The state owned, Oriental Bank of Commerce has slashed interest rate on home loans up to Rs 30 lakh by 0.1 per cent.
The bank will now provide home loans at 10.40 per cent with an EMI of a slow as Rs 937 per lakh. This is as a New Year gift to the bank's customers, OBC said in a statement.
The base rate or the minimum lending rate of the bank is also 10.40 per cent.
Besides, the bank has also slashed margin for home loans above Rs 20 lakh to 20%, it added.
For loans below Rs 20 lakh, margin will be 15%.
On the deposit side, the bank has waived off penalty on premature withdrawal on its fixed deposit schemes for all maturities.
Yesterday, private sector HDFC Bank slashed its benchmark lending rates by 0.1%.
The base rate the bank was reduced to 9.7% from 9.8%. At the same time, the benchmark prime lending rate (BPLR) of the country's second largest private bank was also slashed by similar margin to 18.20%.