Private sector lender, HDFC Bank following the RBI's rate cut has decided to cut its auto loan rates by up to 0.5 per cent.
The car loan interest rate will be lowered by 0.25 per cent, while two-wheeler loans will be cheaper by 0.5 per cent, a senior bank official said.
The loans for commercial vehicle segment will be lowered by 0.25 per cent. The Bank is currently offering car loans between 10.75 per cent and 11.75 per cent. Post-rate cut, the range would be 10.5-11.5 per cent for a repayment period between 36 and 60 months.
The new rates will be effective from February 1st, 2013, the senior banking official added.
Last month, the bank had reduced its base rate by 0.1 per cent to 9.7 per cent, the lowest in the market.
At the same time, the benchmark prime lending rate (BPLR) of the bank was also slashed by a similar margin to 18.20 per cent.