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The HDFC Chairman has disagreed with the RBI on allowing complete waiver of prepayment charges

A recent press report said Mr. Deepak Parekh, Chairman, HDFC has disagreed with the present regulatory thinking on allowing complete waiver of prepayment charges. He said that serious problems may arise if there is complete waiver of all prepayment charges.

Reports said that the Reserve Bank of India (RBI) had recently floated a proposal that seeks to place a ban on levy of prepayment charges on floating rate loans. Banks have sought time to respond to this RBI proposal prohibiting recovery of prepayment charges on floating rate loans.

The National Housing Bank (NHB), which is the housing finance regulator, has already stipulated that no prepayment penalty should be levied on a home-loan borrower when the prepayments are made from a customer’s own resources.

HDFC is a pioneer and leader in housing finance in India, since origin. It has supported more than 38 Lakhs customers to own a home of their own, through cumulative housing loan approvals.

A recent press report said Mr. Deepak Parekh, Chairman, HDFC has disagreed with the present regulatory thinking on allowing complete waiver of prepayment charges. He said that serious problems may arise if there is complete waiver of all prepayment charges.

Reports said that the Reserve Bank of India (RBI) had recently floated a proposal that seeks to place a ban on levy of prepayment charges on floating rate loans. Banks have sought time to respond to this RBI proposal prohibiting recovery of prepayment charges on floating rate loans.

The National Housing Bank (NHB), which is the housing finance regulator, has already stipulated that no prepayment penalty should be levied on a home-loan borrower when the prepayments are made from a customer’s own resources.

HDFC is a pioneer and leader in housing finance in India, since origin. It has supported more than 38 Lakhs customers to own a home of their own, through cumulative housing loan approvals. HDFC offers the widest range of home loan products and services to suit the unique requirements of its customers including Home Loans for properties anywhere across India, Home Improvement Loans, Home Extension Loans and Land Purchase Loans for Housing.

offers the widest range of home loan products and services to suit the unique requirements of its customers including Home Loans for properties anywhere across India, Home Improvement Loans, Home Extension Loans and Land Purchase Loans for Housing.

A recent press report said Mr. Deepak Parekh, Chairman, HDFC has disagreed with the present regulatory thinking on allowing complete waiver of prepayment charges. He said that serious problems may arise if there is complete waiver of all prepayment charges.

Reports said that the Reserve Bank of India (RBI) had recently floated a proposal that seeks to place a ban on levy of prepayment charges on floating rate loans. Banks have sought time to respond to this RBI proposal prohibiting recovery of prepayment charges on floating rate loans.

The National Housing Bank (NHB), which is the housing finance regulator, has already stipulated that no prepayment penalty should be levied on a home-loan borrower when the prepayments are made from a customer’s own resources.

HDFC is a pioneer and leader in housing finance in India, since origin. It has supported more than 38 Lakhs customers to own a home of their own, through cumulative housing loan approvals. HDFC offers the widest range of home loan products and services to suit the unique requirements of its customers including Home Loans for properties anywhere across India, Home Improvement Loans, Home Extension Loans and Land Purchase Loans for Housing.

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