[Resolved]  HDFC Bank — Interest rate not reducing at par with new customer


I am an existing customer of a home loan from HDFC.

Home loan for new customer is recently comes to 8%. But HDFC & other Banks are not reducing the interest on home loan for their existing home loan customer.

Request the RBI Governor to look into this matter and try to make this as a rule that both new and existing customer both can get the benefit for the rate cut.


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Aug 14, 2020
Complaint marked as Resolved 
Complaint comments  10 CommentsShareTweet


New customers will become existing customers soon.. They are going to face these issue soon. Dear all better to go with any Govt. bank.

PLEASE CALL ME : [protected]
Hi all,

This is very true.
Even I have taken loan from HDFC in Feb2008. And now still paying at higher rate,
But new customer are paying at low rate.
Everyone suffering at some extent because of global recession.
So this situation should be understood by Pvt. Banks and Govenment,
I think K Ramamurthy is right,
If no one is with us so we will be together and fight against it.

My mail ID is [protected]
I got to know today from HDFC branch that the foreclosure charges are now at 3%. When I was in the bank waiting for my turn to talk to the customer care executive, there were lot of people like me for the same issue of transferring the home loan a/c to some public sector bank ( mostly to SBI). And to refrain people from shifting to other banks HDFC swiftly increased the pre-closure charges from 2% to 3%. So, Now the HDFC executive try to convince the customers that after considering the charges of pre closure (3% of balance amount) plus processing fees at the other bank the savings in terms of shifting to lower interest rate will not save much.

HDFC was very quick in following any RBI rate increase, but now when RBI has continiously been reducing the rates HDFC is openly not ready to reduce the rates. Moreover they are trying to trap the existing customers at higher rate or exit with higher charges.

Since home loans are long term...even a small 0.5% interest difference on a higher loan amount make a sizable difference in outstanding/tenure. And HDFC has atleast 3.5%+ higher rate of interest than others like SBI. Bottom line...Don't take HDFC LOAN...go for some PSU if possible
Guys no point taking all this here lets get together & Take the fight to HDFC.

I have created a group on Yahoo join it so that we can approch HDFC with our demands.

changed the name of the group

Nitin Grover
Reposting my message from other folder. I challenge HDFC to prove me wrong. All facts are mentioned here are right and am ready to take on anyone from HDFC on a public debate. ...
Gone are the days they can say utter non-sense stuff like cost of funds etc. Read on ...

I am one among all of you. We suffered and still see big queue of people who are going to HDFC. They do not know. Soon those new customers will realise, they are going towards a highest interest rate debt trap, which they will be unable to get rid of. Please save them. Noone told me this when I went to HDFC for home loan (not once, twice for two loans)

My request to all of ... do not buy house by taking loan from private banks/HFCs. why .. read below even if you get loan at 6%.

1. First and foremost in 15-20 year cycle, the interest rate fluctuation will be roughly 50 times (each year HDFC does 4 times periodic revision, they increase/decrease or stay constant).
2. Each upward cycle (like from 2006 start to 2007 end) you interest rate will go up 3 to 4 %. In downward cycle it will come down 1% (say from 2008 middle to now)
3. So at end of 4 upward cycle your rate increased by 12%, decreased by 4%. Effectively your interest rate will increase by 8% on your base rate (starting rate say 8%). So your rate becomes 16%. Do you guys believe it!!! That's the truth

Please shout on the street and save people from not entering HDFC and ICICI. Do not talk to their agents. Draw you savings A/C money from them. Make them insolvent. Let them closed. Let them die like lehman brother's. They deserve this. Save people on earth. It's my request. We need a revolution. Today is the day. Come forward and save people. Do not take home loan from pvt bank and HFCs. If you do not agree and still go ahead. All the best!!! Sure you will write a bigger message than this in 2 years time and noone will there to save you.

This message not to encourage taking loan from PSU banks either. It's on my experience with HDFC, I am sharing. I am committed to block 100 people not taking loan from them.
Thanks guys,
i never thought HDFC would be so bad, was about to gon in for a Home loan, their initial presentation was also not satisfactory so i decided to check online to review HDFC home loans, and i think i have opened a pandora's box, now its a definite no-no to HDFC

HDFC — HDFC Savings A/c Interest not Paid

I had open HDFC bank Salary A/c to Nariman Point Express Tower branch. As out RBI rule I am eligible to get Interest on daily basis what amount in my salary account.

I have one year bank statement in that statement I have never seen any Interest paid by HDFC bank.

Please let me know what I have to do for that ?
- I am also one of the customer of HDFC Home Loans for more than 9 years. I live in Rajkot Gujarat.
- I borrowed the loan from HDFC in June-2003.
- I have paid all my loan installments, Interests, Additional Interests, etc. and whatever Charges they asked for.
- I cleared all my dues on 10-Sep-12 (HDFC Portal confirms the same and PDF file is attached to this message) and there no DUE from my side for HDFC Home Loans.
- I have been following up with Rajkot HDFC Home Loan Branch (ph:[protected] &[protected] branch but they do not respond me.
- On 12-Sep-12, I was asked to contact Ahmedabad office (note: while getting the loan I never had any communication with Ahmedabad office and ONLY Rajkot office was communicating), I called-up HDFC Home Loans Ahmedabad[protected] and talked to Mr. Farnendes, he assured me to "HE WILL CALL BACK WITHIN AN HOUR" but never called me back.

Please note that someone from HDFC Home Loans must be responsible to let me know the Exact date of releasing my Documents. This can give some confidence in functioning of HDFC Home Loans
Not only HDFC, AXIS is also doing the same, not reducing the interest rates for its existing customers.

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