One of the many hurdles while setting up a business is establishing a constant financial support for it. In such case, taking a loan from a Bank becomes a necessity. However, even after much thought, when we take a loan from a bank, the constantly fluctuating interest rates often make us feel that other banks could have offered a better deal. To combat such situations, there is a very beneficial option for you – Bank Loan Transfer.
What is Business loan transfer?
The need for a Business Loan transfer is in the advantage that the borrower enjoys through the option to transfer his Business Loan from one bank to another.
Why Business Loan transfer can be helpful?
Business Loan transfer is mostly done to maximise your profits, even while repaying your loan by making use of the several benefits offered by the lending bank
There are several factors that you should keep in mind when transferring Business Loan from bank to another
- Interest Rate: it is advisable to borrow from a bank that offers low interest rates. Several leading banks like HDFC Bank offers an interest rate as low as 15.75% on existing bank loan transfer.
- Loan tenure: HDFC Bank, for example, offers a loan repayment tenure of 12 to 48 months. However, to reap it benefits it is advisable to transfer the loan amount as early as possible to a bank, like HDFC Bank, offering a better interest rate. if the sum transferred is small or the tenure left is short, it may not be of much help.
- Other Benefits: The application process should be hassle free. HDFC Bank, allows the application for a loan without a guarantor or any Security deposit. Loan eligibility can be online or through any of its Branches. HDFC Bank permits No Closure/ Part Closure for first 6 months of the limit setting.
- Processing fee: the processing fee should be as nominal as possible. HDFC Bank charges only 0.99% as the processing fee along with other benefits like Life coverage, Tax benefits etc.
Benefits of Business Loan Transfer:
The benefits of a Business Loan Transfer are many. The most important fact is that the need for a Business Loan transfer is established by the advantage it brings when you, as a borrower can avail the different benefits that the top and leading banks of the country offer. Business Loan Transfer to a good and trustworthy bank makes your Business Loan a secured loan. A lower interest rate ensures the continuity of the savings cycle, while the various bank offerings also ensure tax exemption wherever possible. One of the renowned banks, HDFC Bank, as part of its benefits of Business Loan Transfer, offers not just life Coverage, but also protection of the family in case of the death of the customer.
Business Loan Transfer, is no longer a process but a tool to ensure a soaring business and a good quality of life.
If you are looking to apply for a Business Loan, Click here
Here are things to consider before applying for Business Loan Balance transfer here.
*Terms and conditions apply. Loan at the sole discretion of HDFC Bank limited. Loan disbursal is subject to documentation and verification as per Banks requirement.