A recent press report said that State Bank of India (SBI) has extended 25 basis point concessional home loan schemes till December this year.
Reports said that as per the scheme, SBI offers 25 bps discounts on interest rates on its card rate across the tenor of a floating home loan. The scheme was open till October 31, 2011, and has now been extended till December 31, 2011.
Reports also said that a concession of 0.25 per cent in the card interest rate over the tenor of the home loan is available under the ongoing special home loan campaign up to December 31.
The card rate is calculated according to the slabs as a premium above the bank’s base rate or the minimum rate of lending, which now stands at a competitive 10 per cent.
According to the scheme, a borrower will be charged an interest of 10.50 per cent as against the earlier 10.75 per cent on loans up to Rs 30 lakh. Similarly, a loan above Rs 30 lakh, but up to Rs 75 lakh, will attract an interest of 10.75 per cent, as per the new scheme.