Background : I had taken a floating housing loan from syndicate bank in 2006. I am planning to switch over to SBI Maxgain .
Syndicate bank manager said that i would need to pay a foreclosure charge of 1% in case the loan is taken over by another bank . (This is mentioned in my sanction letter of 2006). However i have been reading that RBI has abolished pre-penalty charges. Does this also apply for takeover of loans by another bank?