Mortgage major HDFC Wednesday announced reduction in retail loan pricing by 10 basis points across tenors and buckets of loans, both for new as well as existing borrowers, effective Thursday.
For home loans up to Rs 30 lakh, the financier is offering 8.60 percent now. For women borrowers, the new rate is 8.55 percent, the largest mortgage lender said in a statement, adding the rate reduction will be applicable to existing borrowers as well.
For loans above Rs 30 lakh and up to Rs 75 lakh, the new rates will 8.85 percent and 8.80 percent for women borrowers and for those above Rs 75 lakh, the prices will come down to 8.90 and 8.85 percent respectively, it said.
Earlier this month, State Bank had reduced its lending rate by 5 basis points across all tenors. It had also lowered its one year rates to 8.40 percent from 8.45.
The rate reductions come after the RBI lowered the policy rate by a cumulative 75 basis points to 5.75 percent in three successive steps since February and prodding banks to pass on the benefits to end-customers, as they have lowered only 21 bps as of June.
Since June, many banks such as Bank of Maharashtra, Corporation Bank, Oriental Bank of Commerce and IDBI Bank have also reduced their loan pricing.