Citbank home loan
Too much of pre closure charges

Hi,

i had taken composite loan from citibank (home loan number 317463)

out of Rs. 1646000 sanctioned i had taken only 7 lakhg rupee . all these days i promtly paid my emi's . now i have rs. 1.41 lakh left over. I wanted to close this money. When i have asked for pre closure letter they have put 2 % on whole amount even which is not dispersed . for 1.41 lakh rupees their pre closure charges are Rs. 25000 . When i asked them they are telling they are charging pre closure chages on the un dispersed amount.

When i took the loan they have sanctioned it at an intereste rate of 9 %. now i am paying 12 % interest.

Plz. let me know is it legal and ethical for a bank to charge pre closure charges on un dispersed amount

my email id is [email protected]