NEWS & ADVICE : HOME LOANS
SBI rolls out new schemes on home loans
By Joseph Samson
Jul 3, 2009
Print    Email    RSS   

Country largest lender, State Bank of India has introduced SBI Easy Home Loan and SBI Advantage Home Loan products to stimulate demand in the housing loan segment. The processing fee on both the loan schemes have been waived till September 30.

SBI Easy Home scheme

Under the SBI Easy Home scheme the bank will extend home loans of up to Rs 30-lakh. The interest payable under this scheme will be based on daily reducing balances at a fixed rate of 8 percent p.a. for the first year. The interest rate for second and third year is fixed at rate of 9 percent p.a. and subsequently, customers can opt for FRR at 2 per cent below the benchmark prime lending rate of the bank and at fixed rate of 1 percent below BPLR with a five year reset.

SBI Advantage Home

The SBI Advantage Home targets premium segment buyers with loan offer amounting above Rs 30-lakh. Under this scheme, the bank will offer loan at a fixed rate of 8 percent p.a. for the first year, at 9.5 percent p.a. for the second and third years, and subsequently the customers at their discretion, can opt for floating interest rate at 1 percent below BPLR and at a fixed rate of 0.5 percent below SBAR with a reset of five-years.

Indicating the scheme advantage, the bank said that "interest rates are fixed for 36-months, enabling the customer fo firm up his outflows. The risk of rise in interest rate is eliminated in the medium-term."

The bank revised its BPLR, State Bank Advance Rate (SBAR) lowering it by 50 basis point to 11.75 percent from the earlier 12 percent, in effect from June 29, 09.

The bank has the home loans portfolio of over Rs 56,000-crore. During 2008-09, the growth in home loans segment was Rs 9,370-crore, which is an increase of 21 percent over the previous fiscal.

 


(Comments Posted : 0) Post Your Comments
Show All Comments
COMPARE QUICKLY
 Select a product:
 

CALCULATE QUICKLY
 Select a product:
 

EDITORS' PICKS
If the interest rate is same, how do you...
Carnival of Indian Personal Finance Blogs#10
Mortgage insurance’s relevance in India
Home Loan: A way to reduce your taxable...
Home Loan Agreement: An important aspect...


PINJORE: CaℒL Giℛℒs In PiNjOrE 09915787550...
PINJORE: CaℒL Giℛℒ In PiNjOrE 09915787550...
how to gate my home loan certificate

NEWS THIS WEEK
Canara Bank earned a profit of 60%. Feb 6, 2015
New Branch of Laxmi Vilas bank at Vijayawada Jan 30, 2015
Home loan EMIs expected to drop down Jan 21, 2015
Corporation Bank received MSME banking excellence award 2014 Jan 19, 2015
Home loan rates set to fall, after reduction in repo rate Jan 16, 2015
News Archive