With the festival season round the corner, banks have started cutting interest rates to attract customers.
The State Bank of Hyderabad (SBH) has launched a festive campaign, which runs from September 17 to December 31, for its home and car loan schemes.
The bank has slashed interest rates by up to 50 basis points on both these segments.
Further, no processing charges would be levied for car loans and there is a 50 per cent concession on charges for home loans, the bank said in a press release.
SBH has about 1484 branches across the country, where the offer will be valid.
In the home loan scheme, interest rate for loans up to Rs 30 lakh has been slashed from 10.75 per cent per annum to 10.50 per cent, and for loans above Rs 30 lakh, the rate is down from 11 per cent to 10.50 per cent.
The rate of interest is ‘floating’ and applicable for all tenors.
Now, for every Rs 1 lakh, the customer has to pay an EMI (equated monthly instalment) of Rs 915 for a 30-year loan, as against Rs 934 so far.
As for car loans, the rate for a seven-year loan has been reduced from 11.25 per cent to 10.75 per cent.
For every Rs 1 lakh, the customer has to pay an EMI of Rs 1,699 as against Rs 1,725 until now, the release said.