Regret to read HDFC Ltd as HDFC Bank.
Housing Development Finance Corporation Limited (HDFC) headquartered in Mumbai is the biggest private sector public housing mortgage company.
You should ask for the certified copy of if not brochure then letter of offer, the loan application, sanction letter etc. The companies do not shy and claim that clause……was mentioned in say sanction letter…..if not in agreement.
It is felt that RBI has advised that rules for NBFC/FI/FII be same as that of banks.
BCSBI has set some guidelines:
4. Should banks communicate changes in interest rates?
Yes. The banks must inform you when they change interest rate on housing loan. (cf. para 3.3. of ‘Code of Bank’s Commitment to Customers.)
Ask the bank to give a copy of the revised repayment schedule of the loan every time the interest rate is revised.
7. How and when banks should communicate changes to terms and conditions?
· · In terms of para 3.5 of ‘Code of ‘Bank’s Commitment to Customers’, banks have to inform customers changes in terms and conditions one month in advance. Changes to the terms and conditions may be communicated through any of the following channels:
o Account statements
o Notice Board at each branch
o Internet, including email and website
· If your bank makes any change without notice, it will notify the change within 30 days. If such change is to your disadvantage, within 60 days you are free to close the account or switch it without having to pay any extra charges.
10. What are the fees and charges applicable to the loan?
Generally, banks levy fees/ charges for:
· processing loan application
· late payment
· changing the loan tenure
· switching to a different loan package during the tenure
· prepaying a portion or full loan
· restructuring the loan
· changing from fixed to floating interest rate loan and vice versa
Some of the other charges levied by banks are:
· legal fee
· technical inspection fee
· recurring annual service fee
document retrieval charges, etc
11. Do I have access to loan documents? If so, what are they?
Yes. You can have access to loan documents. Following are some important documents provided by banks:
· letter of offer
· copy of filled in loan application
· copy of loan agreement
· terms and conditions governing the housing loan
· other documents such as schedule of fees and charges
Banks are required to give authenticated copies of documents executed by you free of charge. (cf. para 8.11.1 of Code of bank’s Commitment to Customers)
A local lawyer handling consumer cases can also advice you after looking your documents and can structure your communications to tilt the record in your favor.