Union vs LIC Balance Transfer, 2026.
Reviewed by Jay Patel· Last reviewed: stale
A ledger-columns read on Union Bank and LIC Housing Finance— rate, EMI, fee, fine print. Which one wins your file, not the pitch deck.
Union vs LIC — Balance Transfer Comparison
Key parameters compared side by side.
| Parameter | Union | LIC |
|---|---|---|
| Interest Rate (p.a.) | 8.3% – 9.1% | 8.3% – 9.2% |
| Processing Fee | 0.50% (max Rs 10,000) | 0.50% (max Rs 10,000) |
| Max Loan Amount | Rs 5 Cr | Rs 5 Cr |
| Max Tenure | 30 Years | 30 Years |
| Bank Type | Public Sector | NBFC |
| Founded | 1919 | 1989 |
| Headquarters | Mumbai | Mumbai |
Interest Rate (p.a.)
Union
8.3% – 9.1%
LIC
8.3% – 9.2%
Processing Fee
Union
0.50% (max Rs 10,000)
LIC
0.50% (max Rs 10,000)
Max Loan Amount
Union
Rs 5 Cr
LIC
Rs 5 Cr
Max Tenure
Union
30 Years
LIC
30 Years
Bank Type
Union
Public Sector
LIC
NBFC
Founded
Union
1919
LIC
1989
Headquarters
Union
Mumbai
LIC
Mumbai
Rates as of April 2026. Subject to change based on RBI policy and bank revisions.
EMI Comparison
Estimated EMI for Rs 50 Lakh balance transfer for 20 years at each bank's lowest rate.
Union
LIC
Feature Comparison
Key features offered by Union and LIC for balance transfer.
| Feature | Union | LIC |
|---|---|---|
| Attractive BT rates | ||
| Top-up available | ||
| Dedicated BT processing | ||
| Minimal documentation | ||
| Women borrower benefit | ||
| Free life cover | ||
| Quick BT processing |
Attractive BT rates
Top-up available
Dedicated BT processing
Minimal documentation
Women borrower benefit
Free life cover
Quick BT processing
Which Is Better — Union or LIC?
It depends on your priorities. Here is a quick guide.
Choose Union If...
- Government-backed (public sector bank)
- Lower maximum rate (9.1% vs 9.2%)
Choose LIC If...
- Trusted brand with strong balance transfer offerings
Still unsure? Contact Money Matrix Hub for a free personalised recommendation based on your income, credit score, and loan requirement.
Eligibility Comparison
General eligibility criteria for balance transfer at both banks.
Union Eligibility
- CIBIL score: 650+ preferred
- Min income: Rs 20,000 per month (salaried)
- Self-employed: 3+ years of business vintage
- Age: 21–65 years (salaried), 25–70 years (self-employed)
- Indian resident or NRI (with conditions)
Criteria may vary. Contact Money Matrix Hub for exact eligibility assessment.
LIC Eligibility
- CIBIL score: 700+ preferred
- Min income: Rs 25,000 per month (salaried)
- Self-employed: 3+ years of business vintage
- Age: 21–65 years (salaried), 25–70 years (self-employed)
- Indian resident or NRI (with conditions)
Criteria may vary. Contact Money Matrix Hub for exact eligibility assessment.
Frequently Asked Questions
Common questions about Union vs LIC balance transfer.
Which bank has a lower balance transfer interest rate in 2026 — Union or LIC?
Union currently offers a lower starting rate of 8.3% p.a. for balance transfer. However, the actual rate you receive depends on your credit score, income, and loan amount. Money Matrix Hub can help you get the best negotiated rate from both banks.
What is the maximum balance transfer amount I can get from Union vs LIC?
Union offers a higher maximum loan amount of up to Rs 5 Cr. Union offers up to Rs 5 Cr while LIC offers up to Rs 5 Cr for balance transfer.
Which bank charges a lower processing fee for balance transfer — Union or LIC?
Union charges a processing fee of 0.50% (max Rs 10,000), while LIC charges 0.50% (max Rs 10,000). Processing fees are often negotiable, and Money Matrix Hub can help waive or reduce these charges.
Should I choose Union or LIC for balance transfer in 2026?
The best choice depends on your specific needs. Union offers rates from 8.3%–9.1% with a max tenure of 30 years, while LIC offers 8.3%–9.2% with 30 years tenure. Contact Money Matrix Hub for a personalised comparison based on your profile.
Can Money Matrix Hub help me apply for a balance transfer from both Union and LIC?
Yes. Money Matrix Hub is an authorised DSA partner for both Union and LIC. We can submit parallel applications at no extra cost and help you pick the best sanction offer. Our service is 100% free for borrowers.
Also Compare Union vs LIC
Related Balance Transfer Comparisons
View Individual Bank Pages
Want Jay to compare your rate across 40+ banks?
Jay or Rushik will reply on WhatsApp — usually within a few hours. Free, no obligation.