Under Home Loan Balance Transfer facility, existing home loan borrowers can transfer the outstanding loan amount of their existing home loan to a new bank/loan institution at a lower interest rate or for a longer tenure. Lower interest rates offered on home loan balance transfer, it also reduces your interest cost i.e. you have to pay less interest amount. This facility is especially beneficial for those who had taken home loans at higher interest rates and are now being offered loans at lower interest rates due to changes in market conditions, or because your credit profile has improved.

Just like you top up your phone balance, top-up loan is an additional/extra loan amount which is taken on top of the existing home loan. The bank or financial institution offers this facility to its existing home loan customers. Home loan tenures vary and loan top-up can be for 20-30 years depending on the tenure of your home loan.