The home loan of the country's largest lender State Bank of India (SBI) has become cheaper. The bank said on Friday that it would cut home loan rates by up to 0.30 percent. Also, the bank will not charge any processing fees from new customers.
Female customers will get an additional discount of 0.05% in the rate. At the same time, a 0.5% discount will be given to those who apply from the bank's YONO app. The new rates are applicable till the end of March this year. However, the bank said that the new interest rates on home loans will be linked to the customer's CIBIL score.
This means that the customer whose CIBIL score will be better will have to pay less interest. SBI said that the interest rate for loans up to Rs 30 lakh after deduction will start from 6.80 percent and for loans above 6.95 percent.
In a statement, the bank said that to offer attractive concessions to home buyers, it has decided to cut 30 basis points on home loans, 100 percent discount on processing fees, and five percent discount on the interest rates for women customers. Loans up to five crores in eight metro cities have also been cut by up to 0.30 percent.