DEUTSCHE POST BANK
Pre-closure charges?

Dear Respected,

I have a home loan with Birla Housing Finance (Deutsche post bank). The problem is whether the interest rates are increased they increase it very next day. But when ever interest rates are reduced, they dont reduce it. Even if they reduce they will say the reduced interest rate will be applicable after 4 months.

Now the interest rate Deutsche post bank offering for new customers is 9%, where as my interest rate is 11.25!

Now I would like to switch my home loan to SBI. Now Deutsche post bank guys are asking to pay 2% pre-closure charges. But I heard RBI has asked to not to take pre-closure charges. DOnt know why banks dont follow RBI guidelines?

Thanks,

Ramprasad.