Guys, my bad days started the day I decided to switch my home loan to GIC Housing Finance Limited. At the time of acquiring me, they literally gave me a red carpet welcome(very low interest rate, were flexible enough to buy my loan despite the fact that my apartment was on Power of Attorney, etc). However, after acquiring me at 9%, within 4 months, they revised the rate of interest to 10.75%(it’s floating rate - GIC being a non-banking housing finance company has a liberty to do whatever). Mind you, this was done when other banks were reducing their rate of interest! Moral: GICHFL defies gravity! As on date, when other banks are giving loan at 10.5% or so, mine is at 11.75% and I am told verbally that it is likely to go up by 2%.They can upset all your calculations guys!
Worst was when they sent me a letter in December 2007 stating that they have revised the Rate of Interest to 11.75% WITH BACK DATE - JULY 2007! How can someone revise a rate of interest from back date and intimate to the’victim’ after 5 months! My numerous emails to their corporate HO in Mumbai and to Noida branch were not answered(or even acknowledged).
They did not explain to me why has this been done. I drew their attention to the fact that banks like Indian Bank are still charging just 9.75% p.a., but all of it fell on deaf ears. Please do NOT fall into their trap - they are worse than a private player.
Not even this, your property documents are highly unsafe with them - though they claim to keep them in’Fire Proof’ safe, a small investigation will prove that these safes are neither fire proof, nor do they have any mechanism or process to ensure document safety!
For any clarifications, call me at 9810228402.
UPDATE(September 2008): I am still with them, ant to my horror, I just realized that even their software that maintains calculations is bad! There is no clue of Rs 12500 in my account(while according to my bank statements, I paid 12, 500 more, they claim not to have recd it, though all cheques were debited from my acct in their name! Also, part payments that I have been making are not reflecting properly.e.g., last 3 months I paid them Rs 5k p.m. extra(as part re-payment), but they reflected only 7000(NOT 15000) and that too in the third month! I doubt if one can expect slightest of transparency from them.
Also, guys new to home loans should keep this in mind: If GIC charges 1.75% p.a. extra, it is not just few thousand rupees: it actually means that you could have paid the loan(with same EMI) about 3-4 years earlier! So, please try to take a loan from anyone - even ICICI or HDFC, but NOT GIC. Feel free to call me for any clarifications. To dispel any doubts, my file number is 2951 wth Noida branch.