State Bank of India (SBI) today slashed its home loan rate by 25 to 75 basis points across various loan maturities.
It has also introduced a new two-slab home loan structure whereby fresh home loans taken for up to 10 years will be charged 9 per cent and loans above 10 years maturity will be charged 9.5 per cent. These rates are for floating rate loans.
The fixed rate loans on both the slabs will be 25 basis points higher. The new rates come into effective from February 3, and are applicable only to fresh loans.
According to sources, a separate package is being worked out for existing home loan customers of SBI and will be finalised over the next few days.
SBI has a medium-term prime lending rate (MTPLR) on which its floating rates are based. Unless there is a change in the MTPLR, existing customers do not get any benefit of revision in floating rates.
