According to a recent press release, ICICI bank has announced that it would lend home loans at a fixed rate for the first two years.
The interest rates would remain fixed for the first two years and after two years the rate would be converted into floating interest rate. The Base rate and Margin would be decided at the time of sanctioning the loan.
The fixed rates vary according to the amount of the home loan to be borrowed. The fixed rate for loans up to Rs. 2.5 million would be 10.75 per cent, the rate for loan amount ranging between Rs.2.5 million to Rs. 7.5 million would be 11.25 per cent and that for loan amount exceeding Rs. 7.5 million would be 11.75 per cent. The entire ICICI bank floating home loan is benchmarked to Base – I which is 10.0 per cent.
ICICI Bank is the second-largest bank in the country having total assets of Rs. 4,062.34 billion as on March 31, 2011 and profit after tax Rs. 51.51 billion for the year ended March 31, 2011. The Bank has a network of 2,538 branches and 6,810 ATMs across the country.