them to send it via courier because if you do so, tomorrow if some page is missing or torn or damaged, HDFC will not take responsibility as you have already signed the home loan closure documents.
Documents that you should receive on Home Loan Closure:
1. Property Deed: Get all the properyy related documents from HDFC. This should include - Original sale deed of property, Original conveyance deed, POA, Possession letter, payment receipts, Cancelled cheque's given.
Please make sure all pages are intact and not torn.
2. NOC (No Objection Certificate) / LCC (Loan Closure Certificate) / NDC (No Dues Certificate)
3. Ask for CIBIL Score Update - 28th of every month, HDFC sends information to CIBIL about the current status of each loan. So if you have closed your loan or applied for loan closure, HDFC will make sure your CIBIL score is updated in the records.
Note: It takes 3 months from loan closure date to get CIBIL score updated.
4. Memorandum of Deposit: They do not give you MOD at the time of Loan Closure. As per HDFC, you have already received your MOD at the time you start Home Loan with HDFC.
5. Promissory Note
About ECS (Electronic Clearing Service):
if you have initiated an ECS for home loan EMI payments every month, HDFC will make sure that no new ECS request goes to your saving bank account after the loan closure. You don't have to personally visit your bank to get the ECS removed.
HDFC Home Loan Branch Timings
