Cancelling an SBI Home Loan Abroad: A Comprehensive Guide

Cancelling a home loan from SBI while living abroad can be a complex process, but understanding the steps involved can simplify the journey. This article provides a detailed guide to help you navigate this process from start to finish.

1. Gather Required Documents

Before initiating the cancellation process, ensure that you have all the necessary documents in hand:

Loan Account Number Identity Proof - Passport, Aadhar card, etc. Address Proof Original Loan Documents (if required) NOC (No Objection Certificate) from the bank (if applicable) Prepayment Request Form (if closing the loan early)

2. Contact SBI Customer Service

Reach out to SBI's customer service or your relationship manager via email or phone. Explain your situation and request guidance on closing the loan from overseas. Confirm the outstanding principal and any applicable penalties for early closure.

3. Submit Prepayment Request

If you are closing the loan early, submit a formal request for prepayment. This can often be done via email or through the SBI online banking portal, depending on your access.

4. Make the Payment

Arrange for the payment of the outstanding amount. Use a reliable method for crossing international borders such as:

International wire transfer Foreign currency remittance through authorized channels

Keep a record of the transaction for your records.

5. Submit Closure Request

Send a closure request to the SBI branch where the original documents were submitted. This may include:

A signed closure request letter Proof of payment transaction receipt

You might need to send these documents via postal service or through a secure email if allowed.

6. Receive Closure Confirmation

After the bank processes your request, they will send you a confirmation of loan closure. This may include:

A closure letter Details of the final payment Any remaining original documents or title deed (if applicable)

7. Follow Up

If you do not receive confirmation within a reasonable timeframe, follow up with the bank to ensure that the loan has been officially closed.

8. Keep Records

Maintain copies of all correspondence, payment receipts, and the closure confirmation for your records.

Additional Tips

Power of Attorney (POA): If you are unable to complete any of these steps personally, consider giving a trusted person in India a Power of Attorney to act on your behalf.

Online Services: Check if SBI offers any online services or mobile banking options that could simplify the process.

By following these steps, you should be able to successfully cancel your SBI home loan while living overseas.