Hello ,
I have taken a loan of 22 lacs from LIC running since last four years.At present outstanding loan is 20 lacs. Current interest rate is 11.75, too high.
I am planning to switch this loan to SBI, which is offering loan at interest rate of 10.15.
When I contacted LIC for loan switch they asked me to take another loan(top up) of 10 lacs from LIC at 10.10% for 2 years and do partial payment of the precious loan.
I can pay repay 50,000 per month along with my existing loan.I would like to close my loan in 2 years. What should I do , switch the loan or stay with LIC ?