HDFC and other banks slash home loan rates ahead of Diwali
Banks have started making home loans cheaper as soon as Diwali draws near. Many banks have already reduced their interest rates, now many banks have reduced home loan rates as early as November. If you too are thinking of taking home, then you have a great chance now. Home loans of many banks are less than 7%.
HDFC reduced home loan
Now private bank HDFC has reduced retail prime lending rates (RLLR) by 10 basis points i.e. 0.10 per cent. The reduced rates on home loans are applicable from today (10 November). The benefit of reduced rates will be extended to all existing HDFC home loan customers along with new customers. According to HDFC website, the home loan interest rate is starting from 6.90.
The public sector bank of Maharashtra has also cut its interest rate. Taking a bank loan has become cheaper now. Bank of Maharashtra lowered the repo rate linked loan interest rate (RLLR) by 0.15 percent. It is now 6.90 percent. The bank said that its retail and MSME loans are linked to the interest rate of the loan linked to the repo rate. The new rates have come into effect from 7 November.
Bank’s executive director Hemant Tamta said that the reduction in interest rate will make our home loan, car loan, gold loan, education loan and personal loan as well as MSME loan more attractive and cheaper. Earlier due to the festival season, the bank had waived processing charges on home, auto and gold loans.
Bank of Baroda reduced rates
Earlier, state-run Bank of Baroda also cut its repo rate linked rates (RLLR) by 0.15%. After which the home loan rates have come down to 6.85%. The reduced rates have come into effect from 1 November.
Canara bank reduced interest rates
Canara bank, the government sector bank, had cut the Marginal Cost of Lending Rates (MCLR) from 0.05 to 0.15 percent. The changed rates have come into effect from 7 November. MCLR has been cut by 0.05 percent on 1 year loan from the bank. Now the new rates have come down from 7.40 percent to 7.35 percent.
Home loan become cheaper in Union Bank of India
Union Bank of India, another state-run bank, has reduced interest rates for different categories of home loans. The bank has cut interest rate on home loans above Rs 30 lakh by 0.10 percent.
If women take a home loan from the bank, then they will also get an additional rebate of 5 basis points. Union Bank’s home loan starts at 7%. The bank is not even charging processing fees till 31 December.
