The Pune-headquartered Bank of Maharashtra also announced a reduction in the interest rate on personal loans to 8.9 percent from the current 11.35 percent. The new rates have come into effect from Monday (October 17, 2022). The bank has already waived off processing fees for home loans and car loans under the ‘Diwali Dhamaka’ offer.
Bank of Maharashtra launches festive home loan offer
government bank, Bank Of Maharashtra (BOM) announced on Sunday to reduce the interest rate on home loans to eight percent under its festive discount. This bank currently offers home loans at rates starting from 8.3 percent. Home loan rates vary depending on the credit score of the borrower. The higher the credit score of the customer, the easier the loan is given by the banks. In addition, the loan rates are also discounted. Recently, SBI had announced a discount in the rate of home loans in view of the festive season. SBI loan is also based on credit score.
On the other hand, Bank of Maharashtra based in Pune headquarter also announced to reduce the interest rate on personal loan to 8.9 percent from the current 11.35 percent. The new rates have come into effect from Monday (October 17, 2022). The bank has already waived off processing fees for home loans and car loans under the ‘Diwali Dhamaka’ offer.
bank of maharashtra offer
The bank has also offered one of the lowest interest rates in the banking industry for retail loans, especially home loans and personal loans. In view of the rising policy rates, a statement from Bank of Maharashtra said. Interest rates are rising. In such times, BoM is making retail loans cheaper during the festive season to bring happiness among the customers.
Earlier, the country’s largest state-run bank, State Bank of India, had also announced to give the benefit of cheap loans to customers during the festive season. According to the announcement, State Bank of India is offering a discount of 15 basis points to 30 basis points on home loans. This new offer of State Bank is applicable from October 4 and will run till January 31, 2023. State Bank’s normal home loan rate starts from 8.55 percent and goes up to 9.05 percent. But under the festive offer, this rate has been increased from 8.40 percent to 9.05 percent.
SBI is also running discount offer
According to the statement of State Bank, no processing fee is being charged on regular and top up loans in the new home loan offer. However, customers need to keep in mind that they should have a good CIBIL score to avail cheaper home loans and lower EMIs. If the CIBIL score is not good, then the benefit of cheap home loan will not be available.
In order to reduce the rising inflation, the Reserve Bank is increasing the repo rate. It is believed that the repo rate may increase again in December. The increase in this rate makes the loan costlier. The biggest impact is seen on home loans. Many times the home loan rates have gone up due to the increase in the repo rate. Accordingly, all the banks have increased the loan rates. Meanwhile, there are some banks which are offering cheap loans to the customers in the festive season.
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