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LIC Housing Finance Limited (LIC HFL) Home Loan

NBFC / HFC

LIC Housing Finance is India's largest HFC and a subsidiary of LIC. It offers competitive rates starting at 7.15% and has more flexible underwriting than most banks, making it a fallback for profiles that banks decline.

7.15%

Starting rate

10.25%

Max rate

0.25% – 0.50% of loan

Processing fee

30 yrs

Max tenure

Rates as of 2026-04-16. RBI repo rate 5.25%. Best available new-customer rate across all tracked lenders: 7.15%.

Already have a LIC Housing Finance home loan?

If your current LIC Housing Finance rate is above 7.15%, you are paying more than what LIC Housing Finance is offering new customers today. The gap could be anywhere from 50 to 310 basis points depending on when you took the loan and which benchmark it is on.

Check my overpayment Rate reset letter for LIC Housing Finance

Products offered

LIC HFL Home Loan
LIC HFL Balance Transfer
LIC HFL Plot Loan
LIC HFL Home Extension
LIC HFL Top-Up

Best for: Borrowers who value the LIC brand trust and need accommodating underwriting for slightly weaker profiles.

Strengths and weaknesses

+ India's largest housing finance company by AUM.

+ More accommodating underwriting than banks for self-employed and non-standard income profiles.

+ Entry rate of 7.15% is competitive with PSU banks.

- Processing is branch-heavy and slower than private banks.

- Customer service complaints are common on consumercomplaints.in, especially around foreclosure timelines.

Rate reset at LIC Housing Finance

LIC HFL rate resets are processed through the branch. The conversion fee is 0.25% to 0.50% of outstanding. For borrowers on the old PLR benchmark, switching to EBLR is the bigger win.

Get the rate reset letter template

Balance transfer friction

Medium friction

Leaving LIC Housing Finance involves some retention friction. Expect a call from a retention officer. Getting a competing sanction letter before you ask for the foreclosure letter speeds the process up.

Read the foreclosure charges guide

LIC Housing Finance Limited (LIC HFL) home loan at a glance

Lender type	NBFC / HFC
Headquarters	Mumbai
Regulator	NHB (under RBI oversight)
Floating rate range	7.15% to 10.25% (EBLR-linked)
Processing fee	0.25% – 0.50% of loan
Max tenure	30 years
Max loan amount	No upper limit
Prepayment charge	Nil on floating rate
Balance transfer friction	medium
Official website	www.lichousing.com

Data as of 2026-04-16. Rates are for salaried borrowers with CIBIL 750+. Verify with LIC Housing Finance for profile-specific quotes.

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