If I go in for a pre approved home loan, will i be charged a loan processing fee?
Yes banks charge a loan processing fee for pre-approved home loan. The fee is forfeited if you do not opt for a home loan before the deadline period. Since a pre-approved home loan does not guarantee a home loan, you will have to pay again for the loan processing fee if you apply for a loan after the deadline period of preapproved loan.
Whether your Home Loan was pre-approved or not, you will have to pay a processing fee to process your application. In order to sanction a Home Loan, the bank has to conduct several checks such as legal verification of the property documents and assessing the Credit history of the borrower. The bank will incur costs for such checks and the customer will have to bear these costs in the form of processing fees.