The loan market in India has witnessed a substantial dip in interest rates after the Reserve Bank of India relaxed policies and cut down its rates for infusion of cash into the economy. The steps were aimed to facilitate the economic recovery after the COVID-19 pandemic and encourage people to make big purchases. Now, ahead of the grand festive season in India, many banks including SBI, ICICI Bank, PNB, Bank of Baroda, Yes Bank and Kotak Mahindra Bank are offering home loans at attractive discounted interest rates. So, if you have been looking to buy a new house this season, these discounted interest rates could help you save on the deal. Here’s a list of banks that have cut their home loan interest rates ahead of the festive season.
State Bank of India
Leading the charge is India’s largest public-sector lender SBI. The bank is offering credit-linked home loans starting at just 6.70 per cent. This is irrespective of the quantum of the loan amount. Earlier borrowers had to pay an interest rate of up to 7.15 per cent for loans over the Rs 75 lakh bracket. Additionally, there’s no processing fee in some cases and the interest rates are applicable to even balance transfer cases.
Punjab National Bank
Home loan interest rates have also been slashed by another public sector bank, PNB. For loans up to Rs 50 lakh, the bank has cut the interest rate down by 0.50 per cent to 6.60 per cent. PNB also claims that the home loan offered by them is also the lowest among public sector banks
Bank of Baroda
Under its special offer, Bank Of Baroda is offering a 0.25 per cent waiver to its existing home and car loans. Additionally, the bank is offering a processing waiver and the interest rate for fresh home loans start at 6.75 per cent.
YES Bank has lowered its home loan rates to 6.7 per cent per annum for the festival season. Further, the bank has also introduced a special 90 days offer under which, it will provide an additional 0.05 per cent benefit for salaried women home buyers. The effective interest under this offer will be 6.65 per cent
Kotak Mahindra Bank
Kotak Mahindra Bank is offering home loans at interest loans as low as 6.50 per cent. These interest rates are part of the bank festive offer and are available from September 10 further till November 8.
Home loans interest rates for ICICI bank customers start at 6.70 per cent with processing fees starting at Rs 1,100 for new home loans as well as balance transfer of home loans from other banks.