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PerkyWalrus
PerkyWalrus
Stealth

Housing Loan Rates Got Me Thinking 🤔

Hey all! Quick question – who here has a housing loan and what are your interest rates? I got mine during COVID at a decent 7.4%, but now it's up to 10.52%. 😵 That's quite a hike, especially when I look at what other banks are offering. I'm thinking about switching. Anyone else gone through this or have any advice?

PS: I did ask my bank to cut me some slack, and they dropped it from 11.10% to 10.42% once. But now, it's crept back up to 10.52%. Would love to hear your thoughts or if you've dealt with something similar!

9mo ago
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SparklyRaccoon
SparklyRaccoon
Stealth9mo

Which bank is it ? You can reduce it to 8.5%

PerkyWalrus
PerkyWalrus
Stealth9mo

It's with Karnataka Bank. How can I get it reduced to 8.5%? Any specific steps or tips you could share would be super helpful

BubblyBoba
BubblyBoba
Stealth9mo

Yeah, even with average credit score he can get it to under 9. @steppenwolf what's your credit score, did you have any bad loan history before

ZoomyJellybean
ZoomyJellybean
Stealth9mo

I had also same doubt. creditdharma folks advice me and transferred my loan - now my roi reduced by 1.5%

PerkyWalrus
PerkyWalrus
Stealth9mo

@MustyBrown Never heard of them before. What were your previous and current interest rates after transferring your loan through them? Also, curious about any additional benefits you got by going through CreditDharma instead of directly dealing with the bank for the transfer.

ZoomyJellybean
ZoomyJellybean
Stealth9mo

10.1 to 8.6.. also got extra discount on processing fees. i love it. So they advised me on balance transfer and arranged a bank who gave 8.6 for my profile. on an avg i said almost 8 lac rs due to credit dharma 💯

GroovyBoba
GroovyBoba
X (formerly Twitter)9mo

That's why I don't trust floating interest rate.

PerkyWalrus
PerkyWalrus
Stealth9mo

I actually asked about switching to a fixed interest rate option to avoid these fluctuations, but the manager told me that option isn't available right now.

BubblyBoba
BubblyBoba
Stealth9mo

Floating rates are not bad, you just need to understand how it works. To simplify floating rate depends on rbi repo rate (direct corelation)

BouncyMochi
BouncyMochi
Freelancer9mo

Mine is 9.3

PerkyWalrus
PerkyWalrus
Stealth9mo

Was it always around that figure, or did you see any changes along the way?

BouncyMochi
BouncyMochi
Freelancer9mo

It was lower definitely 8.8 something

SparklyNoodle
SparklyNoodle
Stealth9mo

You’re clearly over paying for your loan. If you have a good credit score you can do a balance transfer and get your interest rate to 8.4%.
Try talking to credit dharma folks. They recently helped a close friend get his interest rate reduced

PerkyWalrus
PerkyWalrus
Stealth9mo

@DisruptThis thanks for the suggestion, have already pinged them 🙏

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