SBI reduces rates by 0.1% for home loans above Rs 75 lakh

Last Updated: Fri, Jun 09, 2017 18:46 hrs
SBI Chair Bhattacharya smiles during a product launch in Mumbai

Largest home loan provider State Bank of India (SBI) on Friday revised its interest rates as it reduced 10 bps (0.1%) for properties above Rs. 75 lakhs.

Being the second reduction in interest rates in the last two months, SBI has revised interest rates by 8.55 percent per annum for salaried women borrowers, and for others the rate of interest will be 8.60 percent per annum.

Earlier, the country's largest lender had reduced its interest rates by 25bps (0.25%) on April 09.

"SBI has always been at the forefront in keeping the customers benefit first. This interest rate reduction will help home buyers come closer to their dream home," said MD National Banking SBI, Rajnish Kumar.

However, he added that taking a cue from the recent RBI reduction in risk weightage on home loans, SBI is passing on the benefit to its customers by reducing its interest rates on home loan above Rs 75 lakhs.

In line with the government's push on affordable housing, State Bank of India or SBI has announced offering an interest rate of 8.35 per cent on home loans up to Rs. 30 lakh, where buyers could also avail an interest subsidy up to Rs. 2.67 lakh under the Pradhan Mantri Awas Yojana, a government scheme aimed at providing subsidized housing loans to the low and middle income groups.

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