Hi,
1)Recently I changed my company, my PF balance is about 4 lacs in previous company.
2)I have a home loan, outstanding amount is 21 lacs.
3)I calculated that if I withdraw PF amount (4 lacs), and pre-pay home loan with the same, I will save about 15 lacs in home loan payments (assuming 9.5% of avg. interest rate for tenure of 20 years.)
Question: Should I pre-pay the loan by withdrawing PF amount, or keep the amount in PF for my retirement? Any takers?