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[Resolved]  LIC HFL — LHPLR and floating rate of interest after 3 years not mentioned in the Sanction letter

Myself Rashmi Borkar have applied for home loan from LIC HFL in Oct 2009 for Rs 30,00,000. I have received sanction letter from LIC on 31st Oct 2009. File No 409035.
I wanted certain clarification on the letter hence I visited LIC HFL Thane (W) office on 7th November 2009. Howvere I was suprised to know that the asst manager whom I was interacting was not aware of any matter mentioned in the sanction letter. She asked me to write a letter and then they would revert.

I wrote a letter on 9th November and submitted to LIC HFL thane office. Following queries were mentioned in the letter

1. Clause 7 : Balance upfront fee of Rs 24000/- is mentioned in the letter.
LIC executive Mr Subhash informed us that processing fee is just Rs. 6000/- Later on he changed his stand that for you the processing fee will be 0.5%. However what is mentioned in the letter is 1% processing fee . i.e Rs 6000/- which is already paid and Rs 24000/- Balance to be paid.


2. Clause 8 and 9 : Commitment fees and secrity fees mentioned are not elaborated in the letter at all. I would like to know what this means.
Letter state Commitment fees : As applicable from time to time
Security fees : As may be decided by LICHFL at its sole discretion.

3. Fees on prepayment : 2% of the loan amount was mentioned in the letter.

LIC executive Mr Subhash informed us that there is no charges for prepayment . Later when I question him about the clause mentioned in the letter he told that there are no pre payment penalty for first six months after disbursement. Howevr no such thing is mentined in the sanction letter.
When I asked Ms Smita she said penalty is applicable as mentioned in the letter.

4. Rate of interest : I have applied for Fixed + floating scheme in which the fixed rate of interet was 8.9%. However Floating rate of interest applicable after 3 years was not mention. I would like to the the Floating rate of interest after 3 years with respect to LHPLR prevailing then.

i.e LHPLR minus ________ bps??

This is mentioned in all banks sanction letter but not in LIC HFL letter.

Till 21st November 21, 2009 I didn’t get any reply from LIC HFL. I tries to contact the Manager but his mobile no was never available.

Such kind of replies and ignorance on the company polices and terms from LIC HFL employees has baffled me. I am not able to understand how can a government organization function with such kind of employees . The sales executives mis led the customers and even the managers are not responsive enough to address customer queries in time.
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Complaint marked as Resolved Aug 14, 2020

Complaint Status


[Jul 02, 2015] Life Insurance Corporation of India [LIC] customer support has been notified about the posted complaint.
Complaint comments  8 CommentsShareTweet

Comments

I faced the same issues as mentioned. Only thing is that when I applied for the loan, I should have been told about all these things. However I was not informed. This seems to be very highly unregulated market - where possibly interfacing executives and agents are taking advantage of the customer.
Yes. You are very much right. I faced the issue. I got the information from agent that it was because of technical problem [currently they are migrating systems to online].
I faced same problem!!! Can i ask to you that what type of solution you found from LIC???
Hi,
Myself Madan Singh have applied for LIC home loan file no:[protected] for 10, 00, 000 in the month of June 11th 2011 at Dilsukhnagar branch got a sanction letter in the month of august 6th, though following the case with the branch executive repeatedly calling him got a sanction letter approved.The strange thing is that i have not received the disbursement of cheque even after 1 month, I have approached the agent he says due to the telangana bandh your documentation has to be legally examined by their respective advocate, which he is not able to do it as the Registrar offices are closed, Later after few days i approached again he says the same reason though the office are opened.

On the very next day i approached to the manager and asked about the file she was very strange and stunned as this was the same file she got it approved for loan in just 2 day and was shock how come the senior executive of her office has done such a stupidity not informing the customer about the legal approval pending and not even to the manager etc...
Finally she promised me she will get the status within 2 days still waiting for her response...

If this is the case with the LIC HFL treating the customer and bluffing them, i believe coming forth no one would trust such a good housing finance company, Bringing their reputation down...Such kind of replies and ignorance on the company polices and terms from LIC HFL employees has baffled me. I am not able to understand how can a government organization function with such kind of employees .
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LIC HFL — online payment

For my LIC HFL Loan account no 40008027 Kindly issue me on line account through which i can able to pay my principle amount of lic hfl as per my need.
For my LIC HFL Loan account no [protected], Kindly issue me on line account through which i can able to pay my principle /int amount of lic hfl as per my need.
FOR PAYING AMOUNT BY DEMAND DRAFT RS 15500--FOR MAY2014 TO THANJAVUR LICHF

ACKNOWLEDGEMENT NOT OBTAINED.

INSTEAD OF PD CHEQUE CAN I PAY DUE BY BANKERS CHEQUE OR DEMAND DRAFT.

KINDLY GET REPLY WITH REGARDS

PADMARAJAN MOBILE [protected]

MAIL [protected]@gmail.com

This is what always happens with LICHFS. Go for nationalized banks for home loans.
we live in a country where big companies are not fair and you can not do anything about it.
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