Quick answer: LIC HFL charges a flat processing fee on home loans by loan size: ₹3,000 + GST up to ₹25 lakh, ₹5,000 up to ₹50 lakh, ₹7,500 up to ₹1 crore and ₹15,000 up to ₹5 crore. A separate technical (valuation) fee of ₹5,500 to ₹18,000 + GST applies. Both are in LIC HFL’s published fee schedule.
By Vijay Arjun V (B.Pharm, PGDM), authorised LIC HFL DSA since 2002 and DME (Direct Marketing Executive) appointed by LIC HFL. Fees checked against LIC HFL’s “Fees and other charges” schedule (updated up to January 2026) on 6 November 2026.
How much is the LIC HFL processing fee on a home loan?
For home loans, LIC HFL charges a fixed amount by loan size, not a percentage. GST at 18% is added on top.
| Loan amount applied | Processing fee | With 18% GST |
|---|---|---|
| Up to ₹25 lakh | ₹3,000 + GST | ₹3,540 |
| Above ₹25 lakh, up to ₹50 lakh | ₹5,000 + GST | ₹5,900 |
| Above ₹50 lakh, up to ₹1 crore | ₹7,500 + GST | ₹8,850 |
| Above ₹1 crore, up to ₹5 crore | ₹15,000 + GST | ₹17,700 |
| Above ₹5 crore, up to ₹15 crore | ₹30,000 + GST | ₹35,400 |
| Above ₹15 crore | ₹50,000 + GST | ₹59,000 |
This applies to all of LIC HFL’s individual housing loan schemes: Griha Prakash (flat or house purchase), Griha Shobha, Griha Bhoomi (plot loans), Griha Suvidha, Griha Suvidha Asha, the housing part of Advantage Plus, and New Face Lift.
What is the technical fee?
The technical fee pays for the valuation of the property. It is charged on the loan amount sanctioned, for home loans and loans against property alike.
| Loan amount sanctioned | Technical fee |
|---|---|
| Up to ₹25 lakh | ₹5,500 + GST |
| Above ₹25 lakh and below ₹50 lakh | ₹7,000 + GST |
| Exactly ₹50 lakh (as listed) | ₹11,000 + GST |
| Above ₹50 lakh, up to ₹1 crore | ₹13,000 + GST |
| Above ₹1 crore, up to ₹5 crore | ₹18,000 + GST |
| Above ₹5 crore, up to ₹15 crore | ₹25,000 + GST |
| Above ₹15 crore | ₹35,000 + GST |
In LIC HFL approved (APF) projects, the processing fee is discounted and there is no legal and technical fee; see the LIC HFL approved projects in Hyderabad.
Example: what a ₹40 lakh home loan costs upfront
| Charge | Amount |
|---|---|
| Processing fee (₹25–50 lakh slab) | ₹5,000 |
| Technical fee (above ₹25 lakh, below ₹50 lakh) | ₹7,000 |
| CERSAI registration (loan above ₹5 lakh) | ₹100 |
| GST at 18% | ₹2,178 |
| Total paid to LIC HFL | ₹14,278 |
On top of this you pay government charges for registering the mortgage; see MODT charges in Telangana. For every cost of buying a flat, see home loan hidden charges.
Charges for loans against property and top-ups
Non-housing loans (Griha Vikas loan against property and top-ups, MY Office, MY Office-LAP and lease rental loans for individuals) carry a processing fee of 0.50% of the loan sanctioned, plus GST. Part of it is paid when you apply, as a minimum login fee:
| Loan applied | Minimum fee at login |
|---|---|
| Up to ₹50 lakh | ₹5,000 + GST |
| Above ₹50 lakh, up to ₹1 crore | ₹10,000 + GST |
| Above ₹1 crore, up to ₹5 crore | ₹20,000 + GST |
| Above ₹5 crore | ₹30,000 + GST |
See loan against property in Hyderabad and the LIC HFL top-up loan.
Other LIC HFL charges you should know
| Charge | When | Amount |
|---|---|---|
| CERSAI registration | At disbursement, once | ₹50 + GST up to ₹5 lakh; ₹100 + GST above |
| Rate conversion (rewriting) | When you switch to a lower rate | ₹3,000 + GST on home loans; 0.25% of the outstanding loan + GST to move from floating to fixed |
| Cheque, ECS or NACH bounce | Each time | ₹750 |
| Late EMI (penal charge) | On overdue instalments | 1.50% a month (18% a year) for up to 12 months of default; 1.75% a month (21% a year) beyond that |
| Re-validation of sanction | If your sanction must be renewed | ₹2,000 + GST, once |
| List of property documents | On request | ₹500 + GST |
| Photocopies of title documents | On request | ₹1,000 + GST |
| Document retrieval | When the loan is closed | ₹2,500 + GST |
| Safe custody | If you don’t collect documents within 60 days of closing all loans on the property | ₹2,000 + GST a month |
Prepayment and foreclosure: nil for individual borrowers on a floating rate. On a fixed-rate home loan, it is nil if you prepay from your own funds; if the money comes from another lender, LIC HFL charges 2% of the amount prepaid. See LIC HFL foreclosure charges.
Can you avoid the processing fee?
- Balance transfer: under LIC HFL’s Homecoming offer, moving a home loan from another lender has no processing fee (only the technical fee) for borrowers with a CIBIL score of 725+ and 18 months of default-free repayment. LIC HFL has communicated that it runs until 31 December 2026.
- Approved projects: buying in an LIC HFL approved (APF) project gets a processing fee discount and no legal and technical fee.
- Loan eligibility letter: if you want LIC HFL’s loan eligibility letter before choosing a property, the schedule lists a minimum processing fee of ₹2,000 + GST for it.
When do you pay the fees?
The processing fee is paid when your application is logged in at LIC HFL’s area office; the technical fee covers the property valuation. Pay only to LIC HFL, by the methods its office gives you, and keep the receipt. See the LIC home loan process, step by step.
Frequently asked questions
Is the LIC HFL processing fee a percentage of the loan?
Not for home loans. It is a flat fee by loan size, from ₹3,000 + GST up to ₹25 lakh to ₹15,000 + GST up to ₹5 crore. Loans against property and top-ups are charged 0.50% of the loan sanctioned, plus GST.
Is GST charged on the processing fee?
Yes. GST at 18% is added to the processing fee, the technical fee and most other charges.
Does Griha Suvidha have a different processing fee?
No. Griha Suvidha, Griha Suvidha Asha and plot loans follow the same home loan fee slabs.
Are there prepayment charges on an LIC HFL home loan?
None for individuals on a floating rate. On a fixed rate, none if you prepay from your own funds; 2% if you refinance from another lender.
What does a bounced EMI cost?
₹750 for each bounced cheque, ECS or NACH debit, plus a penal charge of 1.50% a month on the overdue instalment.
Sources: LIC HFL, “Fees and other charges” (fees updated up to January 2026), checked 6 November 2026; Homecoming offer terms as published on our Homecoming page. Fees can change; LIC HFL’s sanction letter states the fees that apply to you.
Hyderabad Home Loans is run by Elite Financial Services, an authorised Direct Selling Agent (DSA) of LIC Housing Finance Ltd. We process the loan login, documentation, and file presentation and structuring according to the most suitable scheme. We are appointed by LIC HFL, but the final decision lies with the credit appraisal team of LIC HFL.