The biggest lender in the country, State Bank of India may carry on offering its teaser loan scheme even after September is over.
SBI MD, S K Bhattacharya said the teaser home loan scheme has turned out to be very profitable to the bank and there is no reason why the bank should stop it.
According to managing director, the scheme has proved to be a profitable one for the bank and the bank finds no reason to drop the plan.
Mr Bhattacharyya said, “Why shouldn’t we continue with the scheme?. We received an overwhelming response from borrowers and we are happy with what we did”.
Under the present teaser loan scheme, the bank charges 8% interest for the 1st year, 9% for the 2nd and 3rd years of the loan and 1.75% more than the base rate from 4th year onwards for loans worth up to Rs 50 lakhs.
Bhattacharya said that however the ultimate decision on this subject would be taken at the meeting of the asset-liability committee of the bank at the end of this month.
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