SBI cuts home loan rate

New Delhi, November 2

To cash in on the festive fervour, banks, including SBI and ICICI, have unveiled a host of benefits such as reduction in rates, waiver of processing fee and overdraft facility. SBI has further slashed interest rates by 0.15% for its home loans up to Rs 75 lakh, while ICICI Bank is offering overdraft facility along with home loan.

SBI home loans are the cheapest in the market and provide an excellent opportunity for both new home buyers as well as those who wish to switch over their home loan to SBI to save on EMI, the bank said. SBI home loan would be available at 9.15% while women borrowers will get it at 9.1%.

Another market major ICICI Bank is offering the salaried having an account with it, credit from Rs 5 lakh going up to Rs 1 crore against property owned by them. The product, ‘ICICI Bank Home Overdraft’, will offer dual advantage of a term loan as well as an overdraft facility, the bank. Beginning from a minimum of Rs 5 lakh to a maximum of Rs 1 crore, customers will have the facility to avail a minimum 10 per cent of the total amount as term loan and maximum 90% as overdraft.

ICICI Bank said the interest on term loan would be charged as per the equated monthly instalment, while on the overdraft the charges will be only on the utilised amount for the period the funds are used.

On a home loan of Rs 50 lakh, reduction in interest rate by 0.15% by SBI will help a home buyer save Rs 542 per month and approximately Rs 2 lakh during the loan tenure of 30 years, SBI said. — PTI