I had applied for a SBI preapproved home loan. I have submitted signed application form and photocopy of documents but nothing else. The application is still under processing.
Now I've changed my mind about buying the property and also have to fly out of the country on job assignment. My understanding is that I do not have any liabilities until the loan is actually disbursed and thus do not need to do anything other than declining to sign disbursal form.
But I just want to confirm if I have any legal liabilities at this point that would require a formal cancellation. Or would there be any penalties applicable (loan processing fee was zero so would bank try to recover its costs)?
