Quick Answer: How Can I Transfer EMI From One Bank To Another?

How is EMI tenure calculated?

The mathematical formula to calculate EMI is: EMI = P × r × (1 + r)n/((1 + r)n – 1) where P= Loan amount, r= interest rate, n=tenure in number of months.

The higher the loan amount or interest rate, the higher is the EMI payments and vice versa..

Can a car loan be in one name and registration in another?

You can co-sign a loan for the car, but the car will still be titled and registered in the other person’s name. You could also have both names on the title and registration.

What happens if I pay more than EMI?

If you can, then pay more than the regular EMI. The surplus amount will not only reduce your principal outstanding, but also your interest burden. You can also pay one more EMI (than the usual number of EMIs) every year. This is an effective trick to reduce your loan tenure, and in turn the interest cost.

Which is better reduce EMI or tenure?

But it is best to reduce the tenure of the loan, provided you can afford it. “It is better to reduce tenure if you are comfortable paying the same or a marginally higher EMI. … For example, if you can pay an EMI of Rs 52,429, you can lower the tenure of your loan by two years and save Rs 8.58 lakh as interest cost.

Does prepayment reduce EMI?

As a result, banks reduces the tenure by default. There is no doubt that prepayment amount used for ‘tenure reduction’ is more profitable. But this doesn’t make EMI reduction obsolete. EMI reduction is also as effective.

How can I reduce my EMI?

To reduce your home loan EMI, the first thing you should do is to choose a lender which offers home loan at a lower rate of interest.Compare rates online. … Opt for longer repayment tenure on your loan. … Make a bigger down payment. … Refinance the loan by changing your lender. … Negotiate the service terms with existing lender.More items…•

What is the process of car loan transfer?

The existing owner has to transfer the registration certificate of the car along with the loan to the buyer. This process has to be initiated by visiting the RTO (Regional Transportation Office). They will help you in transferring the ownership of the vehicle to the buyer.

Can we change EMI amount?

You can also increase your EMI amount every year by a certain percentage. The increase can be in line with increase in your salary. For instance, if your salary increases by 5% per annum, you can make it a point to increase your EMI by 5% per annum.

How do I transfer my car loan from one bank to another?

Look for a new lender to transfer your loanFirst, start looking around for better car loan deals. … You may also call various banks to see what they have to offer.You will also need to ask them if have car loan balance transfer feature.If they do, find out the interest rate, fees, and terms related to the transfer.More items…

Can loan be transferred from one person to another?

The answer to this is, yes, you can transfer your personal loan to another person. … Lenders do offer personal loan balance transfer, where one can transfer their outstanding loan to another lender but transferring loan to another person is not very common with the lenders.