Can I change the loan tenure during a balance transfer?

Yes, most financial institutions allow you to modify your loan tenure when you opt for a home loan balance transfer. However, there are some limitations:

• The new loan tenure should be within the minimum and maximum limits set by the loan provider.
• Increasing the tenure reduces your EMI amount but may increase the total interest paid over the full term.
• Shortening the tenure increases your EMI but saves on interest costs through faster repayment.
• The change in tenure needs to align with your financial planning and repayment capacity. Extending too much can strain finances.
• For tenure increase, usually, your age at loan maturity should not exceed 60 or 65 years.
• The financial institution will evaluate your income, existing obligations and age to approve a tenure change.
• Refinancing charges may apply if you extend the tenure.