State-run Bank of Baroda (BoB) on Saturday announced a 15 basis points reduction in its repo-linked lending rate to 6.85 per cent from 7 per cent earlier, effective November 1. The lender's retail loans- home loan, mortgage loan, car loan, education loan and personal loan are linked to its Baroda Repo Linked Lending Rate (BRLLR).
Earlier ahead of the festive season, the bank had announced concessions in interest rates on home loan and car loan. With the current revision in BRLLR, home loan rates will start at 6.85 per cent and car loan rates at 7.10 per cent, mortgage loan rates at 8.05 per cent and education loan rates at 6.85 per cent, the bank said in a release.
Meanwhile, another public sector lender, Union Bank of India (UBI) said it has slashed its interest rate by 10 basis points for home loans above Rs 30 lakh. The bank in a release said women borrowers will get further concession of 5 basis points in rate of interest over and above this reduction for such loans. The new rates are effective from November 1.
With this revision, men borrowers with a credit score of above 700 will be offered home loans at 7 per cent. The lender further said it will not be charging any processing fee on home loans till December 31, 2020.
In addition to this, UBI also waived legal and valuation charges up to Rs 10,000 in case of take-over of home loans by it. The bank also said there are no processing charges for car and educational loans.