The largest lender of the country, State Bank of India may continue with its teaser loan scheme even after its September deadline.
According to SBI managing director S K Bhattacharya, the scheme has proved to be a profitable one for the bank and the bank finds no reason to drop the plan.
"Why shouldn't we continue with the scheme?" Mr Bhattacharyya said. We received overwhelming response from borrowers and we are happy what we did," he added.
The current teaser loan scheme offers 8% interest during the first year, 9% for the second and third years of the loan and 1.75% above base rate from fourth year onwards for loans amounting upto Rs 50 lakhs.
Bhattacharya said that the final decision on this issue would however be taken at the asset-liability committee meeting of the bank at the end of this month.