Loan Foreclosure in My Account: Steps and Charges

Loan foreclosure means closing your loan early by paying the entire outstanding amount in one instalment, instead of continuing with your regular EMIs until the end of the tenure. It is also called full prepayment. If you have surplus funds, such as a bonus or windfall, you can use them to foreclose your loan and become debt-free sooner. Foreclosing early can reduce the total interest you pay over the life of the loan, since interest is no longer charged once the loan is closed. However, it is worth checking your loan's remaining tenure and any applicable charges before deciding, since foreclosing very close to the end of your tenure may not offer much saving.

1. Sign in to the Bajaj Finance customer portal or app using your registered mobile number and OTP.
2. Verify your details using your date of birth.
3. Go to the "Service" section and select "Full Payment" or "Foreclosure."
4. Choose the loan account you wish to close.
5. Review the total foreclosure amount displayed, which includes your outstanding principal and any applicable charges.
6. Complete the payment through the secure online payment gateway.
7. Once payment is successful, your loan account is marked as closed.

You can download your No Dues Certificate and NOC, typically within 48 hours of your foreclosure being processed.

Foreclose your loan account

If during your loan tenure, you have surplus funds, you can foreclose your loan by paying the outstanding amount. You can foreclose your loan at any point after your first EMI, however, you may be asked to bear a foreclosure charge.

Here are the steps you can follow for loan foreclosure

To foreclose your loan account:

• Visit our Service portal by clicking the ‘Sign-in’ button. 
• Enter your registered mobile number, and submit the OTP to sign-in. 
• Verify your details with your date of birth and proceed. 
• Go to 'Service’ section, and select your loan from ' Your Relations.' 
• Click on 'Make loan payments', and select 'Full payment/Foreclosure' option and click on "proceed to payment"
• Select your preferred payment mode and click on ‘Pay now’.

You can also click on ‘Foreclose your loan’ to sign-in. Once signed-in, select ‘‘Full payment/ foreclosure‘’ from the list of options, choose your loan account, and proceed with the payment. You can download your no dues certificate within 48 hours of foreclosure.

Foreclose your loan

What happens to your NOC and documents after foreclosure

Once your foreclosure payment is successfully processed, your loan account is closed, and you can download your No Dues Certificate and NOC through the customer portal or app, typically within 48 hours. For secured loans, where you have pledged property or another asset, Bajaj Finance is required to release your original documents and remove any registered charge within 30 days of full repayment, as per RBI's guidelines on timely release of collateral documents. Keep a copy of your foreclosure confirmation and these documents safely, since they serve as proof that your loan has been fully closed.