Dated : Oct. 19, 2009

Dear Sir,

I am availing a home loan from SBI of amount 34lacs for tenure of 20years with floating rate of interest.

At the time of applying the home loan, i was not aware that i were opting a loan amount of 30Lacs for tenure of 15years, i would have been gaining by 0.5% in the interest rate.

As of now, the outstanding amount is below 30Lacs and my eligibility to re-pay the EMI is sufficient to make a tenure to below 15years.

I asked to SBI to restructure my home loan so as to avail the reduced interest rates, but could not get success.

Moreover, what is happening now, that SBI offering a home loan @8% interest, for:
a) New loans (New Customer)
b) Takeover loans from 'OTHER' Banks (New Customer)

But what about their EXISTING CUSTOMER, why can't SBI takover its own loan,
"DESPITE BEING THE FACT THAT I AM READY TO PAY THE PRE-PAYMENT PENALTY CHARGES AS WELL AS THE PROCESSING FEES, AS APPLICABLE FOR ANY TAKEOVER LOAN."

In fact, i knew similar kind of case with HDFC, and this bank offered its existing customer with some penalty charges and reduced the interest rate.

Thanks & Regards
Ankit