Earlier known as Jumbo cash, HDFC Insta Jumbo Loan is a pre-approved loan that is provided above the credit limit on your HDFC Credit card. The loan amount is not blocked against the credit limit.
A jumbo loan, also known as a non-conforming loan, is a type of mortgage that exceeds the conforming loan limits set by the national mortgage giants Fannie Mae and Freddie Mac. The current conforming loan limit for most of the United States is $647,200. Loans above that amount are considered jumbo loans.
HDFC Bank, one of the largest private banks in India, offers jumbo loans under the name “HDFC Insta Jumbo Loan”. This loan is given over and above the credit limit of select HDFC Credit Card holders It provides quick access to funds for various needs like home renovation, wedding expenses, travel, etc
Key Features of HDFC Insta Jumbo Loan
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Pre-approved loan: HDFC Insta Jumbo Loan is a pre-approved loan offered to select credit card customers based on their creditworthiness. Customers may get an SMS informing them about their eligibility.
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Over and above credit limit The loan amount is not blocked against the credit card limit The entire credit limit continues to remain available for use
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Quick disbursal: The loan amount gets credited quickly into the customer’s HDFC Bank savings account on approval.
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Flexibility: Customers can choose a repayment tenure from 12 months to 60 months.
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Online application: Customers can apply for this loan online through Netbanking without visiting a branch.
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Competitive interest rates: HDFC Bank offers attractive interest rates starting from 1.25% per month on this loan.
Eligibility Criteria
To be eligible for HDFC Insta Jumbo Loan, the applicant must satisfy the following criteria:
- Must be an existing HDFC Credit Card holder
- Must have a savings/salary account with HDFC Bank
- Must have a good credit score
- Must meet the income eligibility criteria set by HDFC Bank
HDFC Bank reserves the right to determine final eligibility as per its internal policies.
Loan Amount
HDFC Insta Jumbo Loan offers funding between Rs. 1 lakh and Rs. 20 lakhs. The final loan amount sanctioned depends on the applicant’s eligibility, credit profile, income, etc.
Interest Rates
HDFC Bank charges interest @1.25% per month on this loan. This translates to an annual percentage rate of 15%.
No processing fee is charged for loan applications made online. For offline applications, a processing fee of Rs. 999 is applicable.
GST is applicable on processing fees and pre-closure charges.
Repayment Tenure
Customers can choose a flexible repayment tenure between 1 year and 5 years for repaying the loan. The available repayment tenures and indicative EMIs for different loan amounts are:
| Loan Amount | Maximum Tenure | Indicative EMI |
|---|---|---|
| Rs. 1 Lakh | 12 months | Rs. 8,800 |
| Rs. 3 Lakhs | 36 months | Rs. 9,500 |
| Rs. 5 Lakhs | 48 months | Rs. 13,000 |
| Rs. 10 Lakhs | 60 months | Rs. 22,000 |
Longer the tenure, lower is the EMI outflow per month.
Repayment
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The EMI includes principal and interest amount.
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Interest is calculated on a reducing balance method.
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Auto-debit for EMI is set up from the customer’s HDFC Bank savings account within 7 days.
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Separate monthly statement is sent for the Jumbo Loan account having same billing cycle and due dates as primary credit card.
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Prepayment and part-payment is not allowed. Customer has to pay the full EMI on due date.
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Loan foreclosure charge is 3% of outstanding principal.
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On loan closure, applicable interest and credit card dues should be cleared.
Documents Required
Since HDFC Insta Jumbo Loan is a pre-approved loan, no income proof or documents are required. Basic KYC documents may be sought in some cases.
How to Apply
Existing HDFC Credit Card holders can apply for this loan in 3 simple steps:
Step 1: Log in to HDFC NetBanking and go to ‘Accounts’ section.
Step 2: Under ‘Apply for Loan’ section click on ‘Insta Jumbo Loan’.
Step 3: Fill in loan details like amount, tenure, etc. and submit the application online.
Within a few hours, the loan amount will get credited to the applicant’s savings account on approval.
Uses of Loan Amount
HDFC Insta Jumbo Loan provides quick access to funds for various needs like:
- Home renovation
- Wedding expenses
- Travel or vacation
- Higher education
- Medical treatment
- Debt consolidation
Customers should use the loan for productive purposes and not for speculative investment.
Advantages of Availing HDFC Insta Jumbo Loan
- Quick and paperless approval
- Competitive interest rates
- Flexible repayment tenors
- Online application through NetBanking
- Loan over and above credit card limit
- Funds credited to savings account within hours
HDFC Insta Jumbo Loan is a pre-approved personal loan offered to select HDFC Credit Card holders based on their credit profile. It offers quick access to funds and provides flexibility in its use. With minimal documentation and quick disbursal, it provides an instant financing solution for various needs. However, financial discipline is required in repaying the loan as per the chosen tenor to avoid penalties. With prudent use and timely repayment, an Insta Jumbo Loan can be an useful financing tool for customers.
HDFC Insta Jumbo Loan Repayment Options and Tenure
A new card number is created for Insta Jumbo Loan account and a separate monthly statement is sent for the account. But the billing cycle and the payment due date is the same as your credit card account. The EMI will be billed in the monthly account statement which starts from the immediate billing cycle date. Auto pay option for the Insta Jumbo Loan account will be activated from 7 days from the date of booking the loan.
Your savings account will be debited for the total amount due on the payment due date as indicated in the monthly statement or within 5 working days from the payment due date. You will however have to maintain sufficient balance in your savings account before the payment due date.
EMI amount is calculated using the reducing balance method and the amount that is payable every month is as follows. The interest rate is calculated at 1.25% per month:
|
Month |
Loan amount of Rs.50,000 |
Rs.1,00,000 |
Rs.2,00,000 |
Rs.3,00,000 |
Rs.4,00,000 |
Rs.5,00,000 |
|
60 |
Rs.1,189 |
Rs.2,379 |
Rs.4,758 |
Rs.7,137 |
Rs.9,516 |
Rs.11,895 |
|
48 |
Rs.1,392 |
Rs.2,783 |
Rs.5,566 |
Rs.8,349 |
Rs.11,132 |
Rs.13,915 |
|
36 |
Rs.1,733 |
Rs.3,467 |
Rs.6,933 |
Rs.10,400 |
Rs.13,866 |
Rs.17,333 |
|
24 |
Rs.2,424 |
Rs.4,849 |
Rs.9,697 |
Rs.14,546 |
Rs.19,395 |
Rs.24,243 |
|
12 |
Rs.4,513 |
Rs.9,026 |
Rs.18,052 |
Rs.27,077 |
Rs.36,103 |
Rs.45,129 |
The monthly due includes EMI and service tax on the interest amount of the EMI.
You can also make use of the EMI calculators available online to determine the EMI amount that is due each month. You will just have to choose the type of loan that you are applying for and entering the required loan amount, then choose the repayment term and finally enter the interest rate charged each month and then hit the calculate button. You will get a complete detail of the EMI that you will be paying each month for the repayment term.
Eligibility Criteria for HDFC Insta Jumbo Loan
The HDFC Insta Jumbo Loan can be availed by:
- HDFC credit card customer who have an active HDFC Bank savings account.
- You can check your eligibility through net banking, phone banking or you can call the sales officer through your registered contact number or you will be informed via SMS to your registered contact number.
Read more info on
HDFC Jumbo Loan Hidden Charges & Fees | Complete Calculation | How To Reduce processing fees in Loan
FAQ
Who is eligible for HDFC Jumbo loan?
Only HDFC Credit card customers are eligible for the loan and the bank reserves the right to decide the eligibility. CIBIL verification will be after you have submitted the application form. Separate monthly statement will be sent to for the loan. EMI will include the principal amount as well as the interest amount.
What is the limit of HDFC jumbo loan?
HDFC Bank Savings Account holders can get multiple loans on their credit cards. Non- HDFC Bank Savings Account holders can avail only 2 Insta Jumbo Loans at any point of time. Get loan upto ₹10 Lakhs with a tenure of up to 60 months, secured with insurance against unforeseen accidental death.
Who is eligible for a jumbo loan?
700+ credit score
A jumbo loan may require a minimum 700 credit score, which is significantly higher than the minimum required for conventional or government-backed loans.
What is the jumbo loan processing fee for HDFC Bank?
Pre-Closure Charges
Insta Loan & Jumbo Loan Processing Fee: Up to ₹1,299 (Exclusive of GST for all loan amounts) depending on the customer’s eligibility/offer details.