Home Loan

Hi Friends,

I am new to this community and I am not sure that whether I have put my query at correct place or not. In case if I have not put my query at correct place. Please let me know where I can submit this. And Apologies for the same.

Query:

I have started my home loan from ICICI bank in August 2008(approx. 3 years back) for 20 years (240 Months) on floating rate of interest. Loan amount was 2041608. After paying EMI from last three years outstanding amount left is 1995370.
Now rate of interest is 12.75% and tenure increased to 477 months.

From above detail it is cleared very less amount is decrease from total amount. And tenure also increased to 477 months.

I have discussed with customer care team of ICICI home loan. They suggested me to give .50% + 10.30% on outstanding amount i.e. 10500(approx.). After that interest rate decreased from12.75% to 10.50%. And tenure also decreased to 196 months.

I am confused that should I pay them 10500 to decrease the tenure and rate of interest or should move my home loan from ICICI to SBI. Or suggest if there is any other better option.

Someone also tell me that if at this moment I will move from ICICI to SBI it will not be a better option because I have already completed three years with ICICI. And in the initial years Banks not deduct the principle amount, after 3 years banks will start deducting principle amount. I am not sure about this.

I don’t have much idea about all this calculation if someone find out their precious time and reply to my query it will be great help for me.

Details:
Total amount of Loan- 2041608(for 20 years)
Loan started – August 2008
Present rate of interest – 12.75%
Outstanding amount- 1995370
Loan tenure increased – 477 months

Thanks & Regards,