As part of the festival offer, the Bangalore-based public sector lender, Canara Bank, has reduced the rate of interest on all fresh home loans from September 10.
The rates have been cut 0.25 per cent.
The new rate of interest on all new home loans upto Rs 30 lakh will be eight per cent for the first 12 months, nine per cent for the next 48 monhts and BPLR 2.50 per cent subject to a minimum of 10 per cent thereafter.
Similar changes have been effected for all new home loans above Rs 30 lakh and upto Rs 1 crore. The revised rate will be 8.75 per cent for the first 12 months, 9.50 per cent for the next four years and BPLR 2 per cent with a minimum of 10.50 per cent thereafter, , a Canara Bank statement said.
The above festival offer will be valid till September 30, 2009, the bank statement said.