Friday 3 August 2012

SBI Cuts Car, Home Loan Rates 50bps



State Bank of India on Wednesday cut interest rates on loans for homes and cars, a move that could benefit millions of consumers. By cutting rates, the country’s largest lender is trying to capture the growing retail segment in the face of falling demand for loans from corporates. 
The move will force rival private sector and state-run peers to lower interest rates, which could put pressure on their profitability. SBI did not say whether lower rates will be applicable to existing customers. 
“We have targeted the retail segment because the instrument of interest rate should be used for increasing credit flow,” SBI Chairman Pratip Chaudhuri said in an interview to ET NOW. “Large term loan proposals are very few and working capital for good corporates is already happening below base rates...So, for a bank like us, the option is to accelerate the retail (lending).” The rate on car loans now stands at 10.75%, down from 11.25%, which will translate into a monthly repay
ment of . 1,699 on a seven-year loan, compared with . 1,725 earlier. The rate on home loans up to . 30 lakh will fall to 10.25% from 10.5%. Forloans between . 30 lakh and . 75 lakh, the rate will be 10.4%, down from 10.75%. For home loans over . 75 lakh, the rate will be 10.4%, compared with 11% earlier. The new rates will be effective from August 7.

Thursday 2 August 2012

Interest Rate of LICHFL in August 2012


Interest Rate of LICHFL in August 2012

A New Limited Edition Floating Rate Product called “YUVA” has been introduced w.e.f 01.08.2012 by LICHFL. This product is offered for a Limited Period of 3 Months i.e., for loans sanctioned till 31.10.2012 and for 1st Disbursements to be availed on or before 30.11.2012.:-

Amount of Loan
Interest Rate
Upto and including Rs 40 lacs
10.75%
More than Rs 40 lacs and less than Rs 75 lacs
11.00%
Rs 75 lacs & above upto Rs 1.50 cr
11.25%

This product is Floating Rate of Interest for the first 3 years from the date of first disbursement & would be linked to PLR prevalent on the date of first disbursement. However after 3 years Interest rate will be PLR-250BPS & 75 lacs to 1.50 Cr will be PLR-225BPS


Other products of LICHFL are Grand 3 & Advantage 5

Amount of Loan
Grand 3
New Advantage 5
Upto 40 Lacs
10.70%
11.15%
40 Lacs to 1 crore`
11.25%
11.40%
1 crore to 1.50 crore
11.75%
11.65%

Grand 3 is fixed for 3 years & floating thereafter. New Advantage 5 is fixed for 5 Years & floating thereafter.