SBI lowers interest rates for home loans to 6.70%. Details inside
New Delhi: India’s largest commercial lender, the State Bank of India (SBI), has cut interest rates on home loans. The bank now offers interest rate concessions of up to 70 basis points (bps) with interest rates starting at 6.70%. This is a limited time offer ending March 31st.
The lender also gives 100% exemption from processing fees. The interest concession is based on the loan amount and the borrower’s CIBIL score. SBI believes it is important to extend better rates to customers with a good repayment history.
SBI interest rates for home loans are linked to the CIBIL score and start at 6.70% for loans up to Rs 75 lakh and 6.75% for loans above Rs 75 lakh. Saloni Narayan, DMD (Retail Business), SBI said, “Our customers have complete confidence in us because of our total transparency. The reduced interest rates are one of the best home loan interest rates anyone could wish for. “
According to the public sector lender, customers can also apply from the convenience of their home through the YONO app to get an additional 5bp interest concession. On the eve of International Women’s Day, a special 5 basis point concession will be made available to female borrowers.
State Bank of India is the largest commercial bank in terms of assets, deposits, branches, customers and employees. It is also the country’s largest mortgage lender. The bank’s mortgage portfolio has passed the milestone of Rs 5 lakh crore. As of December 31, 2020, the bank has a deposit base in excess of Rs 35 lakh crore and advances in excess of Rs 26 lakh crore with a CASA ratio of approximately 45%. SBI has a market share of more than 34% in home loans and about 33% in the auto loan segment.
It’s worth adding that SBI has completely waived processing fees until March 2021 for clients using home loans in SBI-approved projects. The bank said it is also working on topics such as targeted development of the home loan business, refined analytics for driving growth, facilitating the home loan path for customers, and post-payout engagement with home loan customers.